Wrong. Theoretically under capitalism choices would exist if there was sufficient demand for other choices.
Correct, which is why there is very little choice under capitalism, and in fact the practical effect of capitalism is similar to communism - huge, monolithic organizations and very little choice for the individual. Just look at the architecture - compare the american strip mall to the Soviet apartment block!There's actually quite a variety of choice under capitalism. Soda with sugar in it just happens to be one of the areas where there isn't many, or any, available choices in this country(I'll note to you that in other countries, the same applies to soda with HFCS - you don't have it available) because there's not enough demand. However there is still a variety of different brands and flavors - tons of choices.
As far as architecture goes, I see plenty of choice there. I see lots of different styles of buildings. Strip-malls are a poor example, becuase they're designed to be cheap to build, not pleasing to the eye. If you want, you can hire an architect to design your own house - I know people who've done that, and the results were quite lovely. Hell, I could go look at Atlanta and see the variety of differing building architectures.
Choice exists in capitalism when there's demand for different choices. For most products, there is a variety of choices. Just because you are unable to get your particular niche supplied does not imply lack of choices, it only implies you aren't getting the choices you want. You can call the majority tasteless if you want, but the majority still gets sufficient choices to meet their demands.