PepsiCo Strategic Analysis - Case Study Example

Anthony Rossi founded Tropicana in 1947. Business Segments Frito-Lay, Inc was funded in 1961, by merging of The Frito Company and H.W. Lay Company. Today, Frito-Lay brands account for 40% of the world, snack chip industry, and 56% of the U.S. industry. Brand Pepsi and other Pepsi-Cola products account for nearly one-third of total soft drink sales in the United States, a consumer market totalling about $58 billion. Outside the United States, Pepsi-Cola beverages are available in about 160 countries.

Today Pepsi-Cola products account for about a quarter of all soft drinks sold internationally. The company has also established operations in the emerging markets of the Czech Republic, Hungary, Poland, Slovakia and Russia, where Pepsi-Cola was the first U.S. consumer product to be marketed. 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 and most recognized advertising. New advertising and exciting promotions keep Pepsi-Cola brands young.

Pepsi-Cola Company products: - Pepsi-Cola - Diet Pepsi - Pepsi One - Mountain Dew - Slice - Mug Root Beer - Mug Crme - All Sport - Lipton Teas (Partnership) - Aquafina Water - Frappuccino Coffee Drink - Miranda 7UP (outside the U.S. only) - Fruit Works - Pepsi Max Tropicana Anthony Rossi founded Tropicana in 1947. . Tropicana products: - Tropicana Pure Premium - Tropicana Season's Best - Dole Juices - Tropicana Twister. - Hitchcock - Looza - Copella.PepsiCo gave corporation image, which is committed with subjects like racial and sex discrimination, and environmental problems.

All that through the special programs focused on each area. General In the last four year PepsiCo has suffered radical changes in its internal structure and in its market strategies. All these changes were propitiated by the arrival in the direction of R. Enrico, who implemented a radical change in PepsiCo's mentality. He made very important decisions like to come off the restaurants (Pizza Hut & KFC) and the bottlers, due to they were a heavy weight for the company. Although they were come off them, they follow linked to PepsiCo through strategic alliances, it is to say, that the restaurants still sell PepsiCo products and the bottlers follow bottling Pepsi.

Moreover PepsiCo has a minority percent of share of these companies. Other important decisions that Enrico made were the strategic acquisitions of leader companies in related markets, like Tropicana and Mountain Drew. These acquired companies have given to PepsiCo as much profit as stronger company brand image of New PepsiCo.Company AnalysisExternal Analysis PEST Analysis:The Pest Analysis identifies the political, economical, social a technological influences on an organization. Political influences: - The production distribution and use of many of PepsiCo product are subject to various federal laws, such as the Food, Drug and Cosmetic Act, the Occupational Safety and Health Act ad the Americans with Disabilities.

- The businesses are also subject to state, local and foreign laws. - The international