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    And Taco Bell. The Group Is Presently Into Three Most Profitable Businesses Namely, Beverages

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    Caleb Bradham founded Pepsi Cola in the late 19th century as a drugstore beverage. Pepsi Co. has since grown to be a global corporation that produces over 200 beverage brands and generates over $18 billion annually. It has expanded beyond soft drinks into snack foods and restaurants through acquisitions like Frito-Lay, Pizza Hut, KFC, and Taco Bell. Pepsi positions itself as the beverage of choice for younger generations and invests heavily in advertising of $225 million per year. It also has a franchise system of bottlers and distributors that was key to its early success but now presents challenges as some franchises act independently.

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    And Taco Bell. The Group Is Presently Into Three Most Profitable Businesses Namely, Beverages

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    Sneha_Paranjap_1014
    49 views3 pages
    Caleb Bradham founded Pepsi Cola in the late 19th century as a drugstore beverage. Pepsi Co. has since grown to be a global corporation that produces over 200 beverage brands and generates over $18 billion annually. It has expanded beyond soft drinks into snack foods and restaurants through acquisitions like Frito-Lay, Pizza Hut, KFC, and Taco Bell. Pepsi positions itself as the beverage of choice for younger generations and invests heavily in advertising of $225 million per year. It also has a franchise system of bottlers and distributors that was key to its early success but now presents challenges as some franchises act independently.

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    Caleb Bradham founded Pepsi Cola in the late 19th century as a drugstore beverage. Pepsi Co. has since grown to be a global corporation that produces over 200 beverage brands and generates over $18 billion annually. It has expanded beyond soft drinks into snack foods and restaurants through acquisitions like Frito-Lay, Pizza Hut, KFC, and Taco Bell. Pepsi positions itself as the beverage of choice for younger generations and invests heavily in advertising of $225 million per year. It also has a franchise system of bottlers and distributors that was key to its early success but now presents challenges as some franchises act independently.

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    49 views3 pages

    And Taco Bell. The Group Is Presently Into Three Most Profitable Businesses Namely, Beverages

    Uploaded by

    Sneha_Paranjap_1014
    Caleb Bradham founded Pepsi Cola in the late 19th century as a drugstore beverage. Pepsi Co. has since grown to be a global corporation that produces over 200 beverage brands and generates over $18 billion annually. It has expanded beyond soft drinks into snack foods and restaurants through acquisitions like Frito-Lay, Pizza Hut, KFC, and Taco Bell. Pepsi positions itself as the beverage of choice for younger generations and invests heavily in advertising of $225 million per year. It also has a franchise system of bottlers and distributors that was key to its early success but now presents challenges as some franchises act independently.

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    Caleb Bradham a New Bern N.

    C druggist who formulated Pepsi Cola founded Pepsi Cola

    Beverage business at turn of the century. Pepsi Cola Company now produces and markets nearly

    200 refreshment beverages to retail, restaurants and food service customers in more then 190

    countries and territories around the world and generates revenue of over 18 billion dollars

    PepsiCo World Headquarters is located in Purchase, New York.

    Pepsi Co. is the world leader in the food chain business. It consists of many companies amongst

    which the prominent ones are Pepsi Cola, Frito-lay, Pepsi food international, Pizza-hut, KFC

    and Taco bell. The group is presently into three most profitable businesses namely, Beverages

    Snacks foods and Restaurants.

    The beverages segment primarily market it Pepsi diet, Pepsi Mountain Dew and other brands

    worldwide and 7UP outside the U.S.market. They are positioned in close competition with Coca

    Cola inc. of USA.

    Pepsico prefers to position itself as the beverage choice of the “New Generation”,

    “Generation Next”, or just as the “Pepsi Generation”.

    Pepsi Cola throughout its 100 years of existence has developed much strength. One of the

    strengths that have developed Pepsi into such a large corporation is a strong franchise system.

    The strong franchise system was the backbone of success along with a great entrepreneur spirit.

    Pepsi’s franchise system and distributors is credited to bring Pepsi from a 7,968 gallons of soda

    sold in 1903 to nearly 5 billion gallons in the year of 1997.

    Pepsi also has the luxury to spend 225 million dollars in advertising a year. This

    enormous ad budget allows Pepsi to reinforce their products with reminder advertising and
    promotions. This large budget also allows Pepsi to introduce new products and very quickly

    make the consumer become aware of their new products.

    Pepsi-Cola provides advertising, marketing, sales and promotional support to Pepsi-Cola

    bottlers and food service customers. This includes some of the world's best-loved and most-

    recognized advertising. New advertising and exciting promotions keep.

    Pepsi-Cola brands young. The company manufactures and sells soft drink concentrate to

    Pepsi-Cola bottlers. The company also provides fountain beverage products.

    Pepsi also has had the good fortune of making very wise investments. Some of the best

    investments have been in their acquiring several large fast food restaurants. They have also made

    wise investments in snack food companies like Frito Lay, which at present time is the largest

    snacks company in the world.

    Probably high on the list of strengths is Pepsi’s beverage line up. Pepsi has four soft

    drinks in the top ten beverages in the world. These brands are Pepsi, Mountain Dew, Diet

    Pepsi, and Caffeine Free Diet Pepsi. Pepsi also has the No.1 tea in the United States, Lipton

    Tea. Some other strong brands are All Sport, Slice, Tropicana, Starbucks, Aquafina and a

    license agreement with Ocean Spray Juices.

    Pepsi Cola like any company has weaknesses. Ironically, the one strength that has been

    credited for most of its success in the past has now become a weakness for Pepsi. This former

    strength is the franchise system. The franchise system in Pepsi Corporate view has become a

    liability. Pepsi in today’s market must be able to act as one instead of several separate units.

    The franchise system has become a hurdle to Pepsi because many of these franchises

    have become very strong and will not be dictated by PepsiCo on how to handle their operations.
    Some of these franchises are unwilling to support certain Pepsi products and at times produce

    their own private label products that are in direct competition with Pepsi products.

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