Case #14 Coke vs. Pepsi‚ 2001 Synopsis and Objectives Set in December 2000‚ immediately after the merger announcement between PepsiCo‚ Inc.‚ and the Quaker Oats Company‚ this case asks to examine the implications of the merger for the rivalry between the Coca-Cola Company and PepsiCo and for value creation by each firm. Because the merger would allow PepsiCo to control Gatorade‚ which held an 83% share in the sports-drink market‚ PepsiCo would further strengthen its already wide lead
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Mohamed Saada. Coke vs. Pepsi War Overview: In 1985 Coke has introduced a new Coke product replacing its old Coke Formula that has been around for almost 100 years. The reaction has been outrageous by the consumers who resisted the new Coke forcing the company to go back in its decision and sell the two products together. My opinion is that the mistake was partially being a wrong strategic call and partially a mistake in interpreting the market research date. On the strategic call‚ Coke was losing
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Pepsi wanted to enter India… As the major market for PepsiCo‚ the US‚ was reaching saturation levels India’s vast population offered a huge untapped customer base Urbanization had familiarized indians with leading global brands Question 1 Why do companies like Pepsi need to globalize? What are various ways in which foreign companies can enter a foreign market? What hurdles and problems did India face when it tried to enter India in 1980s? Need for globalization Wider and newer
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Coke Strengths: 1. In 1993 Coke held a 59% share of the fountain market—using it to promote the brand further. 2. Coke earned a high percentage of its profits in the international market. They established themselves with the help of “ ‘anchor bottlers’—large‚ committed‚ and experienced bottling outfits like Norway’s Ringnes and Australia’s Amatil” 3. During WWII Coke was able to establish itself in the European and Asian markets with the help of the government because it was being
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Case 3 Assignment: Coke and Pepsi Identification of the strategic issues and problems- The world’s two largest soft drinks‚ Pepsi and Coca-Cola experienced numerous unexpected problems and difficulties‚ leading them to learn that marketing and competing in India requires a special type of knowledge and local skills to become successful. Working in America is not always going to be similar as working overseas. Analysis and evaluations- Strengths- Pepsi had an early entry‚ since they entered
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Running head: COKE A Coke is a Coke ITT Tech PROBLEM Why do some of us have such strong soda preferences? There’s all this uproar of Coke vs. Pepsi‚ and really looking at the ingredients‚ the products aren’t all that different. Both are made of carbonated water‚ high fructose corn syrup‚ caramel color‚ sugar‚ phosphoric acid‚ caffeine‚ citric acid and natural flavors (Pendergrast‚ 2000‚ p.6). The natural flavors are where they differ. Coke includes a “secret ingredient” known as Merchandise
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Coke VS. Pepsi James Esposito Strayer University The Business Enterprise BUS 508 Dr. Amanda Manners June 11‚ 2011 Coke VS. Pepsi The following paragraphs will discuss the financial positions of both Coke and Pepsi. There will be a discussion on which company has the greatest ability to pay off any current liabilities the companies have and what type of financial tools can be used to determine their capability to pay such debt. The reader will also be provided the tools that anyone can
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In 1886‚ the Coca Cola Company was developed but it wasn ’t until 1898 that the fierce competitor Pepsi-Cola entered into the market. These 2 companies are the two major players that dominate the consumer beverage (soft-drink) industry. Coke and Pepsi have since been competing to rein the global market in consumer beverages. The market of drinks in the United States alone is valued at more than thirty million dollars annually. With the growth of these two companies‚ PepsiCo has developed and acquired
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Coke v. Pepsi – 5 Forces Analysis Industry concentrate produces High intensity (depends on price/advertising cost/ high number of substitutes(low calorie drinks/no carb drinks/ not carbonated drinks like orange juice) Pepsi products /Coke products New Entrants (barriers/rivalry) High Intensity-Brand recognition dominant market/ patents on style and colors Network relationships & high cost of entry established such as distribution‚ warehouse‚ bottlers‚ and shelf-location high marketing
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Cory Wells Coke and Pepsi Case Coke and Pepsi have been long time rivals with competition being the name of the game in their industry. Historically‚ the soft drink industry has been so profitable because Americans tend to love soft drinks‚ more than any other beverages out there. Americans soda consumption grew by an average of 3% a year since 1970. Coke and Pepsi had an average annual growth of 10% from 1975 to 1995. Not to mention‚ the internal rivalry
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