Effect of Competitive Strategies on Organizational Performance: ''A Comparison of Coke & pepsi''.

Abstract

Pepsi initiated its business in 1898 when a little drug store (New Bern) of North Carolina commenced a product named “Pepsi Cola”. Later on, the drug was registered with the trademark of Pepsi Cola. Braham the owner of drug store, opened his own company, and in this way made to substantial setting up to 1909, more than 250 bottlers on 24 states of USA received the license of selling Pepsi Cola. In inspection, Pepsi was made available in 6.5 ounces size of bottle while in 1931 another size of 12 ounces was introduced. In 1950, the formula of Pepsi was changed by decreasing the sweet ingredients and used more strong particles. Together with this, they launched an impressive advertisement and publicity under the hardworking administration of marketing Department, which resulted in substantial increase in sale.

In 1958, the prevailing Pepsi Cola from several years were changed and old shaped bottle was replaced with new, attractive and impressive bottle. Today, Pepsi Cola is available in more than 153 countries of the world for more than one billion souls, including Russia and China

Pepsi-Cola came to Pakistan in early 197Os. Now there are ten different plants of Pepsi in Pakistan; in Cities such as Islamabad, Peshawar, Gujranwala, Lahore, Faisalabad, Multan, Sukkur, Hyderabad, Karachi and Quetta. The head office of Pepsi-Cola is situated in Lahore.

Coca Cola Global Company that produces no. 1 soft drink of the world Coca-Cola company is in the business of providing refreshment by manufacturing of soft drink beverage soft drink, concentrates & syrups, wine and frozen juices. This history starts back in 1886 with meager beginnings in Atlanta; Coca-Cola was incorporated in 1916.

Entrepreneur Atlanta had owned 100% of the business of Coca Cola by 1891. Within 24 years, they had spread their business of Coca Cola to every state of US. But in 1919, the company was acquired by some investors for almost $25 M. In 1923, Robert Woodruf was made the president of the Coca Cola Company and invested 6 decades of his life to the company which took the company to great success, making coca Cola the #1 soft drink company in the entire world.

Coke was basically a single product company until 1960 when the “Minute Maid frozen Juice Company” was acquired. In the 1960s, Coca Cola was diversified into food and drinks by acquiring the “Ducan food co” in 1964 and many others. Diversification into products complementary to the industry was stared in 1970 with the acquisition of Aqua-Chem. The acquisition of Taylor Wine was followed by the previous ones in 1977. The corporate strategy centers on consumer products and services rather than industrial markets.

Coca-Cola was first introduced to Pakistan in 1964. Coke products are produced in in Pakistan through ten Companies. Eight of these companies are owned by Coke itself. The different plants of Coke Copmpany are located in Karachi, Sialkot, Rahimyar Khan, Hyderabad, Gujranwala, Faisalabad, Multan, Lahore, Peshawar and Rawalpindi.

Like all over the world, also in Pakistan, coke Company and its producers operate as locals that are totally managed by nationals of each country. The company has invested almost $130 million in Pakistan over the last two years. The local employees of Coke in Pakistan are almost 2000 persons and the company indirectly supports many thousands more jobs in related industries. The Products of Coke in Pakistan include Coca-Cola, Fanta and Sprite.