Question

what is the reasons of stopping the manufacturing of coacola and fanta in seventies to thumpsup and campa cola in eighties to pepsi and coke in nineties

Answer 1

In the late seventies, there was a policy decision taken by the Government of India to replace foreign multinational companies with Indian companies in many non-essential sectors of production. Consequently, Coca Cola Company, a US multinational, was asked to leave the country. To fill up this space in the aerated soft drink sector, local brands like Campa Cola and Thumps Up flourished.In the decade of the nineties, India's economy was opened up and overseas companies were allowed to come into the country and set up their production bases. Due to this, Coca Cola Company made a re-entry into India and Pepsico made an entry here for the first time.

Answer 2

Coca Cola was invented in May 1886, by Dr. John.S. Pemberton in Atlanta, Georgia, United States of America. Coca Cola has around 400 types of beverages, among them the most successful brands are Coca Cola, Diet Coke, Fanta and Sprite with operations in around 200 countries around the world. 
 

Coca Cola entered in 1967 in the Indian market. In 1977 the Janata government came into power which wanted to promote multinational corporation into the country that is why they planned to go into partnership with them, so they requested the company to give them at least 60% shares. This policy proved to be controversial and resulted in diminishing foreign investment which affected corporations like IBM and Coca Cola and made them leave the Indian market.  
 

After Coca Cola was out of the Indian market Government decided to fill the gap in the soft drinks market by starting their own local brands. Thumbs Up and Campa Cola was one of those brands. But thumbs up gained more popularity and it enjoyed a monopoly with a much stronger market share.   
 

Then Pepsi Co saw an opportunity to come into the Indian market, after Coca Cola left. PepsiCo made two attempts to enter the Indian market the first attempt was rejected because they wanted to come into the market with their own name, but it was not allowed at that time. When they tried second time, it was approved because Pepsi Co offered employment opportunities to the people of India. PepsiCo entered the Indian market in 1988 by creating a joint venture with Punjab Agro Industrial Corporation(PAIC) and Voltas India Limited. Later in 1994 the use of foreign name was allowed then PepsiCo ended the joint venture they signed earlier. 

 

The Coca Cola re-entered the Indian economy after the gap of 16 years, on the basis of several commitments. Then again PepsiCo and Coca Cola faced another problem when the government placed ban on their products because they were blamed for using pesticides in their products. PesiCo and Coca Cola also published ads in the newspapers stating that the pesticide level is less than other products being sold in the country. 
 

Later, several tests were conducted and they announced that sample is not unsafe to use and even the level of pesticide is same as of other products. When Coca Cola was able to gain back its image, 2 years later it increased the prices in India by 10-15 percent because the allegations made on Coca Cola resulted in a decline in sales.