Case Analysis Of Coke And Pepsi

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Recommended: Chesbrough, H. (2010) ‘Business model innovation: opportunities and barriers’

Coke and Pepsi are well-known as the two popular carbonated soft drink’s brand (CSD) worldwide in the beverage industry. These two soft drinks company had been developing dramatically by competing each other in “non-blood warfare”. In any industries, it is good to have a competitor who offers similar or even same product in the market because competition could potentially drive the company to be the best of what they would be. (Saltzman, 2014) At the beginning of the case study, the author has also stated that Coke has played a critical role that motivated Pepsi to become as success as it is nowadays. (Yoffie & Kim, 2011)
John Pemberton was a pharmacist in Atlanta, Georgia, who formulated and sold Coca-Cola as a “portion for treating physical …show more content…

ing sales through the retail stores such as Wal-Mart, while coke had focused on the sales from drug store soda fountain including cafeteria, restaurant, or other outlet that used the fountain type dispensers to serve soft …show more content…

Or how they go about developing the non-carbonated soft drink and stay competitively to each other including different pricing, bottling and brand strategies. (Yoffie & Kim, 2011)Coke and Pepsi have done so many things in order to differentiate their products and also to be able to remain competitive and up-to-date with the market trends such as resizing the bottle size to match with the targeted market, adding different flavors or changing packaging, etc. (Yoffie & Kim, 2011) Pepsi had introduced a family size bottle (26 oz.) in order to increase sales through retail stores such as supermarket in 1950 and had gained significant success. The number of supermarkets that carried Pepsi’s products increased greatly over years. There were approximately 10,000 stores in 1945, 15,000 stores in 1955 and 32,000 in 1962. (Yoffie & Kim, 2011) In addition, in 1960, Coke and Pepsi started experiencing with new Cola and non-Cola flavours along with the new packaging to adapt with the new market trend of non-cola flavours. (Yoffie & Kim, 2011) Coke introduced Fanta, Sprite, and low calorie cola, while Pepsi launched with Mountain Dew, Diet Pepsi and Teem. (Yoffie & Kim,

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