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1. Company Overview
For this analysis I will be comparing the financial statement of that of the
following companies, The Coca-Cola Company, Keurig Dr Pepper Inc and PepsiCo Inc.
These companies will be compared in relation to their financial status and other areas
liked their accounting comparisons. Finally, informed recommendations will be given on
which areas that the companies can improve upon. However, to begin with we shall take
a look at each company in terms of when it was established and line of production.
Fist is the Coca-Cola Company, which is located in downtown Atlanta, Georgia
and has been there since 1979.. The company is also known as Coke and its New York
Stock Exchange identification ID is (KO). This brand is world- wide severing over 200
countries and has recently obtained its rights to serve and distribute in North Korea and
Cuba.
Coca- Cola, is the manufacturer of several products that are within the industry of
beverages such as Powerade, Minute maid, Dasani, Honest tea just to name a few and it
is one of Americas companies that would specialize in such production of nonalcoholic
drinks and syrups. Coca Cola serving are 1.9 billion servings and in more than 200
countries, (Coca Cola Journey 2016). This corporation engages in manufacturing as well
as retailing and marketing its products. Coca Cola faces many competitors who have tried
to defeat them and their brand name. These companies are Pepsi Co., Monsters Beverage,
Dr. Pepper Snapple Kuerig, as well as many other International companies The
company’s major competitor is PepsiCo, which has gained popularity in America.
Despite of neck breaking competition from its competitors Coke who has managed to
dominated the market for years due in part to its unique products and good marketing
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strategy. Coca Cola has managed to up its game by creating new innovated soda and
drink dispensaries at the newly remodeled Wendy’s in many locations. Here the
consumers are able mix their favorite drink much differently than in the past and
consumers seem to be enjoying it. So, to prove its dominance in three successive years,
2016, 2017 and 2018, Coca-Cola ‘s market capped at $202.1 billon at the end of
December 31, 2018.. This implies that the company’s competitors were left to scramble
for 31% sales.
The other major producer of beverages is that of the no other PepsiCo, which is
also known as Pepsi. Who has revenue of over $64.53 billion collected in 2018. The
headquarters for Pepsi is in Purchase, New The Company began its business in 1965 as a
merger of Pepsi-Cola and Frito-Lay under its founder Caleb Bradham. Since then the
PepsiCo has been managed to make steps into the industry with making their biggest
moves with Tropicana Products in 1998 and Quaker Oats in 2001. Besides selling and
producing beverages, PepsiCo also has had developed such great interest in the
manufacturing of snack that are made with whole grains. Since its great diversification in
the line of products the deal in, PepsiCo has been able to dilute the competition threats
that have been received from its competitors. Currently, PepsiCo is a brand that is trusted
and with it being able to sell its products in over 200 countries worldwide. Their greatest
competitor is Coca-Cola, and with it came the war of the Cola . This war between the
cola’s has become breath taking competition between Coke and Pepsi in terms of
advertisements and marketing campaigns. The war is highly experienced and excepted in
United States more than in other countries were the rivals take on each other on sport
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sponsoring and logo differentiation. In order for Pepsi to leverage itself against the war,
the company would have to adopt a more diversified strategy.
Now the Keurig, Dr Pepper merger is one of leading producers of flavored
beverages within America and the Caribbean. Their headquarters is in Plano, Texas. The
founder and the current Chief Executive Officer of the corporation is Robert Gamgort.
They operate and manage 22 manufactures and have 100 warehouses, selling hot and
cold beverage. The Keurig merger with Dr. Pepper Snapple Group, came in July of 2018
and the name changed to Keurig Dr. Pepper, which made them the third largest beverage
company in the United States. Keurig spent 18.9 billion dollars on this merger.. The
