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Historical Background of Pepsi

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HISTORICAL BACKGROUND
Born in the Carolinas in 1898, Pepsi-Cola has a long and rich history. The drink is theinvention of Caleb Bradham (left), a pharmacist and drugstore owner in New Bern, NorthCarolina.
In the late1890's, he had been experimenting withCoca andKola extracts in thesyrup form. By mixing this syrup with carbonated water, he produced a very pleasingbeverage that not only tasted good but also made his customers and friends feel good. Hepromoted it as a cure of dyspepsia (indigestion).
Initially called Brads Drink by his local friends, the drink was formally titled
PEPSI COLAin 1898. By 1902 the syrup was so popular that Caleb was devoting most of time in the preparation, packaging, marketing, advertising, and overseeing thedistribution of it to other pharmacies. His sales increased rapidly and in1904 he boughtthe Bishop Mill and converted it into his bottling plant for Pepsi Cola. In 1907, hepurchased adjoining land and built a three-story addition to the factory to serve as office space for his new company.
By the end of1909 Caleb Bradham had250 franchises in24 different states, hisbusinesses continued to grow till1920 when volatile sugar prices caused the beginning ofthe rapid decline in his fortune. Bankruptcy was declared in March,1923 and the PEPSIformula passed through the series of folding companies until1931, when Loft CandyCompany in New York purchased it. In1934, Pepsi began offering twice as much softdrink for the same 5-cent price and sales soared.
Pepsi Cola's profits reached at a total of $2, 1 million in 1936. In the early1940sPepsi started its campaign throughout the country. During the 1950s Pepsi crossed theboundaries from United States to the USSR (now known as Russia) under the leadershipof Hatcher Barnet as the president of the company.
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