project proposal

.docx

School

Arizona State University *

*We aren’t endorsed by this school

Course

345

Subject

Marketing

Date

Feb 20, 2024

Type

docx

Pages

3

Uploaded by CorporalGuineaPig1963

Report
Project Proposal: Implementation of Sustainable Packaging at PepsiCo By, Patrick Corbett 1. Strategic Context: Industry and Organization Overview: PepsiCo is a global leader in the beverage industry, a large market with fierce competition. PepsiCo's rich history spans over a century, changing from just a soft drink manufacturer to a diversified food and beverage company. The beverage industry is in desperate need for new packing solutions for its brand as the constant push to become Eco-friendly is evermore increasing. As PepsiCo is accountable for 137,000 Metric tons of plastic pollutants ranked #1 of all companies for top plastic polluters. Project Focus: The project aims to address the environmental impact of plastic waste generated by PepsiCo's packaging materials. Specifically, it focuses on implementing sustainable packaging initiatives, such as biodegradable materials and entirely eliminating plastic waste from the product line as a whole. The goal is to reduce the company's ecological footprint and align with evolving consumer expectations regarding environmentally friendly products. 2. SWOT: Strengths: Strong global brand recognition Extensive distribution network Research and development capabilities Large financial structure Weaknesses: Reliance on plastic packaging Potential resistance to change within the organization Potential costs of new product Opportunities: Growing consumer demand for eco-friendly products Innovation in sustainable packaging technologies
Large brand collaborations with other Eco-friendly companies and influencers Threats: Competition to have the best product from other beverage companies Cost effectiveness 3. Project Recommendation: Implementing sustainable packaging is crucial for PepsiCo growth into a world that is looking for change. The shift towards eco-friendly materials not only addresses a significant weakness in their environmental impact but also helps other beverage competitors make an important ecological change for the better as well. It removes massive threats of pollution that can be directly directed back at the company for years to come. 4. ROI and Payback Period: Investment: Research and Development for 3yr: $1,000,000 Social Media Marketing and Awareness for 3 yr: $400,000 Implementation costs for 3yr: 3,000,000 Total Investment: $4,400,000 Discount rate (when finished): 1 year: 54% 2 years:23% 3 years: 0% Returns (per year after 3 years): Saving from plastic costs: $2,500,000/yr Market expansion due to new campaign: $400,000/yr Total Return:2,900,000/yr ROI : ($4,400,000/$2,900,000) = 65% Payback period= ($2,900,000/$4,400,000) = 1.5 years 5. Reflection:
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