Narragansett Products is regional producer of soft drinks and sells mainly in the state of New Hampshire, Massachusetts and Rhode Island. Three years ago, in 1993 , it made the decision to diversify into the bottled water industry, whose market enjoys a good reputation is a health-conscious America and is especially popular in areas where the quality of municipally provided eater is suspect. Firms cater to businesses and home, obtaining income mainly from the delivery of bottled water and the rental of water cooler. The market Narragansett entered has one highly successful firm, Mineral Springs, which is family owned with yearly sales of about $6 million. The next largest firm is Beaumont Water, and there are 10 extremely small companies with one or two trucks, six of which have appeared in the last two years.