Coke, Pepsi battle over bottled water
Not long ago, Coca-Cola Co. and PepsiCo pulled off a remarkable feat: converting the world’s most plentiful liquid — water — into a product wrapped in brand images, aspirations and marketing hooks.
It was easy to get excited about bottled water three years ago, as sales were rising smartly. The mergers and acquisitions reflected it. In 2007, Coca-Cola Co. plunked down a cool $4.1 billion to buy Glaceau, the maker of Vitaminwater. It was Coca-Cola’s largest purchase ever.
Things are much less exciting now for Coca-Cola and PepsiCo. The old rivals are now locked in a similar predicament. As a recession and economic uncertainty have caused shoppers to cut their spending, big bottled water brands have suffered.
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