Business Strategy

PresentationPepsiPresented by:

Usman ManzoorAdnanAmmarBilalSulman

Vision• Our vision is to be the world's best beverage

company. Being the best means providing outstanding quality, service, cleanliness and value, so that their every customer is contented and happy with their products.

Mission• To be the world's premier consumer Products

Company focused on convenient foods and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.

Mission and Vision of PepsiCo.

Internal Factors Evaluation

• It is based on thorough review of the corporation, product category, competition, customers, identities and evaluates the internal strengths and weakness of the companies.

• Its include Strengths & Weaknesses

External Factors Evaluation

• It is based on thorough review of the Economic, Demographic, Technological, Political & Legal, Social & Cultural Factors.

• Its include Opportunities & Threads

9

Strategic Analysis - S.W.O.T

strengths

opportunities

weakness

threats

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S.W.O.T - Strengths

• Most valuable brand for 13 years

• Worlds largest in beverages: 15bi dollar brands

• Diversification: 500+ brands, 200 countries

• Extensive global dist. network

• Leader in fountain accounts

• Forward integration: power of supplier and buyer (90%)

• Strong in emerging markets: China, Brazil, Eastern Europe

• 22nd most valuable brand• 2nd largest F&B in the world, 22 bi

dollar brands• Diversification: “The power of

one”• Extensive global dist. network• Leader in non-CSD • Forward integration: 80 % • Successful marketing

campaigns: celebrity endorsements

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S.W.O.T - Weaknesses

• Declining market share since 2000

• Negative publicity • CSD focus: only 32% non-

CSD share

• Price pressure from mass retailers (Wal-Mart) : 40% of U.S. packaged sales

• Declining market share in bev.• Negative publicity • Overdependence on U.S.

markets: 50% of total sales• Low market share in fountain

accounts: 20% vs. Coke’s 69%

• Price pressure from mass retailers: 12% of revenue(Wal-Mart)

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S.W.O.T - Opportunities

• Expand non-CSD: juice, sport, energy, bottled water

VitaminWater, Odwalla (Coke), Gatorade, Naked (Pepsi)

• Expand and modify CSD line: Stevia

Sprite Green (Coke), Pepsi Next, Trop50 (Pepsi)

• Global expansion in emerging markets: India, China, Brazil (Coke) Russia

(Pepsi)

• Innovative offerings tailored to local tastes

Sprite Tea (Coke), herb drinks (Pepsi)

• Growing nutritious snacks product markets

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S.W.O.T - Threats

• Changing consumer tastes and preferences• Competition with each other• Threat of substitutes• Price pressure from mass retailers• Price pressure from int'l bottlers• Government restrictions in U.S. and abroad

Conclusion

Pepsi is a well renowned company and it has maintained its position well by understanding the client psychology.

• By ensuring quality. • By introducing ingenuity in products. • By enlarging its product base .• By keeping economic factors in view. • By intense and jazzy advertisements.