Coca-Cola and Pepsi-Cola vied for a “throat share” of the soft drinks market for more than a century. Carbonated soft drinks (CSD) contributed to majority of the revenues in soft drinks. 丁he core market was Ihc United States which had high per capita consumption (see Exhibit 1 for per capita consumption of carbonates in select countries). The Americas accounted for 54% of the global CSD market. Europe for 34.5%‚ and Asia-Pacific for 1 \%.] The industry was characterized by the presence of strong
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effects have been anticipated prior to market entry? If not could developments in the political area have been handled better by each company? Ans: The primary barrier to Pepsi and Coca-Cola’s entry into the Indian market was its political / legal environment as a result of its history. Despite the liberalization of the Indian economy in 1991 and introduction of the New Industrial Policy to eliminate barriers‚ such as bureaucracy and regulation to foreign direct investment‚ India still had a strong
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Coke and Pepsi Coke and Pepsi are both two big companies in the world which are known by cola. Pepsi is the biggest competitor of coke. The Coca-Cola Company is the world’s largest manufacturer‚ distributor and beverage company.(No author‚ 2009-6-26) Pepsi company is also a transnational corporation with long history. Each of them has big market in the world. However‚ a comparison of Pepsi and Coke reveals several similarities but a great number of differences. Coke and Pepsi are similar
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Coke and Pepsi in the Twenty-First Century: Threat of Entry:low 1. Economies of scale - High production volume but merit not clear (1st paragraph on page 2) 2. Product differentiation - Brand identification (high advertising expense‚ Exhibit 2) 3. Capital requirements - CPs: little capital investment (1st paragraph on page 2) - Bottlers: capital intensive (2nd paragraph on page 3) 4. Cost disadvantages independent of size - No 5. Access to distribution channels - Food stores (35%): intense
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CHAPTER 6 Entering Global Markets “The multinational corporation knows a lot about a great many countries and congenially adapts to supposed differences..... By contrast‚ the global corporation knows everything about one great thing. It knows about the absolute need to be competitive on a worldwide basis as well as nationally and seeks constantly to drive down prices by standardising what it sells and how it operates. It treats the world as composed of a few standardised markets rather than
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Pepsi is a manufacturer or use manufacturers‚ market and sell a variety of salty‚ sweet and grain-based snacks‚ carbonated and non-carbonated beverages‚ and foods through their North American and international divisions. B) Coca-Cola has the dominant position in beverage sales. C) Coca-Cola 2006 $29‚963‚ 2007 $43‚269 The difference is $13‚306 for a 44.4% increase. Pepsi 2006 $29‚930‚ 2007‚ $34‚628 The difference is $4‚698 for a 15.6% increase. D) Pepsi had
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CASE 13 Coke and Pepsi Learn to Compete in India THE BEVERAGE BATTLEFIELD In 2007‚ the President and CEO of Coca-Cola asserted that Coke has had a rather rough run in India; but now it seems to be getting its positioning right. Similarly‚ PepsiCo’s Asia chief asserted that India is the beverage battlefield for this decade and beyond. Even though the government had opened its doors wide to foreign companies‚ the experience of the world’s two giant soft drinks companies in India during the 1990s
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Coke has been leading the competition from 1998-2002 in terms of higher market capitalization‚ gross margin and net income. However‚ Pepsi was leading the fight in terms of growth in revenue and net income. However‚ Pepsi’s stock performed 45% better than Coke’s stock. Overall‚ Pepsi was a smaller company but it was growing faster than Coke. Coke had a strong foundation‚ however‚ their revenue during this period increased due to summer months artificially increasing the demand. Pepsi‚ on the other
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RESEARCH PAPERS USED AS SECONDARY MATERIAL i. Coke Vs Pepsi fighting for foreign markets ii. Comparison between Coke and Pepsi iii. Brand Analysis : PepsiCo iv. Brand Analysis : Coca-Cola v. History of Coca-Cola : The best soda vi. Coke Vs Pepsi vii. Comparison between Coke and Pepsi viii. The rivalry of various fronts ix. Market share x. Indian scenario 6. RESEARCH METHODOLOGY 7. RESULTS
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Hindustan Coca Cola and PepsiCo as Aradhana Beverages . Diminishing strategy adopted by both player is to diminish threats from substitute products and services . This has two major benefits that helps in managing complexity and responsiveness from local players .It also offer powerful source of competitive advantage as diminishing local players keeps future interest assured from any major threats. As a result Hindustan Coca Cola acquired Thums up‚ Mazaa‚ Gold Spot where as PepsiCo grabbed Dukes
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