STR 581 WEEK 6 FINAL STRATEGIC PLAN
PRESENTATION COCA COLA CERTIFICATION
EVALUATION 2026 COMPREHENSIVE
QUESTIONS ANSWERS
◉ What was the cost range for bottling and canning lines? Answer:
$4 million to $10 million each.
◉ What was the significance of the cola wars for Coke and Pepsi?
Answer: They drove innovation and competition in the beverage
market.
◉ What did Roger Enrico, former CEO of Pepsi, say about the
relationship between Coke and Pepsi? Answer: He stated that
without Coke, Pepsi would struggle to be a lively competitor.
◉ What was the trend in CSD market share for non-cola drinks from
1990 to 2009? Answer: It increased as cola's market share dropped.
◉ What was a key factor in the decline of CSD consumption in the
2000s? Answer: Health concerns and the rise of alternative
beverages.
,◉ What types of beverages are considered alternatives to CSDs?
Answer: Beer, milk, coffee, bottled water, juices, tea, powdered
drinks, wine, and tap water.
◉ What was the impact of declining real prices on CSD
consumption? Answer: It made CSDs more affordable, contributing
to their growth.
◉ What is a concentrate in the context of CSDs? Answer: A flavor
base mixed with sweeteners and carbonated water to create soft
drinks.
◉ How did the U.S. soft drink industry change over time? Answer: It
consolidated, with Coke and Pepsi claiming a combined 72% of the
market by 2009.
◉ What was the estimated cost of DPS's production facility
completed in 2010? Answer: $120 million
◉ What was the capacity of the DPS production facility built in
California? Answer: 40 million cases
◉ How many plants did Coke and Pepsi each have for nationwide
distribution? Answer: Around 100 plants
,◉ What were the main cost components for bottlers? Answer:
Concentrate and syrup
◉ What was the typical operating margin for bottlers? Answer:
Around 8%
◉ What was the gross profit percentage for bottlers of CSDs?
Answer: Routinely exceeded 40%
◉ How did the number of U.S. soft drink bottlers change from 1970
to 2009? Answer: Fell from more than 2,000 to fewer than 300
◉ What was the original Coca-Cola franchise agreement written in
1899? Answer: A fixed-price contract with no renegotiation clause
◉ What percentage of Coke's U.S. concentrate sales was covered by
its 1987 Master Bottler Contract by 2009? Answer: 92%
◉ What was one of the major differences between Coke's and Pepsi's
bottling agreements? Answer: Coke's contract allowed it to
determine concentrate price; Pepsi's required bottlers to purchase
at prices set by Pepsi.
, ◉ What did the Soft Drink Interbrand Competition Act of 1980
preserve? Answer: The right of concentrate makers to grant
exclusive territories to bottlers.
◉ What percentage of U.S. CSD distribution occurred through
supermarkets in 2009? Answer: 29.1%
◉ What was the total store sales percentage accounted for by CSDs
in the U.S.? Answer: 4%
◉ What was the primary delivery method for private-label CSDs?
Answer: Delivered to a retailer's warehouse
◉ Which company historically focused on sales through retail
outlets? Answer: Pepsi
◉ What was the rebate amount Burger King franchises received for
Coke syrup in 1999? Answer: $1.45 per gallon, or about 23%
◉ What type of accounts were more profitable for bottlers, local or
national? Answer: Local fountain accounts
◉ What did Coke and Pepsi invest in to support the fountain
channel? Answer: Service dispensers and point-of-sale advertising
PRESENTATION COCA COLA CERTIFICATION
EVALUATION 2026 COMPREHENSIVE
QUESTIONS ANSWERS
◉ What was the cost range for bottling and canning lines? Answer:
$4 million to $10 million each.
◉ What was the significance of the cola wars for Coke and Pepsi?
Answer: They drove innovation and competition in the beverage
market.
◉ What did Roger Enrico, former CEO of Pepsi, say about the
relationship between Coke and Pepsi? Answer: He stated that
without Coke, Pepsi would struggle to be a lively competitor.
◉ What was the trend in CSD market share for non-cola drinks from
1990 to 2009? Answer: It increased as cola's market share dropped.
◉ What was a key factor in the decline of CSD consumption in the
2000s? Answer: Health concerns and the rise of alternative
beverages.
,◉ What types of beverages are considered alternatives to CSDs?
Answer: Beer, milk, coffee, bottled water, juices, tea, powdered
drinks, wine, and tap water.
◉ What was the impact of declining real prices on CSD
consumption? Answer: It made CSDs more affordable, contributing
to their growth.
◉ What is a concentrate in the context of CSDs? Answer: A flavor
base mixed with sweeteners and carbonated water to create soft
drinks.
◉ How did the U.S. soft drink industry change over time? Answer: It
consolidated, with Coke and Pepsi claiming a combined 72% of the
market by 2009.
◉ What was the estimated cost of DPS's production facility
completed in 2010? Answer: $120 million
◉ What was the capacity of the DPS production facility built in
California? Answer: 40 million cases
◉ How many plants did Coke and Pepsi each have for nationwide
distribution? Answer: Around 100 plants
,◉ What were the main cost components for bottlers? Answer:
Concentrate and syrup
◉ What was the typical operating margin for bottlers? Answer:
Around 8%
◉ What was the gross profit percentage for bottlers of CSDs?
Answer: Routinely exceeded 40%
◉ How did the number of U.S. soft drink bottlers change from 1970
to 2009? Answer: Fell from more than 2,000 to fewer than 300
◉ What was the original Coca-Cola franchise agreement written in
1899? Answer: A fixed-price contract with no renegotiation clause
◉ What percentage of Coke's U.S. concentrate sales was covered by
its 1987 Master Bottler Contract by 2009? Answer: 92%
◉ What was one of the major differences between Coke's and Pepsi's
bottling agreements? Answer: Coke's contract allowed it to
determine concentrate price; Pepsi's required bottlers to purchase
at prices set by Pepsi.
, ◉ What did the Soft Drink Interbrand Competition Act of 1980
preserve? Answer: The right of concentrate makers to grant
exclusive territories to bottlers.
◉ What percentage of U.S. CSD distribution occurred through
supermarkets in 2009? Answer: 29.1%
◉ What was the total store sales percentage accounted for by CSDs
in the U.S.? Answer: 4%
◉ What was the primary delivery method for private-label CSDs?
Answer: Delivered to a retailer's warehouse
◉ Which company historically focused on sales through retail
outlets? Answer: Pepsi
◉ What was the rebate amount Burger King franchises received for
Coke syrup in 1999? Answer: $1.45 per gallon, or about 23%
◉ What type of accounts were more profitable for bottlers, local or
national? Answer: Local fountain accounts
◉ What did Coke and Pepsi invest in to support the fountain
channel? Answer: Service dispensers and point-of-sale advertising
