A case study of pepsi and coca cola

Inc v The Coca-Cola Company.

A case study of pepsi and coca cola

New Coke was launched with a lot of fanfare and was widely publicized through the television and newspapers. Coca-Cola's decision to change Coke's formulation was one of the most significant developments in the soft drink industry during that time.

Though the initial market response to New Coke was satisfactory, things soon went against Coca-Cola. Most people who liked the original Coke criticized Coca-Cola's decision to change its formula.

They had realized that the taste of New Coke was similar to that of Pepsi, Coca- Cola's closest competitor, and was too poor when compared to the taste of the original Coke. Analysts felt that Coca-Cola had failed to understand the emotional attachment of consumers with Coke - the brand.

They felt that Coca-Cola had lost customer goodwill by- replacing a popular product by a new one that disappointed the consumers. As a result of consumer protests to New Coke and a significant decline in its sales, Coca-Cola was forced to revert back to its original formula ten weeks later by launching 'Coke Classic' on July 11, They can't change the taste of their flagship brand.

They can't change its imagery. All they can do is defend the heritage they nearly abandoned in John Pemberton, an Atlanta-based pharmacist, developed Coke's original formula in It was based on a combination of oils, extracts from coca leaves cola nut and various other additives including caffeine.

These ingredients were refined to create a refreshing carbonated soda. Pemberton's bookkeeper, Frank Robinson, suggested that the product be named Coca- Cola. He also developed the lettering for the brand name in a distinctive flowing script.

On May 8,Coke was released in the market. To make the drink popular, it was served free for several days - only after this that the drink gained people's acceptance.

After Pemberton's death inAsa Candler, his friend and a wholesaler druggist, acquired a stake in the company. Coca-Cola's sales soared even without much advertising and as many as 61, servings 8 ounces were Sold in This made Candler realize that the business was profitable. He decided to wind up his drug business and be associated with Coca-Cola full time.

As the business expanded. Candler also invested a higher sum in advertising the drink. Inhe renamed it as Coca-Cola and a year later. Coca-cola was registered as a trademark. Only Candler and his associate Robinson knew the original formula. ByCoke was made available in all parts of the US, primarily through distributors and fountain owners.

A case study of pepsi and coca cola

Coke was advertised as a drink, which relieved one of mental and physical exhaustion, and cured headache. Later, Candler and Robinson repositioned Coke as a refreshment drink. In the beginning of the 20th century, manufacturing firms in the US were criticized for promoting adulterated products and resorting to misleading advertisements.


Coca-Cola was an easy target for such criticisms. A case was registered against Coca-Cola and the trial began in March Eventually, Coca- Cola won the case. But the decision was reversed in the Supreme Court.

When Coke was released in foreign markets, several problems came up. Initially, it had to rely on local bottlers who did not promote the product with sufficient enthusiasm, or on wealthy entrepreneurs, not familiar with the beverage business.Cocacola Pepsico Case Study - Download as PDF File .pdf), Text File .txt) or read online.

Managerial Economics Coke vs.

A case study of pepsi and coca cola

Pepsi: An Economic Analysis Rebecca Simmons Managerial Economics Dr Sol Drescher December 4, Executive Summary In this case study we will do an economic analysis of two major competitors; CokeĀ® and PepsiĀ®. Coca Cola Case Study Introduction. The purpose of this paper is to present a strategic marketing plan to identify and evaluate new business opportunities for Coca Cola Amatil, a leading beverage manufacturer based in Australia.

A new study shows 96 public health groups accepted funding from Coca-Cola and PepsiCo within in a recent five year period. The case study clearly states that the Coca-Cola bottle is recognized as an American symbol and people have a loyalty towards the brandconsumers are fiercely loyal to the brand.

The data dump

Some people also have loyalty towards Pepsiyet another large group is very loyal to Pepsi. Coca Cola became aware that the Respondents were selling Pepsi and Pepsi Max in glass bottles similar to their Contour Bottle.

Coca Cola demanded that the Respondents refrain from what it said was unlawful conduct.

Coca Cola Case Study | Essay Example