e. a drastic decline in worker productivity. 2. Lyndon Johnson’s insistence on fighting the Vietnam War and finding the Great Society with a tax increase to pay for them led to a. a drastic inflation of prices in the 1970s. b. a decline in the competitive advantage of American business. c. severe cutbacks in the size of the federal government.
What benefits or disadvantages accrued as a result of earlier or later market entry? Timing of entry into the Indian market brought different results for PepsiCo and Coca-Cola India. Coca-Cola India had been present in India earlier (from 1958) but decided to close its business and leave after the Indian Government asked the company divulge their secret formula. Instead, Coca-Cola India preferred to shut down and leave in 1978. On the other hand, PepsiCo entered the Indian market during Coke’s 16 years of exile through joint venture with local bottlers.
The whole luxury goods industry in the U.S. dropped over 14%, and R&R revenues declined 10%. Although R&R suspended new-store opening, and hiring, still the business not good as before. So, now the CEO of R&R, Linda Watkins, not only has to cope with the SPH lawsuit, but also fix the reputation damage during this hard time. Beginning in 1992, Rosse introduced the firm’s “Ownership Culture” program- a set of initiatives and policies to creat a more entrepreneurial and accountable environment. Among other things, R&R changed the hiring profile for its sales associates, shifting away from experienced sales prosessionalsto recruiting college graduates.
The companies’ new consumers had no other options and the prices went sky high. When the consumers said enough is enough the government came in and put an end to monopolization. The first thing the government did was put an end to various trusts and enforced what is known as “antitrust” laws. The antitrust law was set up to protect consumers from trust companies, and allow other companies to come into the market and offer selections of supplies. Without antitrust laws, business and consumers would not have protection from big companies controlling the industry.
But the goods would not be shipped. Instead, the secret ba dan invoices, which B&L headquarters never saw, would instruct staffers to send the goods to an outside warehouse in Hong Kong. Later, some B&L's sales managers would try to persuade distributors to buy the excess. And some of the glasses, sources suspect, may also have been funneled into the gray market; buyers could profit by shipping them to Europe or the Mideast, where wholesale prices were higher. But by mid-1994, Hong Kong was having trouble keeping up its juggling act.
The failure of many marketing campaigns can be attributed to over looking this key element. The Coca-Cola Company forgot the governing rule of marketing when developing New Coke 20 years ago. Did current consumers of Coca-Cola want or need a NEW coke? Based on national reaction the answer would be no. If the client’s needs would have been foremost the current customer base may have been polled to determine to the reaction to a NEW coke?
John majors government came into office after the downfall of Margret Thatcher, which ultimately created divisions within the party. Not only did the party suffer from the internal conflict but also faced the problems of the recession after the ‘Lawson boom’. In order to stabilise the economy he joined the ERM getting a good deal but ultimately resulting in ‘black Wednesday’ causing Major to raise interest rates to 15%. This was political suicide and he soon lost the support of the press we had once relied so much on to get re-elected in 1992. The housing market also plummeted leading to negative equity, which the majority of the working class could not afford resulting in the repossession of their houses combined with the drastic increase in unemployment Britain was in a mess.
1. What are the key problems that Gupta should focus on in the short term and in the long term? The key short term problem that Gupta should focus in on is making sure this most recent incident of contamination is contained to just the region of India. The last thing that Gupta and Coca-Cola need is for the media and consumers in other global regions hearing about this case and assuming that their Coca-Cola products are contaminated as well. The key long term problems are regaining the market share and stock price that plummeted after the Center for Science and Environment released their findings.
While PepsiCo have diversified into healthier products and snack food business, Coca Cola have fell in marketing investments (advertising and marketing research) to maintain short term profit. As PepsiCo initiated the acquisition of Tropicana for $3.3Billion in 1998 (New York Times,1998)3, it have set itself up as the largest producer of branded juices for the health conscious in the USA. Subsequent acquisitions of Quaker Oats, Gatorade, Lay’s and Aquafina have also contributed positioned PepsiCo as the world’s 4th largest Food & Beverage (F&B) company with sales of US$22,000Million. The reluctance to diversify was evident when Coca-Cola decided against acquiring South Beach Beverage Company after negotiating for two years while Pepsi made an offer and in weeks acquired the SoBe brand New Age juice company, which gave Pepsi access to a market completely bypassed by soda
| Total stockholders’ (shareholders’) equity | 17325 | 21,744 | Not many corporations can boast of a 100 Year rivalry. The beverages industry witnessed such intense competition between Coca-Cola and Pepsi-Co That one can say that the competition between the corporations was, and still is so intense it could be likened to sibling rivalry, albeit a very serious one since finances are involved. The product offerings of both companies are so similar, that if one were to remove the brand names from their respective products, an individual would not be able to distinguish one from the other. The companies not only compete in soft drinks, but also have branched out to other beverages including coffee, juice drinks and even water. If Pepsi were to offer a new product it wouldn't be surprising to see Coca-Cola follow suit.