Because the Market Model uses a proprietary statistical algorithm to impute customer distribution data, the data collection problem becomes much easier and cost effective. And they can be used to simulate very specific market phenomenon.
Pepsi and Coke have historically dominated the carbonated soft drink CSD market while competing fiercely with each other for market share in the U.
Quite simply, EVA is the after-tax cash flow a firm derives from its invested capital less the cost of that capital. Geographic Distribution To test whether adjusting their product distribution strategy would be successful, Pepsi could make this adjustment to the Market Map: Which is Better to Have in the Pantry?
Pepsi Would you believe that this red cursive script was the original logo of Pepsi used in the late s? The next step is to take fast action to develop a product that meets the requirements for that particular region. Target Marketing To test whether targeting a particular market demographic would be a successful strategy, Pepsi could make this adjustment to the Market Map: Pepsi and Coke focused on producing concentrate, or flavor base, for the beverages while leaving the bottling to franchisees which are present nationwide.
Beyond the numbers, Coke has used its social media channels to spread cheer, posting a holiday video featuring a practical joke and giveaways just two days before Christmas.
Once the base model has been constructed and tuned the user can think about how they might change the conditions in the market.
Coke commands more of the soft drink market than Pepsi, making Coke the winner. Which Excels in Sales and Market Share? They were also the first to start marketing outside of the United States. Adding an Additional Benefit To test whether adding the additional benefit of a larger bottle would be a successful strategy, Pepsi could make this adjustment to the Market Map: The soft drink giant has been and continues to be the sponsor of the Super Bowl Halftime Show, which is seen by more than million people every year.
Which brand do you reach for? If consumers cannot tell the difference in taste between the two in a blind taste test, then the only differentiating qualities are the product brands. The campaign was a huge success at the time and allowed Pepsi to double their profits.
Pepsi offers more flavor options to thirsty customers, so Pepsi wins in this category. So step aside, superstars; Coke personalizes its bottles to the average man or woman — at least, if you have a common name.
Changes in non-alcoholic business era: If the dollar amount is positive, the company has earned more net operating profit after taxes than the cost of the assets used to generate that profit, in other words, the company has created wealth.
The new data can then be integrated into the Market Map.
Pepsi Pepsi accounts for about 30 percent of the soft drink market, so it does not command the market share that Coke does. Changes in laws and regulations: Our website offers product reviews to help you narrow down the choices.
Yoffie, Sharon Foley Publisher: Coke represents about 42 percent of the soft drink market. This blind Coke vs. Increasingly Complex Environment Market Models can evolve to be increasingly complex.
While Coke currently has a larger following, Pepsi seems to have a better understanding of engagement on social media. If we also have data for another point, say at a time that Pepsi was offering a substantial discount on their product or from another geography, then we would have more than enough data to completely tune a model as simple as the one we are starting with.This case solution has a length of 4, words.
The case study describes the competition between Pepsi and Coke, which started as a classic battle and ended as a worldwide competitive warfare at the turn of the century. Coca-Cola vs. Pepsi-Cola (A) Case Solution,Coca-Cola vs.
Pepsi-Cola (A) Case Analysis, Coca-Cola vs.
Pepsi-Cola (A) Case Study Solution, Focused on competitive interaction between Coca-Cola and Pepsi-Cola in particular, and the effect has to dominate the other industry players.
Coke vs Pepsi Cola Wars Case Study Solution. This Market Model Coke vs Pepsi case study solution follows the more than year “Cola War” between Coke and Pepsi.
When first starting to use the Market Model for market simulation, it is easier to think about this famous competitive battle when there were only two competitive products (the oz Coke in their famous bottle, versus Pepsi.
Pepsi: No Matter Your Favorite, Browse Beverage Universe Do you agree with our Coca Cola vs. Pepsi case study? At the end of the day, market share and celebrity endorsements will not tell you which drink is your favorite.
Coca Cola vs Pepsi | Logo Design Case Study. In our last logo design case study post we looked at The UN Logo and shared some thoughts and ideas about it. Today’s case study has less political undercurrent but occupies an equally massive market space, the fizzy drinks market.Download