1. Introduction
Major characteristics of the Brazilian soft drink market
Brazil is the third largest operation of Coca-Cola after Mexico, and the second largest company in the international market. Brazil is among the ten largest economies in the world in 2004. The country population of about 180 million people living in more than the U.S. mainland.
Due to the successful economic stabilization and reform in 1990 for restore and strengthen the purchasing power of the population with low incomes. This reform has allowed withdrawing the country's economy from the period of stagnation, and increased sales, per capita consumption of soda shot up by 60% between 1994 and 1999.6. The main buyers in Brazil are social class C. In Brazil have 5 social classes defined by income, education, and material property of the population. Categories A and B have a high level of income, education and purchasing power. Categories D and E are not involved in the purchase and cannot afford the extra costs of basic goods and services. Class C consumers have been described as typical lower middle class workers and account for 12.6 million Brazilian households.
Over the decades, Brazil's consumer market depends on the consumer habits of the population classes C that led to a significant loss of market share brand leader in several categories. Because of the emergence of cheap local products market share of leading global consumer products is not limited to soda drinks. Introduced to market global brands of different product categories are already in use in developing countries.
In Brazil, soft drinks were sold in various containers, containers made of glass, PET, and aluminum, with the possibilities, which ranged from 200 ml to 2.5 liters. There are over 3,500 brands of soft drinks in Brazil, is produced in more than 700 plants, in accordance with Coca-Cola Company, which operates in more than two hundred countries since 2001, initiated business in Brazil in 1942. The Brazilian...