Case Summary of Cola Wars Continue: Coke vs. Pepsi in the Twenty-First Century The Soft Drink industry has been assigned as the vehicle for tackling the topic of industry analysis and competitive dynamics. The case covers developments in the soft drink industry through 1993. It describes how the industry evolved into its current structure largely following Coca-Cola’s leadership. What is particularly interesting is determining why the major competitors in the industry have been able to earn above
Words: 1150 - Pages: 5
Sethi International Marketing Coca-Cola Out of many brands globally, one brand that has been part of our lives somewhere someplace around the world is Coca-Cola. I have learnt a lot from this class from how to successfully market products to how to respect and turn culture into an advantage. One of the main things I learned from this class in regards to this brand has to be the 4ps. Product, Price, Promotion, and Place. This basic model has brought Coca-Cola to be known throughout, as a world class
Words: 1000 - Pages: 4
outlets. This is based on year 2000 annual data. Graphically, this is shown in the following chart: The exhibit also shows the market share of the major players: Coca-Cola, Pepsi, and Other Brands (taken as one) on their product deliveries to retail outlets. It can be seen from Exhibit 7 that the two major players: Coca-Cola and Pepsi combined, dominate on all the retail outlets. This dominance is shown higher in the fountain and vending machine categories. The fountain sales is basically an
Words: 509 - Pages: 3
revenue from more than just their core beverage. The fierce competition the two Cola Giants created, ensured profitability and world recognition of the American developed carbonated soda. 2. Compare the economics of the concentrate business to that of the bottling business: Why is the profitability so different? The concentrate business has been historically dominated by large magnates such as Coca-Cola and Pepsi. Data, from the case study, detailing the industry breakdown indicates that
Words: 1960 - Pages: 8
“Cola Wars – Sustaining Competitive Struggle” I. Key Problem In the current business world the competition is very stiff. Major organizations are stressing on every possible resources to meet continuing rising demands of market and consumers. The prime aim for the current organizations is to render best services to their customers and increasing the market share. The current globalization scenario also provides ample opportunity for an organization to interact and present them globally. The integration
Words: 1482 - Pages: 6
controlled by Coca-Cola Company (Coca-Cola) and PepsiCo (Pepsi), together claiming a combined 72% of the U.S. carbonated soft drink (CSD) market sales volume in 2009. Refer to Exhibit 1 for an illustration of the CSD industry value chain. For more than a century, Coca-Cola and Pepsi have maintained growth and large market shares through mastering five competitive forces, shown in Exhibit 2, that drive profitability and shape the industry structure. Entry Barriers: Both Coca-Cola and Pepsi have strong
Words: 822 - Pages: 4
in New Bern, North Carolina in 1898 by Caleb Bradham, who made it at his home where the drink was sold. It was later named Pepsi Cola, possibly due to the digestive enzyme pepsin and kola nuts used in the recipe.[2] Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy.[3] In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore to a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce
Words: 4674 - Pages: 19
------------------------------------------------- Introduction The Coca-Cola Company is a beverage company, manufacturer, distributor, and marketer of non-alcoholic beverage concentrates and syrups. The company is best known for its flagship product Coca-Cola, invented by pharmacist John Stith Pemberton in 1886. The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892. Besides its namesake Coca-Cola beverage, Coca-Cola currently offers more than 400 brands in over 200
Words: 7040 - Pages: 29
start to capture the youth market. Pepsi campaign have always and continue to about making a mark and proving its real benefit among young people and cool people. The consumers are looking for products, that are not only quenching their thirst, but in some cases they are looking for healthy options, that Pepsi does provide. The main competition to Pepsi is Coke, but there are others on the hills of both companies. Nestle, RC Cola and organic choices are competition for Pepsi. The beverage market
Words: 615 - Pages: 3
ratio suggests investor's confidence in the future growth prospects of the company and Pepsico has the highest P/E ratio as compared to its major competitors in the sparkling soda industry including Coca-Cola and Dr. Pepper. Even though it can be interpreted that PEP has lagged behind Coca-Cola over the years in US market but it is very important to understand that the majority of PepsiCo's revenues do not come from carbonated soft drinks.In fact, beverages account for less than 50% of total revenue
Words: 2806 - Pages: 12
