Exploring Stakeholder Challenges and Strategic Responses to Counter the Influence of Fake News: A Qualitative Case Study of PepsiCo and Coca-Cola South Punjab’s Beverage Industry

Abstract

This paper has discussed the issues of controlling fake news in the soft drink sector of South Punjab, Pakistan, in the case of Coca-Cola and PepsiCo. The research design adopted was a qualitative research design where purposive sampling was used to sample the key informants, who included marketing professionals, brand managers, PR experts, and government officials. The data were gathered, and the analysis used the triangulation method to ensure reliability and credibility. The research established that the beverage companies were struggling with some major issues, such as the lack of real-time monitoring, poor consumer digital literacy, a lack of effective cooperation with regulators, inefficient localization crisis response, mismanaged emotional response, using fact-checking, inefficient community engagement and CSR integration, and culturally insensitive messaging. These difficulties made brand credibility weaker, increased misinformation speed, and lowered the confidence of the populace. Resting on the results, the research proposed some strategic interventions and recommendations, including forming AI-based units of monitoring, local crisis-communicating models, cooperating with local media and fact-check organizations, training about digital literacy, CSR-driven community involvement, culturally and religiously oriented messaging, employee and stakeholder training, and proactive anti-narrative campaigns. Two research questions guided the study: (1) What were the main challenges faced by beverage companies in South Punjab in managing fake news? (2) What strategies could be employed to mitigate the influence of misinformation and restore consumer trust? The study provided actionable insights for the beverage sector and policymakers, highlighting the importance of real-time monitoring, culturally attuned communication, and collaborative approaches in combating misinformation.