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Caleb Bradham invented and developed Pepsi in 1893 when it was first introduced under the name Brad's Drink. In 1898, the name was changed to Pepsi-Cola, and in 1961, it was abbreviated to Pepsi.

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Caleb Bradham, a pharmacist from New Bern, North Carolina, created a beverage in 1893 that initially bore the simple name "Brad's Drink." Bradham was conducting experiments at his drugstore, where he aimed to create a fountain drink that was delicious and would aid in digestion and boost energy. The concoction he arrived at consisted primarily of sugar, water, caramel, lemon oil, nutmeg, and other natural additives. Brad's Drink became instantly popular among his customers for its refreshing taste and digestive benefits.

In 1898, Bradham decided to rename his increasingly popular beverage "Pepsi-Cola," a name derived from the digestive enzyme pepsin and kola nuts used in the recipe. The new name was meant to reinforce the health benefits Bradham claimed his drink provided, emphasizing its digestibility and its roots in the cola nut and pepsin formula. This change marked the beginning of the brand’s journey to becoming a household name.

By the 20th century, Pepsi-Cola faced fierce competition, especially from Coca-Cola, another cola-brand that had originated in the late 19th century. Over the decades, Pepsi would undergo various marketing campaigns and formula changes in efforts to differentiate itself from its competitors. In 1961, recognizing a trend toward a simpler and more direct branding approach, the company officially shortened its name to "Pepsi." This change coincided with a more aggressive marketing strategy that focused on younger consumers, a demographic that turned out to be crucial for the brand’s growth in the coming years.

Today, Pepsi is recognized worldwide as a leading figure in the soft drink market, continuously evolving with new flavors and varieties to meet the changing tastes and preferences of consumers globally. Although decades have passed since Caleb Bradham mixed his first batch of what would become Pepsi, the core idea of producing a refreshing and enjoyable drink remains at the heart of Pepsi's operations.