...guidance, feedback and mentoring throughout the course of this project. We thank her for her time in helping us achieve our objective of completing this project to the best of our abilities. EXECUTIVE SUMMARY Gatorade is a brand of sports food and beverage product built around the line of sports drinks. It is manufactured by Pepsico and is distributed in 80 countries worldwide. The beverage was first developed in 1965 by researchers at the University of Florida, to replenish the combination of water, carbohydrates, and electrolytes that the school's student-athletes lost during rigorous athletic competitions. Its name was derived from the collective nickname of the university's athletic teams, "the Gators". Gatorade has been an admired brand of beverage in the United States and the main thing that has worked for the brand is the advertising strategy, which involves popular sports stars and clubs associated with the brand. We intend to present the positioning of Gatorade, to understand the various strengths, weaknesses, opportunities and threats of the brand in the Indian context and to study a few hypotheses surrounding Brand Gatorade with the Indian consumer in mind. INTRODUCTION PURPOSE & OBJECTIVES Gatorade has been a 45-year-old brand and has been a leading sports drink ever since its inception in 1965. It was formulated to aid hydration in athletes and as replenishment for body fluids lost during physical exertion that is caused by sports....
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...Executive Summary The case study will examine the strategy implemented by PepsiCo to exploit rapidly growing markets opportunities by acquiring the organisations Tropicana, Gatorade and Quaker. The case study will highlight that it was imperative for the PepsiCo organisation to embark on a radical restructuring strategy to optimise their return on investments. The paper will discuss the rationale behind the critical restructuring .The benefits of the acquisitions and restructuring strategy will be discussed and motivated in detail. The strong existing competitive resources that PepsiCo and the new acquired brands in the North America region possess will be emphasised. The modifications to PepsiCo structure in 2001 and 2004 will be scrutinised to motivate and justify the decisions of the PepsiCo leadership. In addition the case study will evaluate the execution of the radical change and the tasks that should be performed by key resources. The emotional impact on employees due to the radical transformation and the key role employees should perform will be described. The focus of the paper will be on the function; the leadership of PepsiCo must perform and the potential roles the employees of PepsiCo could execute. Ultimately, the case study will discuss the complex relationship between structure and strategy. The paper will establish that PepsiCo had to regular acclimatise their strategy and structure to accomplish their organisational goals. Introduction Over...
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...Adequacy Ratio’ Analysis of ‘Free Cash Flow / Operating Cash Flow’ Competition Marketing Campaign Innovation References Pepsi (PEP) Background PepsiCo, Inc. is a global food, snack and beverage company. The Company's brands include Quaker Oats, Tropicana, Gatorade, Lay's, Pepsi, Walkers, Gamesa and Sabritas. Pepsico Inc. is registered on NYSE using the ticker symbol of ‘PEP’. Using the available data from 1978 till now, the PEP ticker symbol has seen the stock price increase of approximate 4400% , which is comparable to its closest competitor Coca-Cola’s (Ticker : KO) growth of 4500% in the same time period. Pepsico’s current Market Cap is approximately 98.83B with a P/E ratio of 15.90. A high P/E ratio suggests investor's confidence in the future growth prospects of the company and Pepsico has the highest P/E ratio as compared to its major competitors in the sparkling soda industry including Coca-Cola and Dr. Pepper. Even though it can be interpreted that PEP has lagged behind Coca-Cola over the years in US market but it is very important to understand that the majority of PepsiCo's revenues do not come from carbonated soft drinks.In fact, beverages account for less than 50% of total revenue. Additionally, over 60% of PepsiCo's beverage sales come from its key non-carbonated brands like Gatorade and Tropicana. PepsiCo is also the largest snack and non-alcoholic drink producer in the United States, with 39% and 25% of the respective market shares. The below pie-chart...
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...Marketing In The Service Sector FSSM 1001: Services Marketing 1 Nikolas Price 1691 words Table of Contents Introduction 3 PepsiCo International 3 Market segmentation 3 Niche Marketing 3 Bases Of segmentation 4 Target Market 4 Market Positioning 4 Analysis of the Macro and Micro Marketing Environments 5 Macro Marketing Environment (Refer To Appendix 1) 5 Micro Marketing Environment ( Refer to Appendix 2) 5 Conclusion 6 Appendix 1 7 PESTLE ANALYSIS 7 Political 7 Economic 7 Social 7 Technological 7 Legal 8 Environmental 8 Appendix 2 9 SWOT ANALYSIS 9 STRENGHTS 9 WEAKNESSES 10 OPPORTUNITIES 10 THREATS 11 References 13 Bibliography 13 Introduction This report provides an analysis and an evaluation on PepsiCo and how they apply the concepts of marketing and there customer segmentation models. This analysis includes Market segmentation, market targeting, Market positioning. PepsiCo International PepsiCo is a world leader in the convenient snacks, beverages and also the foods. The company has revenues of more than $39 billion and has over 185,000 employees. The company consists of PepsiCo Americas Foods, PepsiCo Americas Beverages, and PepsiCo International. Besides owning the Pepsi brands the company owns many brands such as Walkers Crisps, Tropicana, Gatorade, Mountain Dew and Quaker Oats. The company’s products are really highly recognised as well as recognised across the world. The company has attained a position of being...
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...Running head: CASE STUDY: THE PEPSI REFRESH PROJECT Case Study: The Pepsi Refresh Project Emily M. Kamischke Elon University 1 Author Note Emily M. Kamischke, Masters of Interactive Media, Elon University Correspondence concerning this article should be addressed to Emily Kamischke, ekamischke@elon.edu CASE STUDY: THE PEPSI REFRESH PROJECT 2 Abstract This study aims to describe the successes and failures of the Pepsi Refresh Project and corresponding implications for other corporate social responsibility (CSR) projects seeking to employ information and communications technology (ICT) competitions, crowdsourcing and social media narratives as a means for production of ideas or tasks. The Knight Foundation’s (2009) seven key components of ICT competitions will be used as a framework to review the project and from there analysis of the project will take place using industry information and reviews. Lastly, implication for other ICT competitions will be discussed. Overall, this study explores the Pepsi Refresh Project’s effect on sales and corporate loyalty of consumers for the PepsiCo brand through consumer corporate trust generation. CASE STUDY: THE PEPSI REFRESH PROJECT 3 Case Study: The Pepsi Refresh Project The purpose of this investigation is to complete a case study of the Pepsi Refresh Project and from it devise high impact practices for its application to other corporate social responsibility (CSR) projects. The Pepsi Refresh Project...
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...CASE STUDY: THE PEPSI REFRESH PROJECT 2 Abstract This study aims to describe the successes and failures of the Pepsi Refresh Project and corresponding implications for other corporate social responsibility (CSR) projects seeking to employ information and communications technology (ICT) competitions, crowdsourcing and social media narratives as a means for production of ideas or tasks. The Knight Foundation’s (2009) seven key components of ICT competitions will be used as a framework to review the project and from there analysis of the project will take place using industry information and reviews. Lastly, implication for other ICT competitions will be discussed. Overall, this study explores the Pepsi Refresh Project’s effect on sales and corporate loyalty of consumers for the PepsiCo brand through consumer corporate trust generation. CASE STUDY: THE PEPSI REFRESH PROJECT 3 Case Study: The Pepsi Refresh Project The purpose of this investigation is to complete a case study of the Pepsi Refresh Project and from it devise high impact practices for its application to other corporate social responsibility (CSR) projects. The Pepsi Refresh Project was started in February 2010 using dollars annually used for Super Bowl advertising by PepsiCo and instead directed towards a grant-funding program to find solutions in betterment of communities (Pepsi, 2011a). The project utilized crowdsourcing for both submission and judging. The study will use The Knight...
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...as product line enhancements, as Coca-Cola faces stiff competition and changing consumer tastes. These recommendations include: • Pursuing a multi-pronged marketing strategy, including growth into geographic regions like Russia, China, and Turkey. • Leverage the company assets by brand extension into water-based, slightly sweetened refreshment drinks to meet more health-conscious consumers. • Diversify offerings outside the non-alcoholic beverage market, leveraging the vast distribution network. Introduction Coca-Cola was born in Atlanta, Georgia, on May 8, 1886 by Dr. John Stith Pemberton, a local pharmacist. Dr. Pemberton produced the syrup for Coca-Cola®, and carried a jug of the new product down the street to Jacobs' Pharmacy, where it was sampled, pronounced "excellent" and placed on sale for five cents a glass as a soda fountain drink. Carbonated water was teamed with the new syrup to produce a drink that was at once "Delicious and Refreshing," a theme that continues to echo today wherever Coca-Cola is enjoyed. During the first year, sales averaged a modest nine drinks per day. Today, over 6 trillion servings of Coca-Cola have been enjoyed worldwide and Coca-Cola has over 400 brands. Coca-Cola's Key Success Factors Coca-Cola has several key success factors including: • The Coca-Cola Company is a Fortune 500 company. In 2010 The Coca-Cola Company was ranked number 72 on the Fortune 500 list, making it the 72nd largest company in the United States when judged...
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...Problems and Opportunities It is important to understand the primary problem being addressed throughout this case study: Whether or not a profitable market opportunity exists for a new energy beverage brand to be produced, marketed and distributed by the Dr. Pepper Snapple Group. In order to effectively answer the above question, there are a number of secondary questions that need to be answered to get the full picture. They are as follows: Who would the target market be? What would be the full product line and how would it be positioned within the market place? What marketing channels would be used? How would it be advertised and promoted? What would be the RSP and within which margins can it operate to remain profitable? Before answering these questions, it is important to highlight some of the external challenges that would face the company were they to go ahead and introduce a new energy drink. Firstly, there has been significant price erosion within the energy drink market, with energy drink prices declining by 30% between the years 2001 and 2006. This has been attributed to larger package sizes, the introduction of multi-packs, and the increasing availability in supermarkets, which operate with lower retail gross margins. Secondly, the market has also experienced product proliferation due to line extensions, new packaging and sizes, and market segmentation. Thirdly, DPSG needs to be aware of the changing attitudes of the consumer. The consumer is becoming more and...
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...Managerial Economics Coke vs. Pepsi: An Economic Analysis Rebecca Simmons Managerial Economics Dr Sol Drescher December 4, 2012 Executive Summary In this case study we will do an economic analysis of two major competitors; Coke® and Pepsi®. We will look at the history of these to competitive giants and discuss how they have evolved over the years to become rivals in the 21st Century. In this case study we will also look at the supply and demand of each company’s products. Coke and Pepsi are not only in the beverage business they have branched out into other arenas to continue being the leaders in their market. Both companies do business all over the world; we will also look at how they size up internationally as well as nationally. We will look at production and cost in the short run and long run by analyzing each company economically. Each company has foreta where they will be financially in the 21st Century and in this analysis we will calculate if they have forecasted close to where they are today. Management is a big part of the success of large firms such as Coke and Pepsi so we will look at the management styles of each one. By looking at management will analyze the strategic decision making of each firm and note any issues they have had in the past or present with upper management. Finally strategic decisions in oligopoly markets with regards to profit maximization is vital to the...
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...Short Opinion Survey 8 Conclusion 10 Recommendation 10 Reference 11 Appendix 13 Introduction Ethical consumerism is growing in significance influencing customer choices as well as increasing the role played by the social movement in the marketing process (Buechler, 2010, p.13). New unfolding and ethics are pushing customers to participate actively in market participation and also to criticize the market process and retreat from it. This paper will focus on the analysis of factors that influences consumer behavior through an opinion survey conducted among thirteen students at GSM London. The study also focuses on the identification of products deemed to fall within the ethical category. In addition, the paper also analyzes a case study of PepsiCo, with a view to identifying ways in which it applies ethical issues in its business. It focuses on different strategies employed by PepsiCo in order to continue being a socially conscious business...
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...Erin Lutz April 30, 2003 Introduction The following paper analyzes how PepsiCo can increase profitability in the carbonated soft drink (CSD) industry. The industry is a tight oligopoly with Pepsi and its chief competitor, Coca Cola, comprising 70% of the total market. 1 Global beverage sales for PepsiCo in 2000 were $7.6 billion; however, sales growth has averaged only three to four percent in mature markets such as North America2. PepsiCo and Coke have expanded into other ready to drink beverages such as bottled water, tea, and juices in order to counter this low growth in the CSD industry; for the purpose of this paper, however, we will focus on how to affect profitability in the CSD industry. In particular, the paper will examine how current actions by PepsiCo regarding differentiation, pricing, cooperation, and complements have affected their profitability in the CSD industry. Furthermore, the paper will give specific recommendations, with an emphasis on cooperation tactics and complements. Industry Overview The industry for carbonated soft drinks is characterized by the following five forces: Threat of New Entrants – Currently, the biggest threat of entry faced by the majors is from private label manufacturers such as Cott Corporation. Private labels now hold an 8.1% share in the CSD market, the majority of which is held by Cott. The challenge to both Coke and Pepsi is to further build brand loyalty in their core cola products so that consumers will not be swayed by...
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............................12 8. Objectives.....................................................................................13 9. Marketing Mix.............................................................................14 10. Budget.........................................................................................15 11. Peer Assessments .......................................................................19 1. Executive summary PepsiCo is one of the main players in the beverage markets. The Canadian drinks market exists 16.3% of carbonated soft drinks, PepsiCo is in this market the biggest in Canada, but they want more, even though PepsiCo had a market share of 45.3% in 2011, they feel the competition of Coca Cola (44.2% market share). PepsiCo is underperforming in comparison to its main competitor Coca Cola in the urban markets, like Toronto and Vancouver. PepsiCo started a marketing campaign in 2012 by reintroducing the Ultimate Taste Challenge (UTC), in which they focus especially on the Millennials between 16 and 25 years of age. Those Millennials get the change to do a blind test in comparing...
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...Yum Brands, Inc. is a United States-based Fortune 500 corporation. This world largest fast food company owns more than 39,000 restaurants around the world in over 125 countries. Well-known brands including Taco Bell, Kentucky Fried Chicken, Pizza Hut, and WinG Street all belong to the Yum Brands, Inc. Yum Brands Inc.’s total sales for 2011 was more than $12 billion, and they are definitely one of the leaders in the fast food industry. Yum Brands, Inc. was actually the Tricon Global Restaurants, Inc., which was renamed in 2002. Tricon Global Restaurants, Inc. was founded in 1997 as an independent company from the former fast food division of PepsiCo. PepsiCo purchased Taco Bell and Pizza Hut in 1970s and Kentucky Fried Chicken in 1980s. After becoming an independent company from PepsiCo, Tricon Global Restaurants, Inc. continues to grow and has acquired Long John Silver’s and A&W All American Food Restaurants. Yum Brands, Inc. is not only a strong player in the domestic market; they are also very successful in other foreign markets, such as China and Canada. With more than 1.4 million associates all over the world, Yum Brands, Inc. is confident with their position in the global market. Although the global fast food industry is very competitive, Yum Brands, Inc. is holding an advantage position. China is a good example to look at Yum Brands, Inc.’s successful expansion in the global market. Although their competitor, Mc. Donald’s also performs very strong in the Chinese...
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...UCHECHI JOSHUA AUGUST 5, 2014 PROFESSOR CARBERRY – MKTG 300 BRAND ANALYSIS PROJECT MOUNTAIN DEW I. REVIEW OF SUB-CATEGORY A soft drink is a beverage that contains water or carbonated water, a sweetener (sugar, high-fructose corn syrup, or a sugar substitute), as well as a flavoring agent. Sometimes, soft drinks may contain caffeine, too. Carbonated soft drinks are the largest players in the beverage category. Within the carbonated soft drink sub-category, the leading three companies—Coca-Cola, PepsiCo and Dr Pepper Snapple Group—make up 90.6% market share for the year ending February 2014. In the United States from 2004 to 2013, the Coca-Cola Company was the leading soft drink company. In 2013, its market share amounted to 42.4 percent. This is followed by PepsiCo, which owns Mountain Dew, at 27.7%. All three national brands and the private label sector saw declines in sales ending February 2014. Due to the category of carbonated soft drink being the highlight of a lot of negative press, American consumers are becoming more concerned with obesity and the high sugar content of many of these drink, as well as the safety of artificial sweeteners. Due to innovation in other beverage categories offering flavorful, healthy, and functional drinks, competition has increased even more outside of the carbonated soft drink category. The interest is moving away from carbonated soft drinks. This has resulted in the downward trajectory of the consumption and demand for carbonates...
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...Competition in the Soft Drink Industry: Case Study of Coca-Cola, Pepsi, and Dr. Pepper Krisadee Rungsatcha MBA 500: Essentials of Business Management June 23, 2013 Larry Frazier Abstract The beverage industry nowadays is very competitive. Each brand pushes all strategies to be the number one in the market and try to win more consumers and achieve their goals. The main competitors in these industries are Coca-Cola Company, PepsiCo, Inc., and Dr. Pepper Snapple Group. Coca-Cola is the largest beverage company in this market and provides the most market share that PepsiCo, Inc. PepsiCo is the second leading company, and Dr. Pepper Snapple Group is the third leading company in soft drink beverage industry. This paper presents three main competitors and focuses on competitive strategies, market strategies, and overall strength of the companies. Also, it discusses a recommendation to improve the Coca-Cola Company’s competitive position. Company Summaries Coca-Cola Company. The Coca-Cola Company is the largest beverage company in the world. The Coca-Cola Company is the leader in the market of nonalcoholic beverages and owns market shares than 500 beverage brands, including sparkling drinks, juice drinks, ready to drink, teas, coffees, and energy drinks, such as vitamin water and Powerade. The Coca-Cola Company also owns the leading brands of the diet and light beverage market, such as Diet Coke and the top five soft drinks:...
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