Analyzes the industry structure and competitive strategy of Coca-Cola and Pepsi over 100 years of rivalry. New Challenges in 2006 include improving labeling carbonated soft drink (CSD) sales and finding new sources of income. Both companies have also begun to modify their bottling, pricing, and brand strategy. They were looking for new international markets to promote growth and expand its portfolio of alternative beverages like tea, juice, sports drinks, energy drinks and bottled water. Coca-Cola and Pepsi-Cola had vied for the "throat share" beverage market in the world. The most intense battle cola wars were over $ 66 billion CSD industry in the U.S., where the average American consumes 52 liters of CSD per year. In "carefully waged competitive struggle," from 1975 to 1995, as Coca-Cola and Pepsi achieved average annual growth of about 10%, both the U.S. and worldwide CSD consumption consistently rose. This cozy situation threatens the end of 1990, however, when U.S. CSD consumption declined slightly before reaching the seemingly plateau. Does Coca-Cola and Pepsi in the era of sustainable growth and profitability is coming to an end, or the apparent slowdown was just another splash in the century enviable performance.
rewritten version of the previous case. "Hide
by David B. Yoffie, Michael Slind Source: HBS Premier Case Collection 28 pages. Publication Date: 09 May 2006. Prod. #: 706447-PDF-ENG
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