This case describes the complexity of the company's competitive position in the Mexican market, PepsiCo soft drinks at the end of 1996. After the anchor bottler of PepsiCo in Mexico, Gemex, case details the strategies used by management of PepsiCo, beginning in 1993, to expand its market share compared to the traditional "red Nemesis," Coca-Cola. Various aspects of the marketing strategy of PepsiCo, management, financial, strategic all seen to have deteriorated after an unexpected drop the Mexican peso in December 1994. Speaking about the financial implications of the peso devaluation, it then describes the response to PepsiCo, which seemed to only add to the financial burden imposed on the faltering market share of Pepsi.
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by Michael Moffett, Thomas Soto Source: Thunderbird School of Global Management 25 pages. Publication Date: April 1, 2009. Prod. #: TB0219-PDF-ENG
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