Pepsico Swot Analysis Essay 1679 Words | 7 Pages - PepsiCo name is very strong internationally and of course in the internal market. Being the best means providing outstanding quality, service, cleanliness and value, so that their every customer is contented and happy with their products. alteration is demand is probably going to impact the sales of Pepsi as their Workplace rights are protected and all people are respected. Despite the large number of companies it contains, PepsiCo product portfolio can be described as highly focused because of the uniformity of product positioning across the whole portfolio. One of the reason why the days inventory is high compare to its competitors is that PepsiCo is not very good at demand forecasting thus end up keeping higher inventory both in-house and in channel. Coca-Cola vs Pepsi-Cola A SWOT Analysis-A SWOT Analysis is a powerful tool to develop business strategies for start-up firms as well as for existing companies. PepsiCo faces a number of competitors because of its operations around the world. SWOT Analysis Pepsi Presented by: Mehwish Sidra Bashir Umer Rabbani Samiullah Slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. PepsiCo believes that one of the critical keys to long term success is to have a long term plan. immediate course correction. Take a Journey through our past and see the key milestones that define PepsiCo. The SWOT Analysis framework facilitates an organization to identify the internal strategic factors such as -strengths and weaknesses, & external strategic factors such as - opportunities and threats. This SWOT analysis of PepsiCo examines what the company does well, what it’s falling behind on, and what this will mean for the brand. Shortage of skilled workforce in certain global market represents a threat to steady growth of profits for PepsiCo in those markets. SWOT analysis is performed by looking at an organization’s strengths, weaknesses, opportunities, and threats in the marketplace. Growing strengths of local distributors also presents a threat in some markets as the competition is paying higher margins to the local distributors. The fall in demand in the countries that were previously in a state of boom led to a loss of sales for the beverages giant. Fern Fort University. HIRE verified writer $35.80 for a 2-page paper. If the company is at a turning point, a stock of its strengths and weak points can expose possibilities. Lay’s is an 80-year-old potato chip brand and has gained a lot of credibility and trust. Pepsi includes a vast loyal client base. It gives Pepsi leverage over Coca-Cola. • The PepsiCo SWOT and PESTLE analysis report consists of a comprehensive analysis of all major pertinent internal and external factors shaping the brand and its operations. 11/28/2020 3:15:30 PM. Understanding this shift, Pepsi has slowly and steadily started introducing new healthy products in its product, Gatorade and Tropicana sub-brands that Pepsi introduced as healthy beverages, Pepsi also acquired Quaker Oats with Associate in Nursing aims to provide healthy snack choices to the customers. Based on Fern Fort University extensive research – some of the strengths of PepsiCo are –. History: PepsiCo Inc. is an American multinational company headquartered in Purchase, New York. We will write a custom Research Paper on SWOT Analysis of PepsiCo specifically for you! #Strengths: O. E. Williamson, Markets and Hierarchies(New York: Free Press, 1975); L. Wrigley, Divisional Autonomy and Diversification (PhD, Harvard Business School, 1970), R. E. White, Generic Business Strategies, Organizational Context and Performance: An Empirical Investigation, Strategic Management Journal7 (1986). Would you like a lesson on SWOT analysis?. Pepsi generates more than $15,000 million of annual sales. Pepsico Swot Analysis just from $13,9 / page. Don't waste time. Order custom Harvard Business Case Study Analysis & Solution. awareness and brand recall, it’s an opportunity that no brand will afford to View Essay - PepsiCo SWOT Analysis .pdf from MAN 3025 at Florida A&M University. Reliable suppliers – It has a strong base of reliable supplier of raw material thus enabling the company to overcome any supply chain bottlenecks. Pepsico Swot Analysis, India June 3, 2018 November 23, 2018 admin SWOT Analysis Pepsico The recipe for Pepsi (the soft drink), was first developed in the 1880s by a pharmacist and industrialist from New Bern, North Carolina, named Caleb Bradham – who called it “Pepsi-Cola” in 1898. The expansion has helped the organization to build new revenue stream and diversify the economic cycle risk in the markets it operates in. –Reliance on Carbonated drinks: In developed as well as developing countries, health-conscious consumers have started to shy away from carbonated beverages containing elevated levels of sugars or artificial sweeteners. Despite the large number of companies it contains, PepsiCo product portfolio can be described as highly focused because of the … 3. Certain capabilities or factors of an organization can be both a strength and weakness at the same time. It also examines the opportunities the country should explore and the threats it should keep an eye on. The fall in demand in the countries that were previously in a state of boom led to a loss of sales for the beverages giant. there aren’t any. The matrix is only a starting point for a discussion on how proposed strategies could be implemented. All rights reserved. This approach also suffers from one major drawback - it focus on individual importance of factor rather than how they are collectively important and impact the business holistically. Essay on Pepsico Swot Analysis, India The recipe for Pepsi (the soft drink), was first developed in the 1880s by a pharmacist and industrialist from New Bern, North Carolina, named Caleb Pepsico can expand the Yum! Opening up of new markets because of government agreement – the adoption of new technology standard and government free trade agreement has provided PepsiCo an opportunity to enter a new emerging market. SWOT does not show how to achieve a competitive advantage, so it must not be an end in itself. As of 2020, PepsiCo is one of the leading brands in the food & beverages sector. ... Based on the above SWOT analysis of Coca-Cola, we can conclude that Coca-Cola has a definitive market position in the soda industry. This is one of the major limitations of SWOT analysis. Pepsi includes a sturdy brand image and brand recall and these factors have helped the brand maintain constant pressure on its competitors. Strengths: * PepsiCo has a well-established name and a good reputation. the necessity of Register to read the introduction… Their packaging is no longer seen as waste, but as a valuable resource for future use. SWOT Analysis for Coca-Cola The current asset ratio and liquid asset ratios suggest that the company can use the cash more efficiently than what it is doing at present. : MIT Press, 1962). SWOT analysis of the USA (U.S. SWOT analysis) This detailed SWOT analysis of the USA explores some of the key strengths and the weaknesses of the USA. SWOT Analysis. SWOT analysis is a technique much used in many general management as well as marketing scenarios. Through SWOT analysis, a firm can utilize leverage from its strengths, learn from its weaknesses and correct them, utilize the opportunities and pr… Our History Pepsico is a world leader in convenient snacks, foods and beverages with revenues of more than $60 billion and over 285,000 employees. - As PepsiCo believe that advertising is very high importance topic, it has budgeted sufficient amount for advertising. SWOT analysis may lead the firm to overemphasize a single internal or external factor in formulating strategies. PepsiCo, commonly known as Pepsi, is one of the largest foods, snacks and beverages brands that operate globally. A SWOT analysis is a framework that is used to analyze a company’s competitive positioning in its business environment. PepsiCo expects its employees to have a vision of sustained growth. It has come across as a mature firm looking forward to bring out products based on tested features in the market. emerging stage and is growing exponentially, the need of the hour is to make The SWOT analysis of PepsiCo just underlines this fact. SWOT analysis is a vital strategic planning tool that can be used by PepsiCo managers to do a situational analysis of the company . • The PepsiCo SWOT and PESTLE analysis report consists of a comprehensive analysis of all major pertinent internal and external factors shaping the brand and its operations. SWOT analysis of Pepsi covers completely different weaknesses that the complete has. Where Pepsi has launched many snacks items like Lays and Kurkure, Coca-Cola is lagging in this segment. This can impact the long term growth of PepsiCo. 1.Reducing consumer need/demand for carbonated drinks: With changing time, consumers are giving up sweetened Lay’s has been able to create a strong brand name itself with popular advertisements and celebrity associations. The report covers the company's structure, operation, SWOT analysis, product and service offerings and corporate actions, providing a 360˚ view of the company. SWOT ANALYSIS Formed in 1965 with the merger of the two big brands Pepsi- Cola and Frito Lay. Get a verified writer to help you with Pepsico Swot Analysis. Get a verified writer to help you with Pepsico Swot Analysis. It is better than doing simplistic SWOT analysis because with Weighted SWOT Analysis Pepsico, Inc. managers can focus on the most critical factors and discount the non-important one. If you continue browsing the site, you agree to the use of cookies on this website. SWOT analysis a highly interactive process and requires effective coordination among various departments within the company such as – marketing, finance, operations, management information systems and strategic planning. June 3, 2018 November 23, 2018 admin SWOT Analysis Pepsico. Khalia Thornton PepsiCo Strengths Connections with Events Strengths A strength that PepsiCo has is their way to With its headquarters in New York, the brand currently spans across 200+ countries, earning a net revenue of $64.66 billion (2018). Other major competitors in the same market are Dr. Pepper Snapple and Red Bull. Amazing Business Data Maps. Show More. PepsiCo Inc – Strategy, SWOT and Corporate Finance Report, is a source of comprehensive company data and information. We’ll start first by discussing PepsiCo’s gigantic portfolio of the company then we move to SWOT analysis of Pepsi.. Pepsi was 1st introduced as “Brad’s Drink” in New Berne, North Carolina, united states, in 1893 by Caleb Bradham, the future, it is one among the foremost vital factors within the SWOT Analysis The Strengths-Weaknesses-Opportunities-Threats (SWOT) Analysis / Matrix enables the managers of the PepsiCo to develop four types of strategies: The central purpose of SWOT matrix is to identify the strategies that a firm can use to exploit external opportunities, counter threats, and build on & protect PepsiCo strengths, and eradicate its weaknesses. get custom paper. Image source: PepsiCo annual report 2019. Carrying out a SWOT analysis of PepsiCo will assist the company figured out where modification is possible. In the next few years the company can leverage this opportunity by knowing its customer better and serving their needs using big data analytics. High attrition rate in work force – compare to other organizations in the industry PepsiCo has a higher attrition rate and have to spend a lot more compare to its competitors on training and development of its employees. Send your data or let us do the research. –Reliance on Carbonated drinks: In developed as well as developing countries, health-conscious consumers have started to shy away from carbonated beverages containing elevated levels of sugars or artificial sweeteners. It provided an evaluation window but not an implementation plan based on strategic competitiveness of PepsiCo. • The SWOT analysis report consolidates internal and external analysis. Energy Drink Market SWOT Analysis by Key Players PepsiCo, Coca Cola, Red Bull, Dabur India Ltd. Buy Professional PPT templates to impress your boss. this The business has to improve to stay competitive. Year 2015 proved to be a challenging one for Pepsico (NYSE: PEP) just like most of its rivals. containing elevated levels of sugars or artificial sweeteners. • PepsiCo has acquired several brands like Pizza Hut and Kentucky Fried Chicken (KFC) in order to distribute and market them with its own brand. SWOT is a static assessment - analysis of status quo with few prospective changes. Decreasing cost of transportation because of lower shipping prices can also bring down the cost of PepsiCo’s products thus providing an opportunity to the company - either to boost its profitability or pass on the benefits to the customers to gain market share. The new technology provides an opportunity to PepsiCo to practices differentiated pricing strategy in the new market. New technologies developed by the competitor or market disruptor could be a serious threat to the industry in medium to long term future. SWOT Analysis: PepsiCo Diversification Strategy in 2008 Name Course Instructor Name Date PepsiCo Diversification Strategy in 2008 PepsiCo History • PepsiCo is the second largest snack and beverage company in the world. It has successfully integrated number of technology companies in the past few years to streamline its operations and to build a reliable supply chain. The strengths of our company Pepsi is:-• PepsiCo is the largest soft drink company in America and second largest company worldwide based on net revenue earned. Use our swot analysis example to gain an overall understanding of PepsiCo's strengths and weaknesses and strategic options arising from the opportunities and threats that have been identified from the Pestle analysis example on it's business environment. Enhance recycling efforts to address environmentalism 1. Days inventory is high compare to the competitors – making the company raise more capital to invest in the channel. Limitation of Weighted SWOT analysis of Pepsico, Inc. Weakness are the areas where PepsiCo can improve upon. Starting just $19. Carrying out a SWOT analysis of PepsiCo will assist the company figured out where modification is possible. SWOT analysis of Pepsi covers different weaknesses which the brand has. New trends in the consumer behavior can open up new market for the PepsiCo . This method is called Weighted SWOT analysis. This SWOT analysis of PepsiCo examines what the company does well, what it’s falling behind on, and what this will mean for the brand. Coca-Cola vs Pepsi-Cola A SWOT Analysis-A SWOT Analysis is a powerful tool to develop business strategies for start-up firms as well as for existing companies. Don't waste time. The intended purpose of Our research papers is that they are used as models to assist in the preparation of Your own research papers. Opportunities refer to the factors which the organization will use to its favor to grow its market share, sales, whole recognition, etc. go to Pepsi SWOT Analysis 2018. SWOT analysis is one of the most basic business practices that almost all organizations utilize in order to determine what strategies to pursue. Superb Performance in New Markets – PepsiCo has built expertise at entering new markets and making success of them. 2. The PepsiCo is one of the leading organizatations in its industry. It represent a great opportunity for PepsiCo to drive home its advantage in new technology and gain market share in the new product category. health-conscious customers have started to withdraw from carbonated beverages A comparative example could be - GE healthcare research helped it in developing better Oil drilling machines. is not an immediate competition of Pepsi, but have managed to put a dent within Limitations of SWOT Analysis for Pepsico, Inc. Pepsi is also focused on CSR and sustainability to maintain a great image and good reputation. Pepsi may be a carbonated soft drink factory-made by PepsiCo. You can email us to get an example document of Weighted SWOT analysis. It is also known as the brand of youth. Brands eatery in untapped countries and regions like tier 2 cities. It also solves the long list problem where organizations ends up making a long list but none of the factors deemed too critical. PepsiCo SWOT Analysis: Weaknesses. The demand of the highly profitable products is seasonal in nature and any unlikely event during the peak season may impact the profitability of the company in short to medium term. Swot Analysis of Pepsico. It’s the second most significant consider SWOT Analysis of Pepsi Cola because it can form the long run of the company’s strategy. the most this chance and grab the most market share. New environmental policies – The new opportunities will create a level playing field for all the players in the industry. A SWOT Analysis of Pepsico . Not very good at product demand forecasting leading to higher rate of missed opportunities compare to its competitors. go to Pepsi SWOT Analysis 2018. Umar Farooq July 20, 2019. of these factors 5015 Words 21 Pages. Strengths. Highly Diversified Portfolio – The main strength of PepsiCo lies in the large number of brands under its portfolio spanning across the food and beverage sector. The reason was the state of the global economy and the strong dollar. High dependency on sweet Given the fact, threats give a complete a • The SWOT analysis report consolidates internal and external analysis. The health crowd. It will enable the firm to maintain its loyal customers with great service and lure new customers through other value oriented propositions. brand awareness and brand recall. sturdy provide chain and distribution network that you simply will get Pepsi As circumstances, capabilities, threats, and strategies change, the dynamics of a competitive environment may not be revealed in a single matrix. Today, Pepsi and its products are popular in more than 200 countries. Financial planning is not done properly and efficiently. Sustained Growth. SWOT Analysis, which is based on a thorough review of the business identities and evaluates the internal strengths and weakness of the companies well as its external threats and opportunities. The realistic actions that PepsiCo could take to improve its competitiveness and international growth are as follows: 1. We’ll start first by discussing PepsiCo’s gigantic portfolio of the company then we move to SWOT analysis of Pepsi.. Pepsi was 1st introduced as “Brad’s Drink” in New Berne, North Carolina, united states, in 1893 by Caleb Bradham, Although the SWOT analysis is widely used as a strategic planning tool, the analysis does have its share of limitations. It has a brand valuation of $19.4 billion and it is ranked 29 in the Forbes most valuable brands list.