Pepsico 2010 Case Study

PepsiCo 2010 - till date:

With the continuing challenge of the difficult global macroeconomic environment in the

decades, PepsiCo has given strong operating performance that has kept them in the top tier in

the industry and they have generated significant operating cash flows as well.

• Net revenue grew 33 percent on a constant currency basis.

• $8 billion was returned to our shareholders through share repurchases and dividends.

• They have raised the annual dividend by 7 percent.

Became the second-largest food and beverage business in the world, and the largest food and

beverage business in North America and are increasingly global. More than 45 percent of the

revenue comes from outside the United States, with approximately 30

The fourth imperative is to build and expand the nutrition. With the acquisition of Wimm-

Bill-Dann, PepsiCo’s annual revenues from nutritious and functional foods have risen from

$10 billion to nearly $13 billion. With the Global Nutrition Group, PepsiCo retains the best of

the operating capability within each sector while centralizing the innovation and development

of the increasingly in-demand healthier, wholesome and tasty products.

The fifth imperative is to cherish PepsiCo associates.. To be a good employer is one of the

most important strategic decisions a company has to make. In this regard, Performance with

Purpose is an absolutely central part of the recruitment and retention processes. Many of the

new associates opts PepsiCo precisely because it is a company that respects them and

respects the causes that they care passionately about.

The sixth and final imperative is the sum totals of the other five. It is vital, in the end that

everything adds up to excellent financial performance. They have a laser-like attention on

being the best possible company, financially, that we can

Cross-cultural differences in various markets are taken into account when developing and

delivering PepsiCo marketing messages. For example, the marketing tagline of “Live for

Now” associated with Pepsi brand has been modified as “Yalla Now” and “Oh Yes Abhi” for

Middle East and Indian markets respectively taking into account cross-cultural differences

associated with these markets.

PepsiCo also focused on increasing core organic revenue. Core organic revenue can be

explained as a type of revenue that is achieved through increasing the volume of production

and sales. PepsiCo core organic revenues were increased by 5% during 2012 and the

company strategic level management is committed to further increase the levels of core

organic revenues through maintaining high quality standards and applying