Get Full Essay Get access to this section to get all help you need with your essay and educational issues. Get Access Competition Energy Drinks Essay Sample The beverage industry, like most food service industries in these economic times, faces many challenges. Not one company is excluded from the challenges of economic conditions, demographics, social and global forces, and regulatory, political, and legal factors.
Competition in energy Drinks case Analysis Competition in energy Drinks case Analysis Introduction Alternative beverages were the prime products in the ear of They consisted of sports drinks, energy drinks and vitamin-enhanced beverages. The rapid growth in this industry and high profit margin that the companies were gaining from the sale of these beverages marked its importance for the big players in the beverage industry Gamble, The major big players globally in the beverage industry are Coca-Cola and PepsiCo, decided to extend their market share like other big companies in the sector of energy drinks, vitamin-drinks and sports drinks.
The entrepreneurs such as the maker of Monster Energy Hansen Natural CorporationRed Bull GmbH, Glaceau vitaminwater originator and Living Essentials gain massive profits through the sale and development of these alternative beverages.
Decision Maker s The key decision makers in this case study are distributors, suppliers and the major brands of alternative beverages in the market.
The consumers can find the alternative beverages in the supercenters, superstores, wholesale stores and convenience stores. The small sellers focused on using the distribution channels and the third part to sell their products while the beverage giants Pepsi and Coca cola relied on its product line.
The suppliers are related to the producers of the nutritive and non-nutritive ingredients. The packaging, cans and bottle suppliers are also listed among the suppliers. The manufacturers of the alternative beverages are also the main decision makers as they are the producers of the energy drinks.
Problem Statement There are various problems mentioned in the case study, such as the evaluation of strategically relevant components of the global and U.
The competition in the alternative beverage industry is very high among the big players as well as the small producers, each wanting to get the maximum share.
The market for these alternative beverages is very dynamic and the manufacturers have to adopt effective strategies to keep their market share as the consumers are shifting from carbonized drinks to alternative beverages. The success factors of alternate beverages depend on many factors which are vital to be evaluated.
In the process of market expansion by these beverage industry giants, they were highly criticized about the risk hazards these energy drinks can cause to the customers. Identify Alternatives Coca Cola and Pepsi Co adopted the strategy to rely on these energy beverages to increase volume growth as people were reducing their consumption of carbonated soft drinks.
These beverage industry giants wanted to capture the alternative beverages by introducing sports drinks, energy drinks and vitamin drinks in order to capture the international market. They have made an attempt of extending the existing line of products and producing new products in order to attract more and more customers and gaining market share.
The core focus of these manufacturers was to increase the production of the spots drinks, energy drinks and vitamin enhanced beverages. The alternative beverages production became the prominent part of beverage companies. There should be proper marketing campaign designed to build the image of Coca-Cola products in theAcquire Monster Energy Drink / Rockstar to limit competition.
Introduce new drinks with health benefits or new flavors to differentiate products from competitors OPPORTUNITIES Ranked world’s no. 1 seller of energy drinks, second-largest alternative beverages seller in .
HOME Essays Research Competition in Energy Drinks, Sports Drinks, and Vitamin-Enhanced Beverages A strategic group map is a strategic management tool, which indicates the competitive positions of competing firms in a given industry.
Competition Energy Drinks Essay Sample The beverage industry, like most food service industries in these economic times, faces many challenges. Not one company is excluded from the challenges of economic conditions, demographics, social and global forces, and regulatory, political, and legal factors.
Energy drinks face stiff competition from aerated beverages, malted health drinks, and packaged & cold pressed fruit juices.
These substitutes are low in cost as compared to some of the energy products. With energy drinks no longer being the preserve of athletes and sportspersons, the coming years will bring new consumers into the folds of the global energy drinks market. This factor will play a key role in enabling the global energy drinks market rise at a double Location: State Tower, 90 State Street, Suite , Albany, Competition in Energy Drinks Case Within the beverage industry companies like Pepsi and Coca Cola were using alternative beverages as a way to counter the effects of the decline of consumption of carbonated beverages.
This in turn will help them sustain volume.