In 1997, PepsiCo sold PFS. In addition, that year, PepsiCo spun off its restaurant chains to form a new company. The move enabled PepsiCo to focus on its beverages and snack foods. In 2001, PepsiCo acquired The Quaker Oats Company, a food and Beverage Company. iii. Competition
Since this research is about PepsiCo soft drinks, i.e. beverages industry in Egypt the main competitors operate in a very competitive environment such as Coca- Cola Company, Schweppes and Dr Pepper. There is also significant competition from private label competitors. In 1994, Coca-Cola beverages held 25% of the soft drink market share. Coca-Cola and Pepsi were determined to regain their market share and were partaking in price wars. They reduced their price as much as 25%, which put coca cola in a difficult position. It is also harmful for Coca-Cola to partake in such activities because they could potentially decrease their total sales revenue. It is very important for Coca-Cola to maintain a healthy market share because of the flat nature of the soft drink market. Growth in this industry comes from increasing your market share. Coca-Cola was first sold at the soda fountain in Jacob's Pharmacy in Atlanta. During the first year, sales of Coca-Cola averaged nine drinks a day, adding up to total sales for that year of $50. Today, products of The Coca-Cola Company are consumed at the rate of more than one billion drinks per day in over 200 countries.