Swot Analysis Of Pepsico

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).”

However, no matter what the advertisements claim, the statistics concerning the shares and value of each company cannot lie. The Coca-Cola Company dominates the soft-drink market by owning four of the global top five soft-drink brands, which include Coca-Cola, Diet Coke, Fanta, and Sprite. The Coca-Cola Company makes or licenses more than 400 drink products in more than 200 nations. In 2006, Coca Cola’s sales reached 24,088 million dollars and had a net income of about 5,080 million dollars, with 71,000 employees working in the company. PepsiCo, Incorporated is the largest snack maker and second largest soft-drink maker in the world. It sells beverages and snacks in approximately 200 nations as well. In 2006, its sales reached 35,137 million dollars and had a net income of $5,642 dollars with 168,000 employees working in the company. With these numbers, one can assume that Pepsi is earning more profit if wages payouts are not considered, but Pepsi has a large number of workers working for

Diversification – PepsiCo’s diversification is obvious in that the fact that each of its top 18 brands generates annual sales of over $1,000 million. PepsiCo’s arsenal also includes ready-to-drink teas, juice drinks, bottled water, as well as breakfast cereals, cakes and cake mixes.This broad product base plus a multi-channel distribution system serve to help insulate PepsiCo from shifting business climates.

Introducing a new product to the market is a very risky operation. Not only is it risky but it takes time, effort and money. In order for a product to be successful, it had to fully undergo the product life cycle. Kellogg’s has an advantage when it comes to the breakfast market as it holds the biggest market share. After providing the British public with breakfast for years, it most certainly has a larger customer loyalty base. The strong brand makes it easy for product launching as the public are already familiar with the brand. However, introducing a new product comes with its challenges and risks. Looking at the ratios, Kellogg’s has a current ratio to date of 1:1.1 . This in financial terms rings alarm bells as it shows that the company will struggle to pay its short term obligations. Kellogg’s however can operate on a low current test ratio as it has a good long term revenues coming into the business. This means that it is possible to borrow on this basis to meet its current obligation. After calculating the net present value, which gave a positive NPV of £38450million, I move that we go ahead with the introduction of a new product. In traducing a new product is a sign of innovation and growth on the part of the competitors. In order for a new product to be introduced to the market, Kellogg’s will have to spend money on the actual product, the marketing side of

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

The net profit was $6,320 million in FY2010, an increase of 6.3% over 2009 ($5,946). As stated in the mission statement, they seek to produce financial rewards. With the numbers previously mentioned, we can see they have succeeded. This significant financial performance gives them the resources they need to provide opportunities for growth and enrichment to their employees, their business partners and the communities in which they operate and to invest in the four key areas (performance, human sustainability, environmental sustainability and talent sustainability) so they can reach their goals. (Yahoo Finance, 2011) 4. Conduct a competitive and marketing analysis of the organization to determine strengths and opportunities. PepsiCo is the largest snack and non-alcoholic drink producer in the United States, with 39% and 25% of the respective market shares. PepsiCo operates in over 200 countries, with its largest markets in North America and the United Kingdom. PepsiCo has three direct competitors, the Coca-Cola Company, Dr. Pepper Snapple Group, and Kraft Foods. Unlike its major competitor, Coca-Cola, the majority of PepsiCo 's revenues do not come from carbonated soft drinks. In fact, beverages account for less than 50% of total revenue. Additionally, over 60% of PepsiCo 's beverage sales come from its key noncarbonated brands like Gatorade and Tropicana. PepsiCo 's revenues

Jones Soda Company was founded by Canadian ski instructor Peter van Stolk. The soft drink company was not being sold alongside other larger reputed brands such as Coca Cola or Pepsi. The soft drinks were sold in skateboard shops and tattoo parlors to consumers who were looking for a drink that matched their lifestyle. Its unique style was evident by its use of bottles that resembled classic beer bottles and by pricing higher than for regular soft drinks.

One of the strengths that can be found in PepsiCo is in term of strong brand equity. PepsiCo has a strong brand name in the world place and the company is well-known worldwide. This company is the best global brand in the world in terms of value of net revenue $43,251 million in the year of 2008. The company has a very recognized and

This research paper pinpoints the financial analysis of Pepsi Co, Inc., namely its profitability; liquidity; solvency and operating outcome with respect to its competitors, Coca-Cola Inc., and Dr. Pepper Snapple Group. The upshot of Pepsi’s financial breakdown will assist the soda drink maker to improve its production approach and keep its flagship brand aggressive and competitive.

This paper focuses on global business strategy of The Coca-Cola Company, who is the leader in the beverage industry as well as, the world?s leading soft drink maker that operates in more than 200 countries and owns or licenses 400 brands of nonalcoholic beverages. The paper will concentrate on the PESTEL analysis of the organization focusing on the external factors of the business and the environment where it operates. All of the following environments will be discusses in the research; Political, Economic, Sociological, Technological, Legal, and Environmental as they the changes in the market segment. Within this paper it will discuss some of thr

Strengths: The biggest strength of the Coca-Cola Company is that, for more than a century, Coca-Cola has reigned as the supreme soft drink market leader. In retrospect, Coca-Cola would seem to be doing very well in Brazil. According to the Thunderbird case, Brazil was Coca-Cola’s third largest operation and, after Mexico, the company’s second largest international market. As of 2003, the Coca-Cola brand (regular and diet) was the leader in the Brazilian soft drink market with 35.6% of market share (Thunderbird School of Global Management).

“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.

In this memo, we will examine comprehensive research on some of the ethical issues that occurred as Pepsi published a commercial that harmed many people. Further, we will discuss how it had a substantial impact on a variety of stakeholders. The issue that occurred was regarding the “black lives matter” and how Pepsi did not take the issues that it still going on in our society into account.

While the famous soft drink was first tasted in the 1890s, today’s Pepsi is the star of PepsiCo, “a world leader in convenient snacks, foods and beverages, with revenues of about $29 billion and over 153,000 employees.” One way to get a handle on the incredible value of the Pepsi brand is to look at these two metrics. Pepsi’s advertising expenses in the first half of 2005 were $140 million; and Interbrand has estimated the 2005 Pepsi Brand Value at over $12 billion.

PepsiCo is the second most popular beverage company in the world, according to PepsiCo (2008). This company has an outstanding marketing brand name. PepsiCo sponsors numerous sporting events and has a wide variety of consumers. This product is in competition with the first popular beverage company Coke-Cola. This company evaluates every year on a strategic plan by using SWOTT analysis to manage their products to learn the internal and external factors of the marketing business.