This paper compares the strategy of two multinational companies, Coca-Cola company and PepsiCo Inc. The article is based on research conducted using information available on the company website such as their annual statement and shareholder proxy statement. This paper then, compare and contrast the strengths, weaknesses, opportunities, and threats on their brand, pricing, advertising, and presence. It further examines the compensation package that supports their growth strategy. Both the companies have been successful, and while Coca-Cola has the highest band equity PepsiCo is showing considerable growth, due to its product mix, healthy focus and its strategy from moving away from sugary drinks.
The Coca-Cola Company is the world’s
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It includes, the logo, the perception in the mind of customer. The brand`s power is derived from the name recognition across the world which results in higher sales volume and profit margins. Brand awareness is so huge that people buy products for the brand rather than the product itself. This has also defined the marketing techniques for the company. Coca-Cola`s marketing is focused more on the brand itself rather than the product it sells. This awareness is created by various marketing communications, such as advertisement and packaging. The company marketing expenses as reported on their 2017 annual report stated, “The aggregate amount of funds provided by our Company to bottlers, resellers or other customers of our Company’s products, principally for participation in promotional and marketing programs, was $6.2 billion in 2017” (p.7).
Since Coca-Cola sells many brands, it segments products for specific group. Coca Cola adapts its marketing strategy by developing new products that addresses new segments. Marketing strategies include mass audience as well as niche marketing for certain products to drive sales in the competitive market. Its Cola is popular worldwide for mass market, but it also created Diet coke for niche segment for people who are more health
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According to PepsiCo`s Proxy Statement (2017), “We provide market-competitive programs that enable PepsiCo to attract and retain highly talented individuals with pay directly linked to the achievement of performance goals designed to foster the creation of sustainable long-term shareholder value” (p. 40). They also have detailed their compensation that aligns perfectly with their strategic priorities such as, innovation, brand building, execution, productivity. Performance with purpose and cash return to shareholders, which shows their commitment to attracting the best
Coca-Cola has been around for over to her New Year's, starting in 1888. This beverage has been an American favorite since it came out. This shows that even though Coke has a lot of quantity they still deliver at continuous quantity (World of Coca-Cola). How did Coca-Cola appeal to its consumers? Out of logos pathos and ethos Coke showed using more pathos when advertising their product with examples of their open happiness and the snow bear commercials.
ECONOMICS PROJECT Name: Saatwic Malhotra Course: BBA.LLB (H) Section: A Enrollment Number: 7058 ACKNOWLEDGEMENT I express my sincere thanks to Mrs. Tanu Sachdeva, my economics teacher who guided me throughout the project and also gave me valuable suggestions and guidance for completing the project. She helped me to understand the issues involved in the project making besides effectively presenting it. My project has been a success because of her. PEPSICO • PepsiCo, Inc. is an American multinational food, snack, and beverage corporation headquartered in Purchase, New York. PepsiCo has interests in the manufacturing, marketing, and distribution of grain-based snack foods, beverages, and other products.
The more a product is found desirable the more likely will the person buy it. Effective advertising and positioning attracts customers. The brand equity of Coca cola is very high and it has established an emotional connect with consumers. Coca Colas brand slogan “Open happiness” has successfully positioned the brand as a global icon of happiness. Such connects are very important in order to persuade a consumer into buying the brand.
QUESTION NO: 1 Contrast Coke and McDonald’s global branding strategies. How are they similar and how are they different? Why are they so well-respected?
In the beginning, McDonalds was run by two brothers named Richard and Maurice McDonald who not only owned but ran a hamburger restaurant in San Bernardino ,California in the 1950’s. Ray Kroc saw the potential in McDonalds and had ideas to expand it globally so he founded the McDonalds Corporation in 1955. Today, there are more than 33,000 McDonald’s restaurants globally in 119 countries (REFERENCE/web). McDonald’s applies Scientific Management by Frederick Taylor in their management. Frederick Taylor proposed four principles in scientific management that is ‘‘ the replacement of rule of thumb methods for determining each element of a worker’s job with scientific determination, the scientific selection and training of workers, the cooperation
PEPSICO (Pakistan) Business Policy Final Term Project Submitted to: Professor Fareedy Date: 29/06/2015 Submitted by: Zain Anjum 13P01410 MBA II SEC A LAHORE SCHOOL OF ECONOMICS ACKNOWLEDGEMENT Thanks to my respected professors, parents and friends who always supported me throughout tough times.
International marketing strategy is a combination of marketing principle that could be used to formulate a marketing strategy for specific products and services within one or more countries to extend or internationalise the company. The research paper is based on the international marketing strategy of Nike Inc. (a Sports Apparel retail company working internationally) to help the management of the company shortlist and identify potential market for them to expand their business. It utilised macro and micro analysis of the sports retail market to identify the potentials of the industry that would help them to increase their business performance in the international marketplace. Macro Factors PESTLE It is noted that PESTLE is one of the most important and effective that often used by organisations in order to assess different macro factors that influence their activities in a negative manner (Li, et al., 2014).
Coca-Cola Company is one of the premier global consumer brands. The company has been around for a century and has been growing constantly. Today Coca-Cola manufactures more than 500 sparkling and still brands that are sold in more than 200 countries around the world. Coca-Cola’s main competitor is Pepsi. Therefore,
This aims at developing a deeper consumer desire for the brand, thus giving people more reason to purchase Coke- Cola products instead of competing brands. This is the essence of differentiation. Coca-Cola having an 'action orientation', instead of waiting for change to happen it is at the leading edge, driving action forward. This product differentiation strategy has created global value, brand loyalty, non-price competitor as well as no perceived
Among them, coca cola’s products are generally made available through intensive distribution. Intensive distribution for the newest product has allowed to maximize contact with customers and become very successful. It usually goes with heavy promotion, lower prices and large target market. Coca cola’s product are mainly distributed in a wide variety of locations including corner stores, convenience stores, restaurants, hotels, shopping mall petrol station and many, many
Also, the company continue to focus on disciplined revenue management, such as maximising the effectiveness of our promotions. The company and their partner involve in manufactures, markets and sells their products. Those combination of the Britvic and PepsiCo brands gives the most
In the carbonated soft drinks industry, Coke Cola and Pepsi Co are the biggest players in the market for aerated beverages. Both the companies have been competing strongly against each other for decades. The market is dominated by these two industry leaders with a total market share of 72%; Coke’s market share is 42% and Pepsi’s 30%. This is known as an oligopoly market; where there are few large firms competing with each other in the industry. Since both the company’s market share so large, the market is very close to a duopoly (other players having a very small impact on the market).
The Company’s beverage products comprises of bottled and canned soft drinks as well as concentrates, syrups and not-ready-to-drink powder products. In addition to this, it also produces and markets sports drinks, tea and coffee. The Coca- Cola
Founded in 1965, the company is standing strong till now and it too consist of brands that are over 100 years old. With merger and acquisition of other companies, the company brands under it such as Frito-Lay, Tropicana, Gatorade and Quaker Oats. Ever since, the company has a staggering average retail sales amount of about $92 billion (USD). Being a premier producer and to supply convenient foods to the customers has always been the core focus of the company and because so, PepsiCo International always strive to thrive in its very own
Running Head: PEPSI COLA COMPANY 1 PEPSI COLA COMPANY 16 Strategic Plan of Pepsi Cola Company Jacqueline C. Tuncap American Military University BUSN 620: Strategic Management September 25, 2016 Executive summary This paper analyzing the Pepsi Cola Company, its strategic plan and the products the company provides. The company is known as one of the top competitors in the market. We will go through and try to understand the separate areas within the company that collectively work together towards creating a successful company.