Pepsi Really Means Cola In India

Companies Asia Pepsi Products In India Really Means Cola Kareena
Companies Asia Pepsi Products In India Really Means Cola The word Pepsi actually means cola, and any other bottled carbonated drinks including its rival brand Coca cola in India. This built-in linguistic advantage for PepsiCo naturally translates into higher sales for its cola soft drinks. In terms of total beverage sales, including non-cola drinks, Coke is still number 1 in India, but Pepsi’s cola market share of India’s beverage market is over 4.5% as compared to Coke’s 2.6%.

In 1977, Coke pulled out of the Indian market because it refused to comply with then government regulations which would essentially force it to form a partnership with a local company and to share its secret Coke formula. In 1988, PepsiCo formed a joint venture with 2 Indian companies and in 1990 introduced its signature cola under the Lehar Pepsi brand. Coke re-entered the Indian market in 1993 when government regulations had changed to allow foreign companies to operate without local partners. Coke’s complete absence from India during a time when India began to embrace Western products was a strategic mistake. Pepsi’s crucial timing and its presence in the Indian market without its main competition had basically made Pepsi into a household word… a word synonymous with the carbonated cola drink category. Sales of PepsiCo’s wide range of products in India, including Frito Lay chips, Tropicana juices, Gatorade drinks and Quaker Oats, totaled $1.5 billion in 2009.

India born Indra Nooyi, PepsiCo Inc. (NYSE: PEP) Chairman and CEO, has stated that she will invest aggressively in emerging markets and will continue to pursue strategic costs-cutting opportunities. Her recent completion of the purchase of PepsiCo’s 2 largest bottlers assured investors of her intentions. PepsiCo’s stock is up 12% since September 2009 and its revenues are projected to be $60 billion for 2010.

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