in what ways Pepsi and Coke exhibitinterdependencein the soft drink market. This market structure has a number of defining characteristics. The purpose of this discussion is to provide evidence, or disclaimers, that (1) Pepsi is part of an oligopoly, and that (2) as such, Pepsi determines its marketing strategy by closely studying the strategy of Coca-Cola. Once the leadoff entries are posted, others are expected to support or challenge the points made.