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Copy of Cola-wars case.
Transcript of Copy of Cola-wars case.
Generation advertising campaign Pepsi
campaign The Change of Market Share Coca Cola's Study Why did CocaCola lose its market share? The company started to focus on its product
The new sweeter flavor
The consumer boycott
Coca cola tried to solve the problem Coca Cola started to solve the problem: Pepsi's Trouble in Brazil In 1994, Pepsi invaded soft drink market in Brazil.
The market of Brazil attracted Pepsi as:
1. Its how weather
2. Growing teen population Baesa is the key to Pepsi’s entry to Brazil.
Charles Beach, CEO of Baesa.
He attained an exclusive Pepsi Franchise in Buenos Airs, Argentine. Goizueta, CEO of CocaCola Roger Enrico, CEO of Pepsi Pepsi’s problems is South America mirrored it’s problem Worldwide Douglas Ivester, Chairman and Chief executive of CocaCola Contamination Scares Sick Belgian schoolchildren
Meeting with Health Minister
European newspaper speculation France and Belgium Rebuffing CocaCola's efforts and scolding the company Netherlands
Switzerland $3.4 million Antwerp Dunkirk Defective Carbon dioxide Wood Preservatives "My apologies to the consumers of Belgium;
I should have spoken with you earlier" ~ Ivester "Your CocaCola is coming back" Pepsi’s role in European problems July 1999, European union officials raided offices of coke in 4 European countries.
On suspicion than CocaCola was illegally using rebates to enhance it’s market share. While CocaCola’s market share was being scrutinized, Pepsi filled two complains stating that Coca-Cola was trying to remove Pepsi from the market “We believe this is a baseless allegation by Pepsi, we believe that Pepsi’s poor performance in Italy is due to it’s lack of commitment and investment, as a result they’re tempting to compete with us in the courts room instead of the marketplace” Coca-Cola is a premiere growth company.
Coca-Cola’s lapses in the late 1990s 1- Handling Contamination problems
2- Dealing with anti-trust charges New Century problems
1) Slowing growth rate
2) Share prices had fallen hard
Industry problems facing Coca-Cola due its emphasis on carbonated soft-drinks Pepsi pushed in the non-carb market Pepsi Frito-lay division with snack foods Reluctance to Diversify Pepsi acquiring SoBe.
Isdell passing the chance of owning Red Bull.
Coke is a soda company while Pepsi is a beverage-and-snack company. Bottlers complaining after the price hike on the concentrate The C2 Disappointment Following the "Growth Through Distribution" strategy instead of effective marketing The global problems and their effect on the market Coke's board of directors Warren Buffet's presence.
Following Goizueta's policies.
Micromanaging and conservativeness.
Acquisition of Quaker Oats. Analysis In 2005, CocaCola
lost its stock price. The original one +
products Diversification CocaCola Had two choices Factors affecting the growth of the company
The healthy lifestyle ~ Schools
Advertising CocaCola's decision: "The growth comes to an End." CocaCola spent over 4 million dollars and 2 years for marketing research.
Some errors and flaws .
The symbolic value of coke.
Pepsi and Co-Cola international problems. In Conclusion,
Don’t mess with traditions.
Don’t try to fix something that isn't broken.
Don’t burn your bridges.
Consider the power of the media.
Tight controls. Thank You :)