Essay On Pepsico

PepsiCo, Inc. operates as a food and beverage company worldwide. Through its operations, authorized bottlers, contract manufacturers and other partners, the company makes, markets, sells, and distributes various foods and beverages, serving customers and consumers in approximately 200 countries and territories. The company also owns Frito-Lay company and Quaker Oats. It has bottling and distribution facilities in Asia, North

PepsiCo is one of the largest U.S based food and beverage companies. With a strong heritage. What is now, PepsiCo was first established in the late 1800’s. What started as a small one-man operation has grown into a food and beverage megabrand, with strong competition from both sectors of the food and beverage industry. With fierce competition from companies such as Coca-Cola, Kraft foods and ConAgra, PepsiCo must continue to innovate while providing customers with quality products that are priced competitively to remain relevant.

PepsiCo is driven by the competitive spirit of the market which they use it to provide solutions that would help their company as well as others.

By consulting the above graphs and charts it can be concluded that Pepsi has been a strong competitor to Coke and that throughout history they have been performing at comparable rates. Each has a similar background and customer base, but there are some differences between the two companies and their individual performance overall. It is clear that Pepsi holds a major stake in the market and is somewhat ahead of Coca-Cola in market share and productivity. Although both companies appear to be competing neck-to-neck Pepsi appears to be performing at a slightly higher rate than Coke, despite the popularity of both. Coke is wildly popular and is considered an American institution, but many seek different tastes and this is where Pepsi has been taking some of the market share as some consumers opt for Pepsi as their choice of beverage.

Thirdly, the threat of substitute products is high. Switching costs are low, and there are a plethora of products that consumers can choose from. Per business insider, Coke has a repertoire of 500 Brands which breaks down into 3,500 beverages (Bhasin, 2011)Per the Dr. Pepper Snapple & Keurig press release, Dr. Pepper Snapple has more than 50 brands which drive company revenues (Keurig Green Mountain, 2018) Most people could name several brands of drinks off the top of their head. Often times brands such as Sprite, Coke, Dr. Pepper, Mr. Pibb, Mountain Dew, Gatorade, Powerade, and Minute Maid will populate the minds of consumers. Clearly, consumers have a wide variety of options to purchase which is why substitute products is high. This can impact a company because if a new firm only owns a minimal amount of brands, then any consumer switching could cost the company millions in revenue if consumers switch to competitor owned brands. For example, switching from Coke to Sprite will not hurt coke because Coke owns Sprite, but however, switching from Coke to Dr. Pepper will as it is a competitor owned brand.

This research paper pinpoints the financial analysis of Pepsi Co, Inc., namely its profitability; liquidity; solvency and operating outcome with respect to its competitors, Coca-Cola Inc., and Dr. Pepper Snapple Group. The upshot of Pepsi’s financial breakdown will assist the soda drink maker to improve its production approach and keep its flagship brand aggressive and competitive.

Pepsi will face challenges as they branch out in the market globally. One of their

The most significant challenge that faces Pepsi is how to continue to produce in popular dark carbonated beverage indefinitely, but also diversify its product line sufficiently enough to capture as much market share as possible as the new non-carbonated trend continues to gain in consumer salience.

PepsiCo’s corporate strategy had diversified, in 2008, the company into salty and sweet snacks, soft drinks, orange juice, bottled water, and ready-to-eat drink teas and coffees, purified and functional waters, isotonic beverages, hot and ready-to-eat breakfast cereals, grain-based products, and breakfast condiments. Strategies that kept their brands at the top were tied to new product innovation, close relationships with distribution allies, international expansion, and strategic acquisitions. A new element of PepsiCo’s corporate strategy was product reformulations to make snack

PepsiCo Inc. is an American multinational foods and beverage manufacturer. It is headquartered in Purchase, New York and operates in more than 200 countries around the Globe. It is one of the world's leading brands in the beverages and grain-based snack foods industry. It was incorporated in 1965 in North Carolina by Donald Kendall and Herman Lay. The main product offerings by PepsiCo Inc. include soft drinks, energy drinks, coffee drinks, breakfast bars, cereal, rice snacks, side dishes, sports nutrition, and bottled water. The most recognized brands of the company are Pepsi, Starbucks, Quaker, Lay's, Mountain Dew, Mirinda, Gatorade, Aquafina, Lipton, Frito-Lay, Brisk, Tropicana,

Indra Nooyi is the CEO of Pepsico and Pepsico employs 263 thousand people every year. Pepsico is a global leader in international operations. Pepsico has their products being sold in over 200 countries like the US, Canada, Argentina, Mexico, China, Japan, Australia, France, Italy, Germany, Russia Etc. All of these are important companions to Pepsico. Pepsico sells it's products by vending machine, gas station, grocery store or little shops in all of these countries. They sell online also, where you can buy bulk of their products. The current stock price for Pepsico is 102.38$ with the closing date of 11/29/16. Pepsico has a main competitor with who they have been clashing head to head with for decades now. Coca-Cola and Pepsi is like King Kong Vs. Godzilla, Red vs. Blue or “The Macho-Man” Randy Savage Vs. Jimmy “SuperFly” Snuka at Wrestlemania

Social influences: - Pepsi is subject to the lifestyle changes, because of it bases its advertising campaigns in a concrete kind of people with a special lifestyle, it is for that PepsiCo has to pay a special attention on the lifestyle changes. Around the world Pepsi drinkers are defined, there is a kind of people who drinks Pepsi another kind who drinks Coca-Cola; it is for that they have to pay attention to the social mobility for not losing a possible market. - Taking into account that PepsiCo is trying to introduce itself in underdeveloped markets, they have to be careful with the possible problems with the governments of this countries, and with the problems could rise from PepsiCo act with the people of this countries.

According to PepsiCo SWOT, “it is better equipped to satisfy the needs of customers with a wide variety of successful products” (2008). PepsiCo managed to present almost every type of drink and food brands. The merchandise that is earned is the majority of their revenue. This makes them extremely at risk to change any of their marketing products. However

The focused Corporation of the subject strategic proposal is PepsiCo Beverages North America. This company was originally founded in 1898 by a North Carolina druggist. PepsiCo Beverages North America (herein referred to as the ‘Company’) sells several brands of consumer beverages in the United States and Canada. The various beverage products span through carbonated soft drinks, juices, readymade teas, isotonic sports drinks, bottled water, and enhanced waters. Several established brands include Diet Pepsi, Mountain Dew, Gatorade, Tropicana products, Aquafina Water, Sierra Mist, Mug, Propel, Sobe, and Dole. Refer to the Competitor Analysis section for in depth product information and listings.

Pepsi Co 's assignment taken as a whole is to amplify the value of its shareholder 's investment through sales intensification, expenditure gearshift and prudent investment of resources (Bongiorno, 1996, p 71). In this pose, Pepsi believes that its moneymaking triumph depends on providing safe and quality drink to its consumers and customers while adhering to the highest standards of truthfulness. Pepsi Co 's product portfolio encompasses sixteen labels that produce enough cash for the company. The most popular of these brands include Pepsi Cola, and Mountain Dew.