Pepsico Case Study

     PepsiCo. Incorporated and The Coca-Cola Company are the two largest and oldest archrivals in the carbonated soft drink (CSD) industry. Coca-Cola was invented and first marketed in 1886, followed by Pepsi Cola in 1898. Coca-Cola was named after the coca leaves and kola nuts John Pemberton used to make it, and Pepsi Cola after the beneficial effects its creator, Caleb Bradham, claimed it had on dyspepsia. The rivalry between the soda giants, also known as the "Cola Wars", began in the 1960’s when Coca-Cola's dominance was being increasingly challenged by Pepsi Cola. The competitive environment between the rivals was intense and well-publicized, forcing both companies to continuously establish and

PepsiCo is a company has history, big market share and abundant assets which are other small companies do not have, so PepsiCo can use this power to do something other companies cannot do, such as continue merge and acquire organisations to expand the range of products. PepsiCo has asset to acquire and as a multinational company, it can sell the product in different countries, use the resource more efficiency.

Many brands and products fall under the PepsiCo umbrella. With over 22 brands generating at least $1 billion in retail sales, including Doritos chips, Quaker oatmeal, Gatorade sports drinks and Mountain Dew soda (Esterl ,2014). Less than half of PepsiCo’s sales are from the sale of soft drinks. Despite the fact that beverage sales make up less than half of all incoming revenue, PepsiCo is often seen as a soft drink manufacturer. (Trefis Team 2015).”

In 1898, Caleb Bradham which was a pharmacist invented pepsi-cola beverage. It was first called the “Brad Drink”. Then its named changed into Pepsi, however some parts of North America called in Pepsi-Cola.

Coca-Cola and PepsiCo compete at length with each other among an extensive list of other brands. A key concern for both of these companies in 2011 was their capability to market, produce, and distribute across national boundaries of a single nation. This concern has decreased as both companies were able to push though their limitations and were able to establish manufacturing plants in countries across the globe. (Coca Cola Company, 2011)

In 1886, the Coca Cola Company was developed but it wasn't until 1898 that the fierce competitor Pepsi-Cola entered into the market. These 2 companies are the two major players that dominate the consumer beverage (soft-drink) industry. Coke and Pepsi have since been competing to rein the global market in consumer beverages. The market of drinks in the United States alone is valued at more than thirty million dollars annually. With the growth of these two companies, PepsiCo has developed and acquired additional products outside the scope of just the consumer beverage industry, these products have helped the company to increase their exposure and position in the global market. This has not been the case for the Coca Cola Company; they

If three adults are standing in a room, one of them is proven to be obese. The Center for Disease Control and Prevention defines obesity as when one’s weight is higher than what is considered healthy, given their height. According to the National Center for Health Statistics, 33% of adults are obese and 16% of children are obese. Obesity rates have not always been like this, from 1999 to 2014, there was a 20% increase in the amount of adults who were obese. This growing rate does not show any signs of declining or slowing down. These high obesity rates are caused by many things, but a big factor is the false advertising used on products to make them seem healthier or more nutritious. To reduce the growing rates of obesity in this country, the FDA should require major food companies, like PepsiCo, to advertise their products honestly. PepsiCo should eliminate false advertising through commercials and social media, remove the misleading labels put on products and stop enticing children and teens into buying their products.

Concerning the negativities, consumers have become increasingly aware of the environmental effects of plastic bottles and bottled beverages, encouraging companies to alter their corporate practices. Jones Soda brand Beverage Company has also seen a rise in the number of consumers who attempt to save money by switching to bulk fresh juice. This is a blow to the company owing to its high priced products. Another threat is the fact that the fact that the Corn syrup, which Jones Soda has been using as a sweetener for its soft drinks, has become more expensive due to high demand for corn. This made the company opt for sugar cane, which is also a threat due to the recent consumer trends toward healthy living are a cause for concern for JSC that sell sugar-based products (Maxwell, 2009). Recent research showing a correlation between unhealthy diet choices among young consumers and serious health problems, including diabetes, has generated a consumer backlash against many consumer product companies. In addition, the recent announcement by Seattle Seahawksith JSC is another possible threat. Similarly, American Airlines announcement to end its deal with Jones Soda, has renders the company at risk of making huge losses as far as selling its products is

In 1886, the Coca Cola Company was developed but it wasn 't until 1898 that the fierce competitor Pepsi-Cola entered into the market. These 2 companies are the two major players that dominate the consumer beverage (soft-drink) industry. Coke and Pepsi have since been competing to rein the global market in consumer beverages. The market of drinks in the United States alone is valued at more than thirty million dollars annually. With the growth of these two companies, PepsiCo has developed and acquired additional products outside the scope of just the consumer beverage industry, these products have helped the company to increase their exposure and position in the global market. This has not been the case for the Coca Cola Company; they

With respect to promoting healthy eating (and drinking) habits, the University of California-San Francisco (“UCSF”) is an example of an institution that successfully engaged in socially responsible marketing. In 2015, the UCSF began a program to sell zero-calorie, unsweetened drinks throughout its campus (Cecil, 2017). UCSF also declined to renew its pouring-rights contract with the Coca-Cola Co. Additionally, in 2015,

Pepsi Co started in 1965 and became one of the world 's highest end user product businesses with a number of important and precious trademarks (Bongiorno, 1996, p 70).

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

Pepsi-Cola is a carbonated beverage that is produced and manufactured by PepsiCo. It is sold in stores, restaurants and from vending machines. The drink was first made in the 1890s by pharmacist Caleb Bradham in New Bern, North Carolina. The brand was trademarked on June 16, 1903. There have been many Pepsi variants produced over the years since 1903, including Diet Pepsi, Crystal Pepsi, Pepsi Twist, Pepsi Max, Pepsi Samba, Pepsi Blue, Pepsi Gold, Pepsi Holiday Spice, Pepsi Jazz, Pepsi X (available in Finland and Brazil), Pepsi Next (available in Japan and South Korea), Pepsi Raw, Pepsi Retro in Mexico, Pepsi One, and Pepsi Ice Cucumber in Japan .Pepsi cola is situated is an Industry that is dominator by two Competitors Coca

PepsiCo has the potential to encourage consumers into drinking water and eating healthier snacks that they promote. Bottled water is rising and it is a healthy substitute to sugared drinks. Restaurants, clubs and venues are using their beverage to make special drinks. This is where alcohol industries gains more profit to their company. However, with the ability to adjust customer’s demands with new and appealing products it can dominate to success.

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.