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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"

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