Mergers And Acquisitions

Mergers and acquisitions have become a growing trend for companies to inorganically grow a business within its particular industry. There are many goals that companies may be looking to achieve by doing this, but the main reason is to guarantee long-term and profitable growth for their business. Companies have to keep up with a rapidly increasing global market and increased competition. With the struggle for competitive advantage becoming stronger and stronger, it is almost essential to achieve these mergers. Through research I will attempt to dissect the best practices for achieving merger success.

With the previous merger with the Frito-Lay Company, and acquisitions of Pizza Hut, Taco Bell, and Kentucky Fried Chicken, PepsiCo successfully ventured into different segments in the food services industry, but was also able to create synergies with its soft drink product. PepsiCo also attempted to integrate into trucking transportation and bottle manufacturing in the 1970s.

Formed in 1965 with the merger of the two big brands Pepsi- Cola and Frito Lay. PepsiCo has expanded from just Pepsi to one of the largest food and beverage companies in the world, who provide consumers around the world with delicious, convenient, affordable foods and beverages. PepsiCo is a large company with many successful and large brands such as walkers, Doritos, Tropicana, Quaker oats, 7up, Pepsi and many others. PepsiCo’s products are served worldwide.

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 a global leader in the food and beverage industry. Their main businesses include; Quaker, Tropicana, Gatorade, Frito-Lay and Pepsi-Cola — each line makes large variety of products that are consumed all around the world.

PepsiCo is a global food and beverage corporation based in United States. Company received its current name in 1965, through the merger of Pepsi-Cola with Frito Lay Inc. PepsiCo makes, markets, sells and distributes more than 40 brands. A range of worldwide famous brand names includes Pepsi, Mountain Dew, Lay’s, Doritos, Quaker, Tropicana, Tostitos, Walkers, Cheetos, Ruffles, Fritos and others. PepsiCo generated net revenues of more than USD 65 billion in 2013, where 35% of revenue from developing and emerging markets (PepsiCo Annual Report). Pepsi products are available in more than 200 countries. The company has its own bottling manufacture and distribution facilities. Pepsi-Cola Company division is the second largest carbonated soda business in the world and the Frito-Lay division is the world’s leader in snacks business. The Frito-Lay generates more than 65% of PepsiCo 's net sales and more than 2/3 of the PepsiCo operating

PepsiCo is a huge, multi-billion-dollar company that invests its time and money into creating loveable and lasting products for consumers all over the world. PepsiCo has been on the rise for years and if things continue to prosper like they do know, they should be a lasting company for many more years to continue. PepsiCo relates to their customers and continues to create new and improved products that bring publicity to their company, while still producing the recognizable products that that they are known for.

Frito-Lay, a division of PepsiCo based in Plano, TX, is the world’s largest producer of salty snacks (Solomon, Marshall, & Stuart, 2012). The company brands include Fritos, Lay’s, Doritos, and Cheetos. C. E. Doolin purchased and began selling Fritos in San Antonio, TX in 1932. Herman W. Lay, a potato chip manufacturer began selling his product that same year in Nashville, TN. The two companies later merged in 1961 to become Frito- Lay, Inc. A final merger in 1965 with Pepsi-Cola Company, created the now recognized name of PepsiCo. PepsiCo has four divisions under its umbrella including Frito-Lay North America, PepsiCo Beverages North America, PepsiCo International, and Quaker Foods North America. With a multitude of snack options and limited

PepsiCo, a global food and beverage leader, is the second largest soft drink business in the world. Initially called ‘Brad 's Drink’, Pepsi was created in 1893 by a pharmacist named Caleb Bradham. In the 1960’s, PepsiCo was established through the merger of Pepsi-Cola and Frito-Lay. PepsiCo today is a world leader in convenient snacks, foods, and beverages, with more than 280,000 employees and revenue reaching over $60 billion (PepsiCo, n.d.).

PepsiCo is best known for Pepsi, the world’s second most popular soft drink after coca cola classic.Pepsi co is the international food and beverage company with sales of $29.3 billion and net income of $4.0 billion in 2004. Pepsi has 153000 employees and markets more than 500 varieties of food and beverage products in more than 200 countries.Pepsi started in 1960 to being the world’s third largest food and beverage company in world, behind only nestle and Kraft foods.

Companies use various strategies to gain access to new markets and increase their profitability. Among the strategies are mergers and acquisition, which enable a company to gain synergy, industry visibility as well as economies of scale. Acquisition involves a takeover of one company, the target by another company called the acquirer. The acquired company may cease to exist and the acquirer’s stock continues to be traded. Mergers, on the other hand, involve two companies which are of approximately the same size or resources agree to form a single new company instead of having separate ownerships. Moreover, CEOs may decide to join their companies together for the best interest of both firms to form a merger. However, mergers and acquisitions are dependent on their purchase style, such as hostile or friendly, and how both exercises are announced and received by the stakeholders.

Mergers and Acquisitions (M&A) are an established form of expansion for medium to large size companies, with the intention of creating more value by for example increasing competitiveness and transferring technology and innovation. In other words, it is assumed that “the combined company will have greater value than the two companies alone” (Marks & Mirvis, 1992, p. 69), It can even be argued that, with the globalization of business, M&As are needed to keep up (Hitt, Franklin & Zhu, 2006). Unfortunately, the failure rate in M&As is extremely high with 70% of worldwide M&A failing to increase stakeholder value (Mohibullah, 2009) and over 90% of European M&A failing to reach financial objectives (Hay Group. 2007). Although there may be many different reasons for an M&A not succeeding, failure is most often attributed to the incompatibility of the two (corporate) cultures (Uljin, Duyster & Fevre, 2010). In the last couple of decades, M&A has switched from being mostly a domestic phenomenon to an international phenomenon, initially caused by the integration of the European Union in the 90s, followed by a rise in “the international expansion of emerging market multinationals … be it by Chinese or Indian firms” (Reynolds & Teerikangas, 2016, p. 42), adding a new dimension to the cultural differences; national cultures. Consequently, with this rise in the number of cross-border M&A also came an increased interest in the effect of national cultural differences between

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,

In year 1965, PepsiCo Inc. is founded by Donald M. Kendall and Herman Lay. PepsiCo Inc. was merged by Pepsi-Cola and Frito-Lay in 1965. PepsiCo is an American multination industry that selling food and beverage. PepsiCo Inc. is the second-largest organisation that produces food and beverage in the world.

Mergers and Acquisitions have always been considered as a …………………….. and ever since the first merger in Nigeria in 1980, Merger and Acquisitions have occurred in most sectors of Nigerias economy. In 2004, the Central Bank of Nigeria in fulfillment of its mandate to Promote and maintain of monetary stability and a sound and efficient financial system in Nigeria rolled out a 13 point rolled out a 13-point reform agenda aimed at consolidating the banking sector and preventing the occurrence of systemic distress. The most important points of this reform package were first that, the minimum capitalization of banks be increased from 2 billion naira to 25 billion naira before the 31st of December 2005 and second, that this aim was to be achieved