Competitive Analysis Of Pepsi

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The Beverage Industry is a very mature industry and includes companies that market nonalcoholic beverages and alcoholic items. There is room for growth opportunities but there are very few compared to existing businesses in the sector. Since the growth mainly comes from those already in this industry, many of the companies seek to diversify their offerings to continue to compete. One of the main ways to diversify their offerings is too seek out arrangements or acquisitions that expand their geographic reach, acquire new products, and expand their operations. Both sides of the market nonalcoholic and alcoholic have very sizeable companies that control large parts of the market. These companies are usually more stable and have little to no chance …show more content…

Originally incorporated in 1919, PepsiCo is a leader in the global snack and the beverage industry. The company manufactures and sells a variety of snacks, carbonated and non-carbonated beverages, and foods. Pepsi does have a slight advantage in the fact that they have branched out to snacks. Products include: Pepsi, Mountain Dew, Gatorade, 7UP (outside the U.S.), Tropicana Pure Premium, Sierra Mist, SoBe Lifewater, Tropicana juice drinks, Amp Energy, Naked juice and Izze, and Fritos brand corn chips, Lay 's and Ruffles potato chips, Doritos and Tostitos tortilla chips, Cheetos cheese-flavored snacks, SunChips multigrain snacks, and Quaker Chewy granola bars. Pepsi’s largest competitor would be …show more content…

During the past two years Pepsi has outperformed its competitors by the introduction and innovation of non-carbonated drinks. They have had large gains in market capitalization due in part because of the non-carbonated drinks and continue to outpace its competitors. The stock continued to increase throughout this time period. This stock would be considered a stable stock. Also, during the same time period of two years, Coca-Cola continued to show growth in the same area of non-carbonated drinks and held a firm hold on the carbonated drinks section. The stock continued its increase from year to year.
In conclusion, based on product offerings, acquisitions, and the ability to branch out in other sectors to find growth the clear winner would be Pepsi. As much as I might want to admit it they have clear control of their company and the product lines they offer. Pepsi will continue to grow and find new ways to expand their business. Coke on the other hand does have a strong hold on the carbonated drinks section of the industry and continues to perform above the market. However, without new growth in new subsections of this industry Coca-Cola will slowly lose ground. The market is trending towards more healthy products and fresh refreshment offerings. In order for these giants to continue to control their perspective markets they will need to expand their offerings

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