The Cola Wars.
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Essay: The Cola Wars 1. Compare the economics of the concentrate business to the bottling business: why is the profitability so different? 2. Can Coke and Pepsi sustain their profits into the future in the wake of flattening demand and the growing popularity of non-carbonated drinks? By Ruairi Brown For Dr Joe McDonagh Submitted on 23/2/04 The Cola Wars have been raging since the late 19th Century, each pharmacist or corner store having their own special formula designed to quench, heal or cool customers, so popular were these drinks the demand to consume them in the home soon arose, and thus the need for bottlers arose. Now there are two main rivals left standing, Pepsi and Coca-Cola, who produce 76% of all Carbonated Soft Drinks (CSD's). They have very similar operating procedures and very similar products. They are both concentrate producers, who franchise off their bottling operations, and both spend hundreds of millions on advertising. The bottlers on...

