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This article concerns the oligopoly of Coca-Cola and Pepsi in the soft-drinks industry. It is a non-collusive oligopoly; and the two firms compete in order to gain consumers and maximize profits. Although this is usually apparent through non-price competition (as price competition can result in heavy losses for both firms), in this situation in India, Coca-Cola is reducing its prices in order to gain consumers. Pepsi will then follow suit, also reducing its prices, as if it doesn't it may lose many consumers to Coca-Cola.