Coke And Pepsi: A Comparative Analysis

In the carbonated soft drinks industry, Coke Cola and Pepsi Co are the biggest players in the market for aerated beverages. Both the companies have been competing strongly against each other for decades. The market is dominated by these two industry leaders with a total market share of 72%; Coke’s market share is 42% and Pepsi’s 30%. This is known as an oligopoly market; where there are few large firms competing with each other in the industry. Since both the company’s market share so large, the market is very close to a duopoly (other players having a very small impact on the market).

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¬¬-Corporate ethics comes at a price- one that either businesses have to absorb or consumers have to pay for. Too often consumers complain about big business, but then shop at Walmart because the small, family owned stores are more expensive. However, people still drink it. Not only do businesses need to be held responsible, consumers do as well. If there was not a demand, Coke would discontinue the supply.

Retrieved from http://search.proquest.com/docview/1649002542?accountid=144790 Bertini, M., & Koenigsberg, O. (2014). When customers help set prices. MIT Sloan Management Review, 55(4), 57-64. Retrieved from

Limitations of the Theory of Constraints. Retrieved March 26, 2018, from AZ Central: https://yourbusiness.azcentral.com/limitations-theory-constraints-16352.html Schmidt, W., & Smichi-Levi, D. (2013, August 27). Nissan Motor Company Ltd.: Building Operational Resiliency. Retrieved March 12, 2018, from mitsloan.mit.edu: https://mitsloan.mit.edu/LearningEdge/CaseDocs/13-149%20Nissan.Simchi-Levi.pdf Siali, F., Yao, L., & Kie, C. (2013, May 24). Inventory Management and Logistics Cost Reduction.

In figure 1 you can see that The Coca-Cola Company has 25,9% market share and PepsiCo, Inc., has 11,5%. Other companies have market shares less than 3%. This proves our point that these two companies are leaders in this market. In figure 2 you can see the brand value of Coca-Cola is incredibly high in comparison with the other brands. The Coca-Cola Company has more brands than only Coca-Cola, brands like Fanta, Diet Coke and Sprite are also part of the company.

From the point of view of a pharmaceutical marketer, setting the correct price for the product is essential and charging too much can lead to poor market penetration along with low market share (Eon van der & Bredenkamp, 2013). If the price is too low, this can encourage high market share, but can result in poor profit margins (Eon van der & Bredenkamp, 2013). The main goal for prescription drugs is to decrease the cost. Placing too much emphasis towards managing the expenses are more likely to lead to a bigger medical costs, poor customer outcomes, and benefits that provides little true value (Jones, 2003). Implementation of an inclusive generic drug program, sponsors and employers should take in consideration for the following: “utilization management, targeted disease intervention, generic sampling program, and managed formulary” (Jones,

The OBPPC is the strategy offered to suit their customer’s needs, which has been helping capture people’s disposable income faster than its competitors, innovation allows the company tap into the less price-oriented experience and growing the revenue. Also the choice of different brand categories customers can choose from like Sprite and Fanta. They also offer zero sugared, low sugar sparking soft drinks. They also offer different drinks such as juices, iced tea, energy drink, sports drinks,

A brief: Back in 1987 in Austria Dietrich Mateschitz started a new company, Red Bull to produce an energy drink, this energy drink is based on some ancient Far East drinks. Red Bull became the most sold drink in 2014, with more than 5.6 billion cans in more than 167 countries around the world. Red Bull, and as a part of it support for it’s slogan as an energy drink has initiated Red Bull support for extreme sports such as x-bike, sky diving and the world record free fall jump from the edge of the earth by Felix Baumgartner. Internatiolasation rationale: Red Bull waited two years to initiate the it’s internationalization process, to start that process from Asia in particular from Singapore -1989, after achieving success in Singapore the

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