Profit analysis：Coca-cola company vs. Pepsi company
Xiao Qian
Co-Presenters: Individual Presentation
College: College of Business and Public Management
Major: Finance
Faculty Research Mentor: Huaibing Yu
Abstract:
This study presents a comparative profit analysis of The Coca-Cola Company and PepsiCo, two leading global beverage corporations. By examining key financial statements and profitability indicators from the past five years, the research aims to identify the primary drivers of each company’s profit growth and assess their overall financial health. The analysis focuses on metrics such as gross margin, operating margin, net profit margin, and return on equity, offering insight into how these measures reflect strategic decisions regarding pricing, cost control, and product diversification.In addition, this research explores external factors that affect profitability, including macroeconomic trends and shifting consumer preferences toward healthier options. By evaluating both companies’ responses to these market forces—through product innovation, mergers and acquisitions, and global expansion strategies—the study highlights potential advantages and risks that can influence long-term financial performance. Ultimately, the findings underscore how Coca-Cola and PepsiCo’s distinct approaches to product development, marketing, and global positioning shape their profitability and competitive edge within the beverage industry.