Prepared by: Abdul Hadi Anwar Siddiqui I am luck that I share this Presentation with you because this is My best Presentation I prepared till now, thanks........ For more information please follow me at, Gmail: abdulhadianwar9998@gmail.com facebook: https://www.facebook.com/innocent.hadi.733

1. Prepared By:
1.
2.
3.
4.
5.
6.
7.
8.
Abdul Hadi Anwar
Abdullah Mushtaq
Asad Khan
Khalid Usman
Muhammad Irfan Anwar
Muneeb Khalid
Shehryar Sarwar
Sayed Sameer
Submitted To:
Ahmad Munir Mehar
Group Research Assignment

2. Contents:
1. Mission & Visions
2. History
3. Organization Chart
4. Products Details
5. Financial Highlights
6. Marketing Strategies
7. Competitor & its Analysis
8. Sowt Analysis
9. Pest Analysis
10.Conclusion's

3. Mission & Vission
Our Mission
“Our mission is to be the world's premier consumer products company focused on
convenient foods and beverages. We seek to produce 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.’
Our Vision
"PepsiCo's responsibility is to continually improve all aspects of the world in which we
operate – environment, social, economic – creating a better tomorrow than today."
“Our vision is put into action through programs and a focus on environmental
stewardship, activities to benefit society, and a commitment to build shareholder value
by making PepsiCo a truly sustainable company.”

4. Today
2003
History:
1998
1973
1950
1906
1898

5. • In 1893, Pepsi was first introduced as "Brad's Drink", in New
Bern,NorthCarolina, United States.
• Itwas later labeled asPepsi Cola.
• In 1903, Bradham moved the bottling of Pepsi-Cola from his
drugstore to a rented warehouse. That year, Bradham sold 7,968
gallons of syrup. The next year, Pepsi was sold in six-ounce
bottles, andsales increased to 19,848gallons.
• In 1909, automobile race pioneer Barney Oldfield
was the first celebrity to endorse Pepsi-Cola.

6. In 1926, Pepsi received its first logo redesign since the
original design of 1906.
In 1929, the logo was changed again.
In 1931, at the depth of the Great Depression, the PepsiCola Company entered bankruptcy.
On 1922 and 1933, The Coca-Cola Company was offered
the opportunity to purchase the Pepsi-Cola company, and it
declined on each occasion.
1959 Crawford was appointed to the Board of Directors of Pepsi-Cola.
1975 Pepsi introduced the Pepsi Challenge marketing campaign .

7.  1996,PepsiCo launched the highly successful Pepsi Stuffmarketing strategy.
 2007,PepsiCo redesigned its cans for the fourteenth time.
 2008, Pepsi overhauled its entire brand, simultaneously
introducing a new logo and a minimalist label design.
 2009,"Bring Home the Cup" changed to "Team Up and Bring Home the
Cup“ new campaign
 2012, Pepsi introduced Pepsi Next, a cola with half the calories of regular
Pepsi.
 2013, Pepsi for the first time in 17 years reshaped its 20-ounce
bottle,

8. Organizational Chart:

9. Pepsi Co Americas Food (PAF)
It includes Frito-Lay North America, Quaker all
Latin American food.
Its snack businesses including the sabritas and game business
includes in Mexico.
Pepsi Co Americas Beverage Food (PAB)
It contain Tropicana and all Latin
American beverage.
It contain customer management for food service and fountain
businesses.

10. Pepsi Co International (PI)
It includes all PepsiCo businesses in Uk,
Europe, Asia and Middle East.
In Uk it declared new product of the year by marketing week
magazines.
In Asia it strong growth in savory snacks in China and Thailand.
In Middle East the Lays brand helped drive to share gains in
Turkey.

11. Board of Directors:
Shown in photo, left to right:

12. Victor J. Dzau, M.D.
Chancellor for Health
Affairs, Duke University;
President and Chief
Executive Officer, Duke
University Health System.
Ian M. Cook
Chairman, President and
Chief Executive Officer,
Colgate-Palmolive
Company .
Sharon Percy
Rockefeller
President and Chief
Executive Officer,
WETA Public Stations.
Daniel Vasella, M.D.
Former Chairman and
Chief Executive Officer,
Novartis AG
Dina Dublon
Former Executive Vice
President and Chief
Financial Officer,
JPMorgan Chase & Co.
Ray L. Hunt
Chairman, President and
Chief Executive Officer,
Hunt Consolidated, Inc.
James J. Schiro
Former Chief Executive
Officer, Zurich Financial
Services
Shona L. Brown
Senior Advisor,
Google Inc.
Shona L. Brown
Senior Advisor,
Google Inc.
Lloyd G. Trotter
Managing Partner,
GenNx360 Capital
Partners
Indra k. Nooyi
Chairman and Chief
Executive Officer,
PepsiCo
Alberto Weisser
Chairman and Chief
Executive Officer,
Bunge Limited
Alberto Ibargüen
President and Chief
Executive Officer,
John S. and James L.
Knight Foundation

13. Products Details:

14. Aquafina
Aquafina® bottled water goes through a
state-of-the-art purification process so that
you get the refreshment your
body craves in its purest form
Cheetos
CHEETOS® Snacks are the playfully
mischievous cheesy crunch that add a
little lighten-up moment to any day.
Proof positive, you simply can’t eat a
Cheetos Snack without smiling. The
CHEETOS® brand strives to provide
consumers with fun times every step
of the way
Lay's
Wherever smiles happen and happiness is
celebrated, you’ll find LAY'S® potato
chips. From backyard BBQs and
birthday parties to 4th of July
picnics, LAY'S® chips are there to share the
moment. It’s no wonder these
deliciously fresh-tasting and perfectly
crispy potato chips have been America’s..

15. Lipton
Made with natural ingredients, new 100%
Natural Lipton Iced Tea unlocks the
natural goodness of tea, blending it
with delicious flavors to hydrate and
refresh you.
Tropicana
Mountain Dew
Tropicana, the strongest name in juices, Mountain Dew exhilarates and quenches
extends the PepsiCo portfolio of brands with its one of a kind great taste.
with plenty of nutritious, high-quality
flavors. Tropicana Products, Inc. is the
leading producer and marketer of branded
fruit juices. Its products
are marketed in the U.S. under a variety of
brand names, including...
Pepsi
Pepsi - the bold, refreshing, robust cola.

16. PepsiCo Mega-Brands
PepsiCo, Inc. has 18 mega-brands that generate $1 billion or more each in annual
retail sales (estimated worldwide retail sales in billions).

17. Financial Highlights
“Running a Company for the long term is like driving a car in a race that has no end. “

18. Financial Highlights
International Growth & Revenues








World’s second-largest food and beverage business.
We make, market or sell our products in more than 200 countries.
More than 49% of our business is generated outside the U.S.
In 2010, we achieved our target to increase our revenues outside the U.S. for
approximately 30 %.
In 2011, we delivered core net revenue growth of 14%.
In 2012, the revenue is 1% less than the 2011. During 2012 we undertook a
number of significant initiatives that we believe will position us for future
success.
These initiatives included increasing investment in our iconic global brands;
stepping up our innovation program and launching new products like Pepsi
Next.
In 2013, our revenue increased by 1.5% as compared to 2012, & deliver its
planned $900 million in productivity savings during 2013 to reach $3 billion in
savings between 2012 and 2014.

19. Financial Highlights
2012
Total Net Revenue
2011
2010
$65,492
$66504
$57,838
Operating Profit
FLNA
$3,646
$$3,621
$3,376
QFNA
$695
$797
$741
LAF
$1,059
$1,078
$1,004
PAB
$2,973
$3,273
$2,776
EUROPE
$1,330
$1,210
$1,054
AMEA
$747
$887
$708
Net Revenues
PepsiCo AMEA
10%
37%
20%
33%
Mix of Net Revenues
PepsiCo Europe
PepsiCo Americas
Beverages
PepsiCo Americas
Foods
49%
51
%
Food
Beverage

20. Financial Highlights
Critical Accounting Policies
 These policies help management to make difficult and subjective judgments
regarding uncertainties, and as a result, such estimates may significantly
impact our financial results.
 The precision of these estimates and the likelihood of future changes
depend on a number of underlying variables and a range of possible
outcomes.
 We applied our critical accounting policies and estimation methods
consistently in all material respects, and for all periods presented.

21. Financial Highlights
Effect of Foreign Exchange Rate
 Financial statements of foreign subsidiaries are translated into U.S. dollars
using period-end exchange rates for assets and liabilities and weightedaverage exchange rates for revenues and expenses.
 Countries which generates our net revenue for around 50% includes
Russia, Mexico, Canada, United Kingdom and Brazil, as a result we are
exposed to foreign currency risks.
 In 2010 & 2011, favorable foreign currency contributed 1% to net revenue
growth, primarily due to appreciation of the euro, Canadian dollar and
Mexican peso.
 During 2012, unfavorable foreign exchange reduced net revenue growth by
2.5%, primarily due to depreciation of the currencies of Russia, Brazil &
Mexico.

22. Effect of Exchange Rate Changes To Date
Effected -258 million

23. Financial Highlights

24. Marketing Strategies
Global Marketing & Advertisements
 The company's global marketing and ad expenses shot up 11% in the first
quarter, compared with the first quarter of 2012.
 Over the course of a century Pepsi has grown to be an amazing brand both
in advertisement and style campaigns, providing top notch strategy plans to
kicked out other competitors, which not only includes Billboards, Banners
& stickers on Busses & trucks, but also with world class Celebrities !
 PepsiCo looks for properties that take a vested interest in a partnership’s
success by keeping the company up to speed on new marketing initiatives
and other programs where there may be a brand fit.

25. Marketing Strategies
Global Marketing & Advertisements
 PepsiCo also activates league and team deals with localized in-store
promotions.
 Social media marketing is becoming increasingly dependent on usergenerated content, meaning reviews, comment, or any other input from
customers.
 The multi-brand strategy supports the organic role that PepsiCo brands
play in the sports experience whether on the field of play or the fan
experience.

26. Marketing Strategies
Global Marketing & Advertisements
 Online Advertisements is a huge “GO” for marketing, & PepsiCo is one of them.
 Collect & Win competitions, In this type of events customers’ needs to collect
enough points to get the listed gifts. Points can be of any type from Cap of an
empty bottle to a empty wrapper of a Lays Chips. This attract customers a lot to
buy their product in order to collect the points
“We want to reach more consumers in more places at more times than
anyone else,”

27. Competitors & its Analysis:
PepsiCo

28. PepsiCo
The PepsiCo challenge (to archrival Coca-Cola) never loses its fizz for the
world's #2 carbonated soft drink maker. Pepsi products are available in 200-plus
countries; the US generates 50% of sales. The company operates its own bottling
plants and distribution facilities.
 -The Coca-Cola Company
 -Mondelez International, Inc. Company
 -Dr Pepper Snapple Group, Inc. Company
Analysis

29. Global Ranking
Natures

30. PepsiCo Vs. Coca-Cola
1. Pepsi and Coca Cola are two international soft-drink giants which control most
of the soft-drinks beverage business in the world.
2. Pepsi has the following brands under its umbrella: Pepsi, Tropicana, Mountain
Dew, Quaker, Aquafina, 7Up, Lays, etc. Coke on the other hand has the following
brands: Coca Cola, Coke light, Diet - coke, Kinley water, Kinley
Soda, Fanta, Sprite, Thums Up etc.
3. Pepsi and Coke command over 95% of the soft-drink market in India.
However Coke continues to outsell Pepsi most areas of the world but in India
and Pakistan and some other countries, PepsiCo fares far better than coke.

32. Swot Analysis:

33. Strengths:
1. Extensive distribution channel:
PepsiCo products are served to more
than 10 million stores per week in more
than 200 countries
2. Successful marketing and
advertising campaigns.
More than $2 billion spent on
advertising over 2012 resulted in
PepsiCo’s growing market share over its
main
competitors, including Coca Cola
Company, which spent even more on
advertising.
3. Proactive and progressive
According to New York Times food
industry writer Melanie
Warner, PepsiCo, by many critics, is
considered to
be most proactive and progressive food
company.

34. Weaknesses:
1. Low pricing.
PepsiCo usually prices its products lower
than its competitors. Low price is
associated with low quality and
PepsiCo products are usually perceived as
ones
2. Weak brand awareness.
The Coca Cola Company has the
largest share market of beverages in
the world and much stronger brand
awareness than Pepsi, placing it at
competitive disadvantage
3. Too low net profit margin.
PepsiCo’s net profit margin is 9.7%
compared to Coca Cola’s 18.55% and
Nestlé’s 11%

35. Opportunities:
1. Savory snacks consumption
growth.
The same opportunity PepsiCo has in
growing its revenue selling snacks as
this market is also expected to grow.
2. Bottled water consumption
growth.
Consumption of bottled water is
expected to grow both in US (PepsiCo’s
largest bottled water market) and the
rest of the world
3. Increasing demand for healthy
food and beverages.
Due to many programs to fight
obesity, demand for healthy
food and beverages has increased
drastically. PepsiCo has an opportunity to
further expand its product range with
beverages and snacks that have low
amount of sugar and calories

36. Threats:
1. Changes in consumer tastes.
Consumers around the world become
more health conscious and reduce their
consumption of carbonated drinks, drinks
that have large amounts of sugar, calories
and fat
2. Water scarcity.
Water is becoming scarcer around
the world and increases in both cost
and criticism for
PepsiCo over the large amounts of
water used for production.
3. Decreasing gross profit margin.
PepsiCo’s gross profit margin was
decreasing over the past few years and
may continue to decrease due to higher
water and other raw material costs.

37. Pest Analysis:
• Political Factors
• Economics Factors
• Social Factors
• Technological Factors

38. Political factors
1. PepsiCo is non alcoholic beverage
and has to follow regulated by FDA
with consistency.
3. PepsiCo’s competitors use competitive
pricing strategy and Pepsi has to always
keep this in mind.
2. It deals in different markets and every
market has its own policies and
procedures that are either stringent or
either relaxed. Specially
cross border situations are very different
and Pepsi has to adapt to these changes
accordingly.
4. PepsiCo has to also deal with
government’s focus on stricter water
pollution norms and land acquisition for
new factories in different countries.

39. Economical Factors
1. Usually whenever there is an
economic downturn faced by the
economy, companies sales are badly
affected and they have to restructure
their strategies.
2. The economic in 2008 was in Pepsi’s
favor. It resulted in increased sales of its
beverages as people were jobless and
were sitting at home, spending more
time with family and friends.
3. Availability of labor is another very
important economic factor .In some
countries the labor is quite expensive and
if it’s cheap then sometimes labor is not
well trained.
4. The economic impacts of such
movements are serious because these affect
the growth.

40. Social Factors
1. Lifestyle has great influence on the use
of Pepsi products, and their advertisements
are designed accordingly.
2. PepsiCo introduced plastic bottles and
cans and came up with innovative and
newer designs.
3. Introduction of PepsiCo products in the
international market requires an in depth
study of the local social structure.

41. Technological Factors
1. With the technologies coming
in, companies have changed their
strategies and operations accordingly.
A recent trend that has been seen and
something that almost every company 2. Pepsi is influenced by the modern
is inclining toward is Social Media. manufacturing techniques applicable to
their business divisions of soft
drinks, juices, and snack food.
3. Pepsi has to focus on the latest
distribution techniques, and other
technological advances in their industry.

42. Conclusions:
1. PepsiCo is always looking into the
future, trying to make the company most
profitable and suiting to its
4. New policy of the company should be
shareholders.
introduced before the competitors launch
those policies.
2. PepsiCo is also reformulating its
Aquafina Alive water with a new
5. A healthy relationship should be
sweetener blend that has fewer
developed by the company’s executives
calories.
with the dealers.
3. More focus on sales of Gatorade
6. All the factors involved in pest analysis
have a great impact on
each and every company. they all are
interconnected with each
other and also leads to a profitable
business.

43. PepsiCo’s Values
We are committed to delivering sustained
growth through empowered people, acting
responsibly and building trust.
Thanks you:

44. Any Questions: