hweppes dominate the industry with nearly 90 percent of the market controlled by these three companies (Levy 3388E). Revenues for 1992 across the industry exceeded $45 billion, increasing to $50 billion in 1993 and $57 billion in 1994. Coca-Cola and PepsiCo are American companies and are traded on the New York Stock Exchange; Cadbury Schweppes is located in England but has ADR shares traded on the NASDAQ system in the United States.
The international segment of the beverage industry has grown significantly during the early 1990s, with Coca Cola reaping the major benefit of this growth. Case volume for Coca Cola increased 11 percent during 1994, and was up 12 percent during the first quarter of 1995 (Sanborn 1541).
Both domestically and in the international market, Coca-Cola's largest competitor is PepsiCo, which has a large interest in snack foods as well as a significant presence in the beverage market. In addition, Pepsi operates a number of restaurants and restaurant chains (including KFC), which contributes to its overall marketing strategy, but which the company is planning to divest. In 1993, Pepsi's operating profits came much more from a balanced market portfolio than did Coca-Cola's, with domestic beverages accounting for 30 percent of profits, domestic snacks for 29.3 percent, restaurants for 25.3 percent, international snacks for 9.4 percent, and international beverages for 5.6 percent. This compares with operating profits for Coca-Cola (for the same year) that were comprised of 78.7 percent from international beverages, 17.7 percent from domestic beverages, and only 3.6 percent from its foods sector (Sellers 72).
Cadbury Schweppes is a holding company for a group of international companies which engage in both confectionery and soft drink products. Its products are sold in more than 170 countries, with confectionery and beverage segments accounting for approximately the same contribution to sales and profits i...