Pepsi Co Marketing Promotions and Programs - Essay Example

The company became the first official drink-maker to distribute its products in Vietnam. The sales of the company have reached $30.4 billion according to estimates made in 2010.

The intense competition in the market has led the company to take effective and strong measures to improve its financial standing as well as market reputation throughout the world. This is the reason that Pepsi initiates several promotion programs throughout the world every year. They have also reached the whole world to increase their market capacity so that they win the ‘sale-race’ against their mainstream competitor Coca-Cola.

The marketing promotions and programs have led Pepsi Cola Inc to become one of the top competitors of Coca-Cola. Their competitor has although a large market share, but still, Pepsi is keeping emerging into the market as the mainstream beverages company. The total net revenue of the company at the end of 2010 was $57,838 million, which was quite lesser than the revenue generated by Coca-Cola Inc at the end of 2010.

According to the current balance sheet prepared by the company officials in 2011, Pepsi has current assets of $17,834,000 thousand, which is also quite lesser than that of Coca-Cola but the difference of assets has decreased compared to the data recorded 5 years ago, and that shows the company growing its business and excelling its competitors. Whereas, the total assets owned by the company are more, i.e. $75,378,000 thousand. The total liability of the company is $51,801,000, whereas the total equity of the company is $23,577,000. And the total liabilities and equities of the company are $75,378,000 thousand.

Compared to the soft drink sales in 2010 of Coca-Cola’s 1590 million cases, Pepsi was only able to sell 892 million cases, which means that Coca-Cola was able to make more than 40% of more profit than Pepsi.

The company’s gross profit margin in 2011 records was 57%. Their current ratio is 1, and cash per share is %1.97. Their cash flow per share is $5.77. The main recommendation for Pepsi Cola Inc would be to look for future business plans, where they must target their earnings according to the per-share growth. They must be expecting to have their stock shares being repurchased. The company must be focusing on building their brands to the macroeconomic appeal and must profitably increase the snack and beverage brand worldwide to the more developing countries. The company must also focus on cutting off product shortages, high costs, as well as operating expenses.