anufdgdg pepsi

8/20/2019 anufdgdg pepsi

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COKE PEPSI RIVALRY

Vs.


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Group members

ANITA PARMAR

SONAL PANCHAL

PARESH KHARADI

KISAN TRIVEDI

POONAM YADAV

MOHAMMED SEPOY


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Introduction

This case study, i!es a brie" o!er!ie# about i$dustrystructure a$d competiti!e stratey o" Coca%Co&a a$d

Pepsi o!er '(( years o" ri!a&ry) They ha!e a truecompetitio$ riht "rom bei$$i$)

*oth "irms "aced a &are $umber o" cha&&e$es butbiest o" them #ere to modi"y their bott&i$, prici$,

a$d bra$d strateies)


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S+OT AALYSES


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Strengths

Emotio$a& attachme$t

Good bra$d e&eme$ts

Larer bott&i$ System

I$$o!ati!e competiti!e ad!a$tae

-uic. Reco!ery

G&oba& Success

/ar.eti$ Stratey


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Weaknesses

Operatio$a& setbac.s

E0ecutio$ 1ai&ure

Re&ia$ce o$ traditio$a& stratey

+ea. Successio$ P&a$$i$

ot ood re&atio$ #ith supp&iers

ot ood ha$d&i$ o" &ea& issues


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Opportunities

I$ter$atio$a& e0pa$sio$ throuh *ra$d reco$itio$

/ore taret customers

e# i$$o!ati!e bra$ds

I$troduce coca co&a i$ ro#i$ cou$tries eco$omica&&y)


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Threats

Bottling Partners: Coke’s crucial relationships withbottling partners are at risk

Economic Slowdown: Coke is not so willing to business in nonCS!" #ealthconsciousness coke Pricing to CPI consumer bu$ing E%pansion into third world countries where there is

no current presence" &iddle East bo$cotting 'S brands" Western attitude against capitalism

(ew cheaper brands o) cola Series o) legal obligations So man$ discounts ma$ not cut the sales but

alwa$s cuts pro)it"


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Stae 2 '33( 4 5('56


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Cha&&e$es 1aced

') 7S sa&es !o&ume re# at a rate &ess tha$ '8 duri$ '339 % 5((:

+or&d#ide dema$d "or CS;s remai$ed "&at

;ec&i$e i$ a$$ua& per capita& co$sumptio$ "rom '5< to ''3ser!i$s

5) Associatio$ o" CS;s to obesity

e# "edera& $utritio$ uide&i$e

*a$ o" CS; i$ Schoo&s

/ora$ Sta$&ey Sur!ey

=) Co$ce$trate pro!iders ai$ at the cost o" *ott&ers pro"itabi&ity

>ue debts "rom co$so&idatio$ a$d i$"rastructure i$!estme$t

Cha$e i$ the product port"o&io resu&ted i$ additio$a& costs "orthe bott&ers

Rapid ro#th o" mass mercha$diser cha$$e& &i.e +a&%/art a$d!arious other c&ub stores posed a $e# threat to the pro"itabi&ity


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Cha&&e$es speci"ic to Co.e

Per"orma$ce a$d E0ecutio$

Key strateic re&atio$ship #ith CCE

Pro!idi$ a&ter$ati!e be!eraes

Lea& Issues

Co$tami$atio$ scare i$ *e&ium

A &a# suit "i&ed by *urer Ki$ #orth ? 5' /i&

Cha$$e& Stu""i$ chares

Curre$cy Crisis i$ Russia a$d Asia


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Cha&&e$es speci"ic to Pepsi

Ve$e@ue&a Crisis 2'336 % Reduced the mar.et share o"Pepsi "rom :


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Strateies Adopted

*" +lat !emand !uring *,,- . /001

Pepsi

.Co$ce$tric ;i!ersi"icatio$

− AcBuired -ua.er Oats2 5(((6− AcBuired South *each *e!erae Co 25(('6

−. Product ;e!e&opme$t

− ABua"i$a 2'3396

./ar.et ;e!e&opme$t

− I$troduced CS; !aria$ts &i.e Sierra /ist 25(((6 a$d /ou$tai$ ;e# Code Red 25(('6

− DGro# the core a$d add some more

Co.e

.A&thouh Pepsi s#ept a#ay the $e# e!o&!i$ mar.ets, Co.e "ared better i$ the bott&ed#ater cateory a"ter i$troduci$ ;asa$i i$ '333)

.Pac.ai$ I$$o!atio$F 1ride Pac. 25(('6, rep&aced 5 &tr #ith ')< &tr #hich #as &ater

imitated by Pepsi


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Strateies Adopted

5) Associatio$ o" CS;s to obesity

Coca Co&a− I$troduced $e# or re$amed products

− ;iet Co.e #ith Sp&e$da 25((


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Problems

Operational set back

1ra$chisi$ co$tracts)

I$ter$a& co$"&icts)

/a$y other "u$ctio$a& prob&ems)

Solution

/a$aeme$t o" coca%co&a shou&d "irst reso&!e their i$ter$a&issues) *ecause they ca$ compete o$&y i" they are stro$i$ter$a&&y


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Change in Bottling

Coca Co&a Compa$y is co$ti$uous&y cha$i$ sty&es,si@es, co&ors a$d bott&i$ materia&s)

Such .i$d o" acti!ities cost more tha$ the success) It i$crease the cost at e!ery step a$d &imits the pro"it i$

that "ie&d)

Solution

They shou&d cha$e but $ot

So co$siste$t&y that its e""ectsPro"itabi&ity a$d bra$d imae


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Change in pricing

Problem Co$ti$uous cha$e i$ price o" its products

create doubts i$ the customers mi$d Compa$y is ma.i$ so much pro"its

Some may ta.e that they are se&&i$ the o&dstoc.)

Price cha$e a&so a""ects setti$s o"

ma$u"acturi$, mar.eti$, a$d se&&i$)


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Solution They ha!e to positio$ at stab&e price #ith ood

Bua&ity a$d reater !a&ue) They shou&d "ocus o$ Bua&ity, ser!ice Bua&ity,

&i"esty&es a$d other capabi&ities rather tha$ o$&y"ocus o$ price competitio$


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Change in brand strateg$

As co.e o""ered di!ersi"ied products amo$ them most o"the bra$ds are co$tra to each other)

E0amp&es are co.e a$d co.e diet)

Solution

;i!ersity products aays et be$e"its)

>a$d&i$ them is !ery tric.y)

Coca co&a shou&d try ma0imum e""orts to ha$d&e so muchdi!ersity products)

/i$imi@e the co$"usio$s a$d e&imi$ate the bad

per"ormi$ products)


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anufdgdg pepsi