Coca-Cola was faced with a gradually declining market share as Pepsi gained and surpassed Coke in market share. The underlying reason for the slide of Coke was a change in consumer preferences toward a sweeter, less carbonated drink, like Pepsi. Thus, the decision problem for Coke management was how to combat Pepsi given this change in consumer tastes. Specifically, should Coke introduce a new brand more attuned to consumer tastes to combat Pepsi?