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Pepsi’s $32 Billion Typo Caused Deadly Riots
How they accidentally made a promise they couldn’t keep
HYPERLINK “https://medium.com/@seanjkernan?source=post_page—–3d671295d1bd———————-”
HYPERLINK “https://medium.com/@seanjkernan?source=post_page—–3d671295d1bd———————-”
Sean KernanJun 9 · 4 min read
Source: pic via Lai Tsan Chan
Imagine working in the hot streets of Manila in the early 1990s. You are a butcher, slaving away in a loud, humid market for long hours. You only make several dollars a day to support a large family.
One evening, you are holding a Pepsi bottle cap in your hand. On it is a number. You bought several of these sodas in hopes of winning a big $40,000 giveaway at the end of the promotion. This money could change your family’s life. It is a mountain of earnings in a world of limited opportunities. You watch as Pepsi begins reading off the winners on TV.
Suddenly, you realize you’ve won. Incredulous, you quadruple check your numbers. The number is accurate. Your heart begins racing as you rush to call your wife and kids. However, you, and many winners like you, will never see that money. But at least you won’t lose your life, like some.
It started a year prior.
Pepsi was trying to break into the Philippine market where Coca-Cola was already dominant. This was the 12th largest soft drink market, with a rapidly growing population of 62 million people.
The economy was weak. Lots of people struggling to make ends meet. Tens of millions worked in rice fields and other physically demanding, low paying jobs.
It is a beautiful country. I lived there for years. This is Banaue (Source: pic via Palu Malerba)
Pepsi executives decided to do a promotional campaign that promised to have lots of payouts. Each Pepsi bottle cap would have a number that correlated to a prize that would be announced. There were be lots of small winners and then two huge winners of $40,000 each.
One Massive, Massive Problem
Pepsi hoped the allure of prize money would convert many of the low-income Coke drinkers. They strategically planned to give out a total of $2M in prizes.
However, a computer glitch with one of Pepsi’s vendors caused them to manufacture 800,000 bottles with the number “349” on the bottle cap.
Most bottles are manufactured on a several stage conveyer belt: bottle, pouring, capping, then labeling. (Source: pic via Delmarvanow)
The number “349” was the $40,000 winning number.
Pepsi had explicitly told its vendor factories not to print this number at all. The two bottles with that number would be specially manufactured and sent to the Philippines by Pepsi themselves.
So here is Pepsi, churning along each month, not knowing they accidentally sent $32 billion worth of winning caps to the Philippines. Meanwhile, everyone in the Philippines is going bananas for this promotion, buying up all the soda bottles. This disruptive campaign increased Pepsi’s market share from 4% to 24.9% in just two months.
Fast Forward. The big day arrives. All the Filipinos have their TV’s on. Pepsi goes on to announce the winning bottlecap number, 349, and across the Philippines, crowds of people are cheering. They’ve won enough money to buy a large house.
Pepsi then realizes they’ve made a terrible mistake. They do their whole, “Whoa whoa whoa, hold up.”
The optics of the situation aren’t pretty. You have this first world multibillion-dollar business that has made this huge monetary promise to these poor people, only to backpedal and blame it on a system error. One could see how it wouldn’t sit well with a rice farmer.
Pepsi realizes they can’t just walk away without paying anything. They make an offer of $18 to each patron. It came out to $8.7M in total payouts, versus their original budget of $2M. The people don’t find this offer very appetizing.
A 349 Alliance consumer action group forms. They begin protesting across Manila, in front of government buildings as well as Pepsi’s local headquarters.
Source: pic via Romeo Gacad Getty Images
Things start to get more violent. Then, full-blown riots break out. More than 30 Pepsi trucks are firebombed in the process.
Source: Pic via ImgurThen the situation escalates even more. Police are called in and rioters begin fighting with them, throwing rocks.
Source: Pic via ImgurThe police begin lobbing tear gas canisters at the protestors. Then a random protester throws a live grenade that ricochets off of a Pepsi truck and accidentally kills a woman and a young girl.
The fighting continues on throughout the day. By the end of all the carnage, five people die and dozens more are wounded. All because of a marketing promotion went wrong.
Following all of this, Pepsi faced thousands of court claims that it had to work through in the following years. There was a lengthy trial and the Philippine commerce courts eventually ruled that Pepsi’s mistake wasn’t malicious and it hadn’t committed a crime.
At the end of everything, Pepsi’s total combined losses, between physical, legal, and brand equity costs, would top $20M. Their market share would plummet and take years to rebound.
But Pepsi, ever the resilient brand, would recover its market share in due time. But not before “revisiting” a few of their internal processes.
Most significant event and its impact in life.
Professor’s name
Student’s name
Due date
Course title: Psychology
Topic: most significant event and its impact in life.
Life is made up of twists and turns that occur at every point and stage in life and whatever happens may have a huge impact in our future lives. The significance of the events that occur in our lives is that they supposed to shape us and to make us wiser and more experienced in life. Significant events are usually easy to recall and they are easy to point out for they are vividly stored in our memories. The most important event that took place in my life before I got to adulthood was the planning of what I want to major on when it comes to what career I wanted in life, to be a paediatrician.
The decision that I made on what I want to be when I grow up remains accurate and it is easy to recall when the decision was made and where it was made. As children grow towards maturity and adolescence, they tend to make decision who they want to be when they grow up; what career path they would want to follow. When that event occurs it becomes an unforgettable memory that teaches us a lesson that will greatly impact our future lives and forms the basic guidelines of life. What makes the event unforgettable? Neurobiological studies and psychologists have concluded that an event or life experience based on emotion is more likely to be vividly recalled. Choosing to be a paediatrician as a career in future, was based on my passion and love for children which is what I found fit for me as a career in future; this makes the event emotionally based hence it is stored in the memory in a way that would be hard to forget.
The subjective well being of an individual refers to how people experience the quality of life based on emotion and the cognitive decisions people make (Hutchison, 2013). The subjective well being of a person tends to depend on ones personality and the emotions one has towards a certain factor. Cognition is defined as the processing of information and the making of changes based on ones preferences; while making the decision to specialize on child care, my love for children was the main motivating factor and preferring to take care of their health made me choose this specific career. That decision has greatly impacted my current life and has made me appreciate children and their health. Taking care of a child’s health helps build the society and giving the community a strong foundation for a better lifestyle. The decision, being a health specialist has helped in developing a love for taking care of life and to aid people (children) when they are suffering from ailments. It has helped build self esteem since one feels proud when they save a life or help a suffering child. Being content and happy of what you do is an element of subjective well being of a person and this has a positive impact on one’s life as people get to make decisions which make them proud of themselves in future. The event has affected my subjective life in a positive way as am always happy with what I do and has made me value life and to always appreciate children and take good care of them.
The development theory describes the study of a child’s growth to adulthood and helps us to appreciate the cognitive, emotional, social and physical growth of children (Hutchison, 2013). The theory stipulates that what a child grows knowing and the environment they grow in helps determine what they will be and it shapes their future. My love for children grew at an early age as I had to take care of my younger siblings, feeding them, making sure they are clean and always took them to the clinic whenever they were ill. That was what lead me to make the decision to major on Paediatrics and currently that decision has greatly influenced my life as the need to care for children grew form cleaning and feeding them to taking care of their health and giving them a chance to be healthy and to some extent being a mentor to some. It enabled me to extend my love for children to other children and has enabled me to appreciate the importance of children in the society and what role they play; hence becomes a motivation to always take care of them.
Significant events that have an impact on our emotions and how we feel greatly impacts our health (Hutchison, 2013), the negative impacts of the event in my life were; getting to see children suffer from illnesses and seeing them in pain lead to mild state of depression as the sight of suffering children was overwhelming. Getting too absorbed in helping and taking care of the children to the extent of denying yourself time with others; this builds a negative impact on ones social life and leads to one pulling away from friends and family which is not healthy as far as one’s social life is concerned and this tends to also have a negative impact on one’s health. Positive impacts of the event are; one gets to develop self esteem and pride since one is content and happy by helping someone in need. It also helped me develop my personality through help other people in a better way which makes me content and proud; this has a positive impact on personal health since one tends to be happy.
References:
Hutchison, E.D (2013). Essentials of human behaviour: integrating person, environment, and the life course. Los Angeles: SAGE.
Adolescence through the Lens
HDev312 Spring 2022Dr. FeltonPaper Assignment: Film AnalysisDue: In Forum Group’s Paper Forum by 11:59 p.m. Sunday, May 1st
Adolescence through the Lens of A Feature Film
This assignment asks you to analyze a feature film about adolescence by applying concepts, dynamics, processes, and issues addressed in our course readings. You’ll draw primarily on readings from Week Six on through the semester. For example: topics pertaining to adolescents’ family, peers and friendships, romantic relationships, sexual identity, the role of smartphones and social media in adolescents’ everyday lives, school as a context for development, work and career aspirations and possibilities, problems such as drug abuse or mental illness, or challenges such as unplanned early pregnancy (among other concerns). You may also draw on readings from the first part of the semester on the teenage brain, risk-taking and adolescent cognition and on pubertal timing.
[Note: An alternate option for selecting a novel or a non-fiction memoir is listed at the end of these guidelines.]
Select ONE of the Following Films:
Hoop Dreams (1994)
Bend it Like Beckham (2002)
Love and Basketball (2000)
Our Song (2001)
Real Women Have Curves (2002)Girl, Interrupted (1999)
Eighth Grade (2018)
Juno (2007)Quinceañera (2006)
Love, Concord (2012)
The Spectacular Now (2013)
The Wood (1999)
Dope (2015)
ATL (2006)The Kings of Summer (2013)
Lean on Me (1989)
Coach Carter (2005)
Boyz n the Hood (1991)
The Hate You Give (2018)
Mean Girls (2004)
Love, Simon (2018)
Mosquita & Mari (2012)
The Perks of being a Wallflower (2012)
All of these films are widely available and each reflect many of the themes addressed in our text’s readings.
Your task is to identify concepts, ideas, and insights we’ve been addressing and to apply them to the central character(s) and experiences depicted in the film. Your paper is NOT meant to be an exhaustive survey of all of the concepts depicted; rather, your task is to select 6 concepts, processes and/or dynamics and explore them in depth by focusing in on specific instances in the film. Use the specific examples from the film to explain how the experiences depicted are consistent or inconsistent with the research presented in our readings. For example, if you select Juno, you might address the following concepts, dynamics, and issues: the social support offered by peers, adolescents’ increasing levels of autonomy in the family system, or challenges, risks, and protective factors related to an early unplanned pregnancy.
When citing the text or other course materials verbatim (directly) or when paraphrasing (indirectly), be sure to identify the relevant page number(s). Use in-text citation.
Tips on developing your paper:
Availability of Films: at independent and chain video stores; through Netflix, iTunes, and other online sources; through your local library.
Having a good grasp of the film means that you will need to watch it more than once. You’ll also want to take notes. Remember, your primary purpose in viewing the film is for analysis, not entertainment (although an appreciation for the film will support your engagement). You’ll want to view the film critically, considering how the film depicts themes and concepts discussed in the readings and viewing material addressed from Week Six on. Strategies for Note-taking: Some students prefer to take notes during their first viewing of the film (when the story and characters are fresh and unfamiliar). Others choose to make notes after their first viewing, and then re-view the film and make more detailed notes. Whatever strategy you choose, you will need to view the film more than once, and you may view portions of it multiple times. You’ll also want to jot down relevant bits of verbatim dialogue and descriptions of events that you’ll incorporate in your writing.
Provide an introductory paragraph that BRIEFLY summarizes the arc of the film (4-5 sentences max), and then tell readers of your paper why it’s a particularly useful film for addressing specific dynamics, processes and challenges that adolescents face. Make sure to identify the 6 concepts or processes that you’ll be focusing on for your paper.
Your paper must be thoughtfully developed. Focus your analysis on one or two central characters. Also, be sure to refer to the characters by name (not by the name of the actor playing the role). If you aren’t sure of characters’ names, you can find them on imdb.com (Internet Movie Database), or by rolling the film credits at the end of the film.
Remember, you’re not being asked to review the film or write up your reactions to the film. Your task is to examine how the film illuminates and helps us to understand the various phenomena that we are studying.
Papers will be posted in your Forum Group’s Paper Forum.
Alternate Assignment Option:
Some of you may prefer to skip the added screen time needed for this assignment. If that’s the case, you may select a novel or a non-fiction book or memoir that focuses on the adolescent experience through the lens of a specific teen. This may also be a way for you to focus in greater depth on particular issues facing adolescents. For example, you might want to address autism or neurodiversity, homelessness, activism, a highly creative adolescent, or drug addiction. Please email me directly with the title of the text that you plan to use.
[Note: For either option (the film or a book about an adolescent): If you find that our course materials are insufficient in addressing the themes (dynamics, processes, issues) that you want to examine, you may certainly opt to bring in outside sources. However, outside sources are not required.]