Cola Wars

t;May I please have a coke", they could be referring to any cola product. Taste is also very important to the soft-drink industry, obviously the product that is sold must taste good in order for people to desire the product. If Coca-Cola did not taste good they might still have brand recognition but it would not be positive recognition and the reverse effect might occur, profits may fall. So in order for cola companies to be successful, it is important that they must have a product that tastes good and they must develop positive brand recognition. Blind taste tests have shown that while taste is important it is not the most dominating factor when it comes to sales and overall profitability. In fact while Coca-Cola has consistently been the most recognizable and most frequently purchased soft-drink in the world, tastes tests have consistently shown that Pepsi is the better tasting of the two soft drinks.
             To be able to establish brand recognition, soft-drink companies need to advertise constantly, hence the commercials we see on television everyday. They have to be able to keep their current customers so that they do not lose market share. To expand existing markets, companies come up with product innovations, by adding different flavors to cola and changing its name.
             It is evident from the article, "Internationalizing the Cola Wars," that the key for increased profits is to develop a product that tastes good, establish brand recognition through advertising, have good and reliable distributors, and be able to offer new products through product innovation.
             When we look at the break down of the distributors, we can conclude that the percentages will probably stay the same but the number of these distributors will go up with time. If we look at Wal-Mart, they are the #1 retailer store in the United States with no question. Coca-Cola and Pepsi have their own shelf space just for their products. Also if we look a...

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Cola Wars. (2000, January 01). In MegaEssays.com. Retrieved 09:45, October 19, 2026, from https://www.megaessays.com/viewpaper/7099.html