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Wednesday, March 17, 2010

Pepsi today announced that it has pledged to pull out sugar related drinks from schools. Coke also have a similar stand where it does not serve aerated drinks in schools. This is for better health of our children. So says, Pepsi and Coke. So nice of them!!

But in terms of revenue they get between1-2% from schools shares. But that does not mean children will not want these sugar or aerated drinks? They will not get these in schools, so their urge to have them will increase. Meaning the consumption of these drinks might go up at homes by " school children" . Fair possibility.So the revenue loss of 1-2% might result in revenue gain of 1-2%.

This is innovation on human behavior. Did we say " Dil Mange More"

Tuesday, March 9, 2010

Every one want everything

Google want to be a twitter, Google want to be iphone, Google want to be Microsoft. except may be Google. Closer home LIC want to be bank. IRDA and SEBI has issues over insurance companies clubbing mutual fund etc etc. L&T which one knows as a construction company is into IT, Finance and more. Banks want to do every thing except simple banking of credit/debit. Brokers are becoming investment banks, which any way investment banks are. Except over the years they start behaving if they owned the money.

So crux is start doing other things once you achieve critical mass over the original business plan.Apple and Blackberries were simple fruits few years ago. Today they are complex technologies shaping human behavior. Not different from Roman or British empire????