Competitive Analysis 6j585h

About the company  Coco-cola Coca-Cola was invented in May 1886 by Dr. John S. Pemberton in Atlanta, Georgia. The name "Coca-Cola" was suggested by Dr. Pemberton's bookkeeper, Frank Robinson. He penned the name Coca-Cola in the flowing script that is famous today. Coca-Cola was first sold at a soda fountain in Jacobs' Pharmacy in Atlanta by Willis Venable. During the first year, sales of Coca-Cola averaged nine drinks a day, adding up to total sales for that year of $50. Today, products of The Coca-Cola Company are consumed at the rate of more than 1.8 billion drinks per day. On May 8, 1886, a pharmacist named Dr. John Pemberton carried a jug of CocaCola syrup to Jacobs’ Pharmacy in downtown Atlanta, where it was mixed with carbonated water and sold for five cents a glass. From humble beginnings 125 years ago, our Company has evolved from one product -- Coca-Cola -- to more than 500 brands in 2011. We’ve grown from selling a modest 9 drinks a day in 1886 to 1.8 billion a day. And we’ve expanded from one city in one country to availability in more than 200 countries around the world.

 Pepsi Pepsi was first introduced as "Brad's Drink" in New Bern, North Carolina, United States, in 1893 by Caleb Bradham, who made it at his drugstore where the drink was sold. It was later labelled Pepsi Cola, named after the digestive enzyme pepsin and kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy. In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore to a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce bottles, and sales increased to 19,848 gallons. In 1909, automobile race pioneer Barney Oldfield was the first celebrity to endorse PepsiCola, describing it as "A bully drink...refreshing, invigorating, a fine bracer before a race." The advertising theme "Delicious and Healthful" was then used over the next two decades. In 1926, Pepsi received its first logo redesign since the original design of 1905. In 1929, the logo was changed again. On three separate occasions between 1922 and 1933, the Coca-Cola Company was offered the opportunity to purchase the Pepsi-Cola company, and it declined on each occasion.

 Competitors If Firm Operating In The Same Market, Offering Similar Products, And Targeting Similar Customers , Are Called Competitors.

Pepsi $28 BILLION 5OO CRORES 300 CRORES 2400 13 18

Coco-Cola TURNOVER TOTAL INVESTMENT IN INDIA PROPOSED INVESTMENTS NO. OF EMPLOYEES NO. OF OWNED BOTTLING PLANTS NO. OF FRANCHISES

$16 BILLION RS. 250 CRORES RS. 2,400 CRORES 1400 8 53

 COMPETITIVE RIVELRY Competitive rivalry is the ongoing set of competitive actions and response that occur among the firm as they makeover for an advantageous market position. According to Consumer Reports, in the 1970s, the rivalry continued to heat up the market. Pepsi conducted blind taste tests in stores, in what was called the "Pepsi Challenge". These tests suggested that more consumers preferred the taste of Pepsi (which is believed to have more lemon oil, and less orange oil, and uses vanillin rather than vanilla) to Coke. The sales of Pepsi started to climb, and Pepsi kicked off the "Challenge" across the nation. This became known as the "Cola Wars". In 1985, The Coca-Cola Company, amid much publicity, changed its formula. The theory has been advanced that New Coke, as the reformulated drink came to be known, was invented specifically in response to the Pepsi Challenge. However, a consumer backlash led to Coca-Cola quickly reintroducing the original formula as Coke "Classic".

 COMPETITIVE BEHAVIOUR Competitive behaviour is set of competitive action and competitive response the firm takes to build or defence its competitive advantage and to improve its market position Recently Cola-Cola Beverages Actors Imran Khan And Kalki For A New Ad ;To Reply Back To This A New Ad By Pepsi Beverages Featuring Actor Ranbir Kapoor And Vindhu Dara Singh Came Up Which Is Making Waves At Present.

Coke Is Served In Mc Donalds And There We Won’t Find Pepsi Products Even The Coffee Served Is Of Georgia Which Is A Coca-Cola Brand, Same Is The Case Of Pizza Hut And Kfc Which Is Owned By Pepsi Co There Only Pepsi Products Are Served ,,,This Had Lead 2 Clear War In Restaurant Segment As Well… Pepsi Is Targeting Young Generation And Their Ad Campaigns Are A Clear Example Of That, Whereas Coca-Cola Is Targeting The Family As A Whole Which Has Been Its Old Formula From Ages.

Presently Coca-Cola May Be Leading In Beverages Like Coke, But Its Facing Severe Competition From Mirinda, Nimbooz And Snack Industry Where Pepsi Is Ruling Thanks To Its Kurkure Ad That Has Led To Great Sales For Pepsi Co.

 COMPETITIVE DYNAMIC Total set of action and responses taken by all firms competing within a market is called competitive dynamics. Competitor`s rivalry & behaviour create competitor dynamics. Total action taken by competitor and response given by other competitor it`s create dynamics. Here, Pepsi had major competition with coco-cola and the rest of competitor were very minute in market size .Mainly they were competing in of taste and quality due to which both had improve their quality. Customers were getting the improvised product in competitive prices .also the market has got many new and innovative product because of competition between the players.

 MARKET COMMONALITY Market commonality is concerned with the number of market with which the firm and a competitor are tly involve and the degree of competition of an individual market to each. Here, both the company are serving in consumer market and non-alcoholic beverages ,also both are providing their service to almost all the part of world .so both have close market commonality.

 . RESOURCE SIMILARITY Resource similarity is the extent to which the firm`s tangible and intangible resources are comparable to a competitor`s in of both type and amount Both the companies had similar formulas and the resources but had difference in taste and pepsi taste was more sweetened than coke but the resources were of similar types