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Essay / Research Paper Abstract
A 5 page analysis of whether or not these two soft drink companies will emerge in the international market creating a duopoly as they have done in the United States. Topics discussed include marketing strategies, percentage of market shares in the U.S. and in the global market and a conclusion as to whether the two combined will hold the lion's share of the soft drink industry market internationally. Bibliography included.
Page Count:
5 pages (~225 words per page)
File: D0_Cokep.rtf
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Unformatted sample text from the term paper:
market. Together they hold 73 percent of the nations soft-drink market. The other four major companies: Dr. Pepper/Seven Up, Royal Crown, A & W, and Cadbury Schweppes hold 16 percent
of the market. The last 11 percent is divided among numerous other regional and store/private brand manufacturers. It is more likely than not that this same trend will exist as
the soft drink companies expand their operations and sales in the international market. There are many reasons for Coke and Pepsis domination of
the market. First of all, both are aggressive in their marketing campaigns, in fact, some of the best advertising known in the business of advertising has come from these
two companies. Take, for example, Pepsis "new generation" campaign of 1963 which targeted the youth of the country and again in 1974 when Pepsi introduced the "Pepsi Challenge." In
this campaign they claimed to use real people tasting two colas blind and preferring Pepsi over Coca-Cola. It had the desired effect as more people started drinking Pepsi increasing the
companys market share. In fact, for the first time Pepsi took the lead in food store sales. Coca-Cola responded by reducing prices
and offering a variety of discounts on their soft drinks. In the ten years between 1971 and 1980, Pepsis share grew from 21.4 percent to 24.2 percent compared to Coca-Colas
increase of .3 percent. Coca-Cola was still the leader in overall sales, however, with their focus on fountain drinks which has always been the emphasis of the company.
Through the years both companies have been very innovative in their bottling of their product as well as in their advertising. They have also
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