PEPSI Cola International

Mubashar Sharif 18Umer Shehzad 15 Muhammad Zubair 40

DEPARTMENT OF BUSINESS MANAGEMENT & SCIENCE

UNIVERSITY OF AGRICULTURE FAISALABAD

Vision"PepsiCo's responsibility is to continually

improve all aspects of the world in which we operate - environment, social, economic -

creating a better tomorrow than today."

MissionOur mission is to be the world's premier consumer products company focused on

convenient foods and beverages. We seek to produce financial rewards to investors as

we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive

for honesty, fairness and integrity.

SWOT ANALYSIS

STRENGTHS

Strong Multinational Strong & Vast Distribution

Channels Lack of Capital Constraints Record Market Share Strong Brand Portfolio Aggressiveness In The

Market(Market Leader) Brand Promotion & Sponsorship

WEAKNESS

Targeting Only Young Customers

Political Franchises Centralized Decision Making Decline In Taste Motivational Factors Not All Products Bear The

Company Name

SWOT ANALYSIS

THREATS New Products Can Easily

Penetrate In The Market. Non-carbonated Drinks Is Fast

Growing Industry Demand Of Pepsi Is More Then

Competitor Changing Social Trends (Fast

Foods) Internet Promotion & Ordering

Process Can Tie Up With Major

Showrooms & restaurants

Non-Carbonated Substitutes (Mango Season)

Beverage Industry Is mature Fake Products Competitor's Schemes Strong Competition With Coca-

Cola Company

OPPORTUNITIES

OPPORTUNITY Weight Rate Total Score

New Products Can Easily Penetrate In The Market 0.09 4 0.33

Non-carbonated Drinks Is Fast Growing Industry 0.11 3 0.36

Demand Of Pepsi Is More Then Competitor 0.07 3 0.21

Changing Social Trends (Fast Foods) 0.09 3 0.40

Internet Promotion & Ordering Process 0.06 1 0.18

Can Tie Up With Major Showrooms & restaurants 0.07 2 0.21

THREATS

Non-Carbonated Substitutes (Mango Season) 0.14 3 0.42

Beverage Industry Is mature 0.12 4 0.48

Fake Products 0.10 2 0.20

Competitor's Schemes 0.05 2 0.10

Strong Competition With Coca-Cola Company 0.10 2 0.20

TOTAL 1.00 2.77

EXTERNAL FACTOR EVALUATION MATRIX

STRENGTH Weight Rate Total Score

Strong Multinational 0.11 3 0.33

Strong & Vast Distribution Channels 0.09 4 0.36

Lack of Capital Constraints 0.07 3 0.21

Record Market Share 0.10 4 0.40

Strong Brand Portfolio 0.06 3 0.18

Aggressiveness In The Market(Market Leader)0.07 3 0.21

Brand Promotion & Sponsorship 0.12 4 0.48

WEAKNESS

Targeting Only Young Customers 0.09 2 0.18

Political Franchises 0.06 2 0.12

Centralized Decision Making 0.05 2 0.10

Decline In Taste 0.09 1 0.09

Motivational Factors 0.05 1 0.05

Not All Products Bear The Company Name 0.04 2 0.08

TOTAL 1.00 2.79

INTERNAL FACTOR EVALUATION MATRIX

PEPSI Co. COCA COLA Co. GOURMETCRITICALSUCCESS FACTORS

WEIGHT RATE TOTAL SCORE RATE TOTAL SCORE RATE TOTAL SCORE

Market Share 0.12 4 0.48 2 0.24 1 0.12Advertising 0.10 3 0.30 3 0.30 1 0.10Product Taste 0.09 3 0.27 4 0.36 3 0.27Brand Image 0.11 4 0.44 4 0.44 3 0.33

Plants Location 0.07 3 0.21 2 0.14 1 0.07

Marketing Resource Budget 0.09 3 0.27 3 0.27 2 0.18

Production Capacity 0.07 4 0.28 3 0.21 1 0.07Innovation 0.11 3 0.33 3 0.33 2 0.22

Control Over Supply Chain 0.06 3 0.18 3 0.18 2 0.12Availability 0.11 4 0.44 3 0.33 1 0.11

Bottling Investment & Empty Management 0.03 3 0.09 3 0.09 1 0.03Personnel 0.04 3 0.12 3 0.12 2 0.08

TOTAL 1.00 3.41 3.01 1.70

COMPETITIVE PROFILE MATRIX(CPM)

TOWS MATRIXStrengths Weaknesses

T WS

Matrix

1. Brand Promotion & Sponsorship2. Strong Multinational (Brand

Equity)3. Record Market Share4. Strong & Vast Distribution

Channels5. Lack Of Capital Constraints6. Aggressiveness In The Market

(Market Leader)7. Strong Brand Portfolio

1. Decline In Taste2. Targeting Only Young

Customers3. Not All Products Bear The

Company Name 4. Motivational Factor5. Political Franchises6. Centralized Decision Making

Opportunities S-O Strategies W-O Strategies

1. PepsiCo New Products Can Easily Penetrate In The Market.

2. Noncarbonated Drinks Are The Fastest-Growing Industry

3. Changing Social Trends (Fast Foods)

4. Demand Of Pepsi Is More Than Of Competitor

5. May Tie Up Or Liaison With Major Showrooms, Computer Centers &Restaurant

6. Internet Promotion And Ordering Processes

S1,S2,S3,O2,O3,O4Company Can Introduce New

Product Or Non-Carbonated Drinks Because It Have Good Brand Equity, Large Resources

S4,O5,O3By Having Good Distribution

Channel Co. Can Focus Easily Fast Food Restaurants, Clubs.

W2,O2By Introducing Non-Carbonated Drinks Pepsi Can Capture Different Age Groups.

Threats S-T Strategies W-T Strategies

1. Non-Carbonated Substitutes (The Mango Season)

2. Fake Products (Imitators)3. Beverage Industry Is Mature4. Strong Competition With

Coca-Cola Company

S4,S5,T1,T3Because Co. Has Financial

Recourses And Distribution Channel Therefore It Can Produce Non-Carbonated Drinks.

W1,T3By improving the taste & quality

company can reposition its products can take long term position on maturity stage.

SO Strategies

(Strength-Opportunities)

STRATEGIC POSITION AND EVALUATION(SPACE) MATRIX

STRATEGIC POSITION AND EVALUATION(SPACE) MATRIX

4Strong 3

Average2

Weak1

High

3

I Invest

IIInvest

III

Hold

The EFE Total Weighted Score

Medium

2

IVInvest

V

Hold

VIHarvest

Low

1

VIIHold

VIIIHarvest

IXDivest

IE Matrix

The IFE Total Weighted Score

EFE 2.77IFE 2.79

GRAND STRATEGY MATRIX

STRATEGIC ALTERNATIVES natural juices Tie up With Resturants,

KEY FACTORS Product Clubs, Show rooms

STRENGTHS WEIGHT AS TAS AS TAS

Strong Mutinational (Brand Equity) 0.11 3 0.33 2 0.22Strong & Vast Distribution Channels 0.09 2 0.18 3 0.27Lack Of Capital Constraints 0.07 3 0.21 2 0.14Record Market Share 0.10 2 0.2 3 0.3Strong Brand Portfolio 0.06 2 0.12 3 0.18Aggressiveness In The Market (Market Leader) 0.07 3 0.21 4 0.28Brand Promotion & Sponsorship 0.12 2 0.24 3 0.36

WEAKNESSTargeting Only Young Customers 0.09 3 0.27 2 0.18Political Franchises 0.06 0 0 0 0Centralized Decision Making 0.05 0 0 0 0Decline In Taste 0.09 3 0.27 2 0.18Motivational Factor 0.05 1 0.05 2 0.1Not All Products Bear The Company Name 0.04 1 0.04 3 0.12

1.00OPPORTUNITY

New Products Can Easily Penetrate In The Market. 0.09 3 0.27 2 0.18Noncarbonated Drinks Are The Fastest-Growing Industry 0.11 4 0.44 2 0.22Demand Of Pepsi Is More Than Of Competitor 0.07 2 0.14 4 0.28Changing Social Trends (Fast Foods) 0.09 2 0.18 4 0.36Internet Promotion And Ordering Processes 0.06 2 0.12 3 0.18Tie Up Or Liaison With Major Showrooms & Restaurant 0.07 2 0.14 3 0.21

THREATSNon-Carbonated Substitutes (The Mango Season) 0.14 4 0.56 2 0.28Beverage Industry Is Mature 0.12 3 0.36 2 0.24Fake Products (Imitators) 0.10 1 0.1 2 0.2Competitor’S Schemes 0.05 1 0.05 3 0.15Strong Competition With Coca-Cola Company 0.10 2 0.2 3 0.3

1.00 4.68 4.93

QSPM

QUANTITATIVE STRATEGIC PLANNING MATRIX (QSPM)

CONCLUSION

Aggressive responses and aggressive strategies Market penetration in term to increase its market share through tie up with different restaurants & clubs as well as continue with its already adopted strategies such as increase its share through huge advertisement and through sponsoring different events.

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