PepsiCo. By: Ashley Cleary, Sylvia LaBrie , Andrea Baril , Marie-Michele Lachance. Overview. Company Overview History of Pepsi Growth 2009 Events and Issues Existing Mission and Vision statement New Mission and Vision Statement SWOT Analysis External Assessment CPM EFE
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By: Ashley Cleary, Sylvia LaBrie, Andrea Baril, Marie-Michele Lachance
In 1965: PepsiCo, Inc. is founded by Donald M. Kendall, President and CEO of Pepsi-Cola and Herman W. Lay, Chairman and CEO of Frito-Lay, through the merger:
1. Pepsi-Cola In 1898: Caleb Bradham, a New Bern, North Carolina, pharmacist, created "Brad's Drink," a carbonated soft drink he created to serve his drugstore's fountain customers.
2. Frito Company
3. H. W. Lay Company
The Major products of the companies are:
Fritos brand corn chips, Lay's brand potato chips, Cheetos brand cheese flavored snacks, Ruffles brand potato chips, Rold Gold brand pretzels.
Doritos is introduced
Pepsi enters Japan and Eastern Europe.
PepsiCo moves from New York City to new world headquarters in Purchase, N.Y
Pepsi is the first company to respond to consumer preference with lightweight, recyclable, plastic bottles.
PepsiCo acquires Pizza Hut, Inc
PepsiCo Food Service International (PFSI) is formed to focus on overseas development of restaurants.
Pepsi Free and Diet Pepsi Free, the first major brand caffeine-free colas, are introduced.
Inauguration of the first Pepsi-Cola operation in China.
PepsiCo is now the largest company in the beverage industry. The company has revenues of more than $7.5 billion, more than 137,000 employees.
Pepsi-Cola products are available in nearly 150 countries and territories around the world. Snack food operations are in 10 international markets.
PepsiCo purchases 7Up International, the third largest franchise soft drink operation outside the United States.
Pepsi-Cola introduces Aquafina bottled water into test market.
Pepsi-Cola launches Pepsi World at www.pepsiworld.com
Pepsi products are in almost 200 countries throughout the world
There are 22 different brand lines that account for at least $1 billion per year per brand
Celebrated 75 years in Canada
Was on the “Best Food for Women” list in Women’s Health magazine
Began a partnership with the NFL
Won U.S. EPA SmartWay Environmental Excellence award
Became official beverage of Norwegian Cruise Lines
Our mission is to be the world's premier consumer products company focused on convenient foods and beverages. We seek to produce financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.
PepsiCo's responsibility is to continually improve all aspects of the world in which we operate - environment, social, economic - creating a better tomorrow than today."
Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company.
Products or Services
Concern for survival, profitability, and growth
Concern for public image
Concern for employees
Our mission is to be the world's premier consumer products company focused on convenient foods and beverages through stores as well as our website. (1,2.3,4) We seek to produce financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. (5,8,9) And in everything we do, we strive for honesty, fairness and integrity. (6,7)
PepsiCo, in association with smaller brands, offers a wide variety of products from beverages to snacks at low cost.
1. Opening in market for less costly products
2. Growth opportunities in developed countries as well as international nonestablished countries
3. Pepsi recently reacquired ownership of its two largest bottlers, Pepsi Bottling Group (PBG) and PepsiAmericas (PAS)
4. Compete in more than one industry (non-alcoholic beverage industry, the salty or savory snack food industry, and the breakfast food industry)
5. Growth in the carbonated drink market is the largest in Asia and Europe
6. The world's demand is experiencing a growth with the sports drinks, bottled water, and energy drinks
1. Fierce competition from Coca-Cola, which owns the largest piece of the market share
2. The downturn in economy, which lead customers to shift away from bottles of water to tap water.
3. Because of the recession, customers are finding cheaper alternatives to the national brands.
4. Customers are getting more conscious and concerned about their eating habits and general health.
5. Campaign against plastic containers has impacted the sale of bottled beverages
6. Highly dependent on supplies of clean water, to prevent contamination
Dr. Pepper Snapple Group
1. Strong brand equity
2. Well-known worldwide
3. Innovating company
4. Ethical, socially responsible, and sustainable company
5. Strong advertising company with more than 40 slogans and songs
6. PepsiCo as the largest part of the market share after Coca-Cola
7. PepsiCo owns a wide variety of smaller brands which able them to offer a large product range from beverages to snacks
1.PepsiCo production is really expansive because of the need to constantly develop new products to meet the changing customers demands
2. PepsiCo is experiencing a lack of focus towards Pepsi sodas
3. PepsiCo is experiencing product recalls
4. PepsiCo has a low employment productivity and a weak distribution
5. PepsiCo depends too much on the US market
6. PepsiCo is far behind Coca-Cola in the international market
Adapted from www.moneycentral.msn.com
1 2 3 4 5 6
6 5 4 3 2
Market development is a strategy that PepsiCo should apply by expanding in countries that not already established
Use forward integration to acquire smaller companies in foreign markets to increase their market share
Product development and related diversification should also be considered while trying to produce and distribute healthier products
Spend $15 million on a healthier more eco-friendly beverage brand in an already established country
Spend $15 million on a healthier more eco-friendly snack brand in an already established country
Spend $10 million to acquire a smaller brand in Africa
Increase our revenues by 5% in 2010
Start our own environmental cause fund with $1 million
Spend $40 million to acquire new brands
Spend $1 million to start an environmental cause group
Revenue increase of 5%
Decrease short-term and long-term debt by using some of our cash and cash equivalents as well as retained earnings
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