Brad's Drink
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Ta’Nika Wilson
Prof. Dane Bowman
ACC557 – 009 Financial Accounting
December 18, 2012
History “Brad’s drink” was created in the summer of 1893 by pharmacist Caleb Bradham of New Bern, North Carolina. The drink was renamed Pepsi Cola in 1898, after pepsin and cola nuts were used in the recipe. Also in 1898, Caleb Bradham wisely bought the trade name "Pep Cola" for $100 from a competitor from Newark, New Jersey that had gone broke. The new name was trademarked on June 16th, 1903. Bradham 's neighbor, an artist designed the first Pepsi logo and ninety-seven shares of stock for Bradham 's new company were issued (Bellis, 2012). After seventeen years of success, Caleb Bradham lost Pepsi Cola. He had gambled on the fluctuations of sugar prices during W.W.I, believing that sugar prices would continue to rise but they fell instead leaving Caleb Bradham with an overpriced sugar inventory. Pepsi Cola went bankrupt in 1923. In 1931, Pepsi Cola was bought by the Loft Candy Company Loft president, Charles G. Guth who reformulated the popular soft drink. Guth struggled to make a success of Pepsi and even offered to sell Pepsi to the Coca-Cola company, who refused to offer a bid (Bellis, 2012). In May, 1886, Coca Cola was invented by Doctor John Pemberton a pharmacist from Atlanta, Georgia. The soft drink was first sold to the public at the soda fountain in Jacob’s Pharmacy in Atlanta on May 8, 1886. About nine servings of the soft drink were sold each day. Sales for that first year added up to a total of about $50. The funny thing was that it cost John Pemberton over $70 in expanses, so the first year of sales were a loss (Bellis, 2012). In 1887, another Atlanta pharmacist and businessman, Asa Candler bought the formula for Coca Cola from inventor John Pemberton for $2,300. By the late 1890s, Coca Cola was one of America’s most popular fountain drinks, largely
Ta’Nika Wilson
Prof. Dane Bowman
ACC557 – 009 Financial Accounting
December 18, 2012
History “Brad’s drink” was created in the summer of 1893 by pharmacist Caleb Bradham of New Bern, North Carolina. The drink was renamed Pepsi Cola in 1898, after pepsin and cola nuts were used in the recipe. Also in 1898, Caleb Bradham wisely bought the trade name "Pep Cola" for $100 from a competitor from Newark, New Jersey that had gone broke. The new name was trademarked on June 16th, 1903. Bradham 's neighbor, an artist designed the first Pepsi logo and ninety-seven shares of stock for Bradham 's new company were issued (Bellis, 2012). After seventeen years of success, Caleb Bradham lost Pepsi Cola. He had gambled on the fluctuations of sugar prices during W.W.I, believing that sugar prices would continue to rise but they fell instead leaving Caleb Bradham with an overpriced sugar inventory. Pepsi Cola went bankrupt in 1923. In 1931, Pepsi Cola was bought by the Loft Candy Company Loft president, Charles G. Guth who reformulated the popular soft drink. Guth struggled to make a success of Pepsi and even offered to sell Pepsi to the Coca-Cola company, who refused to offer a bid (Bellis, 2012). In May, 1886, Coca Cola was invented by Doctor John Pemberton a pharmacist from Atlanta, Georgia. The soft drink was first sold to the public at the soda fountain in Jacob’s Pharmacy in Atlanta on May 8, 1886. About nine servings of the soft drink were sold each day. Sales for that first year added up to a total of about $50. The funny thing was that it cost John Pemberton over $70 in expanses, so the first year of sales were a loss (Bellis, 2012). In 1887, another Atlanta pharmacist and businessman, Asa Candler bought the formula for Coca Cola from inventor John Pemberton for $2,300. By the late 1890s, Coca Cola was one of America’s most popular fountain drinks, largely
References: Coca-Cola Journey. (2012 , December 17). Retrieved from Coca-Cola: http://www.coca-colacompany.com/ Coca-Cola Company Aquires Aujan NASDAQ. (2012, December 18). Retrieved from NASDAQ PepsiCo Revenue & Earnings Per Share (EPS): http://www.nasdaq.com/symbol/pep/revenue-eps NASDAQ NASDAQ. (2012, December 18). Retrieved from NASDAQ Coca-Cola Revenue and Earnings Per Share (EPS): http://www.nasdaq.com/symbol/coke/revenue-eps NASDAQ PepsiCo. (2012, December 17). Retrieved from PepsiCo: http://www.pepsico.com/Index.html Bellis, M Bellis, M. (2012, December 17). The History of Pepsi Cola. Retrieved from About.com Inventors: http://inventors.about.com/library/inventors/blpepsi.htm