t the fast food industry, it is getting larger everyday, that means more drinks to sell. This case is the same for rest of the distributors in the United States.
If we analyze the financial data for Pepsi and Coca-Cola, we see that there is a trend in increasing profits. Each year, they make more profits.
The only challenge in the United States market is the private label competition. The Cott Corporation of Canada started developing concentrate syrup in cooperation with RC Cola and contracting independent bottlers to package and supply its products. It became the supplier for quality private-label and discounted sodas. Wal-mart contracted its private-label and discounted sodas from Cott because Cott offers a choice to the shopper: good quality soda at a fraction of the price of Coca-Cola or Pepsi.
After Cott's entrance to the market, in 1994, the Pepsi Company announced decreased profits due to Cott. Also Cott's strength in Canada caused Coca-Cola's Canadian bottling group to lose $200 million in 1992 and 1993.
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