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The Competition of Beverage Products in Global Market Share
Elshad Mammadbayov(*), Ratih Hurriyati, Heny Hendrayati

Management, Pascasarjana, Universitas Pendidikan Indonesia


Abstract

The beverage sector plays an important role in consumers’ daily diet. Beverage industy is continously growing sector in all over the world. The beverage industry consists of two major categories and eight sub-groups. The non-alcoholic category is comprised of soft drink syrup manufacture; soft drink and water bottling and canning; fruit juices bottling, canning and boxing; the coffee industry and the tea industry. Alcoholic beverage categories include distilled spirits, wine and brewing. The aim of this article is how these companies compete with each other. This study uses recent scanner data to develop a demand analysis to examine the competition of various beverages. The data in this article were analyzed with SPSS 23. To obtain reliable demand and elasticity estimates, I test for valid aggregations using the generalized composite commodity theorem. Results suggest that while consumers substitute refrigerated juice with low calorie drinks, a larger proportion of consumers substitute regular soft drinks with fruit drinks.

Keywords: beverage industry, fruit beverages, soft drinks

Topic: Marketing Management

Plain Format | Corresponding Author (Elshad Mammadbayov)

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