majority of their revenue. Each company has a Master Bottler Contract. These bottlers entered into franchising agreements which allowed concentrate producers the rights to determine concentrate price. They also had no legal obligation to assist bottlers with advertising or marketing. This considerably weakening bargaining power, and over the past two decades concentrate producers have regularly raised prices by more than the increase in inflation. In addition, concentrate producers granted exclusive territories to their bottlers, causing them to have no alternative suppliers. Fast-food restaurants, on the other hand, lost bargaining power due to acquisitions. Pepsi acquired Pizza Hut, Taco Bell and KFC while Coke retained exclusive pouring rights with Burger King and McDonalds.
【买家议价能力】——买家的议价能力也很低。2009年，可口可乐和百事可乐控制了美国72%的软饮料销售额。在同一时期，美国人平均每年消耗约46加仑苏打水。然而，由于软饮料的平均价格不到2美元，个人购买相对来说微不足道。CSD行业的主要买家是瓶装商和快餐店，他们直接从制造商那里购买浓缩液。这是可口可乐和百事可乐的大部分收入来源。每家公司都有一份瓶装主合同。这些灌装商签订了特许经营协议，允许精矿生产商有权决定精矿价格。他们也没有法律义务协助装瓶商进行广告或营销。这大大削弱了议价能力，在过去二十年中，精矿生产商的提价幅度经常超过通货膨胀的幅度。此外，浓缩液生产商将独家经营权授予其装瓶商，导致他们没有其他供应商。另一方面，快餐店由于收购而失去了议价能力。百事可乐收购了必胜客、塔可钟和肯德基，而可口可乐保留了汉堡王和麦当劳的独家权。
[Intensity of Rivalry] – The intensity of rivalry is made up of two main players, Coke and Pepsi control 72% of the market. The few other smaller competitors consist of Dr. Pepper, Snapple Group and Cott Corporation. Growth rate of the CSD industry is not rapid making it difficult for smaller competitors to thrive. Brand loyalty and recognition is everything, and these companies have huge advertising budgets. Coke made enormous investments even to support its bottling network, contributing $540 million in marketing support payments to its top bottler. Each company spends a large portion of their time on analyzing and tracking consumption habits, market trends and consumer purchasing patterns. For concentrate producers, exit barriers are relatively low, however, advertisements and contractual agreements with bottling companies make it more difficult to escape the industry. For bottlers, exit barriers are high due to the cost of machines.
[竞争强度]–竞争强度由两个主要参与者组成，可口可乐和百事可乐控制着72%的市场。其他为数不多的小型竞争对手包括Dr.Pepper、Snapple Group和Cott Corporation。CSD行业的增长速度并不快，这使得较小的竞争对手难以蓬勃发展。品牌忠诚度和认可度就是一切，而这些公司拥有庞大的广告预算。可口可乐甚至为支持其装瓶网络进行了巨额投资，向其顶级装瓶商提供了5.4亿美元的营销支持付款。每家公司都将大部分时间用于分析和跟踪消费习惯、市场趋势和消费者购买模式。对于精矿生产商来说，退出壁垒相对较低，然而，广告和与装瓶公司的合同协议使其更难逃离该行业。对于灌装商来说，由于机器的成本，出口壁垒很高。
The CSD Industry has historically been so profitable because threat of new entrants is low. Start-up costs are hundreds of millions of dollars. Federal regulations and licensing restrict new players, and distribution channels are difficult to establish. Bargaining power of suppliers are low because there are plenty of them making switching between them easy and cheap. Bargaining power of buyers is also low due to franchising agreements, territory barriers and pouring rights. Intensity of rivalry is also low even though it’s very competitive between the top players. The only downfall to this industry is the threat of substitutes which has illuminated the importance of health and fitness. The growth of this industry has been stagnant because of these new trends. However, advertising campaigns and brand loyalty have caused the main players to thrive.
CSD行业历来利润丰厚，因为新进入者的威胁很低。启动成本高达数亿美元。联邦法规和许可证限制了新玩家，分销渠道也很难建立。供应商的议价能力很低，因为有很多供应商，所以在它们之间进行切换既容易又便宜。由于特许经营协议、领土壁垒和倾倒权，买家的议价能力也很低。尽管顶级选手之间的竞争非常激烈，但竞争强度也很低。这个行业唯一的衰落是替代品的威胁，这说明了健康和健身的重要性。由于这些新趋势，这个行业的增长一直停滞不前。然而，广告活动和品牌忠诚度使主要参与者蓬勃发展。
CDS Business vs. Bottling Business:CDS业务与装瓶业务
Concentrate manufacturers blend raw ingredients, package the mixture in plastic wrapping, and ship the concentrate to the bottler and fast-food chains. This production process involves relatively little capital investment in machinery, overhead and labor. A manufacturing plant capable of supplying the U.S could cost anywhere between $50 million to $100 million to build. A concentrate producer’s most significant costs are advertising, promotion, market r
