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Mexican Coke bottler gets in shape (sidebar)

Where the markets are

Pw 25515 Mex Coke Sb 1

Not surprisingly, it is in the mature markets of northern Mexico where the success of the contour Coke has been most pronounced. "Since its introduction a year ago, the contour bottle has grown to hold over 14 percent market share in Mexicali. Within two months of the bottle's introduction, it was clear we couldn't keep up with demand," says Luis Fernandez. project manager at Mexican Coke bottler Sistema Argos. "We immediately began planning the second contour blow-molding operation in Hermosillo. There , the contour bottle took more than 2.5 percent market share in the first month."

While the devaluation of the peso hurts most of Mexico, there have been some positive repercussions along the U.S. border towns. The price differential between consumer goods in Mexico and the U.S. encourages Mexicans and U.S. citizens alike to shop on the Mexican side of the border. On an industrial level, the wage differential encourages international manufacturers to set up assembly operations along the border. This booming "Maquilladora" industry offers Mexican workers an attractive standard of living with decent spending power. While Sistema Argos sales grew 2% overall this year, sales in border towns increased 15%.

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