Example BCG Matrix: Coca Cola & Pepsi Cola



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Thijs, Netherlands
"The matrix is misrepresenting in some cases. Example: Coca cola and Pepsi. Coca Cola is market leader, as a result of which the relative market share of Pepsi is always smaller than 1.
When the relative market share is smaller than 1, you will be at the right-hand side of the matrix. In that case, Pepsi will automatically be a Question Mark or a Dog.
Everyone understands that Pepsi is a Cash Cow!"
 
  Number of Competitors
Henri Zalamea, New Zealand
"If you're going to do a BCG matrix, be sure to list more than two competitors. As in your example, Pepsi will definitely not be a "dog" if you'll just include more participants in your grid. Personally, a "question mark" product is the one who gets the second largest budget (behind the star product) and is the closest thing to become a star in the future, given the right promotion, rather than a cash cow product, given a few more years, will start its decline towards the dog quadrant. Just my perception. Cheers!"
 
  Cola & Pepsi
JoeCal, USA
"You are misinterpreting the matrix. It should not be used to make judgements about an entire company, but instead specific products or offerings. Coke isn't market leader for every product and not every Pepsi product is a star."
 
  BCG Matrix Coca Cola and Pepsi
Tim, NL
"Thijs, your approach might be a bit digital. It does not need to be either high OR low. Pepsi's market share still can be considered high even though not they are not the marketleader."
 
  coca cola and pepsi
Ifan Hikmawan Putra, Indonesia
"Pepsi and coca cola is like a mandatory fight, but what if coca cola and pepsi do merger, The BCG is not useless anymore, but as long as pepsi and coca cola still become a superstar in food and beverage industry , the BCG still needeed, we measure from all prespective, market share and business growth are looked from the marketing side, one thing we must considered , is the BCG important to measure 2 or more competitor in food and beverage industry. thanks for all discussion"
 
  bcg
salla, urgup
"To me, it requires more than 2 companies or products in this case it results in ridiculous situation"
 
  Coca-Cola and Pepsi
Chocolate, Pakistan
"While talking about Coca-Cola and pepsi, the BCG matrix is about different SBUs of th same organization. And the other important thing is Pepsi is not that bad either:) Pepsi has some advantages over Coca Cola as well. Among them their marketing force is noteable."
 
  Coca cola and Pepsi
So, India
"The BCG matrix is essentially usable only for Strategic business units (SBU's) of ONE organisation. It cannot be used to compare brands of different organisations. There is a difference between products/brands and SBU's. So, BCG matrix if applied to any company's SBU's works perfect."
 
  Cola & Pepsi
George, Kenya
"BCG is used to analyse products or SBU's for market growth and Market share. It is done as an internal analysis tool to build a competitive strategy based on current positioning. Therefore the comparison of Coca-cola and Pepsi should not arise."
 
  Coca-cola and Pepsi
Nitish, India
"The BCG matrix is used to analyse SBU. You can not use it to study two different organisations. eg. You can take pepsi and in it you take different product like pepsi blue (which is of course not present) then other and compare them."
 


   
 

   

 
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