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Multinational company management (1)

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with pepsi co in vietnam

with pepsi co in vietnam

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  • 1. MULTINATIONAL COMPANY MANAGEMENT Group 9 Topic: Overview about PepsiCo and its business in Vietnam
  • 2. MEMBERS OF GROUP 9: Ngô Thị Thanh Tâm 1 Nguyễn Thị Thảo 4 Vũ Thị Thanh 3 Khổng Thị Thu 10 Nguyễn Thị Thu Thảo 5 Nguyễn Tịnh Tâm 8 Đỗ Thị Thanh 2 Vũ Thị Thơm 9 Phùng Thị Thảo 6 Trần Thị Thảo 7
  • 3. CONTENTS II.Business in Vietnam A. General environment B. Strategies in Vietnam C. Human resource management III. Conclusion I. General view about Pepsi.Co
  • 4. GENERAL VIEW ABOUT PEPSI.CO
    • PepsiCo is an America multinational company headquartered in Purchase, New York, United States. PepsiCo was formed in 1965.
    • It leads in convenient snacks, foods and beverages with revenues of more than 60$ billion and over 285000 employees from almost over the world.
  • 5. GENERAL VIEW ABOUT PEPSI.CO
      • PepsiCo is comprised of PepsiCo Americas Beverages, PepsiCo Americas Foods, PepsiCo Europe, PepsiCo Middle East, Asia and Africa.
  • 6. GENERAL VIEW ABOUT PEPSI.CO
    • Pepsi main product: drinks ( soft drinks and juices), snack, instant food,
    • Pepsi main brands name: Pepsi for soft drinks, Frito Lay for potato chip and other snack, Tropicana for fruit juices, Quaker for instant and other food, Gatorade for sport drink.
  • 7. GENERAL VIEW ABOUT PEPSI.CO
      • PepsiCo Vietnam is a branch of PepsiCo Asia,Middle East and Africa
    • Main headquarter in Vietnam: 5 th floor, Sheraton building, 88 Dongkhoi , Hochiminh city
    • Branch office in Hanoi: number 1 Phuong mai , Dong Da, Hanoi.
    Company Name
  • 8. GENERAL ENVIRONMENT Natural environment The economic environment The political – legal environment Technological environment Cultural and social environment General environment 1 4 2 3 5
  • 9. THE ECONOMIC ENVIRONMENT
    • Good economic growth rate  push up production
    • The steady economic will create the favorable environment for enterprises
    • High inflation: The CPI in 12/2010 increased up toto 12%  business activities would not be predict easily cause of the changing of input price
    Company Name
  • 10. THE ECONOMIC ENVIRONMENT
    • High banking interest: make it difficult in accessing with loans from banks
    • The economic infrastructure and transportation system: is upgraded, innovated synchronic.
    • PepsiCo needs to cooperate and take this advantage to build good distribution channels.
  • 11. THE POLITICAL – LEGAL ENVIRONMENT
    • Viet Nam has stable security and politic which create a safe environment for enterprises
    • Equality in business market creates good conditions for Viet Nam Pepsi co’s steady development.
  • 12. CULTURAL AND SOCIAL ENVIRONMENT
    • Soft drink market in Viet Nam is the potential market for both domestic and oversea exploration.
    • The changing in the way Vietnamese select soft drink special the young.
    • Vietnamese still have tea culture
    • The fast food development market: Pepsico cooperated to supply fast food service and accompage soft drink accompagner
  • 13. TECHNOLOGICAL ENVIRONMENT
    • Scientific- Technology environment for PepsiCo in Vietnam:
    • - Does not have to pay costs for technological transference.
    • - Has the most advanced technologies
    • - Has to concern over training human resources in the country effectively
    www.themegallery.com Company Name
  • 14. NATURAL ENVIRONMENT
    • Vietnam is characterized by a monsoon tropical climate which is hot, humid and rainy but differentiate in different regions
    • The difference: generating the richness and diversity of demand and consumer tastes.
    www.themegallery.com Company Name
  • 15. NATURAL ENVIRONMENT
    • Environmental pollution: is also getting more and more attention of society  PepsiCo need a special attention to the environmental factors.
    www.themegallery.com Company Name
  • 16. Three level strategies
    • Corporate level strategy: Vertical integration
      • PepsiCo is comprised of PepsiCo Americas Beverages, PepsiCo Americas Foods, PepsiCo Europe, PepsiCo Middle East, Asia and Africa.
    • Business level strategy:
    • PepsiCo had a cautious research and knew Vietnamese economy and politics in order to compete local manufacturers.
      • In the 1990s, local economy was underdeveloped
      •   Pepsi launched great discount promotion, attracted Vietnamese’s attention  Their strategies focused on Vietnamese consumption trend which is interested in cheap goods and discount products
    www.themegallery.com Company Name
  • 17. Good functional level strategy
    • Pepsi expanded their distribution network to the North and obtained many market share from Coca cola by distributing their products to coffee shops, restaurants or stores.
    www.themegallery.com Company Name
  • 18. Good functional level strategy
    • Patriotism, national pride and the love of sports  launched many events that related : held “ football festival” through a TV show, launched the slogan
    • With good managers and marketing staffs who are well – informed about the Vietnam soft drink market and Vietnamese demand
    • Always made good marketing strategies, attractive and unique commercial films
    www.themegallery.com Company Name
  • 19. Three level strategy
    • Took full advantage of Vietnam conditions to entered successfully into Vietnam soft drink market and gain huge market share in our country.
    www.themegallery.com Company Name
  • 20. Entry strategy model  
    • PepsiCo entered our country through entry strategies are join venture, M&A and subsidiary
    • In 1994, PepsiCo teamed up with International Beverages Company  to manufacture and distribute Pepsi-Cola and 7Up products in Vietnam
    www.themegallery.com Company Name
  • 21. Entry strategy
    • At the same time, PepsiCo's Foods and Beverages merged  impact on both strategy, operating principles of PepsiCo Vietnam
    • Pepsi Vietnam has quickly adopted the new strategy, expanding its business functions and portfolios to manufacture and distribute both Foods and Beverages (F&B) in Vietnam
    www.themegallery.com Company Name
  • 22. Entry stratey
    • PepsiCo Vietnam has successfully in:
    • Operating in compliance with its corporation's world-class standard and the local regulations as well.
    • Sustaining its market leadership position driven by impressive growth significantly surpassing that of the F&B industry
    www.themegallery.com Company Name
  • 23. C. Human resources management
    • At PepsiCo Vietnam, HR supports & develops their most important asset.
    • HR process begins with staffing the Organization
    • Then following by building Organization Capability
    www.themegallery.com Company Name
  • 24. 1. Recruitment
    • PEPSI Vietnam employs through both formal and informal ways of recruitment.
    • Recently, a new way of recruitment: Online Applications
    • Recruitment process is improved in terms of efficiency and convenience with the use of technology
    www.themegallery.com Company Name
  • 25. Sources of Recruitment
    • PEPSICO uses both Internal and External Recruitment.
    • But the priority is given to the internal if the employee has the capabilities, required by the management for working on that post.
    www.themegallery.com Company Name
  • 26. Recruitment Methods
    • Internal
    • “ Job Posting”: employees of organization are preferred but if the organization feels that the employee is not competent enough then they go for external methods.
    • Such announcements are made through bulletin boards, memos and other internal sources.
    • External
    • Prefers advertising through newspapers and their official website for their recruitment purposes.
    www.themegallery.com Company Name
  • 27. Selection process
    • 1. The Application
    • 2. Written Exams
    • 3. Performance Exams
    • 4. Specialized Testing
    • 5. The Panel Interview 
    • 6. The Selection Interview
    www.themegallery.com Company Name
  • 28. 2. Training and development
    • Trained and developed many seniors and fast track managers and supervisors.
    • Provide full opportunity to employee to develop themselves & train them as the requirements of their job.
    • Provide the training session in the form of seminars, classroom training courses and workshops.
    • Pepsi Vietnam often organize Pepsi management trainee program  to recruit and train potential candidates.
    www.themegallery.com Company Name
  • 29.
    • Respect workforce. - Dawn Hudson, President and CEO of Pepsi-Cola North America states, “building a diverse workforce is not just a ‘nice to do’- there is a clear and obvious business imperative” - Diversity and inclusion are seen as catalysts to innovation and growth.
    www.themegallery.com Company Name Management policies
  • 30. Commitment to diversity is echoed on the PepsiCo website: “ We view diversity as a key to our future… Offering a workplace where diversity is valued helps us build the top-quality workforce so crucial to our success -- by enabling us to attract and retain great people from a wide spectrum of backgrounds.” www.themegallery.com Company Name Management policies
  • 31. - PepsiCo makes an extra effort to retain its diverse workforce by measuring inclusion efforts. - Continue to recruit and retain those outside the traditional umbrella of diversity – beyond women and minorities - Organizational Health Surveys and Pulse Surveys allows all employees to voice any concerns they may have. www.themegallery.com Company Name Management policies
  • 32. Performance appraisal
    • Job evaluation : yearly, basis under 360o method
      • Competent employees: rewarded by promotions, bonus, increments and annual holidays
      • Using different questionnaires to judge employees’ personalities
    • Overtime payment : is pay for workers who are working more than their working hours mostly overtime payment is given to low level staff.
  • 33. Thank You !