Some companies compete for market share, while others turn competition into part of the culture. That is what happened with Coca-Cola and Pepsi, Adidas and Puma, as well as Apple and Microsoft – three of the most recognizable business rivalries in history.
Coca-Cola vs. Pepsi: the Cola War
Coca-Cola appeared in 1886, while Pepsi followed in 1898. Initially, the main differences between them were their recipes and scale, but in the second half of the 20th century, the rivalry moved into advertising, television and the battle for consumer loyalty.
In 1975, Pepsi launched the Pepsi Challenge campaign. Participants were given two unlabeled drinks to taste and asked to indicate which one they preferred. The campaign aimed to undermine Coca-Cola’s position as the undisputed leader. Author David Greising described it as more than just advertising: „It wasn’t just a marketing ploy – it was the truth.“
Coca-Cola’s response became one of the most famous marketing failures. In 1985, the company introduced New Coke – a new recipe developed after tests showed that consumers preferred a sweeter taste. The reaction, however, was so negative that the original drink was brought back as Coca-Cola Classic. New Coke was later renamed Coke II, but failed to gain traction and was discontinued in 2002.
Adidas vs. Puma: the family feud
This rivalry began not in a boardroom, but in a family. Brothers Adolf and Rudolf Dassler began producing athletic shoes in their hometown of Herzogenaurach and founded a joint factory in 1924.
After years of tension, their relationship fell apart. Rudolf founded the company that would later be named Puma, while Adolf registered Adidas in 1949. Their factories were built on opposite sides of the Aurach River, and the division extended to the town’s residents as well – people often chose sides based on the shoes they wore and the company they worked for.
Competition between the two brands accelerated the development of sports equipment, advertising featuring famous athletes and the transformation of athletic shoes into part of everyday fashion. Adidas and Puma remain linked to the same town, but their story began with a split that continues to shape the image of both brands.
Apple vs. Microsoft: the battle for the computer
Apple was founded in 1976, while Microsoft was founded in 1975. The two companies took different paths: Apple built hardware and software around a controlled user experience, while Microsoft turned Windows into the foundation of a vast personal computer ecosystem.
In the 1990s, Microsoft dominated the market while Apple faced serious financial difficulties. After Steve Jobs’ return, Apple changed its position with products such as the iMac, iPod, iPhone and iPad. In May 2010, Apple’s market capitalization surpassed Microsoft’s – a symbolic turning point in one of the longest-running technology rivalries.
What all three stories have in common is that a competitor is not merely a threat. It forces companies to change their products, advertising and the way they communicate with consumers. Sometimes this leads to a revolution, and sometimes – to New Coke.
Sources: history.com, theguardian.com