It currently operates in more than 200 countries worldwide which provides PepsiCo with diverse income sources. The developing countries are an emerging market that the company can tap into. Coca-Cola at A Glance: Infographic. Form 10-K for the Fiscal Year Ended December 31, 2017. Dr Pepper Snapple Group, Inc. Through numerous acquisitions and periods of growth,. If issues of supply, regulation or environment arise in one country, the company still operates in the other countries.
If the company has to comply with a related regulation and add warning labels or place warnings in certain locations where its products are sold, a negative impact may result for PepsiCo. Pepsi can partner other brands to increase its brand recognition in several parts of the world for mutual benefit. In the past ten years Pepsis net revenue compounded annually growth rate was 9%. Liquid Refreshment Beverage Marketing Enlarged in 2014, Reports Beverage Marketing Corporation. Customers can get a little of everything. Most of the revenue generated by the company comes from the North and South America. Impact of the Berkeley Excise Tax on Sugar-Sweetened Beverage Consumption.
Next, is the water scarcity globally that can be a major pain not just for Pepsi but also for its competitors in Soda industry. The next year, Pepsi was sold in six-ounce bottles, and sales increased to 19,848 gallons. Competing against such a strong brand as Coca-Cola is hard and requires switching brands from now and then which is very risky. Fact Sheet: Starbucks and PepsiCo Partnership. Frito-Lay begins a program of expansion. Weaknesses The major weakness faced by the company is competition, especially in the drinks segment. Frito-Lay manufactures a full compliment of snack foods under a long list of brand names: Everything form Doritos to Grandmas cookies and Stacys pita chips.
The company has a high turnover rate and in the last four years, 26 senior marketing managers have resigned and those that are still with PepsiCo have been moved from one brand to another or from one division to another Edwards, 2012. This analysis will help to understand if the company is achieving its goals and objectives. If the company has to comply with a related regulation and add warning labels or place warnings in certain locations where its products are sold, a negative impact may result for PepsiCo. It will discuss the key PepsiCo strengths, weaknesses, opportunities and threats that affect the company in 2018, which might help you get a better understanding about the PepsiCo and its business. Packaged Coconut Water Market - Global Outlook and Forecast 2018-2023.
Liquid Refreshment Beverage Market Accelerated in 2015, Reports Beverage Marketing Corporation. Form 10-K for the Fiscal Year Ended December 31, 2017. PepsiCo Business Analysis: Part 1 Mufuliat Adeseun Management 521 November 5, 2012 Dr. It also provides details about the internal status of the business and the future growth to expect in the future. PepsiCo provides support for education through PepsiCo Foundation grants. Opportunities PepsiCo is investing its resources by expanding its operation in emerging foreign markets like China and Russia and developing continents like Africa. They are destined to become the most popular snack chip in the U.
Coca-Cola is the leading brand in this segment and this force PepsiCo to highly switch brands Young, 2015. Words: 1794 - Pages: 8. It continues to broaden its product base by introducing TrueNorth Nut Snacks and increasing its Lipton Tea venture with Unilever. But, it is very well managed, and looks to have plenty of chances to drive earnings growth by becoming more productive, rolling out new products, and making inroads in still-attractive international markets. Another key source of revenue for the brand can be partnership with the other brands. Established in 1965 when Pepsi-Cola and Frito-Lay shareholders merged their salty snack icon and soft drink giant.
In this regard focus has to be on increased popularity and loyalty in the Asian and European markets. With the new initiatives that PepsiCo is working on, such as expanding its market into developing countries and providing healthier options to its consumers, the company will be able to meet the needs of its stakeholders. Soda Sales Fall Faster As Americans Turn To Healthier Options. PepsiCo product portfolio, provides a diversity of beverage and snacks to their diverse customers. If the company is at a turning point, an inventory of its strengths and weaknesses can reveal possibilities. This disrupted both manufacturing and distribution.
Take a journey through our past and see the key milestones that define PepsiCo. I used a variety of ratios to use for analysis. Threats PepsiCo faces a strong competition from The Coca-Cola Company, its primary competitor in the carbonated beverage category. The company recruited a unique blend of artists and engineers under the banner of Experiments in Art and Technology. It is a distinctive competence when it gives the firm a comparative advantage in the marketplace. An employee strength of around 300,000 people 6.
The predictable change and strategy to react along with forthcoming change should be included within the business plan. These two brands have the buying power and brand recognition to compete head-to-head with PepsiCo. Words: 645 - Pages: 3. However, PepsiCo faces problems in the health community. Pepsi is a global brand present throughout the world in several countries. Global Tequila Market to Witness Growth Through 2021, Owing to the Introduction of New Flavors: Technavio. Now, the most important question before Pepsi is how to protect its image from continued assaults.