Case study pepsi vs coke for decades, pepsi and co. Oct, 2016 cola wars coke vs pepsi harvard business school case study 1. Case study pepsi vs coke for decades, pepsi and coke have battled over who gets the biggest market share. Mar 24, 2011 like pepsi, cocacola would undertake a branding project that would essentially undo the clutter that had made its way into the brand identity and strip it down to a meaningful and simplified version. Worldwide coke remained more famous as compared to pepsi. Pepsi february 20th, 2014 strategic marketing cocacola has been the dominant beverage company in the cola market for a large number of years. Vrio analysis for coke vs pepsi case study identified the four main attributes which helps the organization to gain a competitive advantages. Coca cola and pepsi case free download as word doc.
Coke and pepsi have dominated the market on soft drinks by offering a product that people enjoy, at a price that the average joe can afford, and by utilizing marketing strategies and campaigns. Like pepsi, cocacola would undertake a branding project that would essentially undo the clutter that had made its way into the brand identity and strip it down to a meaningful and simplified version. Case study on pepsico page 1 overview of pepsico, inc. When participants are told that the brand is cocacola that dramatically affected their preference and also activated their dorsolateral prefrontal cortex and.
Coke in venezuela case study solution, after longtime pepsi bottler in venezuela switched to cocacola in an unexpected move, ceo pepsi assesses the damage and trying to answer. Provides a teaching vehicle for analysis of competitors and strategic rivalry. Doubled advertising spending introduced diet coke huge success 1985 coke disaster. Coke and pepsi in the twentyfirst century for over a century, cocacola and pepsi cola vied for throat share of the worlds beverage market. 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 to steal each others fizz. May 02, 2016 mgmt 4710 university of memphis fogelman college of business and economics may 2016. Coke vs pepsi case study of coke versus pepsi abstract.
Bruner case study 14 report university of malaya 2015. Coca cola vs pepsi logo design case study canny creative. Both coke and pepsi developed and deployed aggressive marketing campaigns which began generations ago by fighting trademark infringements and continued with cleaver and aggressive. The following were calculated to get the wacc for pepsi co. Pepsico has interests in the manufacturing, marketing, and distribution of grainbased snack foods, beverages, and other products. Coke v pepsi case study through effective leadership, an environment was rated which enabled success and profitability as well as creative strategies and campaigns. Supermarket chains continue to be one of the biggest buyers in the cola concentrate industry. Mahan is honored to invite international professors and academics all over the globe to tehran in order to afford students the opportunity to support their professional occupation or family responsibilities and earn an international and recognized mbadba degree at. Case study coca cola vs pepsi free download as word doc. Aug 19, 2019 marketing history market research in the beginning. Major strategic competitive moves and countermoves are described. Case study for cocacola vs pepsico for 2009 free essays. Pdf the case study narrates different phases of the business that occur in a diverse product portfolio. Once you are comfortable with the details and objective of the business case study proceed.
They have also witnessed that while knowing that the drink is pepsi does not change anything, the case with coke is different. The case covers developments in the soft drink industry through 1993. This market model coke vs pepsi case study solution follows the more than 100year cola war between coke and pepsi when first starting to use the market model for market simulation, it is easier to think about this famous competitive battle when there were only two competitive products the 6. During the statesmen era of pepsi and coke, what actions did each of the companies take. Case study diet coke the equation among soft drink companies was almost balanced.
Essay about case study on coke versus pepsi 1065 words. New coke case study part 2 great ideas for teaching. Having all of the relevant and necessary information in one place has also a. Set in december 2000 immediately following the merger announcement between pepsico inc. Why, historically, has the soft drink industry been so profitable. However, studies also indicate that, coke retains a significant advantage over pepsi in terms of brand equity, and this is evident even with younger people battle of the brands. Carolyn keene want to develop a view about the two companies future performance by the. General instructions for running part 2 of the new coke case study in class. This survey report introduces comparative study of consumers preferences for. Pepsi in the 1990s case study analysis, subjects covered competitive advantage corporate strategy international business by david b. Coke versus pepsi in the twentyfirst century intro. Indeed, with nearly 1 billion cocaola drinks sold every single day, it is the worlds most recognized brand. Coke in venezuela case study analysis, subjects covered business ethics international business negotiation strategic alliances by david wylie, kathleen hagan, hal hogan source.
Download as doc, pdf, txt or read online from scribd. Mar 08, 2012 during the statesmen era of pepsi and coke, what actions did each of the companies take. Sep 28, 2019 pepsi delivered a big hit to coke by securing a contract in 1998 with disney to supply soft drinks to disneyquest, club disney, and espn zone chains. Also profiles industry developments, including the pepsi challenge, the reformulation of cocacola, and the consolidation of the bottler network. Files will be available for download until june 06, 2012. Pepsi took the campaign nationwide cokes market share eroded coke countered with discounts, retail price cuts, ads questioning tests validity pepsi passed coke in food store sales for the first time strategies of coke, 1980s. Coke and pepsi both use recognizable figures celebrities to advertise their cola concentrate product and help demolish new entrants from entering the industry. Once you are comfortable with the details and objective of the business case study proceed forward to put some details into the analysis template. Cokepepsi economic case study essay free argumentative. Evaluate each detail in the case study in light of the hbr case study analysis core ideas.
Cocacola conclusion with its depth and consistency of coverage, focuseconomics consensus forecast reports have provided cocacola with reliable macroeconomic intelligence. Studies also indicate that coke has the edge over pepsi in terms of marketing equity. Bahcesehir university theory of marketing cola wars. Cocacola and pepsi are the two largest companies in beverage industry. 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. Syllabus page 16 the soft drink industry has been assigned as the vehicle for tackling the topic of industry analysis and competitive dynamics. They are ideally suited to topics that only require a 1030 minute exercise addressing a distinctive concept, rather than a detailed, allencompassing case study. A classic brand failure think of a brand success story, and you may well think of cocacola. Cola wars coke vs pepsi harvard business school case study.
The competition between these two companies last many years, but in recent decades, after acquiring quaker oats company, pepsico, inc. For the most part, coke has always won the battle, with pepsi outselling them in few occasions. The unit case volume almost doubled in australia once the vitamin water was available for sale in the pacific. Coke vs pepsi case study solution and analysis of harvard. Based on the decisions the two companies made, this paper conducts a situational analysis by looking at both. Positive for pepsi coca cola is taking a high risk. The case study significantly states that the cola war is predominantly. Coke vs pepsi case study of coke versus pepsi abstract coca. The case also outlines battles fought on other fronts conflicts with bottles. Coke is dominant company of the soft drink industry and boasts a global market share of around 44%, followed by pepsico at about 31%, and cadbury schweppes at 14. A brief presentation on case study cola wars where we try to analyse the past history and. Im really not sure if pepsi are a drinks company or if theyre selling tickets for concerts. Great ideas for teaching marketing has been developed as an alternative to long case studies.
Marketing history market research in the beginning. Coke luckily developed new coke which allowed it to attack pepsi in its dominant markets in a precise wayminimizing damage to coke s profitsand force a truce in the price wars. This paper explores the strategies during cola wars, a long period of development and competition, between the top two carbonated soft drink companies in the world beverage market, cocacola and pepsi co. New coke case study great ideas for teaching marketing. It is highly recommended that student groups undertake the new coke case study part 1, which sets the marketing environment context for coke s decision back in 1985. Cocacola and pepsi dominated the carbonated soft drink csd industry for over a century but are now experiencing significant and continuing drops in sales due to changes in their external environments. In a case study released by san francisco design firm turner duckworth, the problem with coke was clearly portrayed. Go to the books companion website and use the information found there to answer the following questions related to the cocacola company and pepsico, inc. A project report pepsi vs coca cola free download as word doc. A major purpose of this case is to understand the financial implications of. Cola wars case solution free download as powerpoint presentation. The author of this theory suggests that firm must be valuable, rare, imperfectly imitable and perfectly non sustainable. Having already lost on taste, the last thing cocacola could afford was to lose its number one status. Pepsi in the 1990s case study solution, cola wars continue.
This research paper is basically a comparative study of two well known competitors in beverage. The case asks students to estimate eva tm economic value added from. New drinks have been launched which also include noncarbonated. It all started years ago, in 1886, when a confederate colonel in the civil war, john pemberton, wanted to create his own version of coca wine cola with alcohol and cocaine and sent his nephew lewis newman to conduct a market research with the samples to a local pharmacy jacobs pharmacy. Over 300 activities and discussion exercises are provided on this website. Pepsicos journey toward an ethical and socially responsible culture company overview pepsico is one of the largest food and beverage companies in the world. Pepsi case study control of market share is the key issue in this case study.
Coke luckily developed new coke which allowed it to attack pepsi in its dominant markets in a precise wayminimizing damage to cokes profitsand force a truce in the price wars. The concentrate business has been historically dominated by large magnates such as cocacola and pepsi. A project report pepsi vs coca cola pepsi coca cola. Pepsi cola a case study solution, focused on competitive interaction between cocacola and pepsi cola in particular, and the effect has to dominate the other industry players. History of cocacola cocacola was formulated in 1886 by john pemberton pharmacist. Cola wars coke vs pepsi harvard business school case study 1. Describes the competition between cocacola and pepsicola. The problem, as cocacola perceived it, came down to the product itself. Asses coca colas part ownership of innocent drinks from the point of view of both companies.
This tactic ensured that for every dollar of revenue pepsi gave up, coke would surrender four dollars. Coke and pepsi in the twentyfirst century focuses on describing coke and pepsi within the csd industry by providing detailed statements about the companies accounts and strategies to increase their market share. Coke versus pepsi page 3 coke s 49% solution reporting their bottling companies as equitymethod investments a major purpose of this case is to understand the financial implications of consolidated versus equitymethod accounting for affiliated companies. Provides a summary of the history of the soft drink industry prior to world war ii, and over the period 19501990 in greater detail. Coke competed against pepsi, tab against diet pepsi. The other idea that is a strong factor is the marketing activity is the cocacola company making sure it keeps creating new bonds with customers. Introduction the carbonated soft drinks csds sector is dominated by three major players. Stp strategy one of this companys stp strategies is to continue to be more organized.
The coke pepsi rivalry case studiesbusinessmanagement. Data from the case study detailing the industry breakdown indicate that coke held 51% of market share in 2003 while pepsi and catbird speeches held 22% and 6% of international market shares for that year respectively. Their popularity has soared making them an easily recognizable brand with an image that almost sells it self, literally. Coke case study inform, 160711 proliferation of soft drink brands, pepsi was winning new customers. Nov 28, 20 this tactic ensured that for every dollar of revenue pepsi gave up, coke would surrender four dollars. Coke versus pepsi page 3 cokes 49% solution reporting their bottling companies as equitymethod investments a major purpose of this case is to understand the financial implications of consolidated. They need to redesign their logo, packaging and entire brand identity to reflect that. Describes the competition between cocacola and pepsi cola. Aug 15, 2017 coke vs pepsi cola wars case study solution. An economic analysis rebecca simmons managerial economics dr sol drescher december 4, 2012 executive summary in this case study we will do an economic analysis of two major competitors.
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