Hbr Case: Introducing New Coke

HBR Case Study: “Introducing New Coke”

1. What is the case about?

This case study is the story of Coca-Cola, its history and the report about one of the most fascinating stories about the company this is still regarded by many as a mysterious case: “the introduction of the new Coke”.

The author Susan Fournier, in the case study went on by presenting the history of the Coca-Cola Company: how the company started and how throughout its history it became a brand, a part of everyone’s life both nationally and globally. Anecdotes and little stories were told about how Coca-Cola became a part of the American Culture, it how it changed the way consumers around the world perceived the Christmas holiday (Coca-Cola Classic Santa Claus).

Midway through the case study, the author introduced what is still perceived today as one of the most intrigued case studies: the way Coca-Cola handled one of its competitors, Pepsi-Cola, and the introduction of the new Coke. The author walked us through how with marketing research, product testing (The Pepsi Challenge) and effective advertising, Pepsi-Cola was able to introduce itself in the American culture. Pepsi became Coca-Cola’s fierce competitor and started getting a growing share of the market of soft drinks.

Blinded by internal and other distractions, Coca-Cola was caught by surprise when introduced “the Pepsi Challenge”, a series of blind tests where potential consumers tasted both Pepsi and Coke, with the results concluding that Pepsi had a better taste than Coke. Coca-Cola quick called the move false advertisement and conducted its own blind test only to realized what was already stated.

With changes in the company’s management, the focus was put on fixing the problem, an order was passed by the new chairman of the company to find a new taste for the product and presenting it to the public. The company did some research and decided to launch the new product. What Coca-Cola...