...Breakfast Balance Phase III A duty that marketers face is to decide how their merchandise will fit in the marketplace and what will make the product stand out. The purpose of the manager is first to decide how to set the product apart from the competition and how to employ the difference to capitalize on sales. The marketer should also know the lifecycle of the goods and know when to take advantage of the success of the good. Marketers do these things by studying the competitiveness of the good and take a more practical approach to accepting when the goods lifespan will end. The first step in finding the market fit for a product is market differentiation. Attributes and Bargaining Power The PepsiCo industry and others in which produce carbonated soft drinks are characterized in five forces. The biggest treat of entry force by major private labor manufactory is Coca Cola Corporation. Threat of new entrance is the first of the five forces. In the soft drink corporation private labors hold 8.1% share in the carbonated soft drinks (CSD) market. The biggest challenge to Pepsi and Coke is to further build brand labor in their core cola products; cheaper and private labors imitations will not sway. Pepsi uses the bargain power of buyers in a group of many buyers. The retailers distribute and bottlers have significantly bargaining power more than consumers do. Wal-Mart and other huge retailers can extract perfect profit from soda manufactory; wherefores, through incentives such as...
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...Marketing Plan for Pepsi GO Tea The history of Pepsi-Cola dates back to 1902 when a young pharmacist named Caleb Bradham began experimenting with mixing a combination of juice, spices, and syrups to create a new and refreshing drink to satisfy his customers. In these efforts, he succeeded beyond all expectations inventing the beverage know today as Pepsi-Cola. Our goal is to be the leading producer of healthy products to include our new Go-Tea. Pepsi explored the market and will now launch a new tea for its customers. The Pepsi Go-Tea “will offer a healthier choice of tea containing low sodium, no fat, carbonation, or sugars which is a major concern for the consumer (Tea Fact Sheet, 2013).” Pepsi will make its first priority to appease to the taste of the consumer and to ensure a healthy drink is produced in the most environmentally safe containers. Team B will introduce a new tea, named “Pepsi GO Tea.” Although the Brisk product is a subsidiary of PepsiCo, the company is looking to launch a new product named Pepsi Go Tea. This new tea will be different because the oils that produce the flavor for the teas normally diminish over time. PepsiCo will use loose tea leaves opposed to rudimentary tea bags. The loose tea leaves enable room for the tea leaves to swell and expand with room to infuse their flavors. In contrast, tea bags do not render such an option based on the confines of the limited space of the tea bag. The Pepsi Tea is fortified with...
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...elements: product, place, price, and promotions. These are also known as the four P’s of marketing. The marketing mix is a combination of these elements and what roles each element plays in promoting your products and services, and how you deliver them to your consumers. Product is what items or services you offer to your customers. It is based on their physical attributes, how they operate, how they are different from your competitors and what positive factors they provide. A quality product will draw in more customers and increase profits. Every product is subject to a life-cycle including a growth phase followed by a maturity phase and finally an eventual period of decline as sales falls. Marketers must do careful research on how long the life cycle of the product they are marketing is likely to be and focus their attention on different challenges that arise as the product moves through each stage. Price is how to price your product or service so that your price remains competitive but allows you to make a good profit. You want to try to keep you price lower than you competitors, without losing out on decent profits. It takes a good marketing strategy to do this. The company’s goal for pricing is really to reduce costs through improving manufacturing and efficiency, and most importantly the marketer needs to increase the projected value of its products and services to the consumer. Supply and demand is a big part of pricing. The lesser the availability of the product, the more...
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...Marketing Plan STUDENTS MKT 421 University of Phoenix DATE Professor Pepsi B Energy Marketing Plan: Phase One Pepsi is performing a marketing control of their recent release of the Pepsi Diet Slim can, evaluating the successes and the failures of product. Based on the market successes of the Pepsi Diet Slim can, Pepsi is planning to develop a sugarcane-based Pepsi energy drink consisting of vitamin B12 and other B vitamins. This new product is packaged in a format similar to the Pepsi Diet Slim to offer a new look to Pepsi’s soda cans and to compete with the irregular shapes of existing energy drinks. Pepsi B Energy is to cater to customers who want to drink a healthier Pepsi. Pepsi B Energy’s Marketing Plan Phase One is designed to develop the basics of a marketing strategy for Pepsi B Energy. Pepsi B Energy’s Marketing Plan Phase One provides an overview of PepsiCo, a brief description of the product, the importance of marketing for PepsiCo, a SWOTT chart for Pepsi B Energy, and the preferred marketing research approach for Pepsi B Energy. PepsiCo Pepsi was founded in 1898 by a druggist from North Carolina named Caleb Bradham. Through a series of acquisitions and other business dealings, Pepsi became PepsiCo. PepsiCo currently produces a variety of beverages, many in partnership with other companies. PepsiCo sell soft drinks, juice drinks, sport drinks, bottled and enhanced waters. Recently...
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...September, 2014 Chennai Sept 14, 2014 About of Product Thums Up is a caffeine based (Cola) aerated soft drink. It is the largest selling soft drink brand in India. It was introduced in 1977 on the exit of Coca Cola Company from India. It was later on bought by Coca Cola Company to compete with Pepsi. In the Cola segment it has a commanding market share of 42% and it has a market share of 15% in the Indian aerated soft drink market. History of Product 1970s saw an unexpected exit of cola giants Coca Cola and Pepsi from India as the government policy required it to sell its 60% of the equity to an Indian Company. Which led Parle owners Ramesh Chauhan and Prakash Chauhan, to launch Thums Up as their flagship cola drink to fill the gap created and also adding to their existing brands Limca-lime flavored soda and Gold Spot-orange flavored soda. It was one of the major advertisers throughout the 1980s and in the mid '80s it faced a very short-lived competition from Double Cola other than that it maintained a near monopoly in the market. Then came the liberalization face of India which opened the market for multinationals in many sectors including food and beverages. This step led to the re-entry of global giants Pepsi (1990) and Coca Cola (1993). Thums Up engaged itself in a heavy competition of endorsement with Pepsi and even launched a larger packaging of 300ml and calling it “MahaCola”. This gave Thums Up an edge over Pepsi in the rural area where it was now being reffered...
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...Introduction Company Overview Coca-Cola is the most recognized brand name in the world. Through the world’s largest beverage distribution system, consumers in more than 200 countries enjoy the Company’s beverages at a rate of 1.6 billion servings a day. Their product portfolio includes sparkling beverages such as Coca-Cola®, Coke Zero™, Diet Coke®, Sprite® and Fanta®, and still beverages, such as juice and juice drinks, waters, enhanced water, sports and energy drinks, teas, coffees, dairy and soy-based drinks, and beverages with added nutritional benefits. The Coca-Cola Company, along with more than 300 bottling partners worldwide, provides more than 3,300 beverage products in more than 200 countries in which Coca Cola company operates. Their global system includes approximately 700,000 associates and its headquarters are in Atlanta, Georgia. The company segmented the whole market using geographical parameters into three segments: * Established countries: Austria, Greece, Italy, Cyprus, Northern Ireland, Republic of Ireland and Switzerland. * Developing countries: Croatia, Hungary, Estonia, Latvia, Lithuania, Poland, The Czech Republic, Slovenia and Slovakia. * Emerging countries: Belarus, Bosnia and Herzegovina, Republic of Macedonia, Bulgaria, Armenia, Moldova. Montenegro, Nigeria, Romania, Russia, Serbia and Ukraine. The segmentation for the segments is based on different criteria: * Socio-economic similarities * GDP per capita * Consumption of...
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...Company Background Pepsi is founded by Caleb Bradham in Bern North Carolina on a hot summer day. Pepsi is a carbonated soft drink. It was created by a pharmacist as an incentive, as a way to get customers into his pharmacy in 1898. Caleb decided in 1902 to start the Pepsi Company and received its official patent in June of 1903. Pepsi was slowly on the rise with advertisement and in 1965 merged with Frito-lay Snack Company and Donald M. Kendall became founder of the new merged company PepsiCo. During the 1970’s Pepsi was becoming recognized as an aggressive company and was now in competition with the other leading soft drink company Coca-Cola. Coca-Cola was founded before Pepsi soft drink in 1886, also by a pharmacist named John Pemberton. After the invention of the beverage, portions of the company were sold around and much was sold to Asa Candler, a businessman from Atlanta. There were imitators of Coca Cola and so the business decided to market a new Bottle shape that would make it distinct from all the others beverages. To continue to make Coca Cola a success, in the 1970’s Coca Cola was advertised as a relation with happiness a fun time. Muhtar Kent is Chairman of the Board and Chief Executive Officer of The Coca-Cola Company. Mr. Kent joined The Coca-Cola Company in Atlanta in 1978 and has held a variety of marketing and operations roles throughout his career. In 1985, he was appointed General Manager of Coca-Cola Turkey and Central Asia. From 1989 to 1995, he served...
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...and beverage company with over $66 billion in net average annual revenues, generated through a global portfolio of diverse and beloved brands. The FMCG industry is a dynamic industry where value capture and value creation are a product of high productivity, strategic branding, strong distribution capacity, and in-depth marketing and communications strategies. The industry is mature and comprised of a number of competitors seeking to expand market share and improve competitive advantage. Our analysis of PepsiCo, as well as the FMCG industry, will focus on a number of the primary elements including the company’s competitive positioning and the market forces that shape the industry. We will use Porter’s industry 5 forces analysis to review the elements that drive positioning. Additionally, PepsiCo’s position and competitive advantage within the industry will be analysed using the “Who, What, How” tools, “VRIO” analysis, “Industry life Cycle” analysis, “Value Chain” and “Value Curve” assessments. INDUSTRY LEVEL ANALYSIS: Fast moving consumer good is one of biggest industry globally it terms of its number of brands and awareness. It is an industry with love brands, i.e. the day to day brands that you love and known forever. The products that wide spread from kitchen to toilets and living rooms to bedrooms across the world. FMCG industry is ranked #4 in the most attractive sector to work with as the sector remains powerful in attracting and retaining employees in...
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...years. According to World Health Organization, 2011, in Australia, there are more than 26 percent of people who is obesity and there are more or less 26 percent of male population is obesity. By facing with the over-weight problem, people has been seeking for a healthier soft drink product, with acknowledge of current social orientation, Coca-Coca has been released the new product Coke Zero. Since the first Coke Zero had been sent to the market in 2006, Coca-Cola Company has been starting a new campaign about healthier soft drink. With the careful consideration in producing process and advertising, Coca-Coca has established their position in the carbonated soft beverage market. II. Background (Target Market & History) Coca-Cola Company had been established in 1886 in United State, since that time the company has been providing famous soft drink brands such as Coca-Cola, Glaceau vitamin water, Fanta, Sprite, Diet Sprite/Sprite Zero, Nestea Ice Tea, Lift for many different markets. Coca-Cola Company now is a one of the biggest international soft drink companies, the company’s head quarter is currently placed in Atlanta with its products are being sold all over the world. The company’s best-selling product is Coca-Coca, which is also known as Coke, has been improving in order to satisfy the customer’s demand by different flavors, there are not only classical Coca-Coca flavor but also Vanilla...
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...Table of Contents 1.0 Company profile 2 1.1 PepsiCo Mission: 2 1.2 PepsiCo Vision: 3 2.0 Product Group 3 3.0 Foreign market expansion 4 3.1 Our performance in 2013 was strong: 4 3.2 Frito-Lay North America 5 3.3 Quaker Foods North America 5 3.4 Latin America Foods 6 3.5 PepsiCo Americas Beverages 6 3.6 Europe 6 3.7 Asia, Middle East and Africa 7 4.0 ORGANIZATIONAL STRUCTURE 7 4.1 STRATEGIES 7 4.2 Supply Chain of PepsiCo. And Supply Chain Strategy 8 4.3 Supply Chain Planning 8 4.4 Supply Chain Operation 8 4.5 Process Views of a Supply Chain 8 4.6 Competitive Advantage to PepsiCo. 9 4.7 Distribution Channels 9 4.8 Customers 10 4.9 Competition 11 5.0 Financial Performance 11 5.1 2013 13 5.2 2012 14 6.0 Corporate Governance 16 7.0 Conclusion 16 1.0 Company profile Pepsi co. Inc. was established through the merger of Pepsi cola. Pepsi cola was created in the late 1890s by Caleb brad ham, a New Bern, N.C. pharmacist. Frito-Lay, Inc. was formed by the 1961 merger of the Frito Company, founded by Elmer doling in 1932, and the H.W. lay company, founded by Herman W. lay, also in 1932. Herman lay, former chairman and CEO of Frito-Lay, was chairman of the boards of directors of the new company; Donald M. Kendall, former president and CEO of Pepsi cola, was president and chief executive officer. PepsiCo, Inc. was in corporate in Delaware in 1919 and was reincorporated in North Carolina in 1986. When used in this report, the terms “we...
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...the sales depends on the strategies laid to balance cost of production and market price and ensure efficient competition with its counterparts. The sufficient margin over the cost of production needed by a company can be achieved by providing cost incurred relative to the prices in the market or the prices set for the objective achievements are actualized. There are several techniques put forwards by companies to ensure profit generation during their operations. Some of these techniques includes target costing, benchmarking and activity-based budgeting. Target costing This is not a new idea as far as a successful companies operation is concerned. It can be defined as the method that is implemented in determining the cost at which a product having particular parameters must the produced to ensure the required return rate is achieved.. This process entails analysis of cost that take place during the development phase and ensuring the cost is kept below the threshold (Stapenhurst, 2009). Target costing is one of the responsibilities that are pursued by the managing accountants even though several companies dramatically use a different approach. Due to the fact that target costing approach originated from a competitive environment many companies adopt a different approach in order to survive. ITT Automotive Company has been using the comprehensive target costing to ensure profitability in the sales. The fundamental objective of...
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...internationally. (Divol, R., Edelman, D., & Sarrazin, H. 2012) So, it would be safe to assume that star power is worth its time spent creating. By publishing high quality work and building a massive amount of followers; your audience will share your information with their audience. (Gunelius, Susan. 2013) However, from a marketing stand point business can’t rely on social media alone. “If you spend all your time on the social Web directly promoting your products and services, people will stop listening. You must add value to the conversation. Focus less on conversions and more on creating amazing content and developing relationships with online influencers. In time, those people will become a powerful catalyst for word-of-mouth marketing for your business.” (Gunelius, Susan. 2013) Gaining popularity in the business landscape of the twenty first century is quite different than that of the past century, and adversely more evolved than the nineteenth century. Prior to the industrial revolution consumers learned of new products and services by word of mouth, the occasional publication, and pounding the ground beneath their soles. The everyday Jack and Jill would head to the corner store for most things that could not be obtained by their own hard work and diligence. Occasionally close knit neighborhoods would practice the art of bartering; hence the language of trade. In order to become popular in trade an entrepreneur whether blue or white collar would have to practice what they...
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...international markets to their main competitor, Pepsi. There are several opportunities for the company to expand and to diversify their marketing strategy to offer new products outside of the carbonated beverages. Opportunity exists in categories such as juice and juice drinks, bottled water, teas, energy drinks, coffee and more. There are also opportunities to grow stronger relationships with their bottling partners, especially CCE. In foreign markets the product life cycle is in more of a growth trend Coke's advantage in this area is mainly due to its establishment strong branding and it is now able to use this area of stable profitability. Since the domestic market has become more consolidated and saturated, foreign markets provide an opportunity to continue to grow their current business. Coca-Cola has the potential to innovate and differentiate the company's products to sustain a competitive advantage. The company even jeopardized the bottler relations by raising prices of its concentrates which in turn back fired. Strategic Question Which corporate growth strategy would offer the BEST opportunity to improve sales in the future for the Coca Cola Company? Strategic Marketing Alternatives 1. The product development strategy would improve sales for the future of the company. There are many opportunities for growth in different markets. The market is already saturated with brand recognition however new products have not been offered causing the brand name to...
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...Subject: Economics The competition between “Coca-Cola”and “Pepsi” in the market for soft drinks Abstract There are two types of people – the ones who like “Coca-Cola”, and the ones who prefer “Pepsi”. Or at least that is the fact that trying to convince us the marketing experts from both companies. The two famous brands compete with any means to persuade whose drink is better. The solution to this problem relies on both of the companies’ abilities to boost the domestic sales, to prove to new international markets, to broaden their brand for new streams of revenue and include non-carbonated beverages in their “big plan”. Competition analysis Nowadays competition is not only commonplace, every year it becomes increasingly fierce. Many companies move theor production to countries with lower standards and bring to market cheaper goods. Once the company finds it’s most important competitors, it has to analyze them by specifying their characteristics, especially their strategies, goals, strengths and weaknesses. Group of companies that follow the same strategy of a target market is called strategic group. If a company wants to enter a particular industry, it develops a strategic and discovers four groups based on product quality and the level of vertical integration. This analysis shows that the height of the barriers to entry is different for each group. Once the company finds its main competitors and their...
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...August 3, 2012 Table of Content I. Executive Summary (Terri Meunier) II. Organizational and Product Overview (Terri Meunier) II.1 Organizational Description II.2 Vision, Mission, and Goals/Objectives II.3 Product Description III. Market Analysis (Beth Dougherty) III.1 Market Definition III.2 Competitive Analysis III.3 Environmental Forces III.4 Market Segmentation IV. Marketing Strategies (Shadeequah Curry) IV.1 Target Market(s) Selection IV.2 Product Portfolio Mix IV.3 Product Positioning Strategy IV.4 Sales Support Strategies I. Executive Summary The Coca Cola corporation is a beverage company and is defined to be the most well known trade mark in the world, and it is justly so. The Company owns or licenses and markets more than 500 nonalcoholic beverage brands, primarily sparkling beverages, but also a variety of still beverages, such as waters, enhanced waters, juices and juice drinks, ready-to-drink teas and coffees, and energy and sports drinks. It owns and markets a range of nonalcoholic sparkling beverage brands, which includes Coca-Cola, Diet Coke, Fanta and Sprite. The Coca Cola products appeal to a wide range of people throughout the world from all races, genders, and ages. Coca Cola is well known for its worldwide popularity as its products are sold to over 200 countries. The company business units include Eurasia and Africa, Europe, Latin America...
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