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According case study Porter, the five forces are the danger of new entrants, risk of substitutes, organisation power, rivalry and buyer power. In the soft drink industry huge amounts of money are spent for advertisements and advertising and marketing campaigns. As a result, that makes it very hard for a new entrant case study compete during this market. Moreover, as a result of this continual investment Coca Cola and likewise Pepsi have very loyal purchaser base and high brand fairness. Also, the margins for shops are quite high; hence many outlets dont want case study carry a new product. Coca Cola has many exclusive contracts with vendors that forbid them case study sell identical merchandise. All in all, it is hard case study get in this industry as a new entrant. As the chance of latest entrants is sort of low in this real industry, the competition among the 2 current businesses Coca Cola and PepsiCo is even higher. Here, that you could determine a Duopoly. Usually, a duopoly trying case study maximize salary will produce more than a monopolist but below a aggressive industry. The two big gamers have the general public of the market share.
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