In reading the article " Cola Wars Continue: Coke and Pepsi in 2010" I could not help but to think that understanding the specific actions of your competitor is essential not only to your financial success but also to your brand.
The similarities in the foundations of Coke and Pepsi is very obvious however, the race for each company mark themselves as distinct is one that is a continuous struggle. The quest to always rise above seems to be relay mostly on the advertising and marketing approaches of these two companies. With sponsoring campaigns for the World Cup, Pepsi was able to gain more brand recognition as well as capitol from the billions of people that watch the games and the millions that attended. In a similar effort, Coke expanded their own efforts in celebrity adverting and endorsements.
Coke and Pepsi have been so in tune with the actions of each other that it seems that there have decrease the success of any other potential competitors. With both company fighting for dominance in the CSD market, little is known of any of the other potential company that could have a fighting chance. Coke and Pepsi have successfully eilmiated this company by buying and acquiring their potential competitors in mergers and acquisitions (Coke with energy brands, and Dasani water, and Pepsi with Gatorade and Aquafina).
After reading this article I could not help but to take about the research industry in which I work. Though the work we do is for the advancement of human health, it still resembles the competition wars just like Coke and Pepsi. We are always writing grants to become a clinical research site for an industry or independent sponsor. In this process we essential have to present a case in which our site is better than any other, even though we all perform the same functions that the sponsor requires. This process is not as transparent as with Coke and Pepsi however, market and branding are also important aspects when it comes to recruiting and establishing ourselves as a reputable clinical site for future sponsors. This article has taught me that a general knowledge of your competition may not be enough; instead extra effort is needed not just to do the exact same action but a more effective one. i.e By Pepsi declaring a holiday for its employees adds to their brand because it also promotes the company not just as a bottle company but a great place to work.
This article also stimulated a similar industry that is always in the burrito war, Chipotle versus Qdoba. http://www.cbsnews.com/news/how-chipotle-is-winning-the-burrito-wars/