Pepsico International CaseEssay Preview: Pepsico International CaseReport this essayINTRODUCTIONPepsiCo InternationalPepsiCo is a Public limited company in U.S. and founded in New York City in the year 1965. PepsiCo ranks among the worlds five largest food and beverage companies with 16 brands, revenues of about US$ 27 billion and over 168,000 employees all over the world. PepsiCo International includes the snack businesses of Frito-Lay International and beverage businesses of PepsiCo Beverages International. PepsiCo brands are available in nearly 200 countries.
PepsiCo, is the second largest global U.S beverage and snack company, and also ranked as the Indias second largest FMCG company after HUL .The company manufacture, market, and sell a variety of liquid refreshing beverages with the flag ship brand “Pepsi-Cola”, as well as salty, sweet and grain -based snacks like Quaker Oats and Frito-Lay.
PepsiCo has other well known brands like Mountain Dew, Mirinda, Slice, and Tropicana. The company also manufacture and sell “Gatorade” which is an energy drink without caffeine, and company sell this drink as sports drink which is popular all over the world. The turnover of each brand is about 500 Crore globally. The marketing and selling of these products is done by a very good and developed distribution system of PepsiCo and its been one of its main strength.
Indra Nooyi, the Chief Executive of PepsiCo since 2006, has focused on maintaining the companys leadership in the snack food industry as well as in LRB by being on the forefront of marketing healthier snacks and beverages and striving for a net-zero impact on the environment. This focus on healthier foods and lifestyles is part of Nooyis “Performance with Purpose” philosophy.
India is one of the top five markets in terms of growth of the soft drinks market. The per capita consumption of soft drinks in the country is estimated to be around 6 bottles per annum in the year 2003. But being one of the fastest growing markets and by the sheer volumes, India is a promising market for soft drinks.
PepsiCo in IndiaThe major players in the soft drinks market in India are PepsiCo and Coca-Cola Co. like elsewhere in the world. PepsiCo entered India in 1989 and has grown to become one of the countrys leading food and beverage companies. One of the largest multinational investors in the country, PepsiCo has established a business which aims to serve the long term dynamic needs of consumers in India.
PepsiCo India and its partners have invested more than U.S. $700 million since the company was established in the country. PepsiCo provides direct employment to 4,000 people and indirect employment to 60,000 people including suppliers and distributors.
PepsiCo nourishes consumers with a range of products from treats to healthy eats that deliver joy as well as nutrition and always, good taste. PepsiCo Indias expansive portfolio includes iconic refreshment beverages like Pepsi, 7 UP, Mirinda and Mountain Dew, in addition to low calorie options such as Diet Pepsi, hydrating and nutritional beverages such as Aquafina drinking water, isotonic sports drinks – Gatorade, Tropicana100% fruit juices, and juice based drinks – Tropicana Nectars, Tropicana Twister and Slice. Local brands – Lehar Evervess Soda, Dukes Lemonade and Mangola add to the diverse range of brands of PepsiCo and popular amongst the consumers.
PepsiCos foods company, Frito-Lay, is the leader in the branded salty snack market and all Frito Lay products are free of trans-fat and MSG. It manufactures Lays Potato Chips, Cheetos extruded snacks, Uncle Chips and traditional snacks under the Kurkure and Lehar brands. The companys high fibre breakfast cereal, Quaker Oats, and low fat and roasted snack options enhance the healthful choices available to consumers. Frito Lays core products, Lays, Kurkure, Uncle Chips and Cheetos are cooked in Rice Bran Oil to significantly reduce saturated fats and all of its products contain voluntary nutritional labeling on their packets.
The group has built an expansive beverage and foods business. To support its operations, PepsiCo has 43 bottling plants in India, of which 15 are company owned and 28 are franchisee owned. In addition to this, PepsiCos Frito Lay foods division has 3 state-of-the-art plants. PepsiCos business is based on its sustainability vision of making tomorrow better than today. PepsiCos commitment to living by this vision every day is visible in its contribution to the country, consumers and farmers.
The marketing operations of both the departments are separate in India. In India the marketing operations of PepsiCo beverages is divided in four regions as East, West, North and South. The corporate head office of West region is in Mumbai. There are 6 production plants in west region, out of those two plants are in Mumbai, two plants are in Paithan in Raigad district and two plants are in Gujarat where the different SKUs are manufactured and supplied all over the Western region.
PepsiCo have been manufacturing and selling its products through Company operated bottling units (COBU) and Franchise operated bottling units (FOBU). In Mumbai there are 6 Sales Territories known as Warehouses namely, Chembur and Kanjur marg, South Mumbai, Ray road, Shivari, Jogeshwari and Goregaon.
Acquisition of Tropicana by PepsiCoPepsiCo acquired Tropicana Products from Seagram Company Ltd., the biggest acquisition ever undertaken by PepsiCo in 1998. Tropicana was founded in 1947 by Anthony Rossi in Bradenton, Florida, USA. The Company is the worlds largest marketer and producer of branded juices. The Companys portfolio consists of some of the best known trademarks in juice including Tropicana Pure Premium. This move was taken assuming there is a strong shift in consumer beverage demand since 2003 towards non-carbonated alternatives, creating new opportunities for drinks manufacturers in the country and consumers are getting more health conscious and the preference is changing considerably from carbonated soft drinks towards Fruit juices and the company wanted to prepare itself for the future change in consumers preference. But its not just the health
s. It comes in the form of a wide range of new innovations to its range of beverages. Tropicana’s brand name, Tropicana, is an acronym for Tropicana Beverage Company in Latin America, Latin America & Oceania and other European countries.
http://www.newstalkradio.com/show/191730/marijale/the-newstalk-radio/
http://www.newstalkradio.com/show/194539/the-newstalk-radio/
http://www.newstalkradio.com/show/192633/the-newstalk-radio/
http://www.newstalkradio.com/show/194850/the-newstalk-radio/
http://www.newstalkradio.com/show/194953/the-newstalk-radio/
http://www.newstalkradio.com/show/194872/the-newstalk-radio/
http://www.newstalkradio.com/show/194933/ the-newstalk-radio/
http://www.newstalkradio.com/show/194973/the-newstalk-radio/
http://www.newstalkradio.com/show/195814/the-newstalk-radio/
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s. It comes in the form of a wide range of new innovations to its range of beverages. Tropicana’s brand name, Tropicana, is an acronym for Tropicana Beverage Company in Latin America, Latin America & Oceania and other European countries.
http://www.newstalkradio.com/show/191730/marijale/the-newstalk-radio/
http://www.newstalkradio.com/show/194539/the-newstalk-radio/
http://www.newstalkradio.com/show/192633/the-newstalk-radio/
http://www.newstalkradio.com/show/194850/the-newstalk-radio/
http://www.newstalkradio.com/show/194953/the-newstalk-radio/
http://www.newstalkradio.com/show/194872/the-newstalk-radio/
http://www.newstalkradio.com/show/194933/ the-newstalk-radio/
http://www.newstalkradio.com/show/194973/the-newstalk-radio/
http://www.newstalkradio.com/show/195814/the-newstalk-radio/
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