Final answer:
The Coca-Cola Company created Mr Pibb to compete against Dr Pepper. The competition in the soft drink industry can be intense, and establishing a new brand against established names like Coca-Cola and Dr Pepper is a challenge due to loyal customer bases and significant advertising budgets.
Step-by-step explanation:
The soft drink specifically created by the Coca-Cola Company to compete against Dr Pepper was Mr Pibb, now known as Pibb Xtra. When considering the strategic moves of large corporations, competition is a critical element. The Coca-Cola Company recognized the popularity of Dr Pepper and introduced Mr Pibb as a similar spiced cherry-flavored soft drink. However, the attempt to compete within the same flavor domain illustrates the intense rivalry between different soft drink brands. Although Coca-Cola and Dr Pepper cater to similar tastes, the idea was to capture some of the market share that Dr Pepper had secured.
In the competitive landscape of soft drinks, established brands like Coca-Cola and Pepsi can discourage new competitors through their hefty advertising budgets and brand loyalty. This situation shows that even when a new product is introduced, it may not necessarily capture the majority preference if the existing brand is strongly established and preferred by the consumers.