Porters 5 Forces The Cola Industry
5 Forces of Competition: The Cola Industry The landscape of the soda industry has always been divided between two top competitors, Coca-Cola and Pepsi. ... But with so much money on the line, it is certain that a fierce rivalry will ensue, and the cola market was no exception. In this case we will analyze the five forces of competition for the industry and see how they affected the outcome of the market. ... Although overshadowed many times by its big brother Coca-Cola, Pepsi in its own right has earned its place among the top in the industry. Its main competition came from Coca-Cola, who was the leading cola company in America. ... Its widen margin of market share was in the 1970’s when Coca-Cola had about 15% of a market share advantage over Pepsi. ... The Pepsi challenge was also instituted in the ‘70s, which conducted blind taste tests to see which cola consumers preferred, Coke or Pepsi. ... Also under Kendall’s leadership, Pepsi overtook Coca-Cola in market share in the food store segment in 1975. Also Pepsi was on board to launch new products before Coca-Cola, as in the instance of Diet Pepsi and Caffeine Free Pepsi, which Pepsi had as much as a six week lead to promote and gobble up market share. ... Although on the outside it seemed like Pepsi and Coca-Cola were the only players, what most people failed to realize was that the distribution and supply channel was where a lot of action took place.