Pepsico : The Best American Multinational Food And Beverage Companies

PepsiCo, Inc., one of American largest food and beverage icon took its name in 1965, when Pepsi-Cola Company merged with Frito-Lay, Inc. As one of the largest food and beverage companies in the world, their mission is to provide consumers around the world with delicious, affordable, convenient and complementary foods and beverages from wholesome breakfasts to healthy and fun daytime snacks and beverages to evening treats. The author was given the task to choose two segments of the general environment that would rank highest in the influence on the corporation and to assess how these segments affect the PepsiCo. Inc., and the industry in which it operates.

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.

Pepsi Co. and Coca Cola, both are very well known multinational companies. They are so famous that they perhaps don’t need any introduction since almost everyone knows basic info about these companies and their widely used products. Both of these companies have been dealing in the production of flavored waters, plain drinking water and soft drinks for decades now and have always been each other’s competitors in almost all the mainstream products they have been producing.

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.

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

The multinational company that I have chosen is Coca Cola Company since it is a very popular brand and has been serving its customers for more then 10 decades and even after so many years its popularity seems to be increasing day by day which itself speaks about the company's remarkable performance. The Coca Cola Company is an American multinational corporation and manufacturer, retailer and marketer of the nonalcoholic beverage concentrates and syrups (Wright, 1999). It came into existence in 1886 and was invented in Columbus, Georgia by John Stith Pemberton. The current statistics of the company shows that it is currently operating in over 200 countries offering its customers over 500 brands with each day serving of more then 1.7 billion (Charles W. L. Hill, Essentials of Strategic Management, 2012). .Further more the Coca Cola Company is alone responsible for the 78% of the total gallon sales of all the beverages sold worldwide. The company is listed in New York Sock Exchange and is very popular in most of the countries especially United States of America, which alone consumes 47% of the total gallons, sold worldwide (Zurkuhlen & Meeker, 1987). The company headquarter is located in Atlanta, Georgia, United States of America and its current chief executive and chairman is Muhtar Kent (Charles W. L. Hill, Strategic Management Theory: An Integrated Approach, 2012).

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, Frito-Lay, Quaker, Tropicana, and Gatorade are all well-known brands, but did you know that they are all part of PepsiCo? A framework made up of an astonishing 360 combined years’ worth of production. “PepsiCo is one of the world’s leading food and beverage companies with over $63 billion in net revenue in 2015 and a global portfolio of diverse and beloved brands” (1). They are known for their strength in diversified product portfolio, dominance in their market position, and their state of the art focus on research and development. The opportunities they have to face are a growing consumer focus on health and wellness, increase in global food consumption, and productivity initiatives (2). In the following sections, the history, present conditions, mission and objectives, factors within the external environment will be discussed.

Today PepsiCo embraces itself with outstanding 300,000 employees worldwide. It is currently the world leader in convenient beverages, foods and snacks. It has four main branches widely referred to as the Pepsi family. These are: PepsiCo America’s beverages, PepsiCo Europe, PepsiCo America’s food and PepsiCo Asia, Middle East and Africa. Its outstanding leadership in the market has led to PepsiCo introducing more than a 100 brands under its trademark in the market and making its presence in nearly every part of the world. PepsiCo Headquarters are located in Purchase, New York (PepsiCo, 2012).

“Coca-Cola brands are available to consumers throughout the world. Today they account for 1.7 billion servings of all beverages consumed worldwide daily. Coca-Cola has the edge in the market and because they are first to capitalize on new consumer trends. They continue to focus on continuous operating improvements, and they are ever changing to meet market demands. Pepsi Co satisfies the needs of its customers with the wide variety of products offered. They also have the different type of beverage or snack and its brands can substitute for each other. Coco-Cola and Pepsi Co is known as the top 100 most valuable brands in the world.

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 serves as the Chairman and Chief Executive Officer (CEO) of PepsiCo. Nooyi was named President and CEO in 2006 and became a member of the Board in 2007. Nooyi has been with PepsiCo since 1994. Before becoming President in 2006, Nooyi served as the Senior Vice President and Chief Financial Officer of

PepsiCo is a large organization made up of some of the top most Global brands such as Pepsi, Lays, Tropicana and Aquafina, producing a variety of beverages such as water, carbonated drinks, fruit juice, sports drinks and tea.

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.