Pepsi Co in India

HISTORYHeadquartered in Purchase, New York, with Research and Development Headquarters in Valhalla, NY, The Pepsi Cola Company began in 1898 by a Pharmacist and Industrialist Caleb Bradham, but it only became known as PepsiCo when it merged with Frito Lay in 1965. Until 1997, it also owned KFC, Pizza Hut, and Taco Bell, but these fast-food restaurants were spun off into Tricon Global Restaurants, now Yum! Brands, Inc. PepsiCo purchased Tropicana in 1998, and Quaker Oats in 2001. In December 2005, PepsiCo surpassed Coca-Cola Company in market value for the first time in 112 years since both companies began to compete. In 2008 PepsiCo. donated a half-million dollars to Parents, Families and Friends of Lesbians and Gays, an action which resulted in a boycott of the brand led by the American Family Association.

PRESENT CEO- INDRA NOOYI

PEPSICO IN INDIA

PepsiCo gained entry to India in 1988 by creating a joint venture with the Punjab government-owned Punjab Agro Industrial Corporation (PAIC) and Voltas India Limited. This joint venture marketed and sold Lehar Pepsi until 1991, when the use of foreign brands was allowed; PepsiCo bought out its partners and ended the joint venture in 1994. Others claim that firstly Pepsi was banned from import in India, in 1970, for having refused to release the list of its ingredients and in 1993, the ban

was lifted, with Pepsi arriving on the market shortly afterwards. These controversies are a reminder of "India's sometimes acrimonious relationship with huge multinational companies." Indeed, some argue that PepsiCo and The Coca-Cola Company have "been major targets in part because they are well-known foreign companies that draw plenty of attention."

In 2003, the Centre for Science and Environment (CSE), a non-governmental organization in New Delhi, said aerated waters produced by soft drinks manufacturers in India, including multinational giants PepsiCo and The Coca-Cola Company, contained toxins, including lindane, DDT, malathion and chlorpyrifos — pesticides that can contribute to cancer, a breakdown of the immune system and cause birth defects. Tested products included Coke, Pepsi, 7 Up, Mirinda, Fanta, Thums Up, Limca, and Sprite. CSE found that the Indian-produced Pepsi's soft drink products had 36 times the level of pesticide residues permitted under European Union regulations; Coca Cola's 30 times. CSE said it had tested the same products in the US and found no such residues. However, this was the European standard for water, not for other drinks. No law bans the presence of pesticides in drinks in India.

The Coca-Cola Company and PepsiCo angrily denied allegations that their products manufactured in India contained toxin levels far above the norms permitted in the developed world. But an Indian parliamentary committee, in 2004, backed up CSE's findings and a government-appointed committee, is now trying to develop the world's first pesticides standards for soft drinks. Coke and PepsiCo opposed the move, arguing that lab tests aren't reliable enough to detect minute traces of pesticides in complex drinks. On December 7, 2004, India's Supreme Court ruled that both PepsiCo and competitor The Coca-Cola Company must label all cans and bottles of the respective soft drinks with a consumer warning after tests showed unacceptable levels of residual pesticides.[citation needed]

Both companies continue to maintain that their products meet all international safety standards without yet implementing the Supreme Court ruling. As of 2005, The Coca-Cola Company and PepsiCo together hold 95% market share of soft-drink sales in India. PepsiCo has also been accused by the Puthussery panchayat in the Palakkad district in Kerala, India, of practicing "water piracy" due to its role in exploitation of ground water resources resulting in scarcity of drinking water for the panchayat's residents, who have been pressuring the government to close down the PepsiCo unit in the village.

In 2006, the CSE again found that soda drinks, including both Pepsi and Coca-Cola, had high levels of pesticides in their drinks. Both PepsiCo and The Coca-Cola Company maintain that their drinks are safe for consumption and have published newspaper advertisements that say pesticide levels in their products are less than those in other foods such as tea, fruit and dairy products. In the Indian state of Kerala, sale and production of Pepsi-Cola, along with other soft drinks, was banned by the state government in 2006, but this was reversed by the Kerala High Court merely a month later. Five other Indian states have announced partial bans on the drinks in schools, colleges and hospitals.

2008 MILESTONES OF PEPSICOPepsiCo Foundation announces two major new grants to WaterPartners and Safe Water Network programs to provide access to safe water and sanitation in developing countries PepsiCo Again Named to the Dow Jones Sustainability Index

PepsiCo Agrees to Buy Bulgaria's Leading Nuts and Seeds Company

PepsiCo Announces Initiatives With the Earth Institute and H2O Africa to Drive Sustainable Water Practices

Forbes Names PepsiCo Among Its Best Big Companies

PepsiCo India Commissions First Remote Wind Turbine to Generate Renewable, Clean Energy

CRO Names PepsiCo to Top 25 100 Best Corporate Citizens 2008

PepsiCo to Buy Russian Juice Leader, Lebedyansky

Employees Lead Effort to Make Chicago Plaza First LEED-Certified PepsiCo Headquarters

Gatorade Launches Gatorade Tiger with Comprehensive Integrated Marketing Campaign

PepsiCo Honored with 2008 Energy Star Partner of the Year Award

UK Vitamin Water Brand- V Water Acquired by PepsiCo

Quaker Plant in Cedar Rapids Closes and Reopens Facility Due to Flooding to Protect Employees

PepsiCo Foodservice and Naked Juice Expand Starbucks Presence

Gatorade Sports Science Institute Gathers World's Leading Researchers on Protein Nutrition

PepsiCo International's China Foods Wins "China's Top Leaders 2008" Award

Wall Street Journal Article Recognizes PepsiCo for Leadership in Employment of People with Different Abilities

PepsiCo and Frito-Lay Join SmartWay in Commitment to Reduce Greenhouse Gas Emissions

PepsiCo Beats Coke in Race to Launch New Natural Sweetener (Stevia)

PepsiCo France Recognized as "Great Place To Work" by Institute Survey

PepsiCo Commits to Reducing Acryalmide Levels in Potato Chip Products and Restructured Potato Snacks in California

Subway Names PepsiCo "Vendor of the Year" for Sustainability Leadership

Tazo Tea Joins Pepsi Lipton Partnership

BRAND PORTFOLIOPepsiCo owns 5 different billion-dollar brands. These are Pepsi, Tropicana, Frito-Lay, Quaker, and Gatorade. The company owns many other brands as well.

Pepsi, Caffeine-Free Pepsi, Diet Pepsi/Pepsi Light, Caffeine-Free Diet Pepsi, Caffeine-Free Pepsi Light, Wild Cherry Pepsi, Pepsi Lime, Pepsi Max, Pepsi Twist and Pepsi ONE.

Other U.S. carbonated soft drinks, including Mountain Dew, Mug Root Beer, Sierra Mist, Tropicana Twister Soda and Frawg,

7 Up (Globally, outside the USA)

Other U.S. beverages, including Aquafina (Flavor Splash, Alive, and Twist/Burst), Tava, Dole, Gatorade, Izze, Mountain Dew AMP, Propel Fitness Water, SoBe, Quaker Milk Chillers, Ben & Jerry's MilkShakes, and Tropicana

Beverages marketed outside the U.S.: Alvalle, Concordia, Copella, Evervess, Fiesta, Frui'Vita, Fruko, Junkanoo, Kas, Loóza, Manzana Corona, Manzanita Sol, Mirinda, Paso de los Toros (drink), Radical Fruit, San Carlos, Schwip Schwap, Shani, Teem, Triple Kola, and Yedigun

Frito-Lay brands: Baken-ets, Barcel, Bocabits, Cheese Tris, Cheetos, Chester's, Chizitos, Churrumais, Cracker Jack, Crujitos, Doritos, Fandangos, Fritos, Funyuns, Gamesa, Go Snacks, James' Grandma's Cookies, Hamka's, Lay's, Miss Vickie's, Munchies, Munchos, Nik Naks, Ollie's Meat Snacks, Quavers, Rold Gold, Ruffles, Rustler's Meat Sticks, Sabritas, Sabritones, Sandora, Santitas, Smartfood, The Smith's Snackfood Company, Sonric's, Stacy's Pita Chips, Sun Chips, Tor-tees, Kurkure, Tostitos, Walkers, and Wotsits

Quaker Oats brands: Aunt Jemima, Cap'n Crunch, Coqueiro, Crisp'ums, Cruesli, FrescAvena, King Vitaman, Life, Oatso Simple,Quake, Quisp, Rice-A-Roni, and Spudz

In 2007, Nooyi spent $1.3 billion on healthier-alternative brands like Naked Juice, a California maker of soy drinks and organic juice.

PEPSI-COLA BRANDSPepsi-Cola

Diet Pepsi

Slice

Diet Mountain Dew

Pepsi Blue

Pepsi Lemon

Mirinda

7 up

Fruko

FRITO LAY BRANDSLay’s potato chips

Manchos potato chips

Lay’s Fries

3D’s snacks

Frito’s corn chips

Kurkure

Red Rock Deli

Cheetos

Smith’s potato chips

GATORADE BRANDSGatorade Thirst Quencher

Gatorade Frost Thirst Quencher

Gatorade Ice Thirst Quencher

Gatorade X Factor Thirst Quencher

Gatorade X Tremo Thirst Quencher

TROPICANA BRANDSTropicana pure premium juices

Tropicana twister juice drinks

Tropicana smoothies

Tropicana pure tropics juices

Dole juices (license)

Tropicana 100 juices

Naked juice

Tropicana touché de lait

Copella juices

QUAKER BRANDS

Quaker oatmeal

Quaker rice snacks

Puffed wheat

Quaker rice cakes

Quaker bakeries

Quaker’s fruit

Corn goods

BRAND AMBASSADORS

SHAH RUKH KHAN FOR PEPSI COLA (THOUGH HE IS NO MORE ASSOCIATED WITH PEPSI

KAREENA KAPOOR FOR PEPSI COLA

KATRINA KAIF FOR SLICE AAMSUTRA

JOHN ABRAHAM FOR PEPSI DIET & PEPSI MY-CAN

RANBEER KAPOOR FOR PEPSI MY-CAN

DEEPIKA PADUKONE FOR PEPSI COLA

MAHENDRA SINGH DHONI FOR KURKURE & LAYS

JUHI CHAWLA FOR KURKURE

SAIF ALI KHAN & JUHI CHAWLA IN A PROMOTION FOR KURKURE

MARKETING PLAN (4Ps) OF PEPSICO; “MARKETING MIX TOOLS”Marketing Mix is the set of marketing tools that the firm uses to pursue its marketing objectives. Marketing mix has a classification for these marketing tools. These marketing are classified and called as the Four Ps i.e. Product, Price, Place and Promotion.

The most basic marketing tool is product which includes product design, quality, features, branding, and packaging.

A critical marketing tool is price i.e. the amount of money that customers pay for the product. It also includes discounts, allowances, credit terms and payment period.

Place is another key marketing mix tool. And it includes various activities the company undertakes to make the product accessible and available to the customer. Some factors that decide the place are transport facilities, channels of distribution, coverage area, etc.

Promotion is the fourth marketing mix tool which includes all the activities that the company undertakes to communicate and promote its product to target market. Promotion includes sales promotion, advertising, sales force, public relations, direct marketing, etc.

Pepsi - Product T h e P e p s i - C o l a d r i n k c o n t a i n s b a s i c i n g r e d i e n t s f o u n d i n m o s t o t h e r s i m i l a r d r i n k s i n c l u d i n g c a r b o n a t e d w a t e r , h i g h f r u c t o s e c o r n s y r u p , s u g a r , c o l o r i n g s , p h o s p h o r i c a c i d , c a ff e i n e , c i t r i c a c i d a n d n a t u r a l fl a v o r s . T h e c a ff e i n e f r e e P e p s i - C o l a c o n t a i n s t h e s a m e i n g r e d i e n t s b u t n o c a ff e i n e .

S o m e o f t h e d i ff e r e n t a n d v a r i e d b r a n d s o f P e p s i a r e a s f o l l o w s :

1 . A l l S p o r t2 . A q u a fi n a3 . C a ff e i n e - F r e e P e p s i4 . C r y s t a l P e p s i5 . D i e t P e p s i6 . G a t o r a d e7 . I z z e8 . J a z z 9 . J o s t a1 0 . K a s1 1 . M a n z a n i t a S o l1 2 . M i r i n d a1 3 . M o u n t a i n D e w1 4 . M o u n t a i n D e w A M P1 5 . M o u n t a i n D e w L i v e W i r e1 6 . M o u n t a i n D e w M D X1 7 . M u g R o o t B e e r

1 8 . P e p s i1 9 . P e p s i B l u e2 0 . P e p s i C a p p u c c i n o2 1 . P e p s i M a x2 2 . P e p s i O N E2 3 . P e p s i S a m b a2 4 . P e p s i T a r i k2 5 . P e p s i T w i s t2 6 . P r o p e l F i t n e s s W a t e r2 7 . S i e r r a M i s t2 8 . S l i c e 2 9 . S o B e3 0 . S t o r m 3 1 . T e e m3 2 . T r o p i c a n a P r o d u c t s3 3 . T r o p i c a n a T w i s t e r

Pepsi – PricePepsi again decides it price on the basis of competition. The best think about the company Pepsi is that it is very flexible and it can come down with the price very quickly. The company is renowned to bring the price down even up to half if needed.

But this risk taking attitude has also earned Pepsi losses. Though lowering the price would attract the customers but it would not help them cover up the cost incurred in production hence causing them losses. This was the situation earlier but now Pepsi is a full-fledged and growing company. It has covered all its losses and is now growing at a rapid rate.

Pepsi – PlacePepsi again has spread worldwide. Pepsi when entering a new market does not go in alone but it looks for partners and mergers. Till now Pepsi has collaborated with companies like Quaker Oats, Frito-lays, Lipton, Starbucks, etc. Pepsi like Coke has spread all over the world. It is because of this

worldwide spread that now it is coming up with Advertisements which can be broadcasted in the different nations in the world. The recent example with would be the Pepsi advertisements having David Beckham as it brand ambassador.

Pepsi- PromotionPepsi promotes its products by personal selling, advertising, and sales promotion. For advertising, and sales promotion it used printed and electronic media. Every newspaper and magazine carry Pepsi advertisements. Advertisement of Pepsi are eye catching and attractive. Through advertising it informs the consumer about new brands and flavours. Pepsi designs its sales promotion strategies and advertisement campaign focusing strictly on the target markets. Pepsi has been catching the trends of society. National songs by bands like “Vital Signs”, “Awaaz”, “Junoon” and “Strings” were the keys in their advertisement campaign. Sponsoring the pop industry and the cricketing team helped Pepsi hit right on target of their primary market which consists of teenagers.

The management of PEPSI uses both the skimming and penetration pricing strategy. The brands, which has price greater than Pepsi beverage is skimming pricing strategy, and brands having prices less than one can of Pepsi adopted penetration-pricing strategy. By adopting skimming they are earning more profit and by penetration they attract the customers and consolidating position in the market. They have to adopt both strategies because they are facing established competition in the market, e.g. In beginning the main competitors for Pepsi are Coca cola & RC, now their major competitor is Coca cola.

MARKET COMPETITION; PEPSICO VS COCA COLA

Capturing the market is the main issue facing any company and when it comes to Beverage market, it becomes more intense because there are just two players and they are fighting strongly to capture each others market and don't have any other option. Both Coke and Pepsi are trying to gain market share in this beverage market, which is valued at over $30 billion a year. Just how is this done in such a competitive market is the underlying issue. The facts are that each company is coming up with new products and ideas in order to increase their market share. Pepsi has always taken the lead in

developing new products, but Coke soon learned their lesson and started to do the same. Coke hired marketing executives with good track records (98). Coke also implemented cross training of managers so it would be more difficult for cliques to form within the company

The creativity and effectiveness of each company's marketing strategy will ultimately determine the winner with respect to sales, profits, and customer loyalty. These two companies are constructing new ways to sell Coke and Pepsi, but they are also thinking of ways in which to increase market share in other beverage categories. Although the goal of both companies are exactly the same, the two companies rely on somewhat different marketing strategies. Pepsi has always taken more risks, acted rapidly, and was always developing new advertising ideas. Both companies have also relied on finding new markets, especially in foreign countries. In the foreign markets, Coke has been more successful than Pepsi. For example, in Eastern Europe, Pepsi has relied on a barter system that proved to fail. However, in certain countries that allow direct comparison, Pepsi has beat Coke. In foreign markets, both companies have followed the marketing concept by offering products that meet consumer needs in order to gain market share. For instance, in certain countries, consumers wanted a soft drink that was low in sugar, yet did not have a diet taste or image. Pepsi responded by developing Pepsi Max.

The next step is to take fast action to develop a product that meets the requirements for that particular region. Both companies cannot just sell one product; if they do they will not succeed. They have to always be creating and updating their marketing plans and products. The companies must be willing to accommodate their “target markets”. Gaining market share occurs when a company stays one-step ahead of the competition by knowing what the consumer wants. My recommendation is to make sure the company is always doing market research. This way they are able to get as much feedback as possible from consumers. Next, analyze this data as fast as possible, and then develop the new product based upon this data. Once the product is developed, get it to the marketplace quickly. Time is a very critical factor. In my opinion, with all of these factors taken into consideration any company should give any company a good jump on market share.

The beginning of the Cola war:

1975 heralded the ‘Pepsi Challenge’, a landmark marketing strategy, which convinced millions of consumers that the taste of Pepsi was superior to Coke. Simultaneously, Pepsi Light, with a distinctive lemon taste, was introduced as an alternative to traditional diet colas. In 1983 Coke launched aspartame/saccharin blend Diet Coke. In response in 1989 Pepsi-Cola introduced an exciting new flavor, Wild Cherry Pepsi. Thus Diet Pepsi's 'The Other Challenge' campaign was based around a 54-46% lead over Diet Coke in independently researched taste tests in Australia. It was only in 1996 that Pepsi unveiled a revolutionary 'blue' look worldwide 'to transform the image and attitude' of one of the world's best-known brands. 'Pepsi Blue represents a quantum leap into the future and redefines how the Cola Wars will be fought and won in the 21st Century.'

Coke and Pepsi in India:

Coca-Cola controlled the Indian market until 1977, when the Janata Party beat the Congress Party of then Prime Minister Indira Gandhi. To punish Coca-Cola's principal bottler, a Congress Party stalwart and longtime Gandhi supporter, the Janata government demanded that Coca-Cola transfer its syrup

formula to an Indian subsidiary. Coca-Cola balked and withdrew from the country. India, now left without both Coca-Cola and Pepsi, became a protected market. In the meantime, India's two largest soft-drink producers have gotten rich and lazy while controlling 80% of the Indian market. These domestic producers have little incentive to expand their plants or develop the country's potentially enormous market. Some analysts reason that the Indian market may be more lucrative than the Chinese market. India has 850 million potential customers, 150 million of whom comprise the middle class, with disposable income to spend on cars, VCRs, and computers. The Indian middle class is growing at 10% per year. To obtain the license for India, Pepsi had to export $5 of locally made products for every $1 of materials it imported, and it had to agree to help the Indian government to initiate a second agricultural revolution. Pepsi has also had to take on Indian partners. In the end, all parties involved seem to come out ahead: Pepsi gains access to a potentially enormous market; Indian bottlers will get to serve a market that is expanding rapidly because of competition; and the Indian consumer benefits from the competition from abroad and will pay lower prices. Even before the first bottle of Pepsi hit the shelves, local soft drink manufacturers increased the size of their bottles by 25% without raising costs.

PEPSICO PRODUCTS VS COCACOLA PRODUCTS A s s e e n a b o v e b o t h t h e c o m p a n i e s C o k e a n d P e p s i h a v e a n u m b e r o f p r o d u c t s . M a n y o f t h e s e p r o d u c t s a r e i n n o v a ti o n s b u t t h e r e a r e a l s o m a n y p r o d u c t s w h i c h a r e b r o u g h t o u t j u s t a s a c o m p e ti ti v e p r o d u c t f o r t h e o t h e r c o m p a n i e s . S o m e o f t h e s e p r o d u c t s t h a t a r e b r o u g h t i n t h e m a r k e t b y b o t h t h e c o m p a n i e s t o c o m p e t e a g a i n s t e a c h o t h e r a r e a s f o l l o w s :

Coke Pepsi

The main dark cola drink of the company which started the rivalry between these

companies.

Pepsi version of dark cola which is the major primary competitor to Coke.

F u l l T h r o tt l e i s a n e n e r g y d r i n k b r a n d p r o d u c e d b y T h e C o c a - C o l a C o m p a n y . I t d e b u t e d i n l a t e 2 0 0 4

i n N o r t h A m e r i c a .

A M P i s a n e n e r g y d r i n k p r o d u c e d a n d d i s t r i b u t e d b y P e p s i C o u n d e r

t h e M o u n t a i n D e w s o ft d r i n k b r a n d .

V a u l t i s a c a r b o n a t e d b e v e r a g e t h a t w a s r e l e a s e d b y T h e C o c a - C o l a

C o m p a n y i n J u n e 2 0 0 5 .

M o u n t a i n D e w M D X i s a n e n e r g y d r i n k m a n u f a c t u r e d a n d d i s t r i b u t e d

b y P e p s i C o u n d e r t h e M o u n t a i n D e w b r a n d . I t w a s i n t r o d u c e d i n

2 0 0 5 .

P o w e r a d e i s a s p o r t s d r i n k b y T h e C o c a - C o l a C o m p a n y a n d c u r r e n t l y

n u m b e r t w o i n t h e s p o r t s d r i n k m a r k e t w o r l d w i d e .

G a t o r a d e i s a n o n - c a r b o n a t e d s p o r t s d r i n k m a r k e t e d b y Q u a k e r

O a t s C o m p a n y , a d i v i s i o n o f P e p s i C o . O r i g i n a l l y m a d e f o r

a t h l e t e s , i t i s n o w o ft e n c o n s u m e d a s a s n a c k b e v e r a g e .

S p r i t e i s a c l e a r , l e m o n - l i m e fl a v o r e d , n o n - c a ff e i n a t e d s o ft d r i n k ,

p r o d u c e d b y t h e C o c a - C o l a C o m p a n y . I t w a s i n t r o d u c e d t o t h e

U n i t e d S t a t e s i n 1 9 6 1 .

7 Up is a brand of a lemon-lime flavored soft drink.

M i n u t e M a i d i s a p r o d u c t l i n e o f b e v e r a g e s , u s u a l l y a s s o c i a t e d w i t h

o r a n g e j u i c e , b u t n o w e x t e n d s t o s o ft d r i n k s o f m a n y k i n d s . T h e M i n u t e M a i d c o m p a n y i s n o w

o w n e d b y C o c a - C o l a , a n d i s t h e w o r l d ' s l a r g e s t m a r k e t e r o f f r u i t

j u i c e s a n d d r i n k s . I t i s h e a d q u a r t e r e d i n H o u s t o n , T e x a s .

T r o p i c a n a P r o d u c t s i s a n A m e r i c a n c o m p a n y b a s e d i n B r a d e n t o n ,

F l o r i d a , U S A , w h i c h i s o n e o f t h e w o r l d ' s l a r g e s t p r o d u c e r s a n d

m a r k e t e r s o f o r a n g e j u i c e . I t h a s b e e n o w n e d b y P e p s i C o , I n c . s i n c e

1 9 9 8 .

N e s t e a i s a b r a n d o f i c e d t e a m a n u f a c t u r e d a n d d i s t r i b u t e d b y

t h e N e s t l e c o m p a n y ' s b e v e r a g e d e p a r t m e n t i n t h e U n i t e d S t a t e s ,

a n d b y C o c a - C o l a i n s e v e r a l E u r o p e a n c o u n t r i e s , B r a z i l a n d

V e n e z u e l a .

L i p t o n O r i g i n a l I c e d T e a i s a r e a d y -t o - d r i n k i c e d t e a b r a n d s o l d b y

L i p t o n t h r o u g h a w o r l d w i d e p a r t n e r s h i p w i t h P e p s i .

B a r q ' s i s a b r a n d o f r o o t b e e r n o t a b l e f o r b e i n g t h e o n l y m a j o r

N o r t h A m e r i c a n r o o t b e e r t o c o n t a i n c a ff e i n e . I t h a s b e e n

b o tt l e d s i n c e t h e s t a r t o f t h e 2 0 t h c e n t u r y a n d i s c u r r e n t l y s o l d b y t h e

Mug Root Beer is a brand name of root beer made by the Pepsi company.

C o c a - C o l a C o m p a n y .

D i e t C o k e o r D i e t C o c a - C o l a i s a s u g a r - f r e e s o ft d r i n k p r o d u c e d a n d

d i s t r i b u t e d b y T h e C o c a - C o l a C o m p a n y . I t w a s i n t r o d u c e d i n t h e

U n i t e d S t a t e s i n J u l y 1 9 8 2 .

D i e t P e p s i i s a l o w - c a l o r i e c a r b o n a t e d c o l a . I t w a s i n t r o d u c e d i n 1 9 6 4 a s a v a r i a n t o f P e p s i - C o l a

w i t h n o s u g a r .

K i n l e y i s a b r a n d o f s ti l l o r c a r b o n a t e d w a t e r o w n e d b y T h e

C o c a - C o l a C o m p a n y .

Aquafina is a non-carbonated bottled water produced by PepsiCo.

A q u a r i u s i s a m i n e r a l s p o r t s d r i n k m a n u f a c t u r e d b y T h e C o c a - C o l a

C o m p a n y . I t w a s fi r s t i n t r o d u c e d i n 1 9 8 3 .

A l l S p o r t w a s a s p o r t s d r i n k . I t i s p r o d u c e d b y P e p s i C o .

F a n t a i s a s o ft d r i n k b r a n d o w n e d b y T h e C o c a - C o l a C o m p a n y . I t i s p r o d u c e d a n d d i s t r i b u t e d b y T h e

C o c a - C o l a C o m p a n y ' s b o tt l e r s .

M i r i n d a i s a b r a n d o f s o ft d r i n k . M i r i n d a i s o w n e d b y P e p s i C o .

S p r i t e I c e w a s t h e fi r s t fl a v o r e x t e n s i o n f o r T h e C o c a - C o l a

C o m p a n y ' s S p r i t e b r a n d s o ft d r i n k .

Pepsi Blue is a soft drink made by PepsiCo and launched in mid-2002.

C o c a - C o l a B l a k i s a c o ff e e - fl a v o u r e d s o ft d r i n k i n t r o d u c e d b y C o c a - C o l a

i n 2 0 0 6 .

P e p s i C a p p u c c i n o i s a c a p p u c c i n o -fl a v o r e d c a r b o n a t e d s o ft d r i n k

p r o d u c e d b y P e p s i c o .

M a a z a i s a C o c a - C o l a f r u i t d r i n k b r a n d m a r k e t e d i n I n d i a a n d

B a n g l a d e s h .

S l i c e i s a l i n e o f f r u i t - fl a v o r e d s o ft d r i n k s m a n u f a c t u r e d b y P e p s i C o

a n d i n t r o d u c e d i n 1 9 8 4 .

L i m c a i s a l e m o n a n d l i m e fl a v o u r e d c a r b o n a t e d s o ft d r i n k m a d e i n I n d i a

b y C o c a - c o l a .

T e e m w a s a l e m o n - l i m e - fl a v o r e d s o ft d r i n k p r o d u c e d b y T h e P e p s i -

C o l a C o m p a n y .

S.W.O.T ANALYSIS OF PEPSICO

Strength

Pepsi has a broader product line and outstanding reputation.

Merger of Quaker Oats produced synergy across the board.

Record revenues and increasing market share.

Lack of capital constraints (availability of large free cash flow).

Great brands, strong distribution, innovative capabilities

Number one maker of snacks, such as corn chips and potato chips

PepsiCo sells three products through the same distribution channel.

For example, combining the production capabilities of Pepsi, Gatorade and Tropicana is a big opportunity to reduce costs, improve efficiency and smooth out the impact of seasonal fluctuations in demand for particular product.

Weakness

Pepsi hard to inspire vision and direction for large global company.

Not all PepsiCo products bear the company name

PepsiCo is far away from leader Coca-cola in the international market - demand is highly elastic.

Opportunity

Food division should expand internationally

Noncarbonated drinks are the fastest-growing part of the industry

There are increasing trend toward healthy foods

Focus on most important customer trend - "Convenience".

Threats

F&B industry is mature

Pepsi is blamed for pesticide residues in their products in one of their most promising emerging market e.g in India

Over 50 percent of the company's sales come from Frito-Lay; this is a threat if the market takes a downturn

PepsiCo now competes with Cadbury Schweppes, Coca-Cola, and Kraft foods (because of broader product line) which are well-run and financially sound competitors.

Size of company will demand a varied marketing program; Social, cultural, economic, political and governmental constrains.

BIBLIOGRAPHY

www.google.com

www.pepsico.com

www.wikipedia.org

www.lilianilim.com

www.freeessay.cc

www.amazines.com

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MITANJALI KARMITANJALI KAR 4949

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