Coca Cola Vs Pepsi An International Battle

Essay by jackoniell007University, Bachelor'sA-, October 2006

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In the summer of 1898 an hot humid day in New Bern, North Carolina a young Pharmacist named Caleb Bradham began experimenting with combination water, cane-syrup, and an extract from tropical kola nut. He prepared the Cola. It's as easy as 1-2-3. Selling Pepsi in North America isn't just the second-biggest endeavor in the soft-drink business (behind #1 seller, Coca-Cola), it's the third-biggest enterprise at PepsiCo itself. (PepsiCo's International division and Frito-Lay are bigger in terms of sales). Pepsi-Cola North America manages the network of independent and Pepsi-owned bottlers, which help make and distribute beverages such as Pepsi-Cola, Mountain Dew, Sierra Mist, 7UP, Aquafina water (#1 in the US ahead of Coke's Dasani), Lipton teas and Starbucks Frappuccinos (through joint ventures).


The soft drink industry has been engulfed by an ongoing cola war stemming from a long-time battle between Coca-Cola and Pepsi Co. Recently both companies have introduced their products to the foreign market, but in order for either company to turn a profit, there is a large amount of red tape they must cut before production can begin.

This paper will examine the new markets and the roadblocks that have stopped these companies for so long.

Established in 1886 and 1889, Coca-Cola and Pepsi Co., respectively, were among the first soft drinks invented and their popularity grew rapidly. By the 1930's, Coca-Cola appeared on over 20,000 walls, 160,000 billboards, 5 million soda fountain glasses and 400 million newspaper and magazine advertisements. When the war (Second World) ended, the Coca-Cola Company had sixty-three overseas bottling plants in operation in venues as far-flung as Egypt, Iceland, Iran, West Africa and New Guinea. Since then, international marketing has become more complex and the following will study the new territories and the advancements that the companies have made.

PepsiCo is a world...