Competition in Energy Drinks Essay Example for Free

Competition in Energy Drinks Essay 1. What are the strategically relevant components of the global and U. S. beverage industry macro-environment? How do the economic characteristics of the alternative beverage segment of the industry differ from that of other beverage categories? Explain. The strategically relevant components of the global and U. S. beverage industry macro-environment are essentially the expansion of the market for alternative beverages by introducing energy drinks, sports drinks, and vitamin drinks in international markets, and increasing the market size of alternative beverages by extending current product lines and developing new products. Numerous factors affect the achievement of this strategy and they include: Size of the Market: It is without question that the global beverage industry is a large one, with the dollar value of the market being $1581. 7 billion in 2009 and volume sales (in billions of liters) being $458. 30. Regarding the distribution of sales in regards to beverage type, carbonated soft drinks came on top with 12,919. 3 (millions of gallons) being sold and leading to a market share of 48. 2%. Next in volume of sales was bottled water with a sales volume of 8,435. 3 and 29. 2% market share. Fruit beverage sales were 3,579. 2 and a market share of 12. 4%. In the alternative beverage category, sports drinks sales were 1,157. 8 and a market share of 4%, ready-to-drink tea sales were 901. 4 with a market share of 3. 1%, flavored or enhanced water sales were 460 with a market share of 1. 6%, energy drink sales volumes were 354. 5 with a market share of 1. 2%, and ready-to-drink coffee sales volume was 51. 5 with a market share of 0. 2%. In 2009, the industry worldwide sales of alternative beverages were 40. 2 billion, with sales in the US accounting for 42. 3% of the sales. Asia-Pacific accounted for 31. 5%, Europe 22. 2%, and the Americas (excluding the US) 4%. Growth Rate: There has been a steady growth in the value of the global beverage industry over the years. Between the years 2005 and 2009, there has been a constant increase in the dollar value of sales, and this increase has also been forecasted between the years 2010 and 2014. Regarding the alternate beverages, we see an increase in sales over the years that even surpasses that of the global beverage industry. Market Segmentation: The market for global alternative drinks has been in existence for a while, and beverages have been chosen and selected into groups based on the type of products. The different groups include sports drinks, energy drinks, vitamin-enhanced beverages, and relaxation drinks, with comfort and relaxation been of utmost importance to the consumer. In 2009, the alternative beverage drink with the most sales was sports drinks with sales of nearly 60%. Vitamin enhanced followed in sales by 23% and energy drinks came closely behind with sales of18% during that same year. Scope of Competition: The major worldwide producers of beverages are Coca-Cola, PepsiCo, and Red Bull. There are also smaller companies in the same industry, by their production do not compare to the three major companies. Among the most important competitive features of the alternative beverage industry include product innovation, efficient distribution systems, and distinct differentiation. 2. What is competition like in the alternative beverage industry? Which of the five competitive forces is strongest? Which is weakest? What competitive forces seem to have the greatest effect on industry attractiveness and the potential profitability of new entrants? Competition in the alternative beverage industry is in favor of the three major producers, especially Coca-Cola and PepsiCo. Since their alternative beverage product offerings are numerous, and they supply to grocery stores, convenience stores etc. who have a high demand for their products, they avoid vulnerability to buyer leverage and always have shelve space in these channels. Of the five competitive forces, the intensity of competitive rivalry among the sellers of alternative beverages is the strongest. Bargaining power and buyer leverage are also among the strongest. Individuals who purchased the alternative beverages for convenience stores, grocery stores and wholesale clubs have the advantage of negotiating prices with the producers of the alternative beverages because of the fact that they are purchasing such large quantities of the products. Even though the majority of energy drinks were purchased in convenience stores, sports drinks and vitamin-enhanced beverages were also available in most delis and restaurants and were also sometimes sold at sporting events and in vending machines. The weakest competitive force in the alternative beverage industry appears to be the bargaining power and leverage of sellers. Due to the fact that there are many suppliers in this niche, the competition is quite intense it becomes important to have features such as ingredients, more attractive packaging etc.to differentiate them from other brands. The competitive force that seems to have the greatest effect on industry attractiveness and potential profitability of new entrants is the threat of new competition. Since the alternative beverage industry is a very lucrative one and tends to carry high price points, this profitability becomes very attractive to new entrants because of the possibility of being able to achieve success in the industry. 3. How is the market for energy drinks, sports drinks and vitamin-enhanced beverages changing? What are the underlying drivers of change and how might those forces individually or collectively make the industry more or less attractive? The market for energy drinks, sports drinks and vitamin-enhanced beverages has changed a lot over the years and will continue to see changes well into the future. The underlying drivers of change include changes in growth rate (decrease) and innovation. Worldwide dollar sales of alternative beverages grew by more that 13% annually between the year 2005 and 2007, however, it slowed down to about 6% between 2007 and 2009. One might argue that the reason for this decline is the impact the ongoing recession has on the beverage industry. Beverage producers continue to maintain their optimism for the industry regarding future prospects that will be brought to fruition by innovation in brands, flavors, and formulations. These are the facets that they believe will support their premium pricing and volume increases. 4. What does your strategic group map of the energy drink, sports drink, and vitamin-enhanced beverage industry look like? Which strategic groups do you think are in the best positions? The worst positions? The strategic group map shows the leading alternative drink producers competing both geographically and in regards to variety of drinks offered, there are therefore the strategic groups in the best positions. The alternative drink companies are not only competing domestically, but in an international scale as well. Hansen Natural, the producers of Monster energy drink, who splits distribution of it’s energy drinks between Anheuser-Busch and Coca-Cola is not only successful in the United States, but in Great Britain, France, Belgium, the Netherlands, Luxembourg, and Monaco. The company has also entered agreements to have its beverages available in Mexico and Australia. In a similar fashion, Rockstar has been able to venture internationally by having its products distributed by PepsiCo in foreign countries. The countries Rockstar is currently being distributed are Canada, Australia, New Zealand, Japan, Germany, Switzerland, Finland, Spin, the Netherlands, and the United Kingdom. In a similar fashion as the aforementioned alternative drink producers, Red Bull also has a brand presence both domestically and internationally, specifically in Europe and the Americas. The strategic groups in the worst positions appear to be those companies with a single brand e. g. , ViB, Dream Water, etc. operating solely domestically. With the amount of competition in the market currently, it does not appear that these company will fare well in the long-term. 5. What key factors determine the success of alternative beverage producers? There are three key factors that determine the success of alternative beverage producers and they include: Access to distribution In order for the alternative beverages to achieve the sales volumes that its producer desires, it first has to be widely available in stores on a consistent basis. With brand popularity comes the advantage of having a product readily available on store shelves. Innovation With competition being as tight as it is in the alternative beverage industry, innovation is of utmost importance because it sets a product or a company aside for its competitors. Innovation can be achieved by entering into different product lines or creating completely different categories of alternative beverages. Brand image A company’s image is very important when it pertains to competing in whatever industry it does business in. Choosing the right image to portray in advertisement, marketing, etc. could possibly be what retains customer loyalty, or sways a customer’s decision to purchase their product over that of a rival. 6. What recommendations would you make to Coca-Cola to improve its competitiveness in the global alternative beverage industry? To PepsiCo? To Red Bull GmbH? Since it is apparent that Coca-Cola is growing at a much slower pace that its competitors in the alternative beverage market, I recommend that it take building brand image and continual innovation and new product development into consideration. Portraying the right image in advertisement and marketing could lead to retention in customer loyalty and regaining lost market share. Since PepsiCo is ranked number one worldwide for the sale of alternative beverages, with it’s best-selling alternative beverages including Gatorade, which held a 75% share of it’s 1. 57 billion US sports drink market, Propel, SoBe Lifewater, Amp Energy drinks, and No Fear energy drinks, I would recommend that the company continue to build upon this ranking by taking the necessary steps to boost their brand image. I would also recommend that PepsiCo include energy shots to it’s product line-up to further boost sales. There is no doubt that Red Bull GmbH has found its niche in the alternative beverage market as the world’s number one seller of energy drinks, making it the third-largest producer of alternative beverages worldwide and the number two seller of alternative beverages in the US and Europe. To continue it’s growth in the US and Europe, I will recommend that the company continue to innovate and develop new products. I will also recommend that in order to further solidify the Red Bull brand, they should venture into production of he other types of alternative beverages. References Gamble, J. (2008). Competition in Energy Drinks, Sports Drinks, and Vitamin-Enhanced Beverages. Boston: Harvard Business Publishing.

A Sociological Approach To The Simpsons :: essays research papers

I’m going to start off by saying that until now I never actually thought there was a difference in the way those cartoon characters (the Simpsons) were approached, depending on their gender (not that I watched them too often or anything). First of all I’ll have to break the characters in two groups, because you cannot compare old people with children. So the first group will be composed of Lisa and Bart (the children) and the second one of Marge and Homer (the parents). Just by taking a glance at the show you see that it portrays the typical image of the â€Å"traditional American family† of the last decade: mom stays home to cook, clean and take care of the kids, while the husband provides for the family. The little boy is very violent doing a lot of â€Å"cool† things, and of course never studies, while the little girl is very quiet and smart. There are certain traces of stereotypes in almost all the activities in which the characters engage and that seems to be meant in a funny way. For example, in one episode, Lisa and Bart are taken hostages by a prison escapist in a zeppelin. Using a computer inside the zeppelin you could write on an electronic board outside the zeppelin. Lisa discovers that and writes a message to let everybody know that they are in there and in the middle of it she puts these flashing red hearts... I wonder if they would have done that if Bart were the one writing the message! This other time Bart gets himself a fake ID, rents a car and goes away for spring break with some friends (he of course lies to his parents); meanwhile Lisa stays home and has fun by going to work with her dad. What’s the message here? ‘Boys go off and do crazy things, but girls must stay home, close to the family.’ Bart is always the one who has all the adventures and does all the exciting funny things and Lisa is the smart quiet one always getting him out of trouble. She never holds any grudges, while Bart is mean to her most of the times and always gets his revenge; in other words ‘girls, you be silent, boys have the right to do anything.’ But enough of the youngsters, lets talk about the adults too. As I’ve said before, Marge is a housewife; she never directly disagrees with Hommie, her husband, and she’s always the one spoiling the children.

Great Expectations Essay

Great Expectations is the story of distortion expectations cause to judgment. Pip was by nature more inclined towards the stable and moral nature of Joe. It took a long journey of life with some very interesting interludes to make him realize that the influence of Mrs. Havisham was a passing cloud while the influence of Joe was the bellwether that defined the values he can identify his life with. It is an established fact that Dickens uses very obvious doubles and symmetry-building coincidences in his novels. But in this context, it can be argued that Dickens has created two antithetical characters that define the dilemmas of Pip. Joe and Mrs. Havisham can be considered antithetical in almost all respects. In gender, in temperament, in the ways that they handle the hand dealt by fate and the way they go about spreading their life’s philosophies. They are diametrically opposite and this causes the under-current of the Yo-Yo effect experienced by Pip through out his life. In the end it turns out that Joe’s influence on Pip’s character is stronger and that enables the young man to acquire and maintain equanimity in the face of severe odds. It is important to understand the motivations of the two primary characters that have influenced Pip’s perception of the world around him. In his initial days he was Je was his best friend. In spite of his lowly station in life of a blacksmith and the misfortune f beng tied to a shrewish wife, (Pip’s sister), Joe could retain a sense of contentment with his life and he instilled the pleasures of small gestures of Joy in human life and the value of honest, and dedicated effort towards one’s vocation. Where as Mrs. Havisham is stuck in a time warp and insists on having all the clock’s the â€Å"Satis House†, her mansion stuck at twenty minutes past nine, the same time she learnt that she had been unceremoniously dumped on the day of her wedding. She clings to the fading wedding dress more to remind herself of the injustice her bride groom inflicted on her. Further she adopts Estelle, only to groom her to break men’s hearts and grow insensitive to the possibility of true and faithful love. This is a basic difference in the characters of the two primary influences on young Pip. To the young mind of Pip, the melancholy haunting of the Satis house and the perennial mourning of Mrs. Havisham carry more romantic appeal than the robust and lively philosophy of his brother-in-law. While Joe advocates the cheer of accepting the cards dealt by destiny, Mrs. Havisham chooses to make her misery the constant chant of her life and the driving motivation. In the first stage of expectations, Pip is enamored with Estelle and he sees acquisition of a higher standard in life surrounding the existing class system and the presence of money power to be a prerequisite to happiness. He goes on to forget his station in life until a rude reminder comes in the form of Mrs. Havisham’s instructions that he should be taking up apprenticeship with Joe. This rude jolt leads Pip to unreasonably resent the kind hearted Joe and his own low living standard. He then discovers that he has been left a sizable fortune and leaves to London to be groomed to become a gentleman. It is here that he meets people like Brentley Drummle, who remain brutish in spite of the inherited wealth and apparent grooming and culture. This stage in the expectations for Pip is marked by the absence of Joe but it is the influence of Joe’s grooming that he is constantly plagued by guilt when he learns that his benefactor is the same convict who had induced him to steal form his own house when he was a kid. The reference points for the values to be followed in life, in the case of Pip are steeped in the common justice notions of Joe. Towards the end of the novel, however, Mrs. Havisham recognizes her folly and confesses to Pip that in her hunger for revenge, she inflicted the same pain as she had experienced on Pip by making Estelle be aloof to him and ultimately marry Drummle. It is worthy to note that the confession comes at a time when Pip is highly disturbed by his aspiration of a higher standard in life and the attached disappointments ad uncertainties he experiences in its quest. If he is able to forgive Mrs. Havisham and even make a heroic effort to save her from fire, it is the rustic goodness instilled in him by Joe, not through long lectures but by example of a fruitful life, led with contentment in the service of others. The reconciliation at the end of the novel, the second and the most popular ending (the characteristic happy ending of Dickens). Mrs. Havisham lives all her life by the terms of remorse, revenge and recrimination. While Joe leads his life in an uncomplicated way to enable people around him to blossom on their own. This during the early years of Pip helps form the moral core that makes Pip a heroic character. It is important to notice that the two characters or the two major influences are majorly contradictory. Mrs. Havisham mourns while Joe makes peace with his world. Ms. Havisham wants revenge, while Joe would rather forgive and forget. Mrs. Havisham is ready to sacrifice another life to further her dearly held wishes of retribution on male species, while Joe still retains faith in his ability to love even after having a shrewish wife in whose care he leaves no stone unturned. After her death and without undue haste he remarries Biddy reaffirming his faith in human goodness. Pip’s actions and his motivations of kindness towards the convict, Mrs. Havisham, and later towards Estelle in the end of the novel speak more about the positive and warm influence of Joe Grager, his brother-in-law, than the scheming or desolate influence of Mrs. Havisham

King Lear The Tragic Hero - 957 Words

There are many â€Å"tragic heroes† in literature in many different genres. The aspects of a tragic hero include a good man who has royalty in his blood, one tragic flaw, suffer, and then overcome their flaw once they finally open their eyes to what is really going on. Not only do tragic heroes suffer, but they cause others to suffer as well, but this can play a huge role in a work as a whole. King Lear is the tragic hero in, of course, King Lear. King Lear suffers from not knowing who he truly is, and this brings a major downfall on not only him, but the downfall on many others, including his family. The fatal flaw that every tragic hero has is the cause of their suffering. King Lear’s flaw is that he still has no idea who he truly is.†¦show more content†¦King Lear doesn’t really care about the deaths of these daughters, but cares more about the death of his youngest, Cordelia. King Lear’s favorite daughter suffered greatly due to her father’s actions. She was his only true loving daughter, but he was too blind to see that, and so he casts her out. King Lear even tells her, â€Å"Better thou Hadst not been born than not to have pleased me better?† (1.1) She has been so faithful to her father, but he basically disowned her just because she didn’t compare her love for him to her sisters. Later on, her and her father get taken to be imprisoned, but Edmund sentenced them to death, telling the Captain, â€Å"Come hither, captain; hark. Take thou this note: go follow them to prison: One step I have advanced thee; if thou dost As this instructs thee, thou dost make thy way To noble fortunes.† (5.3) Cordelia dies, but Lear then kills the man that hung her. Later on, Lear enters the castle with Cordelia in his arms yelling at the men, â€Å"Howl, howl, howl, howl! O, you are men of stones: Had I your tongues and eyes, Iâ₠¬â„¢ld use them so That heaven’s vault should crack.† (5.3) Lear is so mad at himself for what Edmud did. He has this hint of hope in the end that maybe Cordelia is possibly alive. He tries putting a glass up to her mouth, a feather to her lips, and even just seeing her breathe. Even though it was hopeless, Lear was losingShow MoreRelatedKing Lear: Lear the Tragic Hero1662 Words   |  7 PagesKing Lear: Lear The Tragic Hero The definition of tragedy in the Oxford dictionary is, drama of elevated theme and diction and with unhappy ending; sad event, serious accident, calamity. However, the application of this terminology in Shakespearean Tragedy is more expressive. Tragedy does not only mean death or calamity, but in fact, it refers to a series of steps which leads to the downfall of the tragic hero and eventually to his tragic death. Lear, the main character in King Lear was affirmedRead MoreKing Lear as a Tragic Hero997 Words   |  4 PagesThe play of King Lear is a tragedy like many of Shakespeare’s plays, and many of them deal with the tragic hero that end up meeting their demise thanks to their tragic flaw. The tragic hero of this play is King Lear, and he is a man that is a ruler of the kingdom of Britain in the 8th century B.C. He is a very old man surrounded by grave responsibilities, which are taking care of the land and taking care of the citizens of the kingdom. Lear the tragic hero must feel suffering and contrast those goodRead MoreThe Tragic Hero Of King Lear1310 Words   |  6 PagesKing Lear, one of William Shakespeare’s greatest tragedies, depicts a society in uninviting circumstances. Tragedy is depicted by the downfall of a noble hero, usually through a combination of arrogance and fate. The tragic hero s wish to achieve a goal encounters limits, those of human inability, the gods, or nature. 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Throughout the play, King Lear loses his land, his honorRead More King Lear: Lear The Tragic Hero Essay1617 Words   |  7 Pages King Lear: Lear The Tragic Hero nbsp;nbsp;nbsp;nbsp;nbsp;The definition of tragedy in the Oxford dictionary is, quot;drama of elevated theme and diction and with unhappy ending; sad event, serious accident, calamity.quot; However, the application of this terminology in Shakespearean Tragedy is more expressive. Tragedy does not only mean death or calamity, but in fact, it refers to a series of steps which leads to the downfall of the tragic hero and eventually to his tragic death. Lear,Read MoreIs King Lear A Tragic Hero Essay1358 Words   |  6 PagesKing Lear, one of William Shakespeare s greatest tragedies, depicts a society in grim circumstances. As with all tragedies, there exists a tragic hero [1] , one who possesses a fatal flaw that initiates the tragedy and all the sufferings that follow. In this play, the tragic hero is undoubtedly the title character, King Lear. The plot is driven by the power and consequence of losses, more specifically, the losses of Lear. In the course the play, King Lear, because of his flaws, loses his authorityRead MoreKing Lear and Antigone as Tragic Hero Essay1626 Words   |  7 PagesBecause Lear is capable of change, he becomes a tragic hero; because Antigone is incapable of change, she never becomes a tragic heroine. Aristotle defines a tragic hero as someone, usually a male, who â€Å"falls from a high place mainly due to their fatal flaw.† During the highest point of the tragic hero’s life, something is revealed to the protagonist causing a reversal in their fortune. This reversal of fortune is caused by the flaw in their character. Tragedy evokes catharsis, a feeling ofRead More traglear Tragic Hero in King Lear Essay1591 Words   |  7 Pagesa series of steps that leads to the downfall of the tragic hero and eventually to his tragic death.nbsp; Lear, the main character in King Lear was affirmed as the tragic hero because the play meets all the requirements of a tragedy.nbsp;nbsp; In order for a character to be qualified as a tragic hero, he must be in a high status on the social chain and the hero also possesses a tragic flaw that initiates the tragedy.nbsp; The fall of the hero is not felt by him alone but creates a chain reactionRead MoreSuperheroes, Despite Their Differe nt Powers, All Possess1581 Words   |  7 Pagesmaintenance of strong morals. Similarly, King Lear, the tragic hero in William Shakespeare’s play, King Lear, possesses characteristics that define him as a tragic hero, as stated by Aristotle in Poetics via A.C. Bradley’s The Shakespearean Tragic Hero. King Lear is a character of high social status, and he possesses exceptional qualities that make him a well-respected king; however, throughout the play’s events, he suffers tremendously in an unusual manner. In addition, Lear, despite being a â€Å"good† characterRead MoreThe Tragedy Of King Lear By William Shakespeare1671 Words   |  7 Pagestragedy. Within his theory of tragedy is the concept of the tragic hero, whose great, ironic flaw leads to his own downfall. The tragic hero is of an elevated position in society but should, all the same, be a character with whom the audience can relate. The hero undergoes a massive revelation and experiences dramati c enlightenment. The tragedy of King Lear, written by William Shakespeare, illustrates the story of a proud and self-centered king, whose obtuse judgement shapes his demise. Lear’s impulsive