Opportunities For Pepsi: External Strategic Factors

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Opportunities for PepsiCo (External Strategic Factors) PepsiCo has opportunities for continued global growth. In this aspect of the SWOT analysis framework, external strategic factors that provide options for business improvement are identified. PepsiCo’s opportunities are as follows: 1. Business diversification 2. Market penetration in developing countries 3. Global alliances with complementary businesses PepsiCo has the opportunity to diversify its businesses, such as by acquiring a complementary firm that is not in the food and beverage industry. Another opportunity is for PepsiCo to increase its penetration in developing countries to generate more revenues from markets outside the Americas. In addition, PepsiCo can create alliances with…show more content…
The influence of the Coca-Cola Company is especially significant against PepsiCo. In addition, the healthy lifestyles trend is a threat against PepsiCo’s products, many of which are seen as unhealthful because of their sugar, salt, or fat content. Also, environmentalism threatens the company in how consumers negatively respond to product waste and lifecycle issues. This aspect of the SWOT analysis indicates that PepsiCo must reform its strategies to overcome the threats to business. 4 P’s Analysis Product in the marketing mix of Pepsi There are 2 main product types in which Pepsi is present in India. Beverages Soft drinks- 7Up, Duke’s, Mirinda, Mountain Dew, Nimbooz, Pepsi, Slice, Tropicana Sports Drink- Gatorade Food Products Snacks- Cheetos, Kurkure, Lays, Lehar, Uncle Chips. Breakfast- Quaker Oats. Thus, Pepsi, unlike its major competitor Coca cola, has expanded in the breakfast as well as snacks segment. Coca cola on the other hand is present only in the beverages section. The advantage of Pepsi’s snacks segment is that brands like Lays, Kurkure and Cheetos are in great demand. Quaker oats which is a recent addition is also increasing in demand. Thus the turnover resulting from the Food products is helping the bottom line of the company. Price in the marketing mix of Pepsi Pepsi is in an industry which is dominated by the two biggies – Coca cola and Pepsi. Thus the pricing of Pepsi is competitive. In a war between…show more content…
Pepsi uses all the media channels for its promotions. Along with ATL, pepsi is also present in BTL marketing. Furthermore, along with traditional media channels, Pepsi also uses trade promotions and sales promotions at point of purchase. Discounts and packaging are always being bundled to give the best combination and value to the customer to increase purchases as well as the brand equity. The bottomline is that Pepsi cannot exist without the proper promotions. This is because Pepsi belongs in the FMCG market, and in FMCG, you either perform or perish. The FMCG market is one of the toughest market for businesses. However, Pepsi is not only surviving, but it is thriving in the FMCG market. Thus, hoping that Pepsi keeps reinventing its marketing mix so that it remains in the top 2 category of soft

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