Inc., Coca-Cola Company, XXX Background

M. Black, Harry Dollahan, Zavier Smedley

Military College



Inc., XXX, XXX Background

1961 Frito Company and H.W. Lay merged companies to for the largest manufacture
in the snack food industry, Frito-Lay. Frito-Lay continued it growth in 1965 by
merging with PepsiCo. Inc., and entering the International market (Jayathilakan,
2014). Forbes Media LLC, ranked Frito-Lay as the 40th most valuable
brand in the world. Frito-Lay has a $13.6 billion brand value, employs 55,000
employees and in 2016 has a reported revenue of more than $15 billion (Badenhausen,
K., 2017).

            With a target market across all demographics including
kids, women and men age 26-65 of all income classes, rural and urban,
Frito-Lay’s product line is vas (“Frito-Lay Consumer Insights and
Demographics”, 2016). Frito-Lay, Inc., manufactures, markets, and sells snack
foods like Cheetos cheese-flavored snacks, Lay’s potato chips, and Tostitos
tortilla has many competitors. Campbell Soup Company, Conagra Brand, Inc.,
Diamond Foods, Inc., Wise Food, Inc. and General Mills, Inc., are just a few of
the snack food giants competitors (“Frito-Lay North America, Inc. Company
Profile”, 2016). Frito-Lay has been able to gain  strategic advantage over it competitors in
many ways one is with the use of direct store delivery systems, which ensures
product will be fresh for all customers. Operating more than thirty
manufacturing facilities and over two hundred distribution centers in the
United States and Canada, Frito-Lay is globally the largest distributed snack
food company in the world (Nooyi, K., 2016)

            In 1886, Dr. John Pemberton created the drink formally
known as Coca-Cola in Atlanta Georgia. In 1888, Asa G. Candler, a local
businessman began to distribute the soft drink beyond the Atlanta area
(Coca-Cola History). The Coca-Cola Company was formed in 1919 and quickly
became one of the most widely recognized brands in the world (Coca-Cola Co (KO) Company Profile).
As of 2017, The Coca-Cola Company was the 5th most valuable company
in the world with a value of $56.4 billion and $41.8 billion in sales for the
year, beating all but technology companies on the list (Coca-Cola on the Forbes Just Companies List).  

            Coca-Cola products appeal nearly every demographic on the
planet. With a total of twenty-one, billion-dollar brands operating in 200
countries the Coca Cola Company sells more than 1.9 billion drinks per year (The Coca-Cola Company/Company Profile).
As the largest non-alcoholic beverage distributer, the company operates out of
over 900 facilities worldwide. The company’s main business rival is PepsiCo. To
maintain direct competition, Coca-Cola has acquired or created numerous products.
Minute Maid was bought in 1960 and currently enjoys sales figures of between 4
and 8 billion dollars in sales. In 1988, Powerade, which currently controls 20
percent of the sports drink market share was created to compete against
Gatorade. Dasani was created to compete with PepsiCo’s Aquafina brand water in
1999 (Coca-Cola’s 20
Billion Dollar Brands & Future Growth, 2017). While sales in its most
popular soft drinks have fallen over the years, Coca-Cola continues to expand
its reach.















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