Though the two soda giants have been global rivals for
decades, the Arab world until recently was almost exclusively Pepsi territory. For almost 25 years, Coca-Cola was boycotted in many Arab countries over its alleged support for Israel. It started
selling again in the Middle East in 1990 and has built its market share to about 35%.
Both companies have focused their marketing on young people through association with the region's pop stars. "Most of television content here focuses on entertainment and more specifically music," says Ali Araj, a manager at MBC, a Dubai satellite television media group. "So it is not surprising to see that soft-drink companies look for endorsement by stars with a clear-cut sexual appeal."
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