HBR New Coke
MKTG461 Moon
HBR Case “Introducing New Coke”
Executive Summary (1pg):
Situation Analysis (2pg): It seems that the most important events throughout Coca-Cola’s history have happened at the end of the United States’ involvement in war-times. From the original invention right after the civil war, to share prices falling after World War I leading to a mass re-structuration internally, to the company’s involvement with World War II soldiers, Coke has continually evolved to stay on top. The company has engrained itself into American culture, most notably by commissioning Norman Rockwell and Haddon Sundblom, to bring its image to life through comforting scenes and through the infamous Santa Claus image. In amazing foresight, Robert Woodruff began selling Coca-Cola in gas stations across the US, and then expanded internationally and began to profit within three years. “Woodruff was adamant that the Coke sold overseas should be identical in taste to the Coke sold in the US, despite advisors who recommended adapting the taste to local palettes.”. After more successful placements of Coke in pop-culture such as movies plugs, baseball games, and celebrity endorsement, Woodruff had the opportunity to “buy flailing Pepsi-Cola for a nominal fee. Woodruff declined believing that it would be unwise to market a drink that would compete directly with Coke.” . After WWII, Coke continued to substantially outsell Pepsi as it was now the patriotic drink of America. In its success, Woodruff bought Minute Maid, Duncan foods, and created Sprite, Diet Coke, and Fresca. However, this expansion caused executives to bicker and turn away from marketing to fight monopoly charges and raising syrup prices. Due to legal battles for much of the 1970’s, Pepsi was able to “catch up” to Coke and surpass them. While Coke promoted a sense of nationality and nostalgia, Pepsi began to target the consumer as an individual. Then Pepsi introduced the “Pepsi Challenge.” Not only did Pepsi brand
HBR Case “Introducing New Coke”
Executive Summary (1pg):
Situation Analysis (2pg): It seems that the most important events throughout Coca-Cola’s history have happened at the end of the United States’ involvement in war-times. From the original invention right after the civil war, to share prices falling after World War I leading to a mass re-structuration internally, to the company’s involvement with World War II soldiers, Coke has continually evolved to stay on top. The company has engrained itself into American culture, most notably by commissioning Norman Rockwell and Haddon Sundblom, to bring its image to life through comforting scenes and through the infamous Santa Claus image. In amazing foresight, Robert Woodruff began selling Coca-Cola in gas stations across the US, and then expanded internationally and began to profit within three years. “Woodruff was adamant that the Coke sold overseas should be identical in taste to the Coke sold in the US, despite advisors who recommended adapting the taste to local palettes.”. After more successful placements of Coke in pop-culture such as movies plugs, baseball games, and celebrity endorsement, Woodruff had the opportunity to “buy flailing Pepsi-Cola for a nominal fee. Woodruff declined believing that it would be unwise to market a drink that would compete directly with Coke.” . After WWII, Coke continued to substantially outsell Pepsi as it was now the patriotic drink of America. In its success, Woodruff bought Minute Maid, Duncan foods, and created Sprite, Diet Coke, and Fresca. However, this expansion caused executives to bicker and turn away from marketing to fight monopoly charges and raising syrup prices. Due to legal battles for much of the 1970’s, Pepsi was able to “catch up” to Coke and surpass them. While Coke promoted a sense of nationality and nostalgia, Pepsi began to target the consumer as an individual. Then Pepsi introduced the “Pepsi Challenge.” Not only did Pepsi brand