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What Mean?

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Submitted By lethanhbinh2109
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Case 1-3

1. gfrfg

• India forced coke to sell 49% of its equity to india investor in 2002

Coke asked for a second extension that would delay it until 2007

Pepsi was held to this since they entered India in a different year

Coke asked the Foreign Investment Promotion Board to block the votes of the Indian shareholders who would control 49% of Coke

Change in oversight of FIPB

• Probably not

• Coke could of agreed to start new bottling plants instead of buying out Parle, and thus wouldn’t of had agree to sell 49% of their equity

2. Sđâsdet

Earlier(Pepsi)

Were forced to change their name to Lehar Pepsi

Their soft drink sales to less than 25% of total sales

Struggled to fight off local competiton

Later(Coca)

Denied entry until 1993 because Pepsi was already there

Harder to establish market share with Pepsi there

The beverage market was itself growing consistently from year to year.

3. Sđâsdư

• Product Policies

Catering to Indian tastes: entering with products close to those already available in Indian such as colas, fruit drinks, carbonated water.

Waiting to introduce American type drinks: Coca-Cola introducing Sprite recently

Introducing new products: bottled water

• Promotional Activities

Both advertise and use promotional material at Navartri: Pepsi gives away premium rice and candy with pepsi. Coca offer free passes, Coke giveaways as well as vacations

Use of different campaigns for different areas of India: “India A” campaigns try to appeal to young urbanites. “India B” campaigns try to appeal to rural areas.

• Pricing Policies

Pepsi started out with an aggressive pricing policy to try to get immediate market share from Indian competitors

Coca cut its prices by 15-25%: Attempt to encourage

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