Green Mountain Coffee Roasters (Nasdaq:GMCR) has a 10% partner that’s in for a try out. Coca Cola (NYSE:KO) Warren Buffett investment you know. So Citron research is convinced Pepsi (NYSE:PEP) will buy Soda Stream (Nasdaq:PEP) . Hmm don’t know about that.
Ponder this Bear Case Scenario for Green Mountain Coffee Roasters. This is just a market research project for Coke. If they cannot get it to work “your ass is grass baby”
The Keurig is a clever and very cool delivery mechanism. Coffee drinkers still respond and always will respond to taste. How the water is boiled is not critical. So why bets billions of dollars on how to boil the freaking water. The disruptor will figure out a way around it and probably will focus on taste just like the other competitors in the coffee trade.
Just for emphasis imagine a Vineyard with an outstanding vintage telling you its all about the glass. Wait till Coke figures that one out.
George Gutowski writes from a caveat emptor perspective.