For more than a century, Coke and Pepsi competed for the world’s beverage market, and most intensely in the carbonated soft drink industry. The fierce and endless cola wars actually accelerated the flourish of these two giant companies, creating a win-win situation at the cost of small competitors. Their massive campaign strategy excluded potential entrants entering the huge profitable soft drink industry. It requires a lot of money and a long period of time to build brand image and loyalty through marketing campaign and advertising. Small competitors were not able to reach the economics of scale on the marketing spending due to the low sales volume. Retailers are reluctant to provide their limited and valuable shelf spaces to new entrants as retailers have enjoyed significant margins on Coke and Pepsi already. Through “joint efforts” under the shield of competition, Coke and Pepsi created high barrier to enter and defeated small competitors, acting as Duopoly, which ensured their absolute control over price. It is one of reasons that “carbonated sugar water”, the so called cola, brings billions of dollars to Coke and Pepsi.