impact of celebrity endorsement of pepsi

8/10/2019 Impact of Celebrity Endorsement of Pepsi

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A

Project Study Report

On

Impact of celebrity endorsement on Brand Equity of Pepsi

Submitted in partial fulfillment for the

Award of degree of

Master of Business Administration

Submitted By: 2011-2012 Submitted TO:

JAIDEV MEENA Jaya pareek

Year - 2nd year [IVthSem.] Nidhi Tak

POORNIMA SCHOOL OF MANAGEMENT

ISI-2, RIICO Institutional Area, Goner Road, Sitapura, Jaipur.


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CERTIFICATE

Poornima School of Management

This is to certify that Mr.JAIDEV MEENA student of MBA 4thsemester from Poornima

school of management, Jaipur had completed its project report on the topic of IMPACT

OF CELEBRITY ENDORSEMENT ON BRAND EQUITY OF PEPSI under the

supervision of Ms.Jaya Pareek,Mrs Nidhi Tak .faculty member DMS PGC.

To best of my knowledge report is original and has not been copied or submitted

anywhere else. It is an independent work done by him.

Dr. Vandana Sharma

Director, PSOM


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Declaration

Hereby I declare that the project report entitled IMPACT OF CELEBRITY

ENDORSEMENT ON BRAND EQUITY OF PEPSI submitted for the degree of MBA is

my original work and the project report has not formed the basis for the award of any

diploma, degree, associated ship, fellowship or similar other title. It has been not

submitted to any other university or institution for the award of any degree or diploma.

JAIDEV MEENA

MBA 2ndyear 4thsem


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Preface

Stars, who are known to shape destinies, cast an enormous influence. Were referring

to the powerful effect of celebrities on destinies of brands. One approving nod from a

famous face can translate into millions in brand sales. People love to live in dreams.

They worship celebrities. Celebrities may be sports stars like Sachin Tendulkar,

Mahindra Singh Dhoni,Roger Federer.Ronaldo and tiger woods or Film Stars like tom

cruise, bredd pitt, Salman Khan, John Abraham. They treat them as God. . Perhaps

thats why the world over, companies have been using stars to endorse everything, from

food to food chains, from soft and hard drinks to health drinks, from clothes and

accessories to cars. For this they rope in these celebrities and give them whoppingamount of money. They believe that by doing this they can associate their products with

their target customers. This is called celebrity endorsement. But do this celebrity

endorsement acts as a source of brand-building and have impact over the purchasing

behavior of customers in case of automobiles? For this I decided to conduct this vary

research and objectives of my research are:

To identify the influence of celebrity endorsement on consumer buying behavior.

To study celebrity endorsement as a source of brand- for pepsi

To find which type of celebrity persona is more effective.

Secondary data used for this study are article of different authors, experts articles on

this study, magazines, market survey of pepsi, interview with distributers and Internet.

The main key elements of this study are as marketing strategies, product endorsement,

celebrity endorsement, marketing mix and advertising. Brand equity, Brand image,

Celebrities,Product endorsement etc.

Conclusion of this study is that Whether Celebrity endorsement has a positive or a

negative impact on the brand is a debate that is open to interpretation. But till the time

the corporate world continues to foot fancy bills of celebrity endorsers and till

consumers continue to be in awe of the stars, the party is not likely to break up and this

help companies to earn more profit and increase brand equity.
http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Brand+equity&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Brand+image&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Celebrtities&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Celebrtities&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Product+endorsement&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Product+endorsement&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Celebrtities&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Brand+image&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5http://www.emeraldinsight.com/search.htm?ct=jnl&st1=Brand+equity&fd1=kwd&mm1=all&PHPSESSID=3k47f44qq0fjug7qg24v7ssgr5


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Acknowledgement

I express my sincere thanks to my project guide, Ms.Jaya Pareek Mrs. Nidhi Tak

madam, faculty department of management studies, for guiding me right from the

inception till the completion of the project. I sincerely acknowledge them for extending

their valuable guidance, support for literature, critical reviews of project and above all

the moral support they had provided to me with all stages of this project.

I would also like to thanks Mr. R. K. Agarwal (advisor, PGC) and Mr. Abhayjeet Singh (Asst.

dean)of college DMS, PGC for their help and cooperation throughout our project,

JAIDEV MEENA


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EXECUTIVE SUMMARY:

The field of consumer behavior is the study of individuals, groups or organizations andthe processes they use to select, secure, use and dispose of product, services,

experiences, or ideas to satisfy needs and impacts that these processes have on the

consumer and society. And understanding the consumer behavior is the prime and

toughest task in front of every marketer. There are a lot of factors, which influence

consumer buyer behavior. This study aimed at to understand the influence of celebrity

endorsement on consumer buying behavior. Marketers pay millions of Dollars to

celebrity endorsee hoping that the stars will bring their magic to brand they endorse and

make them more appealing and successful. But all celebrity glitter is not gold.

Celebrity sources may enhance attitude change for a variety of reasons. They may

attract more attention to the advertisement than would non-celebrities or in many cases,

they may be viewed as more credible than non-celebrities. Third, consumers may

identify with or desire to emulate the celebrity. Finally, consumer may associate known

characteristics of the celebrity with attributes of the product that coincide with their own

needs or desire. The effectiveness of using a celebrity to endorse a firm's product cangenerally be improved by matching the image of the celebrity with the personality of the

product and the actual or desired serf concept of the target market.

What therefore seems relevant by the study is that, yes, definitely celebrity endorsee

influence consumer buying behavior and brand building but while using celebrity

endorsee, marketer has to take care of all the aspect that whether they brought

personality and image of celebrity matches or not, whether celebrity endorsee has deep

penetration among the masses or not, whether he is considered as credible source or

not etc.


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INDEX

S.NO CONTENT PAGE NO.

1. INTRODUCTION TO INDUSTRY 1-19

2. INTRODUCTION TO ORGANIZATION 20-50

3 REVIEW OF LITERATURE 51-75

4RESEARCH METHODOLOGY

76-79

4.1. Title of study 76

4.2. Duration of the project 76

4.3. Objective of the project 77

4.4. Type of research 77-78

4.5. Sample size , method of selecting sample 78

4.6. Scope of study 78

5 Analysis and interpretation 79

6 Facts and finding 81-95

7 Limitation of study

8 SWOT analysis 99-100

9 Conclusion 99-100

8. Recommendation/ suggestion 101

9. Appendix 102-103

10. Bibliography 104-106


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Introduction to the industry:

Background:

The industry began in mid 1900s with leading companies like Pepsi Co. and Coca

Cola controlling the beverage business sector with sweetened soft drinks and

carbonated soda water. American audiences attached excitement and convenience

to these popular drinks, and a variety of soft drink brands began to originate such as

Dr.Pepper, Sprite, etc. The beverage industry has undergone rapid expansion over

the last decade.

The only obstacle for these beverage companies was the high number of calories

and sugar levels their drinks contained; a drawback for health-conscious consumers.

A soft drink (also called pop, soda, coke, soda pop, fizzy drink, or carbonated

beverage) is a non-alcoholic beverage that typically contains carbonated water, a

sweetening agent,and aflavoring agent.The sweetening agent may besugar,high-

fructose corn syrup,or asugar substitute (in the case of diet drinks). A soft drink may

also containcaffeine orjuice. Productssuch asenergy drinks,Kool-Aid,andpure juice

are not considered to be soft drinks. Other beverages not considered to be soft drinks

arehot chocolate,hot,tea,coffee,milk,milkshakes,andschooled.

Small amounts ofalcohol may be present in a soft drink, but thealcohol content must

be less than 0.5% of the total volume. If the drink is to be considered non-alcoholic.

Widely sold soft drink flavors are cola,lemon-lime,root beer,orange,grape,vanilla,

ginger ale, fruit punch, sparkling lemonade, squash, and water. Soft drinks may be

served chilled or at room temperature. They are rarely heated.

The first marketed soft drinks (non-carbonated) in theWestern world appeared in the

17th century. They were made from water and lemon juice sweetened with honey. In

1676, the Companies des Lemonades of Paris was granted a monopoly for the sale

of lemonade soft drinks. Vendors carried tanks of lemonade on their backs and

dispensed cups of the soft drink to thirsty Parisians.
http://en.wikipedia.org/wiki/Non-alcoholic_beveragehttp://en.wikipedia.org/wiki/Carbonated_waterhttp://en.wikipedia.org/wiki/Sweetnesshttp://en.wikipedia.org/wiki/Flavorhttp://en.wikipedia.org/wiki/Sugarhttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/Sugar_substitutehttp://en.wikipedia.org/wiki/Caffeinehttp://en.wikipedia.org/wiki/Energy_drinkhttp://en.wikipedia.org/wiki/Kool-Aidhttp://en.wikipedia.org/wiki/Juicehttp://en.wikipedia.org/wiki/Hot_chocolatehttp://en.wikipedia.org/wiki/Teahttp://en.wikipedia.org/wiki/Coffeehttp://en.wikipedia.org/wiki/Milkhttp://en.wikipedia.org/wiki/Milkshakehttp://en.wikipedia.org/wiki/Schorlehttp://en.wikipedia.org/wiki/Ethanolhttp://en.wikipedia.org/wiki/Alcohol_by_volumehttp://en.wikipedia.org/wiki/Colahttp://en.wikipedia.org/wiki/Lemon-limehttp://en.wikipedia.org/wiki/Root_beerhttp://en.wikipedia.org/wiki/Orange_soft_drinkhttp://en.wikipedia.org/wiki/Grape_sodahttp://en.wikipedia.org/wiki/Cream_sodahttp://en.wikipedia.org/wiki/Ginger_alehttp://en.wikipedia.org/wiki/Fruit_punchhttp://en.wikipedia.org/wiki/Lemonadehttp://en.wikipedia.org/wiki/Squash_%28drink%29http://en.wikipedia.org/wiki/Western_worldhttp://en.wikipedia.org/wiki/Western_worldhttp://en.wikipedia.org/wiki/Squash_%28drink%29http://en.wikipedia.org/wiki/Lemonadehttp://en.wikipedia.org/wiki/Fruit_punchhttp://en.wikipedia.org/wiki/Ginger_alehttp://en.wikipedia.org/wiki/Cream_sodahttp://en.wikipedia.org/wiki/Grape_sodahttp://en.wikipedia.org/wiki/Orange_soft_drinkhttp://en.wikipedia.org/wiki/Root_beerhttp://en.wikipedia.org/wiki/Lemon-limehttp://en.wikipedia.org/wiki/Colahttp://en.wikipedia.org/wiki/Alcohol_by_volumehttp://en.wikipedia.org/wiki/Ethanolhttp://en.wikipedia.org/wiki/Schorlehttp://en.wikipedia.org/wiki/Milkshakehttp://en.wikipedia.org/wiki/Milkhttp://en.wikipedia.org/wiki/Coffeehttp://en.wikipedia.org/wiki/Teahttp://en.wikipedia.org/wiki/Hot_chocolatehttp://en.wikipedia.org/wiki/Juicehttp://en.wikipedia.org/wiki/Kool-Aidhttp://en.wikipedia.org/wiki/Energy_drinkhttp://en.wikipedia.org/wiki/Caffeinehttp://en.wikipedia.org/wiki/Sugar_substitutehttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/Sugarhttp://en.wikipedia.org/wiki/Flavorhttp://en.wikipedia.org/wiki/Sweetnesshttp://en.wikipedia.org/wiki/Carbonated_waterhttp://en.wikipedia.org/wiki/Non-alcoholic_beverage


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market capitalization of US $130 billion. Pepsi sales stood at US $36 billion but this

also includes snacks and other foods.

Some analysts view the definition of soft drinks incomplete and wish to add ready to

drinks also, to this industry. If they are added as well, these would add another 1.3

billion servings to 50 billion servings for these drinks.

Industry Definitions:

Fizzy drinks: drinks injected with carbon dioxide at high pressure are called Fizzy

drinks.

Floats: soft drink with scoops of ice-cream

Soda: another term for soft drink

Pop: another U.S. term for soft drinks

Coke: a derivative and brand name of Coca-Cola, often used as a label for soft drinks

in general.

Market Metrics:

Soft drink market size for FY00 was around 270mn cases (6480mn bottles). The

market witnessed 5- 6% growth in the early90s. Presently the market growth has

growth rate of 7- 8% per annum compared to 22% growth rate in the previous year.

The market size for FY01 is expected to be 7000mn bottles.

Soft Drink Production area

The market preference is highly regional based. While cola drinks have main markets

in metro cities and northern states of UP, Punjab, Haryana etc. Orange flavoreddrinks are popular in southern states. Sodas too are sold largely in southern states

besides sale through bars. Western markets have preference towards mango

flavored drinks. Diet coke presently constitutes just 0.7% of the total carbonated

beverage market.


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4

Growth promotional activities

The government has adopted liberalized policies for the soft drink trade to give the

industry a boast and promote the Indian brands internationally. Although the import

and manufacture of international brands like Pepsi and Coke is enhanced in India the

local brands are being stabilized by advertisements, good quality and low cost.

U.S. Market

The U.S. is closely linked with soft drinks with Coca Cola being an American in much

of the world. About 500 soft drinks companies operate in the U.S. Annual sales of

refreshments total approximately US $88 billion, of which three quarters are soft drinksales. There are about 500 soft drink bottlers in the United States.

Soft drink companies manufacture and sell beverage syrups which are essentially

bases to bottling operators that then add sweeteners and/or carbonated water to

produce the final product. Independent bottlers work under license with various soft

drink manufacturers and are generally allotted specific territories to serve.

Manufacturers not only provide the bottlers with syrups and bases, but also often

provide other business services such as product quality control, marketing,

advertising, and engineering as well as financial and personnel training.

In return, the bottlers furnish the required capital investment for land, buildings,

machinery, equipment, trucks, bottles and cases. As noted previously, the soft drink

industry distributes and sells its product in two primary forms: packaged and fountain

service. In fountain service, the soft drink product is dispensed and served in cups in

restaurant or other retail oriented location with a food service station.

Coke, Pepsi and Cadbury Schweppes control over 91% of the U.S. market share.

They employ about 63,000 people in the U.S.


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World Market:

Global sales of soft drinks exceed 327 billion liters and are valued at more than US

$393 billion annually. North America, Europe and Japan are the most mature markets

for global soft drinks. Coco Cola and PepsiCo Inc have significant control over the

global soft drinks market and both have similar business organizations and

processes worldwide. The industry includes other than the soft drink manufactures

themselves, the bottlers and various raw material suppliers. Suppliers of cans, plastic

and glass bottles are included in this category.

Globally, the soft drinks majors continue to face challenges. One key global trend is a

move away to healthier drinks, which may put some pressure on yearly growth in

sales of soft drinks. The push to diet beverages have been well covered by the major

producers with sales of diet Coke and diet Pepsi still strong. A recent trend is the

rise in popularity of sports drinks. Bottled water has also experienced very strong

growth. Finally the quality of water used in the manufacture of soft drinks poses

serious issues for the industry. Major players are working on the issue as water

scarcity becomes a global issue.


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Industry Players:

The Coca-Cola Company

Coca Cola is the number one brand globally and has been for over 40 years It is sold

in virtually every country of the world. The successful expansion that began in World

War II has continued unabated up to this date. Now, the company has more than 400

brands in its portfolio. Tab, produced in 1963 was one of the companys landmark

marketing successes.

PepsiCo Inc.

Pepsi-Cola was created in 1898 in New Bern, North Carolina, by druggist Caleb D.Brad ham. PepsiCo Inc. holds about one-third of the U.S. market and is the second

largest soft drink major in the world. It owns Frito-Lay snacks and other businesses.

Pepsi soft drinks include brands such as Pepsi, Diet Pepsi, Slice, Mountain Dew and

Mug Root Beer.

Cadbury Schweppes

Cadbury Schweppes PLC is the number three global soft drink producer. Theportfolio includes Squirt, La Casera, TriNa, Spring Valley, and Wave. It has cornered

more then 17% of the world market. Total sales exceed US $12.9 billion.


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Trends and Recent Developments

Private labels are becoming more prominent. Private Labels are brands owned by

stores and retailed through them. These private label manufacturers are retailing their

brands very aggressively these days. Although, lowering of prices is an open option

for the soft drink majors, it reduces their profits. Private labelers offer heavier

discounts and sales are increasing.

In 2007, a new issue is the lack of recycling of plastic bottled water containers.

Although the trend to bottled water is high, environmentalists point out many of these

are simply filtered tap water and that the discarded bottles are causing environmental

damage. The fallout among consumers is unclear at mid-point 2007.

After nearly a year of deliberation, Cadbury has finally announced a date for the de-

merger of its US soft drinks arm, American Beverages. Although it appears to make

sense to separate this group from the company's confectionery operations, the

separation could leave Cadbury vulnerable to a takeover, which its turnaround plan

may be unable to prevent.

The de-merger, which was first announced as a possibility back in March 2007, will

now take place in May and will see the creation of Dr Pepper Snapple Group as a

separate entity with a listing on the New York Stock Exchange and its own

management team. The confectionery arm is to be renamed Cadbury plc and will be

listed in London.


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Carbonated drinks:

Soft drinks displayed onsupermarket shelves.

In late 18th century, scientists made important progress in replicating naturally

carbonated mineral waters.In 1767, Englishman Joseph Priestley first discovered a

method of infusing water with carbon dioxide to make carbonated water which has

3.4 mg in the drink when he suspended a bowl of distilled water above a beer vat at

a local brewery inLeeds,England.

His invention of carbonated water, (also known as soda water), is the major and

defining component of most soft drinks. Priestley found water thus treated had a

pleasant taste, and he offered it to friends as a refreshing drink. In 1772, Priestley

published a paper entitled Impregnating Water with Fixed Air in which he describes

dripping oil of vitriol (orsulfuric acid as it is now called) ontochalk to produce carbon

dioxide gas, and encouraging the gas to dissolve into an agitated bowl of water.

Another Englishman, John Mervin Nooth, improved Priestley's design and sold his

apparatus for commercial use in pharmacies. Swedish chemist Torbern Bergman

invented a generating apparatus that made carbonated water from chalk by the useof sulfuric acid. Bergman's apparatus allowed imitation mineral water to be produced

in large amounts. Swedish chemist Jns Jacob Berzelius started to add flavors

(spices, juices and wine) to carbonated water in the late 18th century.
http://en.wikipedia.org/wiki/Supermarkethttp://en.wikipedia.org/wiki/Mineral_waterhttp://en.wikipedia.org/wiki/Joseph_Priestleyhttp://en.wikipedia.org/wiki/Carbon_dioxidehttp://en.wikipedia.org/wiki/Carbonated_waterhttp://en.wikipedia.org/wiki/Leedshttp://en.wikipedia.org/wiki/Soda_waterhttp://en.wikipedia.org/wiki/Sulfuric_acidhttp://en.wikipedia.org/wiki/Chalkhttp://en.wikipedia.org/wiki/Torbern_Bergmanhttp://en.wikipedia.org/wiki/J%C3%B6ns_Jacob_Berzeliushttp://en.wikipedia.org/wiki/File:Soft_drink_shelf.JPGhttp://en.wikipedia.org/wiki/J%C3%B6ns_Jacob_Berzeliushttp://en.wikipedia.org/wiki/Torbern_Bergmanhttp://en.wikipedia.org/wiki/Chalkhttp://en.wikipedia.org/wiki/Sulfuric_acidhttp://en.wikipedia.org/wiki/Soda_waterhttp://en.wikipedia.org/wiki/Leedshttp://en.wikipedia.org/wiki/Carbonated_waterhttp://en.wikipedia.org/wiki/Carbon_dioxidehttp://en.wikipedia.org/wiki/Joseph_Priestleyhttp://en.wikipedia.org/wiki/Mineral_waterhttp://en.wikipedia.org/wiki/Supermarket


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Soft drink bottling industry

Over 1,500 U.S. patents were filed for either a cork, cap, or lid for the carbonated

drinkbottle tops during the early days of the bottling industry. Carbonated drink

bottles are under great pressure from the gas. Inventors were trying to find the best

way to prevent the carbon dioxide or bubbles from escaping. In 1892, the "Crown

Cork Bottle Seal"was patented byWilliam Painter,a Baltimore, Maryland machine

shop operator. It was the first very successful method of keeping the bubbles in the

bottle.

Production:

Soft drink production

Soft drinks are made by mixing dry ingredients and/or fresh ingredients (e.g. lemons,

oranges, etc.) with water. Production of soft drinks can be done at factories, or at

home.

Soft drinks can be made at home by mixing either a syrup or dry ingredients with

carbonated water. Carbonated water is made using ahome carbonation system or by

dropping dry ice into water. Syrups are commercially sold by companies such as

Soda-Club.

Ingredient quality:

Of most importance is that the ingredient meets the agreed specification on all major

parameters. This is not only the functional parameter, i.e. the level of the major

constituent, but the level of impurities, the microbiological status and physical

parameters such as color, particle size, etc.
http://en.wikipedia.org/wiki/Bottle_tophttp://en.wikipedia.org/wiki/Bottlehttp://en.wikipedia.org/wiki/Crown_corkhttp://en.wikipedia.org/wiki/Crown_corkhttp://en.wikipedia.org/wiki/William_Painterhttp://en.wikipedia.org/wiki/Syruphttp://en.wikipedia.org/wiki/Home_carbonation_systemhttp://en.wikipedia.org/wiki/Soda-Clubhttp://en.wikipedia.org/wiki/Soda-Clubhttp://en.wikipedia.org/wiki/Home_carbonation_systemhttp://en.wikipedia.org/wiki/Syruphttp://en.wikipedia.org/wiki/William_Painterhttp://en.wikipedia.org/wiki/Crown_corkhttp://en.wikipedia.org/wiki/Crown_corkhttp://en.wikipedia.org/wiki/Bottlehttp://en.wikipedia.org/wiki/Bottle_top


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Soft drink packaging :

USsoftdrinkcontainersin2008.

8, 12, 20, 24 oz and 2L sizes are shown in a can and in glass and plastic bottles.

In the United States, soft drinks are sold in a large number of different sizes including

500 mL (16.9 U.S. floz), 1 liter, 1.5L,2 liter,3L, and in 8, 12, 14, 16, 20 and 24 U.S.

fluid ounce plastic bottles, 12 U.S. fluid ounce cans, and short eight-ounce cans.

Some Coca-Cola products can be purchased in 8 and 12 U.S. fluid ounce glass

bottles. Jones Soda and Orange Crush are sold in 16 U.S. fluid ounce (1 U.S. pint)

glass bottles.

Cans are packaged in a variety of quantities such as six packs, 12 packs and cases

of 24, and 36. With the advent ofenergy drinks sold in eight-fluid-ounce cans in the

U.S., some soft drinks are now sold in similarly sized cans. It is also common for

carbonated soft drinks to be served asfountain drinks in which carbonation is added

to a concentrate immediately prior to serving. Containers have deposits in a few

states.

In Europe, soft drinks are typically sold in 2, 1.5, 1-liter, 500 mL plastic or 330 mL

glass bottles; aluminum cans are traditionally sized in 330 mL, although 250 mL slim

cans have become popular since the introduction of canned energy drinks and 355
http://en.wikipedia.org/wiki/Two-liter_bottlehttp://en.wikipedia.org/wiki/Two-liter_bottlehttp://en.wikipedia.org/wiki/Beverage_canhttp://en.wikipedia.org/wiki/Jones_Sodahttp://en.wikipedia.org/wiki/Energy_drinkshttp://en.wikipedia.org/wiki/Fountain_drinkhttp://en.wikipedia.org/wiki/Energy_drinkhttp://en.wikipedia.org/wiki/File:Coke_003.jpghttp://en.wikipedia.org/wiki/Energy_drinkhttp://en.wikipedia.org/wiki/Fountain_drinkhttp://en.wikipedia.org/wiki/Energy_drinkshttp://en.wikipedia.org/wiki/Jones_Sodahttp://en.wikipedia.org/wiki/Beverage_canhttp://en.wikipedia.org/wiki/Two-liter_bottle


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Producers:

In every area of the world there are major carbonated beverage producers, however

a few major North American companies are present in most of the countries of the

world, such asPepsi andCoca Cola.

Producers by region : North America

Pepsi co.

Coca Cola

RC Cola

South America

Ajegroup:(Peruvian origin, operates in 14 countries, now headquartered in Mexico),

producers ofBig Cola,Cielo (mineral water), Cifrut (fruit juice), Free Tea, Free World

Light (referred to locally as Free Light), Kola Real, Oro, Pulp (nectar), Sporade

(sports drink)andVolt (energy drink)

AmBev: (Brazil, operates in 14 countries, owned by Anheuser-Busch InBev), the

largest bottler of Pepsi Cola products outside the United States, also produces

Guarana Antarctica,Soda Limonada, Sukita, H2OH! and Guara!

Corporacin Jos R. Lindley S.A.: (Peru), producers of Aquarius (flavored water),

Burn (energy drink), Coca-Cola, Crush, Fanta, Frugos (nectar), Inca Kola, Kola

Inglesa,Powerade (energy drink),San Luis (mineral water) andSprite

Embotelladora Don Jorge S.A.C.: (Peru), producers of Agua Vida (mineral water),

Click(fruit drink),Isaac Kola andPer Cola

Embotelladora Latinoamericana S.A. (ELSA): (Colombia), producers of Cyro,

Liv(mineral water),RC Cola andShip Pepsico Inc Sucursal Del Peru: (Peru), producers of Pepsi Cola,Seven Up, Triple

Kola,Concordia,San Carlos (mineral water), Evervess,Gatorade (sports drink)and

Adrenalina Rush (energy drink)
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g/wiki/Big_Colahttp://en.wikipedia.org/wiki/Ajegrouphttp://en.wikipedia.org/wiki/RC_Colahttp://en.wikipedia.org/wiki/Coca_Colahttp://en.wikipedia.org/wiki/PepsiCohttp://en.wikipedia.org/wiki/Coca_Colahttp://en.wikipedia.org/wiki/Pepsi


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Europe

. Perrier

East Asia

Ramune

Australia

Bundaberg

As consumers became more health educated and aware of their nutritional intake,

large beverage companies acted quickly with the creation of the diet, no-calorie

soda in 1959 (Bells). The diet, or light soft drinks kept American audiences content

for a number of years because they offered what was thought to be a healthier

alternative to soft drinks with the same great taste. More recently, however,

consumers have become aware that even these diet drinks contain unnatural and

unhealthy nutritional

ingredients.For the last decade, industry leaders have been forced to switch their focus from

sweetened soft drinks and calorie-free diet drinks to healthier, natural beverages. Health

conscious consumers have lost interest in beverages with unnatural ingredients and

have begun focusing on beverages that offer more than just hydration.

The latest trend in the beverage market is functional, healthy drinks. Industry leaders

haveintroduced vitamin-enhanced waters, sports beverages, energy drinks, and

functional beverages.

All of these beverages offer healthy alternatives to soft drinks, with the added bonus of

incorporating specificingredients targeted for different functions. Energy drinks have

high levels of caffeine and Vitamin C tokeep consumers alert and awake, while offering

different varieties such as caffeine-free and zero-sugaradded. Vitamin-enhanced waters
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give consumers the same hydration as water, with added vitamins.Sports drinks and

functional beverages both work similarly to the vitamin waters, with particularvitamins,

antioxidants and other ingredients specified for athletics and other functions.

A relatively new functional beverage company is Function Drinks, located in Redondo

Beach, California. Function distributes their products through MD Drinks, Inc. The

company began in 2004,with an orthopedic surgeon Dr. Alex Hughes, a graduate from

UCLA Medical School.

While in school, Hughes realized that many of the powerful, all-natural ingredients used

to treat patients in medical facilities were available to the public, yet not widely

recognized or known-about. Soon after his epiphany, Hughes began working on a

company that would incorporate these ingredients into beverages that could be

available to the public. The company instantly gained a strong following of people, full

ofactive and health-conscious consumers. Function Drinks offers a line of eight

beverages, each with a unique function and flavor.

The line includes: Urban Detox, Shock Sports, Braniac, Alternative Energy, Night Life,

Vacation and Light Weight. The strongest seller is Urban Detox, which comes in Prickly

Pear or Goji Berry flavors, incorporates a combination of prickly pear extract and the

smog-scrubbing super-antioxidant N-Acetyl Cesteine in order to support healthy

lungs and sinuses in the face of particulate airborne pollution. These same ingredients

support the livers efforts in combating hangovers as well (Functiondrinks.com).

Another prominent seller is Light Weight, available in Blueberry Raspberry, Pink

Grapefruit, and Acai Pomegranate.

This specific drink functions to speed up the bodys natural metabolism, with

ingredients Polygonum Cusidatum and EGCG from green tea specified to support the

bodys natural calorie burning engine (Functiondrinks.com)

As this beverages market increases, the competition among industry producers will also

rise. Industry leaders have grown to their market and size because of their unique

products and aggressive marketing skills. They have successfully achieved brand


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Tropicana UK (PepsiCo) Nestle Waters

The UK's Top 10 Soft Drinks by take-home sales value in 2009

Coca-Cola Red Bull

Lucozade (GlaxoSmithKline) Ribena (Glaxo SmithKline)

Robinsons (Britvic) Schweppes (Coca-Cola)

Pepsi (Britvic) Actimel (Danone)

Tropicana (PepsiCo) Volvic (Danone)

Source: Britvic/Nielsen ScanTrack

Britvic's 2010 report on the UK Soft Drinks market

Other Non-Alcoholic Beverage Companies & Brands Profiled in Adbrands

Unilever Starbucks

Ocean Spray Tchibo

Britvic Soft Drinks Glaxo SmithKline

Nescafe Sunny Delight

Procter & Gamble Innocent Drinks

Lipton Folgers

Nestea Cott Corp

Fanta Japan Tobacco

AmBev
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The soft drink industry is so profitable

An industry analysis through Porters Five Forces reveals that market forces are

favorable for profitability. Defining the industry Both concentrate producers (CP) and

bottlers are profitable. These two parts of the Industries are extremely interdependent,

sharing costs in procurement, production, marketing and distribution. Many of their

functions overlap; for instance, CPs do some bottling, and bottlers conduct many

promotional activities. The industry is already vertically integrated to some extent. They

also deal with similar suppliers and buyers. Entry into the industry would involve

developing operations in either or both disciplines. Beverage substitutes would threaten

both CPs and their associated bottlers. Because of operational overlap and similarities

in their market environment, we can include both CPs and bottlers in our definition of

the soft drink industry. In 1993, CPs earned 29% pretax profits on their sales, while

bottlers earned 9% profits on their sales, for a total industry profitability of 14% .

This industry as a whole generates positive economic profits

Rivalry:

Revenues are extremely concentrated in this industry, with Coke and Pepsi, together

with their associated bottlers, commanding 73% of the case market in 1994. Adding in

the next tier of soft drink companies, the top six controlled 89% of the market. In fact,one could characterize the soft drink market as an oligopoly, or even a duopoly between

Coke and Pepsi, resulting in positive economic profits. To be sure, there was tough

competition between Coke and Pepsi for market share, and this occasionally hampered

profitability.

For example, price wars resulted in weak brand loyalty and eroded margins for both

companies in the 1980s. The Pepsi Challenge, meanwhile, affected market share

without hampering per case profitability, as Pepsi was able to compete on attributes

other than price.


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Substitutes:

Through the early 1960s, soft drinks were synonymous with colas in the mind of

consumers. Over time, however, other beverages, from bottled water to teas, becamemore popular, especially in the 1980s and 1990s. Coke and Pepsi responded by

expanding their offerings, through alliances (e.g. Coke and Nestea), acquisitions (e.g.

Coke and Minute Maid), and internal product innovation (e.g. Pepsi creating Orange

Slice), capturing the value of increasingly popular substitutes internally.

Proliferation in the number of brands did threaten the profitability of bottlers through

1986, as they more frequent line set-ups, increased capital investment, and

development of special management skills for more complex manufacturing operations

and distribution. Bottlers were able to overcome these operational challenges through

consolidation to achieve economies of scale. Overall, because of the CPs efforts in

diversification, however, substitutes became less of a threat.


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2 Introduction to the organization :

PepsiCo

Type Public

IndustryFood

Beverages

Founded

Delaware - June 8, 1965

reincorporated inNorth Carolina

1986

Founder(s)Donald M. Kendall

Herman W. Lay

Headquarters Purchase,Harrison,New York

Area served Worldwide

Key peopleIndra Nooyi

(Chairperson andCEO)

Products

Pepsi

Diet Pepsi

Mountain Dew

Aquafina

Sierra MistLipton Teas

7up (outside the U.S.)

Mirinda

Tropicana Products

Naked Juice

Gatorade
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Quaker Oats Company

Lay's

Doritos

Cheetos

Walkers snack foods

Fritos

Tostitos

Revenue US$ 57.838 billion (2010)

Operating

incomeUS$ 8.332 billion (2010)[2]

Net income US$ 6.338 billion (2010)

Total assets US$ 68.153 billion (2010)[2]

Total equity US$ 21.476 billion (2010)[2]

Employees 294,000 (2010)

Divisions

PepsiCo Americas Foods;

PepsiCo Americas Beverages;

PepsiCo Europe; PepsiCo Asia,

Middle East & Africa

Traded asNYSE:PEP

S&P 500 Component

Website PepsiCo.com

PepsiCo, Incorporated (NYSE:PEP)is aFortune 500,Americanglobal corporation
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Pepsi - Yeh Hai Youngistan Meri Jaan

Brand History

Pepsi is a hundred year old brand loved by over 200 million people worldwide. The

largest single selling soft drink brand in India is the ubiquitous'socialiser'at every

occasion.

Youngistaan loves it. 200 million people worldwide love it. But what has made

Pepsi the single largest selling soft drink brand in India is actually a formula

concocted a century ago in a far away continent.

1886, United States of America. Caleb Bradman, the man with a plan, got on to

formulate a blockbuster digestive drink and decided to call it Brads drink. It was

this doctors potion that was to become Pepsi Cola in 1898, and eventually,

Pepsi in 1903.


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Pepsi has always played on the front foot and since its inception has come out

with revolutionary concepts like Diet, 2L bottles, recyclable plastic cola bottles

and the enviable My Can.

Brand Advantage

Pepsi has become a friend to the youth and has led many youth cultures.

Youngsters over the generations have grown up with Pepsi and share an

emotional connect with it, unlike any other cola brand. Be it parties, hangouts, or

just another day at home, a day is never complete without the fizz of Pepsi!

Pepsi, Cricket and Bollywood have been joined at the hip since the beginning.

Shah Rukh Khan, Sachin Tendulkar, Saif Ali Khan, Amitabh Bachchan, Kareena

Kapoor, Priyanka Chopra, Virender Sehwag, M. S. Dhoni, John Abraham, Ranbir

Kapoor and Deepika Padukone are a few celebrities who will go any length for a

chilled Pepsi.

The Pepsi My Can is undoubtedly the most popular cola pack of all times. It is

not just a pack but a style statement for todays youth.


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PepsiCo is a world leader in convenient snacks, foods and beverages.

1. Solid Philosophy, Solid Company

Creating a Better Tomorrow for Future Generations

2.

Our Mission and Vision

At PepsiCo, we believe being a responsible corporate citizen is not only the right

thing to do, but the right thing to do for our business.

3.

PepsiCo Values & Philosophy

Our Values & Philosophy are a reflection of the socially and environmentallyresponsible company we aspire to be. They are the foundation for everybusiness decision we make.
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4.

Corporate Governance

PepsiCo has adopted strict corporate standards that govern our operations andensures accountability for our actions. Learn more about the processes andpolicies guiding our business.

World-Class, Muscular Brands

PepsiCo is home to hundreds of brands around the globe. Listed here are some of ourmost recognized.More
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Our Leadership

PepsiCo is a company full of strong, talented individuals starting with the company leadership.Get to know the inspiring people helping lead PepsiCo on its 'Performance with Purpose'

journey.

1. 3

I ndra K. Noo Massimo d'Amore

Chairman and CEO, PepsiCo CEO, PepsiCo Beverages Americas

2. 4

John Compton Eric Foss

CEO, PepsiCo Americas Foods CEO, Pepsi Beverages Company

5 6

Zein Abdalla Saad Abdul-Latif

CEO, PepsiCo Europe CEO, PepsiCo Asia, Middle East, Africa
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PepsiCo, Incorporated (NYSE:PEP) is a Fortune 500, American global corporation

headquartered in Purchase, Harrison, New York, with interests in the manufacturing,

marketing and distribution ofgrain-based snack foods, beverages, and other products.

PepsiCo was formed in 1965 with the merger of thePepsi-Cola Company andFrito-Lay,

Inc. PepsiCo has since expanded from its namesake productPepsi to a broader range

of food and beverage brands, the largest of which include an acquisition ofTropicana in

1998 and a merger withQuaker Oats in 2001 - which added theGatorade brand to its

portfolio as well.

As of 2009, 19 of PepsiCo's product lines generated retail sales of more than $1 billion

each,[4]and the companys products were distributed across more than 200 countries,

resulting in annualnet revenues of $43.3 billion. Based on net revenue, PepsiCo is the

second largest food & beverage business in the world.[5]Within North America, PepsiCo

is ranked (by net revenue) as the largest food and beverage business.

Indra Krishnamurthy Nooyi has been the chief executive of PepsiCo since 2006, and the

company employed approximately 285,000 people worldwide as of 2010.

[6]

Thecompanys beverage distribution and bottling is conducted by PepsiCo as well as by

licensed bottlers in certain regions.[7]PepsiCo is aSIC 2080 (beverage) company.
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History:

Origins

The recipe for Pepsi, the soft drink, was first developed in the 1890s by a New Bern,

North Carolina pharmacist and industrialist,Caleb Bradham,who named it "Pepsi-Cola"

in 1898. As the cola developed in popularity, he created the Pepsi-Cola Company in

1902 and registered a patent for his recipe in 1903. The Pepsi-Cola Company was first

incorporated in the state of Delaware in 1919. Ownership of this company traded hands

several times throughout the 1920s and 1930s, and in the early 1960s its product line

expanded with the creation ofDiet Pepsi andMountain Dew.

Separately, the Frito Company and H.W. Lay & Company - two American potato and

corn chip snack manufacturers - began working together in 1945 with a licensing

agreement allowing H.W. Lay to distributeFritos in the Southeastern United States. The

companies merged to become Frito-Lay, Inc. in 1961. In 1965, the Pepsi-Cola Company

merged with Frito-Lay, Inc. to become PepsiCo, Inc., the company it is known as at

present. At the time of its foundation, PepsiCo was incorporated in the state of

Delaware and headquartered inManhattan, New York.The company's headquarters

were relocated to its still-current location ofPurchase,New York in 1970, and in 1986

PepsiCo was reincorporated in the state ofNorth Carolina.

Acquisitions and divestments:

Between the late-1970s and the mid-1990s, PepsiCo expanded via acquisition of

businesses outside of its core focus of packaged food and beverage brands; however it

exited these non-core business lines largely in 1997, selling some, and spinning off

others into a new company named Tricon Global Restaurants, which later became

known asYum! Brands, Inc..PepsiCo also previously owned several other brands that

it later sold, in order to allow it to return focus to its primary snack food and beverage

lines, according to investment analysts reporting on the divestments in 1997. Brands
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formerly (no longer) owned by PepsiCo include:Pizza Hut,Taco Bell,KFC,Hot 'n Now,

East Side Mario's, D'Angelo Sandwich Shops, Chevys Fresh Mex, California Pizza

Kitchen, Stolichnaya (via licensed agreement), Wilson Sporting Goods and North

American Van Lines.

The divestments concluding in 2007 were followed by multiple large-scale acquisitions,

as PepsiCo began to extend its operations beyond soft drinks and snack foods into

other lines of foods and beverages. PepsiCo purchased the orange juice company

Tropicana Products in 1998, and merged withQuaker Oats Company in 2001, adding

with it the Gatorade sports drink line and other Quaker Oats brands such as Chewy

Granola Bars andAunt Jemima,among others.

In August 2009, PepsiCo made a $7 billion offer to acquire the two largest bottlers of its

products in North America: Pepsi Bottling Group and PepsiAmericas. In 2010 this

acquisition was completed, resulting in the formation of a newwholly owned subsidiary

of PepsiCo, Pepsi Beverages Company. Also in late 2010, the company made its

largest international acquisition when it purchased a majority stake in Wimm-Bill-Dann

Foods - a Russian food company which produces milk, yogurt, fruit juices and dairy

products.

Competition:

The Coca-Cola Company has historically been considered PepsiCos primary

competitor in the beverage market, and in December 2005, PepsiCo surpassed The

Coca-Cola Company in market value for the first time in 112 years since both

companies began to compete. In 2009, the Coca-Cola Company held a higher market

share in carbonated soft drink sales within the U.S. In the same year, PepsiCo

maintained a higher share of the U.S. refreshment beverage market, however, reflectingthe differences in product lines between the two companies. As a result of mergers,

acquisitions and partnerships pursued by PepsiCo in the 1990s and 2000s, its business

has shifted to include a broader product base, including foods, snacks and beverages.

The majority of PepsiCo's revenues no longer come from the production and sale of

carbonated soft drinks. Beverages accounted for less than 50 percent of its total
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revenue in 2009. In the same year, slightly more than 60 percent of PepsiCo's beverage

sales came from its primary non-carbonated brands, namelyGatorade andTropicana.

PepsiCo's Frito-Lay and Quaker Oats brands hold a significant share of the U.S. snack

food market, accounting for approximately 39 percent of U.S. snack food sales in 2009.

One of PepsiCo's primary competitors in the snack food market overall is Kraft Foods,

which in the same year held 11 percent of the U.S. snack market share.

Products and brands

Largest PepsiCo Brands (based on 2009 retail sales)

Brand

Pepsi

Mountain Dew

Lay's potato chips

Gatorade

Diet Pepsi

Tropicana beverages

7UP (outside U.S.)

Doritos tortilla chips

Lipton teas (PepsiCo/Unilever

partnership)

Quaker foods and snacks

Cheetos

Mirinda

Ruffles potato chips

Aquafina bottled water
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Pepsi Max

Tostitos tortilla chips

Sierra Mist

Fritatos corn chips

Walkers potato crisps

Source: 2009 Annual Report $0 $5b $10b $15b

$20b

PepsiCos product mix as of 2009 (based on worldwide net revenue) consists of 63

percent foods, and 37 percent beverages. On a worldwide basis, the companys current

products lines include several hundred brands that in 2009 were estimated to have

generated approximately $108 billion in cumulative annualretail sales.

The primary identifier of companies' main brands within the food and beverage industryare those which generate annual sales exceeding $1 billion, and 19 of PepsiCo's brandsmet this description as of 2009: Pepsi-Cola, Mountain Dew, Lay's, Gatorade, Tropicana,7Up, Doritos, Lipton Teas, Quaker Foods, Cheetos, Mirinda, Ruffles, Aquafina, PepsiMax, Tostitos, Sierra Mist, Fritos, and Walker's.

Areas of business :

The structure of PepsiCo's global operations has shifted multiple times in its history as a

result of international expansion, and as of 2010 it is separated into four main

divisions:[30]PepsiCo Americas Foods, PepsiCo Americas Beverages, PepsiCo Europe,

and PepsiCo Asia, Middle East and Africa. As of 2009, 71 percent of the companysnet

revenues came fromNorth andSouth America,16 percent fromEurope and 13 percent

fromAsia,theMiddle East andAfrica.

PepsiCo Americas Foods

PepsiCo Americas Foods consists of the companys food and snack operations in North

and South America. This operating division is further segmented into Frito-Lay North

America, Quaker Foods & Snacks, Sabritas, Gamesa andLatin America Foods. Food
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PepsiCo Americas Beverages:

This division contributed 23 percent of PepsiCos net revenue as of 2009,[29] and

involves the manufacture (and in some cases licensing), marketing and sales of both

carbonated and non-carbonated beverages in North, Central and South America.[38]The

main brands distributed under this division include Pepsi, Mountain Dew, Gatorade,

7UP (outside the U.S.), Tropicana Pure Premium orange juice, Sierra Mist, SoBe

Lifewater, Tropicana juice drinks, AMP Energy, Naked Juice and Izze.Aquafina, the

companys bottled water brand, is also marketed and licensed through PepsiCo

Americas Beverages.

PepsiCo also has formed partnerships with several beveragebrands it does not own, in

order to distribute these or market them with its own brands.[1]As of 2010, its

partnerships include:Starbucks (Frappuccino, DoubleShot and Iced Coffee), Unilevers

Lipton brand (Lipton Brisk and Lipton Iced Tea), andDole (licensed juices and drinks).

PepsiCo Europe:

PepsiCo began to expand its distribution inEurope in the 1980s, and in 2009 it made up

16 percent of the company's global net revenue. Unlike PepsiCos Americas businesssegments, both foods and beverages are manufactured and marketed under one

umbrella division in this region, known as PepsiCo Europe. The primary brands sold by

PepsiCo in Europe include Pepsi-Cola beverages, Frito-Lay snacks, Tropicana juices

and Quaker food products, as well as regional brands unique to Europe such as

Walkers crisps, Copella, Paw Ridge, Snack-a-Jack, Duyvis and others. PepsiCo also

distributes the soft drink 7UP in Europe via license agreement. epsiCo's European

presence expanded with its acquisition of Russian juice and dairy product brand Wimm-

Bill-Dann Foods in December 2010.
http://en.wikipedia.org/wiki/PepsiCo#cite_note-annualrpt09-28http://en.wikipedia.org/wiki/PepsiCo#cite_note-annualrpt09-28http://en.wikipedia.org/wiki/PepsiCo#cite_note-annualrpt09-28http://en.wikipedia.org/wiki/Licensinghttp://en.wikipedia.org/wiki/PepsiCo#cite_note-pabgorham-37http://en.wikipedia.org/wiki/PepsiCo#cite_note-pabgorham-37http://en.wikipedia.org/wiki/PepsiCo#cite_note-pabgorham-37http://en.wikipedia.org/wiki/Pepsihttp://en.wikipedia.org/wiki/Mountain_Dewhttp://en.wikipedia.org/wiki/Gatoradehttp://en.wikipedia.org/wiki/7UPhttp://en.wikipedia.org/wiki/Tropicana_Productshttp://en.wikipedia.org/wiki/Sierra_Misthttp://en.wikipedia.org/wiki/SoBehttp://en.wikipedia.org/wiki/AMP_Energyhttp://en.wikipedia.org/wiki/Naked_Juicehttp://en.wikipedia.org/wiki/Izzehttp://en.wikipedia.org/wiki/Aquafinahttp://en.wikipedia.org/wiki/Brandshttp://en.wikipedia.org/wiki/PepsiCo#cite_note-companyprofilereuters-0http://en.wikipedia.org/wiki/PepsiCo#cite_note-companyprofilereuters-0http://en.wikipedia.org/wiki/PepsiCo#cite_note-companyprofilereuters-0http://en.wikipedia.org/wiki/Starbuckshttp://en.wikipedia.org/wiki/Unileverhttp://en.wikipedia.org/wiki/Unileverhttp://en.wikipedia.org/wiki/Liptonhttp://en.wikipedia.org/wiki/Dolehttp://en.wikipedia.org/wiki/Europehttp://en.wikipedia.org/wiki/Walkers_crispshttp://en.wikipedia.org/wiki/Copellahttp://en.wikipedia.org/wiki/Duyvishttp://en.wikipedia.org/wiki/Duyvishttp://en.wikipedia.org/wiki/Copellahttp://en.wikipedia.org/wiki/Walkers_crispshttp://en.wikipedia.org/wiki/Europehttp://en.wikipedia.org/wiki/Dolehttp://en.wikipedia.org/wiki/Liptonhttp://en.wikipedia.org/wiki/Unileverhttp://en.wikipedia.org/wiki/Starbuckshttp://en.wikipedia.org/wiki/PepsiCo#cite_note-companyprofilereuters-0http://en.wikipedia.org/wiki/Brandshttp://en.wikipedia.org/wiki/Aquafinahttp://en.wikipedia.org/wiki/Izzehttp://en.wikipedia.org/wiki/Naked_Juicehttp://en.wikipedia.org/wiki/AMP_Energyhttp://en.wikipedia.org/wiki/SoBehttp://en.wikipedia.org/wiki/Sierra_Misthttp://en.wikipedia.org/wiki/Tropicana_Productshttp://en.wikipedia.org/wiki/7UPhttp://en.wikipedia.org/wiki/Gatoradehttp://en.wikipedia.org/wiki/Mountain_Dewhttp://en.wikipedia.org/wiki/Pepsihttp://en.wikipedia.org/wiki/PepsiCo#cite_note-pabgorham-37http://en.wikipedia.org/wiki/Licensinghttp://en.wikipedia.org/wiki/PepsiCo#cite_note-annualrpt09-28


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PepsiCo Asia, Middle East & Africa :

The most recently created operating division of PepsiCo covers Asia, theMiddle East

and Africa In addition to the production and sales of several worldwide Pepsi-Cola,

Quaker Foods and Frito-Lay beverage and food product lines (including Pepsi and

Doritos), this segment of PepsiCos business markets regional brands such as Mirinda,

Kurkure andRed Rock Deli,among others. While PepsiCo owns its own manufacturing

and distribution facilities in certain parts of these regions, more of this production is

conducted via alternate means such aslicensing (which it does with Aquafina), contract

manufacturing, joint ventures and affiliate operations. PepsiCos businesses in these

regions, as of 2009, contributed 13 percent to the companysnet revenue worldwide.

Corporate governance:

Headquartered inPurchase,New York,with research and development headquarters in

Valhalla, New York, PepsiCos Chairman and CEO is Indra Nooyi.[40] The board of

directors is composed of eleven outside directors as of 2010, including Ray Lee Hunt,

Shona L. Brown, Victor Dzau, Arthur C. Martinez, Sharon Percy Rockefeller, Daniel

Vasella, Dina Dublon, Ian M. Cook, Alberto Ibargen, James J. Schiro and Lloyd G.

Trotter. Former top executives at PepsiCo includeSteven Reinemund,Roger Enrico,D.

Wayne Calloway,John Sculley,Michael H. Jordan,Donald M. Kendall,Christopher A.

Sinclair andAlfred Steele.

On October 1, 2006, former Chief Financial Officer and PresidentIndra Nooyi replaced

Steve Reinemund as Chief Executive Officer. Nooyi remained as the corporation's

president, and became Chairman of the Board in May 2007, later (in 2010) being

named #1 onFortune's list of the "50 Most Powerful Women" and #6 on Forbes'list of

the "World's 100 Most Powerful Women". PepsiCo received a 100 percent rating on the

Corporate Equality Indexreleased by the LGBT-advocate group Human Rights

Campaign starting in 2004, the third year of the report.
http://en.wikipedia.org/wiki/Asiahttp://en.wikipedia.org/wiki/Middle_Easthttp://en.wikipedia.org/wiki/Africahttp://en.wikipedia.org/wiki/Mirindahttp://en.wikipedia.org/wiki/Kurkurehttp://en.wikipedia.org/wiki/The_Smith%27s_Snackfood_Companyhttp://en.wikipedia.org/wiki/Licensinghttp://en.wikipedia.org/wiki/Joint_venturehttp://en.wikipedia.org/wiki/Affiliatehttp://en.wikipedia.org/wiki/Net_revenuehttp://en.wikipedia.org/wiki/Net_revenuehttp://en.wikipedia.org/wiki/Purchase,_New_Yorkhttp://en.wikipedia.org/wiki/New_Yorkhttp://en.wikipedia.org/wiki/Valhalla,_New_Yorkhttp://en.wikipedia.org/wiki/New_Yorkhttp://en.wikipedia.org/wiki/New_Yorkhttp://en.wikipedia.org/wiki/Indra_Nooyihttp://en.wikipedia.org/wiki/PepsiCo#cite_note-morris1-39http://en.wikipedia.org/wiki/PepsiCo#cite_note-morris1-39http://en.wikipedia.org/wiki/PepsiCo#cite_note-morris1-39http://en.wikipedia.org/wiki/Board_of_directorshttp://en.wikipedia.org/wiki/Board_of_directorshttp://en.wikipedia.org/wiki/Ray_Lee_Hunthttp://en.wikipedia.org/wiki/Victor_Dzauhttp://en.wikipedia.org/wiki/Sharon_Percy_Rockefellerhttp://en.wikipedia.org/wiki/Daniel_Vasellahttp://en.wikipedia.org/wiki/Daniel_Vasellahttp://en.wikipedia.org/wiki/Dina_Dublonhttp://en.wikipedia.org/wiki/Alberto_Ibarg%C3%BCenhttp://en.wikipedia.org/wiki/Steven_Reinemundhttp://en.wikipedia.org/wiki/Roger_Enricohttp://en.wikipedia.org/wiki/D._Wayne_Callowayhttp://en.wikipedia.org/wiki/D._Wayne_Callowayhttp://en.wikipedia.org/wiki/John_Sculleyhttp://en.wikipedia.org/wiki/Michael_H._Jordanhttp://en.wikipedia.org/wiki/Donald_M._Kendallhttp://en.wikipedia.org/wiki/Christopher_A._Sinclairhttp://en.wikipedia.org/wiki/Christopher_A._Sinclairhttp://en.wikipedia.org/wiki/Alfred_Steelehttp://en.wikipedia.org/wiki/Indra_Nooyihttp://en.wikipedia.org/wiki/Steve_Reinemundhttp://en.wikipedia.org/wiki/Chair_%28official%29http://en.wikipedia.org/wiki/Fortune_Magazinehttp://en.wikipedia.org/wiki/Forbes_Magazinehttp://en.wikipedia.org/wiki/Corporate_Equality_Indexhttp://en.wikipedia.org/wiki/LGBThttp://en.wikipedia.org/wiki/Human_Rights_Campaignhttp://en.wikipedia.org/wiki/Human_Rights_Campaignhttp://en.wikipedia.org/wiki/Human_Rights_Campaignhttp://en.wikipedia.org/wiki/Human_Rights_Campaignhttp://en.wikipedia.org/wiki/LGBThttp://en.wikipedia.org/wiki/Corporate_Equality_Indexhttp://en.wikipedia.org/wiki/Forbes_Magazinehttp://en.wikipedia.org/wiki/Fortune_Magazinehttp://en.wikipedia.org/wiki/Chair_%28official%29http://en.wikipedia.org/wiki/Steve_Reinemundhttp://en.wikipedia.org/wiki/Indra_Nooyihttp://en.wikipedia.org/wiki/Alfred_Steelehttp://en.wikipedia.org/wiki/Christopher_A._Sinclairhttp://en.wikipedia.org/wiki/Christopher_A._Sinclairhttp://en.wikipedia.org/wiki/Donald_M._Kendallhttp://en.wikipedia.org/wiki/Michael_H._Jordanhttp://en.wikipedia.org/wiki/John_Sculleyhttp://en.wikipedia.org/wiki/D._Wayne_Callowayhttp://en.wikipedia.org/wiki/D._Wayne_Callowayhttp://en.wikipedia.org/wiki/Roger_Enricohttp://en.wikipedia.org/wiki/Steven_Reinemundhttp://en.wikipedia.org/wiki/Alberto_Ibarg%C3%BCenhttp://en.wikipedia.org/wiki/Dina_Dublonhttp://en.wikipedia.org/wiki/Daniel_Vasellahttp://en.wikipedia.org/wiki/Daniel_Vasellahttp://en.wikipedia.org/wiki/Sharon_Percy_Rockefellerhttp://en.wikipedia.org/wiki/Victor_Dzauhttp://en.wikipedia.org/wiki/Ray_Lee_Hunthttp://en.wikipedia.org/wiki/Board_of_directorshttp://en.wikipedia.org/wiki/Board_of_directorshttp://en.wikipedia.org/wiki/PepsiCo#cite_note-morris1-39http://en.wikipedia.org/wiki/Indra_Nooyihttp://en.wikipedia.org/wiki/New_Yorkhttp://en.wikipedia.org/wiki/Valhalla,_New_Yorkhttp://en.wikipedia.org/wiki/New_Yorkhttp://en.wikipedia.org/wiki/Purchase,_New_Yorkhttp://en.wikipedia.org/wiki/Net_revenuehttp://en.wikipedia.org/wiki/Affiliatehttp://en.wikipedia.org/wiki/Joint_venturehttp://en.wikipedia.org/wiki/Licensinghttp://en.wikipedia.org/wiki/The_Smith%27s_Snackfood_Companyhttp://en.wikipedia.org/wiki/Kurkurehttp://en.wikipedia.org/wiki/Mirindahttp://en.wikipedia.org/wiki/Africahttp://en.wikipedia.org/wiki/Middle_Easthttp://en.wikipedia.org/wiki/Asia


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Headquarters

PepsiCo headquarters

The PepsiCo headquarters are located inPurchase,Harrison,New York.It was one of

the last architectural works by Edward Durell Stone. It consists of seven three story

buildings. Each building is connected to its neighbor through a corner. The property

includes a sculpture garden with 45 sculptures. Works include those of Alexander

Calder,Henry Moore,andAuguste Rodin.Westchester Magazine stated "The buildings

square blocks rise from the ground into low, inverted ziggurats, with each of the three

floors having strips of dark windows; pat

impact of celebrity endorsement of pepsi

Documents