1 / 6

Cola Wars Continue: Coke and Pepsi in 2006 MGMT 495 Summer 2011

Cola Wars Continue: Coke and Pepsi in 2006 MGMT 495 Summer 2011. Financial Analysis:. Coca cola . Pepsi. Forward P/E Ratio (by 12/25/12) 14.18 EBITDA 10.68. Forward P/E Ratio (by 12/31/12) 15.43 EBITDA 15.04.

aleta
Download Presentation

Cola Wars Continue: Coke and Pepsi in 2006 MGMT 495 Summer 2011

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Cola Wars Continue: Coke and Pepsi in 2006 MGMT 495 Summer 2011

  2. Financial Analysis: Coca cola Pepsi Forward P/E Ratio (by 12/25/12) 14.18 EBITDA 10.68 • Forward P/E Ratio (by 12/31/12) • 15.43 • EBITDA • 15.04 • Coca Cola has a higher earnings before interest, taxes, depreciation and amortization , which means it has a greater ability to service its debt. • Coca Cola has a higher Forward Price-Earnings Ratio, which means it is expected to yield higher earnings growth in the future.

  3. Financial Analysis Continued: • U.S. Non-Alcoholic Beverage Domestic Competition Market Share http://www.wikinvest.com/stock/Coca-Cola_Company_%28KO%29

  4. External Analysis: • Rivals: Pepsi, Coca-Cola, Cadbury Schweppes • Suppliers: Bottling Companies • Contracts terms limited to non-competing other brands. • 100 plants to keep up with distribution. • Heavily relied on for profits. • Did a lot of the marketing and distribution.

  5. External Analysis Continued: • Customers: Supermarkets, fountain outlets, convenience stores, gas stations, fast food chains, etc. • Fast food chains were bought to create more competition. • Complements: Diet drinks • Mergers: Pepsi with Frito Lay = PepsiCo • Acquisitions: Coke bought MinuteMaid, Duncan Foods, and Belmont Spring Water

  6. External Analysis Continued: • Substitutes: Beer, water, milk, coffee, wine, sports drinks, etc. • Both acquired other companies to compete, • Pepsi beat out Coke with the acquisition of Quaker Oats • Change in the Market: • International movement • Obesity • Federal Guidelines said CSD products were fattening • Investments in water and diet products increased.

More Related