Saturday, January 03, 2009

Shame On PepsiCo!

Looks like the Pepsi Company is suing a company for importing and selling a better version of their product.
PepsiCo says a metro Atlanta company is illegally distributing a Mexican version of its soda in Georgia, according to a lawsuit pending in federal court.

PepsiCo, the beverage and snack foods giant based in Purchase, N.Y., alleges in the lawsuit that Clayton Distributing Co. violated trademark laws, committed fraud and engaged in unfair and deceptive trade practices by distributing Mexican Pepsi in the United States.
Clayton Distributing has not been authorized to distribute the Pepsi product, Pepsi said in the lawsuit filed in U.S. District Court in Atlanta.

The Mexican product also is not intended for distribution in the United States, the company said. The labels do not comply with Food and Drug Administration or PepsiCo standards for the United States and the product could deteriorate during shipping.

“The Mexican product is neither authorized nor intended for exportation out of Mexico,” Pepsi said in its filing.

The lawsuit was filed Dec. 17. The court records do not show a response yet by Clayton Distributing. Clayton lists Austell as its principal office and Kennesaw as the address for its registered agent.
This is hardly the way to treat brand loyalty. Customers want something that you're not willing to provide, a product sweetened with Cane Sugar and not with that foul tasting HFCS. Here's a hint, Pepsi. Back off and let your customers have what they really want, even if you refuse to meet that market need. This is obviously what they want. I notice that I haven't seen the Coca~Cola company doing this to people who distribute their Mexican product.Maybe there's a model there for you to emulate?

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