Your entire post consists of explaining the meaning of an assertion, rather than explaining its basis. Why would you think that “cost” does not include opportunity cost?
And I don’t see why it’s accurate to say the Pepsi doesn’t have unlimited manufacturing capacity. Yes, their current manufacturing capacity is limited, but you didn’t give any explanation for why they can’t build more equipment. Without such an explanation, this makes as much sense as saying that it wouldn’t be profitable for me to run a home bakery business because there amount of flour in my house is finite.
The cost to build special equipment for this Pitch Black might be covered the absolute sales of Pitch Black, but it is doubtful that it would cover the slight increase in sales vs standard Mountain Dew—I imagine that Pitch Black drinkers would buy less standard Mountain Dew (or, failing that, other Pepsi products) if Pitch Black were available.
Your entire post consists of explaining the meaning of an assertion, rather than explaining its basis. Why would you think that “cost” does not include opportunity cost?
And I don’t see why it’s accurate to say the Pepsi doesn’t have unlimited manufacturing capacity. Yes, their current manufacturing capacity is limited, but you didn’t give any explanation for why they can’t build more equipment. Without such an explanation, this makes as much sense as saying that it wouldn’t be profitable for me to run a home bakery business because there amount of flour in my house is finite.
The cost to build special equipment for this Pitch Black might be covered the absolute sales of Pitch Black, but it is doubtful that it would cover the slight increase in sales vs standard Mountain Dew—I imagine that Pitch Black drinkers would buy less standard Mountain Dew (or, failing that, other Pepsi products) if Pitch Black were available.