PepsiCo, Inc (NYSE:PEP) has been performing quite well in the world markets, selling large volumes of its Large 2-liter bottles of Mountain Dew and Pepsi. Market dynamics have somehow shaken the markets in a way, and sources cite that as the main explanation behind the sudden disappearance of the bottles from the Philadelphia stores.
This was in a tax evasion strategy that would see the company evade the so-called soda tax which usually charges in terms of ounces. The smaller cans and bottles are at the moment replacing the larger bottles.
Information from some trusted sources have also revealed that Coca-Cola Co (NYSE:KO) has been doing the same thing lately. The costly Philadelphia Beverage Tax is a major setback to the hard-working, value-oriented families.
This is because it is standing on their way to accessing multi-packs and the larger package sizes and that is of course on affordability grounds. The worst part of it all lies in the fact that this is exactly where the tax burden is highest.
The company’s spokesperson in making a statement on behalf of the company stated that they were focusing on laying down strategies that would oversee that the needs of working families are met in the best way possible.
He added to say that the new move would produce a positive impact to its partners as well as its retails. They will have the best opportunity to succeed in the new business challenging environment. The issue of products going out of date will also be countered in the process.
According to the full company’s portfolio for beverages, it was clear to see that indeed all the package sizes would be made available beyond the city’s borders.
After being prodded with unending questions by the news reporters, the spokesman narrowed down to stating that the new taxation was in no way beneficial to the company’s customers. It is rather disappointing that at the moment consumers are being forced to close their business to travel outside the city to do shopping. The new wave has hurt the small businesses in a big way and this is something that needs to change at all costs!