1. Why is the soft drink industry (i.e.‚ the cola concentrate industry) so profitable? The soft drink industry survives on the rivalry that has existed for over a century between Coca-Cola and Pepsi-Cola. The two brands are competing for the market share nationally and globally by trying to clinch the thirst of every person in the world. In Michael Porter’s five forces‚ the threat of rivalry pushes both companies to “out compete” with each other and drive up the fixed cost to enter the market
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No. | Topic | Page No. | 1. | Introduction | 2 | 2. | Problem Statement | 3 | 3. | Probable Solutions | 4 | 4. | Development of Key Decision Criteria | 5-6 | 5. | Contingency Plan | 7-8 | Introduction When the cola giants‚ Pepsi and Coke‚ entered the Indian market‚ they brought with them the cola wars that had become part of global folklore. This case study details the various battles fought in India by the two rivals with its focus on the publicity campaigns where the two sought
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Coke and Pepsi Learn To Compete in India 1. The political environment in India has proven to be critical to company performance for both PepsiCo and Coca-Cola India. What specific aspects of the political environment have played key role? Could these effects have been anticipated prior to market entry? If not‚ could developments in the political arena have been handled better by each company? Answer The political environment have played key role as follow: - Indian government viewed
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Internal Analysis of Coke and Pepsi (Appendix A) In this session‚ we would analyze Coke and Pepsi internally using SWOT analysis. SWOT is the short form of Strengths‚ Weaknesses‚ Opportunities and Threats. In Appendix A‚ we can see that the major strength for Coke is its name value. Coke is the World’s leading brand for CSD. Marketing and advertising is the major battleground for the CSD industry‚ from the SWOT analysis‚ we can see Coke did a great job for that. Being the market leader is definitely
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Case Study 16: Coke and Pepsi 1. Identify the ongoing issues in this case with respect to issues management‚ crisis management‚ global business ethics‚ and stakeholder management. Rank order these in terms of their priorities for Coca-Cola and for PepsiCo. Number 1 Priority: The major global business ethics I found in this case study was the whole issue with excessive water usage in their companies as well as the pollution of the water. The book explains that water is very sacred in India. Even
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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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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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The competition within the $74 billion carbonated soft drink (CSD) industry has been remarkable ever since Coca-Cola was formulated in 1886‚ and further intensified when Pepsi was introduced in 1893. Ever since then‚ the CSD industry has been dominated by these two companies‚ with Coke taking the lead in the early stage‚ followed by Pepsi doubled its market share between 1950 and 1970 by offering its concentrate at a lower price than its competitor. The CSD industry has been profitable historically
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Cola Wars Continue: Coke and Pepsi in 2006 CSD Industry Overview Coke and Pepsi‚ the two main players in the duopoly market‚ have benefited from average growth of 3% since 1970 in the CSD market. There are many substitutes to CSD’s such as; milk‚ coffee‚ bottled water‚ beer‚ juices‚ tea‚ wine‚ sports drinks‚ and tap water yet American’s drank more soda than any other beverage. Coke and Pepsi competed fiercely for market share and this competition built brand recognition for both companies. Continuous
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Current Market Conditions Paper Productivity Coca is always looking for ways to improve their productivity to stay a top notch competitive in the market of soft drinks. Currently Coca is introducing a new system call MC9000. Coca-Cola’s deployment of Symbol’s flagship MC9000 mobile computers across EMEA operations is part of a strategic initiative to improve the efficiency‚ productivity and customer service delivered by its mobile workforce. The Symbol mobility platform replaces
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