U.S. cola companies entered the global market because of:
A) limited growth opportunities in their domestic market.
B) lower labor costs in the emerging markets.
C) economies of scale that offset research and development costs.
D) an increase in the return on investment from their U.S. bottling plants.

Question

Quizplus · Accepted Answer

U.S. cola companies, such as Coca-Cola and PepsiCo, entered the global market due to limited growth opportunities in their domestic market. As the U.S. market became saturated with competition, these companies looked to expand their sales and profits by entering new markets overseas. This allowed them to increase their customer base and revenue streams, ultimately leading to greater financial success.

US Cola Companies Entered the Global Market Because Of