The rivalry between Pepsi and Coca cola reminded me of the great Indian epic, Mahavarata, where the two arch rivals- the Kauravs, and the Pandavas fought fiercely. If Mahavarata was written in this era then I think the writer would have chosen the Indian soft drinks market and described the rivalry between Pepsi and Coca cola; How these two are always trying to out sale each other?
Currently, Coca cola is the most popular soft drink in the world. It has a long history, starting from 1886. In the beginning, known as a medicine, now, it is sold in more than 200 countries. Last year, the company made a profit of $23.1 billion. This is a 6% increase compared to the revenue of the previous year.
I could not find anything specific when Coca cola first entered India. Coca cola started its world wide expansion during the 1920’s. At that time, it was bottled in twenty seven countries and sold in fifty one countries around the world. Until 1977 , it was the leading soft drink in India. In 1977, it was ordered by the Indian government to reveal its ingredients. The company did not agree and left India. Then it returned to India in 1993. During that time, the domestic cola producers and Pepsi were dominating India’s soft drink market.
According to the article published in Wikipedia , from the 1920s, many cases regarding health problems were filed against Coca cola. Many objected that it contained harmful acids and high fructose corn syrup.
The birth place of Pepsi was also in America, North Carolina. Invented by a pharmacist named Caleb Bradham, like Coca cola, it was also sold as a medicine for stomach pain. Caleb made lots of money by selling his soft drink. It became very popular in USA. Pepsi is first in many aspects in the cola industry. It was the first soft drink company to use motor vehicles in 1909. In 1940, it used jingle “Nickel Nickel” which was broadcast nationwide by radio. For the first time, jingle was used in advertising. Pepsi is also the first company to introduce two liter and small plastic recyclable bottles. This was a big leap for the company. Pepsi started to expand its business from 1965.At present, Pepsi sales over 200 countries and last year it made a profit of $ 32.56 billion. The rivalry between the two soft drink giants began in the 1980’s.
Now, Pepsi and Coca cola together controls 95% of the Indian soft drink market.Both of these companies are alleged by the Indian Centre for Science and Environment of containing harmful pesticides in their products. This very event has once brought unity between these two rivals. The allegations brought against them ruined their image. Both of them are now trying hard to regain it.
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Posted by: ADNAN | September 17, 2006 11:09 AM | Permalink to Comment