C.Competitive Environment Analysis Coca-Cola and Pepsi are the two major industry players in the soft drink industry, they account for a total of more than 60 percent and more than 70 percent of the U.S. and world markets, respectively. (Refer to Table 1 below) Table 1 World Soft Drink Market Shares (%) Company199519941993 Coca-Cola Co.47.245.644.8 PepsiCo Inc.22.121.821.7 Cadbury Schweppes7.98.07.8 Other 22.824.633.5 Source: Beverage Marketing Corporation, c.f. Beverage World 3/15/97, p. 65. Coca-Cola has long been a part of American culture …showed first 75 words of 1145 total…

…showed last 75 words of 1145 total…unquestionably would turn this into an opportunity to extend its product lines. Both companies would instantly diversify into this segment of the soft drink industry by developing their own non-cola and alternative beverages. Having vast resources--R&D skills, manufacturing efficiencies, financial strength, marketing and distribution networks, at their realm; it is expected that both companies would be potential competitors, and given the right machineries, could even become leaders of the non-cola market as well.