Porter's Five Forces Topic Case Research Paper

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Although this may seem like a humorous suggestion, more and more individuals are making this choice, because of health concerns. Athletes have a wide array of energy drinks and sports drinks from which to choose, and these drinks often claim to have high amounts of protein or replenish electrolytes. Even diet colas have been shown to have certain negative metabolic effects that may inhibit weight loss. Other substitutes for colas include the caloric but more nutrient-dense skim milk, which is often promoted as healthier for children, particularly in schools that have banned colas (Mohl 2006, p.1).

On a less healthy note, coffee is a substitute for the caffeine in soda: the availability of highly sweetened coffee and tea drinks also makes it easier for people who do not like the bitter taste of coffee to drink this beverage. Other high-caffeine substitutes include Red Bull. Finally, juices offer a 'sweetness' satisfaction as a substitute for colas but with a greater nutritional 'punch.'

Buyers Schools are less apt to allow sodas to be sold within their confines than in the past. Buyers may be altering their buying habits, either out of health concerns, or of fear that soda taxes are increasing.

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Because of the wider array of choices, even soda-drinking consumers are drinking less soda.

Suppliers

As consumers shift away from soda-buying, and the relatively stable demand for branded soft drinks shrinks, suppliers are resistant to stocking new brands. Colas that are merely copies (even 'better tasting' copies) of current, popular brands and offer little original taste or value are likely not to be of interest to retailers.

Analysis: When consumers want 'the real thing' in cola form, they buy either Coke or Pepsi, depending on their preferences. The beverage market is threatened by health advocates, changing trends, and has a wide variety of potential substitutions. In this case, it is best not to 'drink the Kool-Aid' and market a new soft drink in the hyper-competitive marketplace......

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