Case Study Of Pepsi And Coca-Cola In India
Some of the issues that both PepsiCo and Coca-Cola India faced included the attempt of India’s government to gain access to trade secrets and the accusation that their beverages were full of pesticides. Coca-Cola refused to hand over their trade secrets and quit doing business in India for a period of time. The two businesses were also banned on multiple occasions.
The effects could have been anticipated prior to entering the market as shown with the struggles from the history of the market. The carbonated beverage business has been difficult since the 1950’s. First, as mentioned above, the government in India tried to gain access to Coca-Cola’s trade secret. In 1988, the government warned that one of the ingredients were cancerous …show more content…
To enter the market, they had to join forces with local businesses. Pepsi was able to be innovative with the products they offered. They were able to come up with new flavors, sizes, and location to market and distribute to. They had this advantage over other beverage companies although they also had to go through the struggles that others did.
There were a lot more disadvantages that Coca-Cola faced than advantages when they entered the market. In the final attempt at Coca-Cola to enter the beverage industry in India, they were initially declined. To enter the market, Coke also had to go into business with a local company. They turned down the opportunity to purchase other beverage companies. They had to jump through hoops to prove that they were not selling beverages with too high of pesticides. A benefit of entering the market at different times, allowed for each business to learn from each other. They could compete in different ways. Question …show more content…
Soccer and Cricket will always be popular as they will continue to sponsor these events. In addition, Aquafina and Gatorade sales should remain competitive.
Both companies should take notes from other competitors in other countries before joining their market. They should also research rules and regulations and the history of other companies.
I think it is a smart choice to enter the water market. As discussed in the article, Indians are moving towards the health and wellness ideals. Water is something that will never go out of style. They already have the tools necessary to create the products, they might as well make money off of them.
I like the idea of Coca-Cola being innovative in the way they present their products. Since their target market is a younger crowd, they have found places to distribute their products other than a supermarket. I do not think I have ever heard of the energy drink Burn. I do work in a bar where energy drinks are sold often. It is a good way to get your brand