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Wth Is This Est Cola Crap....?


TheCorinthian

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How is that relevant to the situation?

 

EST and Pizza Company now are bigger advertisers than Pepsi and Pizza Hut (in Thailand).

 

Both Serm Suk and Minor Food Group were paid to operate - they did not benefit from the sale of the goods (brand) - that was Pepsi-Thai Trading and Yum Foods Thailand.

But of course both Serm Suk and Minor benefited when the principals sold more product.

 

In both cases - Pepsi-Thai and Yum Foods wanted to control the entire process - and that is fine - they didn't break their contracts - they just didn't renew them with Serm Suk / Minor Foods. Now the specifics of each are for sure up to interpretation of who wanted more from the deal - but in the end I respect both Serm Suk and Minor Food for going out on their own.

 

All those Pepsi trucks were not owned by Pepsi, all the distribution network was not managed by Pepsi; it was all Serm Suks. So they had to take a huge gamble to go out on their own. Will it work? Time will tell, but for Minor Group, they are stronger now than before.

 

So - what is wrong here?

 

What if Kratang Daeng had a contract to allow them to take back the worldwide rights of Red Bull, including the name? Would it be not ok for the present Red Bull company to start up their own company and basically do the exact same thing?

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They learn quick. To be honest it's actually shrewd business in a given climate and it worked.

 

Interesting footnote: Pizza Company is one of the few places left that has an exclusive contract with Pepsi. Literally. You won't find Est cola at Pizza Company. Nope.

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Sorry Cent - but I see the things exactly opposite to your view - on both the EST and Pizza Company.

 

Neither company wanted (in my opinion) to separate, it was the Pepsi and Pizza Hut who wanted to take over the years of work that the two local companies had invested. Both are actually great examples of how adversity forced them into action, and so far both have succeeded.

 

For EST/Serm Suk - they have to sell their product - just because they have the connections to the the customers doesn't mean that they will continue - so they have to improve to keep. They did not steal anything - Pepsi (and Coke) is not MADE here - the syrup is imported and only mixed at the bottler. So Serm Suk had to source another supplier - believe from China -and as many mentioned - the taste is not the same.

 

Pepsi will come back - but they will invest hundreds of millions of baht to get back their market share - which was developed for them by Serm Suk.

 

My 2 cents!

 

PM....agree 100%

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