Pepsico vs Coca Cola

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Coca-Cola VS PepsiCo
Carmine Strayer
Strayer University
Intermediate Accounting III
ACC305012VA016-1136-001
Professor Bob A. Wright
August 25, 2013 This paper will discuss the financial health and similarities and differences between the two major producers of soft drinks in the United States as of 2013.
In order to understand the financial health of the two companies we must first understand the markets, history and products produced by both companies.
Both companies were founded in the late l800’s by pharmacists working on their own. Coca-Cola was the first of the companies and its main product Coca-Cola, was invented and introduced to the public in 1886. The beverage was named after two of its major ingredients, Cocaine and the Kola nut. (Bellis, 2013, p. 2)
Its first year sales as a fountain drink at Dr. Pemberton’s pharmacy are believed to have amounted to about $50, with a production cost of around $70. (Bellis, 2013, p. 2) Coca-Colas, 2009 Operating Revenues amounted to $30,990 billion with about 74% of that revenue coming from its international operations. (Kieso, Weygandt, & Warfield, 2012, Comparative Analysis Case; Coca-Cola Vs. PepsiCo p. 148) Its core product was and continues to be the carbonated beverage Coca-Cola even though it has acquired a few other beverages companies along the way. Those companies include Sprite, PowerAde and the Minute Maid Juice Company.
Pepsi-Cola, the original product of what is now known as one of the major products of PepsiCo was invented in 1893 and it was originally marketed as “Brads Drink” with a somewhat optimistic marketing theme of being an elixir for the cure of Dyspepsia. Its main ingredients were Pepsin and Kola nut; thus the name change to “Pepsi-Cola” after the company was purchased in 1898 by Caleb Bradham for $100. (Bellis, 2013, p. 1)The PepsiCo brand has expanded and diversified over the…...

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Pepsico vs Coca-Cola

...Coca-Cola Company vs PepsiCo, Inc Professor Archie – ACC 305 Sara Griffith ...

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