Competitive Disadvantages Of Coca-Cola

929 Words4 Pages
For the Coca-Cola, recognized its brand to be the best global brand around the world. Nevertheless, PepsiCo still working hard and catching up right behind the Coca-Cola, become the biggest rival for Coca-Cola in non-alcoholic drink industry. So what are the competitive advantages these both companies do have, let us discuss.
4.1 Distribution Method
Coca-Cola conquer the market by having a very extensive distribution through partnership with bottling partner. Hindustan Coca-Cola Beverages Pvt. Ltd, is the largest bottling partner of the Coca-Cola Company in India, by owning 24 bottling plants at strategic location in various states widely covered across India, has an extensive distribution system spanning more than a million outlets. You could simply find Coke from anywhere, examples likes vending machines, airlines, kiosk, convenient stores, supermarket, restaurants, cafes, hotels and night clubs which made the Coca-Cola grab the largest market share in the beverage industry. Besides, Coca-Cola beverages also distributed by wholesalers and distributors to reach those niche market. Coca-Cola wins big contract with global QSR players likes McDonald’s, Subway and Burger King. Figure 1 Coca-Cola System
PepsiCo’s products reach the market through direct store delivery (DSD), customer warehouse, and third-party distributor networks. Under DSD system, PepsiCo delivers their company’s products directly to retail stores. Thus, customer warehouse system is known as a less expensive