...Introduction Since 1885, Dr. Pepper Snapple Group (DPS) has established a firm reputation for quality. It has strove to become a key competitor in the soft drink industry, and is now one of the largest in the world. This document will serve as a strategic analysis of DPS, and will provide a critical analysis of the company’s strategies, resources, and financial data. In this paper, we will display, DPS’s mission, vision, history, and major competitors. We will explain, in detail, everything that helps contribute to the soft drink giant that we all know today. Background Vision Statement At Dr. Pepper Snapple Group, it is our vision to be the best beverage business in the Americas. Our brands have been synonymous with refreshment, fun and flavor for generations, and our sales are poised to keep growing in the future. Mission Statement Our strategy reflects and builds upon our position as the leading flavored beverage business in the U.S. Accordingly, we focus on: 1. Building and enhancing our leading brands 2. Pursuing profitable channels, packages and categories 3. Leveraging our integrated business models 4. Strengthening our route to market 5. Improving operating efficiency Components 1 2 3 4 5 6 7 8 9 Company NO YES YES YES YES NO YES NO NO Given the mission of Dr. Pepper only has 5/9 of the components; the mission may need some revision. History/Timeline 1885: Charles Alderton, of Waco, Texas invents Dr Pepper. Late 1880s: Morrison, the owner of the...
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...Dr Pepper Snapple Group is the No.1 flavored carbonated soft drink (CSD) company in the Americas and a leading innovator and marketer of functional/non-carbonated beverages. DPS serves consumers throughout North America via a broad and flexible route to market. This includes a combination of direct store delivery and warehouse delivery capabilities supported by our 21 manufacturing centers, more than 115 distribution centers and approximately 19,000 employees across North America, in addition to the operations of hundreds of third-party bottlers and distributors. operations map United States In the U.S., DPS markets, bottles and distributes a broad range of soft drinks, non-carbonated beverages and mixers, from iconic national brands to regional favorites. In addition, we distribute a number of licensed brands in various territories, such as Fiji Water, Sunny Delight and Big Red. Nearly half of DPS' annual volume is distributed through our company-owned bottling and distribution network. The remainder is driven through third-party/licensed bottlers and distributors, including those in both the Coca-Cola and Pepsi bottling systems, as well as independent bottlers, brokers and distributors. Dr Pepper Snapple Group Caribe & Latinoamérica In Mexico and the Caribbean, DPS operates primarily in the carbonated mineral water, flavored CSD, bottled water and vegetable juice categories. In Mexico, where we do business as Grupo Penafiel, our key brands include Peñafiel, Squirt...
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...Problems and Opportunities It is important to understand the primary problem being addressed throughout this case study: Whether or not a profitable market opportunity exists for a new energy beverage brand to be produced, marketed and distributed by the Dr. Pepper Snapple Group. In order to effectively answer the above question, there are a number of secondary questions that need to be answered to get the full picture. They are as follows: Who would the target market be? What would be the full product line and how would it be positioned within the market place? What marketing channels would be used? How would it be advertised and promoted? What would be the RSP and within which margins can it operate to remain profitable? Before answering these questions, it is important to highlight some of the external challenges that would face the company were they to go ahead and introduce a new energy drink. Firstly, there has been significant price erosion within the energy drink market, with energy drink prices declining by 30% between the years 2001 and 2006. This has been attributed to larger package sizes, the introduction of multi-packs, and the increasing availability in supermarkets, which operate with lower retail gross margins. Secondly, the market has also experienced product proliferation due to line extensions, new packaging and sizes, and market segmentation. Thirdly, DPSG needs to be aware of the changing attitudes of the consumer. The consumer is becoming more and...
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...Competition in the Soft Drink Industry: Case Study of Coca-Cola, Pepsi, and Dr. Pepper Krisadee Rungsatcha MBA 500: Essentials of Business Management June 23, 2013 Larry Frazier Abstract The beverage industry nowadays is very competitive. Each brand pushes all strategies to be the number one in the market and try to win more consumers and achieve their goals. The main competitors in these industries are Coca-Cola Company, PepsiCo, Inc., and Dr. Pepper Snapple Group. Coca-Cola is the largest beverage company in this market and provides the most market share that PepsiCo, Inc. PepsiCo is the second leading company, and Dr. Pepper Snapple Group is the third leading company in soft drink beverage industry. This paper presents three main competitors and focuses on competitive strategies, market strategies, and overall strength of the companies. Also, it discusses a recommendation to improve the Coca-Cola Company’s competitive position. Company Summaries Coca-Cola Company. The Coca-Cola Company is the largest beverage company in the world. The Coca-Cola Company is the leader in the market of nonalcoholic beverages and owns market shares than 500 beverage brands, including sparkling drinks, juice drinks, ready to drink, teas, coffees, and energy drinks, such as vitamin water and Powerade. The Coca-Cola Company also owns the leading brands of the diet and light beverage market, such as Diet Coke and the top five soft drinks:...
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...important problems. Thus, it should be solved that may effort to manuscript and consumer such as price, misunderstand, quality and circulation. First of all, we can clearly see that price of goods is significant to choose buying a product because price is different of two products but the body looks like at the same. For example, shampoo brand of head and shoulders and boots look like at the same the body and qualification but price is different of head and shoulders $4.79 and boots $2.2. Thus, some customer might need cheap goods price. Because it may have attribute which some customer accept more than brand. Secondly, misunderstand in products look like at the same which some consumer thinks at the same. For example, sparking water of Dr.pepper and Dr.publix which in supermarket, it will be in the same shelf that some consumer have bought one by mistake. Moreover, factor of quality is essential consumer. Take quality as the example, flavor of sparking water which it can’t make at the same. They may like it or don’t like it which it is effecting to circulation. At last, circulation of products is important which it is effect to original product because copycat product will be market share. Thus, if marketplaces have a lot of copycat products, it will decrease circulation of original product. Because some people accept copycat product such as price, quality and quantity. Sometimes, original product may go out of business because it can’t beat the price. To sum up, copycat product...
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...Musicians everyday get offers from businesses to endorse them for money. Musicians should change their tone; their fans get tired of the same music so the reasonable solution is to change it up, they can work on an advertisement while making their advertisement(s), they also have chance to make so much money. Yet, their are problems to changing their sound; if they change to much, big bands have a lot to loose, if the endorsers fans do not like their sound, they might damage the company, and while gaining money they loose money. In the first place, bands should change their tone because the music gets boring after a while. People get tied of listening to the same songs on the radio; solution, change it up a bit. For example, the band Moby...
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...INTRODUCTION Cadbury Beverages, Inc. is a beverages-manufacturing division of Cadbury Schweppes PLC. It was created in 1969 by a merger of Schweppes PLC (1783, London, the first world’s soft drink maker) and Cadbury (1830, Birmingham, a major British confectionery manufacturer). In 1989, the Cadbury Schweppes PLC was one of the world’s largest multinational companies and the world’s third largest soft drink marketer (behind Coca-Cola and PepsiCo), with worldwide sales of $4.6 billion, performed in 110 countries. Beverages accounted for 60 percent of company sales and 53 percent of its operating income. Additionally, at that time, Cadbury Beverages, Inc. was the fourth biggest soft drink marketer in the US (behind Coca-Cola, PepsiCo, Dr.Pepper-7Up), with a carbonated soft drink market share of 3.4 percent, and the market leader in some specific soft drinks categories (see exhibit 1). EXHIBIT 1. |Brand name |Leader in category |% of the US soft drink...
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...| Wednesday(2-1-12) | Weekly Food Journal Thursday(2-2-12) | Friday(2-3-12) | Saturday(2-4-12) | Sunday(2-5-12) | Breakfast | 1 serving of Toast with butter (margarine) and jelly(16 cal of Protein; 100 cal of Carbs; 45 cal of Fat; Sodium 0 mg) Food Group: Grain and oils16.9 FL oz of bottle water(0 cal of Protein; 0 cal of Carbs; 0 cal of Fat; Sodium 0 mg)Total Calories: 153 | 1 cup of milk(32 cal of Protein; 52 cal of Carbs; 81 cal of Fat; Sodium 130 mg)Food Group: Milk 1 1/2 cup of Honey bunches of Oats cereal(16 cal of Protein; 208 cal of Carbs; 27 cal of Fat; Sodium 80 mg)Food Group: GrainsTotal Calories:416 | 2 egg McMuffin(144 cal of Protein; 240 cal. of Carbs; 216 cal of Fat; Sodium 1640 mg)Food Group: meat, grains, oils and milk1cup/8 oz. of orange juice (8 cal of Protein; 100 cal of Carbs; 9 cal of Fat; Sodium 0 mg)Food Group: FruitsTotal Calories:717 | 1 cup of milk(32 cal of Protein; 52 cal of Carbs; 81 cal of Fat; Sodium 130 mg)Food Group: Milk 1 1/2 cup of Honey bunches of Oats cereal(16 cal of Protein; 208 cal of Carbs; 27 cal of Fat; Sodium 80 mg)Food Group: GrainsTotal Calories:416 | Skipped | Lunch | Chicken Sandwich(132 cal of Protein; 232cal of Carbs; 297 cal of Fat; Sodium 420 mg)Food Group: Meat, grains, and vegetables 1 cup water(0 cal of Protein; 0 cal of Carbs; 0 cal of Fat; Sodium 0 mg)Total Calories:661 | Ham and Cheese Sandwich (82.8 cal of Protein; 133.2 cal of Carbs; 136.8 cal of Fat; Sodium 880 mg)Food Group: Meat, milk, oils, grains and...
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... Cadbury Beverages, Inc. is a beverages-manufacturing division of Cadbury Schweppes PLC. It was created in 1969 by a merger of Schweppes PLC (1783, London, the first world’s soft drink maker) and Cadbury (1830, Birmingham, a major British confectionery manufacturer). In 1989, the Cadbury Schweppes PLC was one of the world’s largest multinational companies and the world’s third largest soft drink marketer (behind Coca-Cola and PepsiCo), with worldwide sales of $4.6 billion, performed in 110 countries. Beverages accounted for 60 percent of company sales and 53 percent of its operating income. Additionally, at that time, Cadbury Beverages, Inc. was the fourth biggest soft drink marketer in the US (behind Coca-Cola, PepsiCo, Dr.Pepper-7Up), with a carbonated soft drink market share of 3.4 percent, and the market leader in some specific soft drinks categories (see exhibit 1). EXHIBIT 1. |Brand name |Leader in category |% of...
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...Barriers to entry One of the 5 forces that shape the soft drink industry is barriers to entry. The Coca Cola company says on its website it is facing strong competition from well-established global companies and many local participants. For this particular industry, the competitive forces are benign, (favorable). Most of the companies in the soft drink industry are profitable. The Coca Cola Company's main competitors are Dr.Pepper, Nestle and PepsiCo. These companies definitely have the advantage over there competitors. In porters 5 forces, Porter refers to supply-side economies of scale, where firms such as the CCC and PepsiCo can produce at large volumes enjoy lower costs per unit because they can spread fixed costs over more units, employ more efficient technology, or command better terms from suppliers. According to Porter's article, supply-side scale economies deter entry by forcing the aspiring entrant either to come in the industry on a large scale, which requires dislodging entrenched competitors. How does a newcomer circumvent the barriers to soft drink industry? Perhaps create new distribution channels of their own. Creating a niche market for their drink in the form of marketing to a certain segment in the soft drink industry Rivalry Among Existing Players * The industry is not growing rapidly. The growth rate for the industry is not rapid; it is in fact relatively small. This makes it very difficult for new entrants to compete with the already thriving...
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...Company Project—part 2 Dr. Pepper Select one firm of: J.M Smucker, Campbell’s Soup, Dr.Pepper Snapple Group, and Snyder’s-Lance for this assignment. Use the most recent annual financial statements (provided below). For Smuckers and Dr. Pepper you need to use the December 2015 financial statements. You probably used the 2014 financial statements in part 1 but now that the 2015 statements are available you need to use those since forecasts need to be for a future year and the 2015 numbers are available. You are also welcome to use other information about the firm. Hand in copies of the parts of the financial statements and other information that you use to do the assignment. For each part of the project, list which firm you used at the top of the first page. It is critical in this and subsequent projects that you show your steps so that we can follow the steps and assign partial credit. Remember you are not allowed to work with other people on the project. This part of the project is the first of two parts related to projecting the financial statements for the firm for next year. Project 3 will build on the work you do in this part so keep a copy of this assignment so you have the numbers necessary for part 3. 1. Project revenues for the next year. For this and questions 2, 3 and 4 provide an answer in dollars. Discuss how you came up with your forecast of revenues. Do not simply assume that revenues grow at the same rate as this year unless you...
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...Brooke Ford Business 82 Final Project 7 April 2013 The King of Beverages It's the “Friendly Pepper Upper”, “Always One of a Kind”, and “Just What the Doctor Ordered”. Being the oldest major manufactured soft drink in America (History of Dr Pepper), Dr Pepper is all of those past slogans, and more. It's the greatest soft drink on the planet, and it will stand the test of time. Dr Pepper has come a long way from Morrison's Old Corner Drug Store in Waco, Texas back in 1885. According to the Dr Pepper Museum website, under “History of Dr Pepper”, the inventor was Charles Alderton, who was a young pharmacist working in the drug store. In his spare time, he had a hobby of mixing carbonated beverages for customers. Apparently, he loved the smell of the drug store so much, with all the fruit flavored smells in the air, that he wanted to create a carbonated drink that captured the scent of the store. After a few tests, Alderton finally became satisfied with his flavor, and offered a sample to his boss, Wade Morrison, who loved it. Alderton soon became confident enough to offer his new drink to his customers, who, in return, offered positive feedback. Dr Pepper officially became a soft drink on December 1, 1885 (History of Dr Pepper). While Morrison is credited as given Dr Pepper the name, the meaning behind the name remains a mystery with a lot of theories. One theory is that Morrison named the drink after his friend, Dr. Charles T. Pepper. There is a legend that Morrison...
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...INITIAL REPORT THE COCA COLA LIMITED (GLOBAL AND INDIAN SCENARIO) Team 1 Members: Sirisha Adiraju 2014281 Vikrant Gupta 2014324 Udit Birpalia 2014310 Himanshu Dawra 2014344 Tanya Dhingra 2014300 Ankit Rawat 2014339 1. GLOBAL BEVERAGE MARKET SCENARIO The global beverage market has been forecast to increase at a compound annual growth rate (CAGR) of 4.6% over the next five years, to reach a market value of $1,347 billion by 2017. The global beverage industry's rising product demand, not much affected by the currents of global recession, bears testimony to its unyielding growth throughout. Until recently, the beverages market was divided simply between alcoholic and non-alcoholic beverages. As consumers' tastes grew more sophisticated and demand surged for a variety of beverage options catering to lifestyle changes and health concerns, the beverages industry has responded with a dizzying array of options to choose from. Products manufactured by the beverage industry include: bottled water, juice, sparkling and still drinks, syrups, nectars, ready-to-drink and regular teas and coffees, dairy drinks, energy drinks, sports drinks, fruit powders, and alcoholic drinks such as beer, wine, cider and spirits. The industry experienced a CAGR of 2.3% for the period spanning 2007-2016. Industry consumption volumes increased with a CAGR of 2.4% between 2006 and 2010, to reach a total of 717,040.5 million litres in 2011. The soft drinks industry will continue...
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...Coca Cola Report Introduction Coca- Cola is one of the very well known brands operating in FMCG sector. The drink which has quenched the thirst of so many people around the globe was invented by John Pemberton a pharmacist by profession and most commonly called as “Doc”. He was assisted by Frank Robinson in the marketing of the product. The company was totally in mess until Asa Griggs Candler took over the business in 1891. Secret of Coca Cola’s success is the innovative marketing strategies of Grigg which laid the foundation for the success the company is enjoying today. Initially the drink was sold as a medicine for the treatment of fatigue and headaches. Later, with the imposition of tax in 1898 on all medicines, Grigg categorized it into beverage sector after a prolonged court battle. Ever since then, Coca-Cola is operating as one of the well known brands in beverage industry. In 1919 Candler was chosen as mayor of Atlanta which made him excessively busy because of this he decided to sale out the ownership of the company and Ernest Woodruff became the new owner in September 12, 1919. He changed the formula of the drink and labeled it as New Coke. Unfortunately, the drink was rejected by the consumers and with no option left Woodruff had to introduce the old Classic Coke back for meeting customer demands. According to Business Insiders Coca Cola is a brand with which 94% of the world’s population is familiar. The company has marked its presence in more than 200 countries...
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...ASSIGNMENT | Cadbury schweppes | 6/7/2010 Lecturer: Ambarish Pandey| Assignment done by: Onon; Gunzaya. | IntroductionCadbury Schweppes was formed by a merger in 1969 between Cadbury and Schweppes. Since then the business has expanded into a leading international confectionery and beverages company. Through an active programme of both acquisitions and disposals the company has created a strong portfolio of brands which are sold in almost every country in the world. Cadbury Schweppes has nearly 54,000 employees and produces Fast Moving Consumer Goods (FMCG). Its products fall into two main categories: * Confectionery * beverages.In its portfolio of brands include leading regional and local brands such as Schweppes, Dr Pepper, Orangina, Halls, Trebor, Hollywood, Bournvita, and of course, the Cadbury masterbrand itself. These products are sold in a range of countries depending on consumer preferences and tastes. | In 1824, John Cadbury began vending tea, coffee, and drinking chocolate, which he produced himself, at Bull Street in Birmingham, England. John Cadbury later moved into the production of a variety of Cocoas and Drinking Chocolates being manufactured from a factory in Bridge Street, supplying mainly to the wealthy due to the high cost of manufacture at this time. At this time the company was known as 'Cadbury Brothers of Birmingham'. He further elaborates that the code of conduct sets out general provisions that should apply. They are the world’s 3rd...
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