Presented By: Abdul Basit Nabeel Haroon Najamussaqib

An Introduction and an Overview

PEPSI

 The World Leader in Foods and Beverages Available in nearly 200 countries across the globe Employer of over 600,000 people around the world Has an average Revenue of around $25 Billion

INTRODUCTION

 Invented in 1890
Created by Caleb Bradham, a Pharmacist

Introduced in 1891 as Brads Drink

Started Sale from his own home

Renamed as Pepsi Cola in 1898

Due to
Large Demand Possible similarity of characteristics to digestive enzyme pepsin Possible presence of kola nuts in the recipe

Pepsi Cola Company Incorporated in 1902

HISTORY

1890: Pepsi is invented and introduced as Brads Drink

1905: Pepsis first logo Change

1923: Pepsi goes bankrupt due to sugar price hike

1957: 1940: Pepsis Third Logo Miranda and Teem are introduced Change

1964: Diet Pepsi is Introduced

1970: Pepsi sales reach $1 billion mark and Pepsi introduces Plastic Bottles

1902: Pepsi Cola Company is established

1906: Pepsis second logo Change boosts up Sales

1934: Pepsi begins selling 12 ounce bottles for 5 cents,

1950: Pepsi updates its logo again

1962: Pepsis logo is updated again

1965: Mountain Dew is Introduced

HISTORY

1974: Pepsi becomes first US product to be produced and sold in former Soviet Union

1985: Pepsi becomes available in 150 countries

1991: Pepsis Changes Logo again

2000: Pepsi launches a fruit drink line of fruit flavored drinks

2008: Pepsi updates its logo again to the current one

1973: Pepsi updates the logo again

1976: Have a Pepsi Day! Campaign started

1986: Pepsi purchases 7up International

1998: Pepsi celebrates its century and logo is again updated

2003: Pepsis logo is updated again

HISTORY

 Pepsi made several Changes to their Logo

According to the changes in generations To help promote Sales

To keep up with the new trend

Pepsi has held twelve logos till date

The Logos were initiated in the years
1898 1950 1905 1962 1906 1973 1940 1991

1998

2003

2008

LOGO HISTORY

LOGO HISTORY

 Pepsi Currently Controls Five Major Brands

Pepsi
Handles various refreshments and beverages

Tropicana
Related to Fruit Juices and Fruit Juice Drinks

Frito Lay
Works with Snacks and Chips

Quaker
Produces Cereals

Gatorade
Involved in the Production of Sports Drinks

INTERNATIONAL PRODUCT LIST

PEPSI
Pepsi Pepsi Max Pepsi One Caffeine Free Pepsi Sierra Mist Natural Wild Cherry Pepsi AMP Energy Aquafina Mountain Dew Lipton Iced Tea Lemonade

TROPICANA
Tropicana Pure Premium juices Trop50 Tropicana Twister juice drinks Dole Sensations Tropicana 100 juices Frui'Vita juices Tropicana Touche de Lai Copella juices Loza juices and nectars Tropicana Season's Best juices and juice drinks

FRITO LAY
Lays Potato Chips Doritos Tortilla Chips Tostitos Tortilla Chips Frito-Lay nuts Cheetos Shots Quavers Snacks Walkers potato crisps Maui Style potato chips Niknaks cheese snacks Hamka's snacks

QUAKER
Cap'n Crunch cereal Rice-A-Roni side dishes Pasta Roni side dishes Puffed Wheat Quaker rice cakes Quaker grits Quaker Oats Quaker cereal bars Sugar Puffs cereal Quaker oat flour

GATORADE
Gatorade Prime 01 Gatorade Perform 02 G2 Perform 02 Gatorade Recover 03

INTERNATIONAL PRODUCT LIST

 Pepsi reached the $1 billion mark in 1970

Since then it has grown at an amazing rate
30 years after reaching the 1 billion mark, Pepsi now has annual sales of over $57 Billion

SALES REVENUE

Sales Revenue
$70,000.00

$60,000.00
$50,000.00 $40,000.00

$30,000.00
$20,000.00 $10,000.00 $0.00 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

SALES REVENUE

 PepsiCo is the second largest food and beverage company in the world.

It manufactures markets and sells a variety of snacks, carbonated and noncarbonated beverages
In 2006, PepsiCo acquired Izze Beverage Company Naked Juice

Stacys Pita Chip Company in the US,

Star Foods in Poland, and Bluebird Foods in New Zealand. Companys volume grew by 5.5% in 2006 compared with 2005 In 2007,it was planned to expand the market share through further acquisition and joint ventures. In 2009, Revenue was 43.2 Billion US$ and Net income was 8.04 Billion US$.

Current Position

FOOD SEGMENT
Kurkure Lays Cheetos

BEVERAGES
Pepsi Miranda 7up Pepsi Max Aquafina Slice Nimbooz Tropicana

PEPSI & ITS BRANDS

BEVERAGE PRODUCTS

 Segmentation based upon the demographic & psychographic needs

AGE GENDER TASTE & PREFERENCES

Targeting the market of the urban & rural Pakistan Positioning & trying to create an image or identity in the minds of their target market for its product or brand or organization.

SEGMENTATION, TAGRETING & POSITIONING

THE MARKETING MIX-4 PS

 Product
All the soft drinks & the food products in the industry

Price
The price of the products with respect to the Pakistani scenario

Place
The urban & rural markets where the products have to be marketed

Promotion
The effective use of ads for boosting up the sales

4PS IN PEPSICO.

Strengths
Company Image Quality Conscious Good Relation with Franchise Market Share Large No. of diversity businesses Sponsorships

SWOT Analysis of PepsiCo.

Weaknesses
Decline in taste Political Franchises Short term Approach Weak Distribution Low Consumer Knowledge Lack of Soft Drink Financial Downfall

SWOT Analysis of PepsiCo.

15,000

13,591

13,796

13,219

13,000
11,000 9,000

7,000
5,000 2007 2008 2009

Profit(Comparative)

Opportunities
Increase Population Changing Social Trend

Diversification
Distribution of Snack Foods

SWOT Analysis of PepsiCo.

Threats
Imitators

Government Regulation
Non-Carbonated and other Competitors Substitutes

Corporations Shortage Problem

Threat of Labor Strikes

SWOT Analysis of PepsiCo.

Promotion of their products through Effecting Marketing and Advertising strategies. Improving production efficiencies through optimal outsourcing of

production and integration.

Produce a range of Healthy, i.e. Sugar free or diet Alternatives of different brands. The products should bear the brand name in the advertisements A better & an efficient survey network is to be established in order to penetrate the market

RECOMMENDATIONS

 THE HAIDIRI BEVERAGES GROUP: was set up in 1979 Is Pepsi's sole selling agent based in the CDA Industrial Triangle, Kahuta Road, Islamabad. It manages the supply for several: wholesalers retailers restaurants hotels other such food outlets PRIMARY FUNCTION: Is to conduct a systematic manufacturing and supply of the product without any flaws.

SUPPLY CHAIN MANAGEMENT PROCESS IN PAKISTAN

 SIGNIFICANCE: Backed by a powerful competitive strategy

empowered by some effective supply chain strategies, the group has been managing an effective supply chain through out the region.

It has set up a sophisticated manufacturing and storage plant in Rawalpindi with multiple production units and huge production capacity.
PEPSI CO. SUPPLY CHAIN MANAGEMENT PROCESS IN PAKISTAN

 OBJECTIVES: The objective of the supply chain should be to maximize the overall value generated.
The value of a supply chain generates is the difference between what the final product is worth to the customer and the costs the supply chain incurs in filling the customers request.

PEPSI CO. SUPPLY CHAIN MANAGEMENT PROCESS IN PAKISTAN

 The company makes long term decisions in regards to : location and capacities of production warehousing facilities, the products to be manufactured or stored at various locations, the modes of transportation to be made, information systems
The supply chain design is very expensive to alter on short notice and is against the companys strategic objectives

SUPPLY CHAIN STRATEGY OR DESIGN

 CORE COMPETENCIES In order to ensure a good supply chain strategy: Haidri Beverages plans two years in advance.
The company also decides where production plants are to be placed.

The production process is 65% automated.

The company has to provide and manage transport for the delivery of products

SUPPLY CHAIN STRATEGY OR DESIGN

 It also provides the arrangement of third party services for the procurement of products Material planning and sourcing is carried in which Sources of supply of raw material both local and foreign are identified Sales forecasting and production planning depends on the capacity of their organization with respect to production, storage of raw material packaging and finished goods

SUPPLY CHAIN STRATEGY OR DESIGN

RELATIONS WITH THE SUPPLIERS AND DISTRIBUTORS:

Haidri has a procurement budget of Rs 2.9 billion Approved suppliers cannot go beyond the budget. The supplier is audited by the most cost efficient quality control department.

Distributors are also decided by the company, keeping in mind past performances. Recently it has increased its distribution capacity

SUPPLY CHAIN STRATEGY OR DESIGN

 GOAL: It is to maximize the supply chain surplus.

PLANNING PHASE: Companies start the planning phase with a forecast for the coming year of demand.

FORECASTING: Pepsi carries out sales forecasting for local demand as well as for export purposes to countries such as Afghanistan.

SUPPLY CHAIN PLANNING

 SALES TARGET: The annual sales target is conveyed to the supply chain department of Haidri Beverages. SCHEDULING: Planning is carried out on a monthly, weekly and daily basis at Haidri.

SUPPLY CHAIN PLANNING

 CUSTOMER CENTERED:

Company makes decision regarding individual customer orders. The goal of supply chain operations is to handle incoming customer orders in the best possible manner. PROCEDURE: Firms allocate inventory or production to individual

orders set a date that an order is to be filled generate pick lists at a warehouse allocate to shipping set delivery

SUPPLY CHAIN OPERATION

 INTEGRATED OPERATIONS: At Haidri, the production, supply chain and the sales departments get together to decide the inventory usually on a weekly basis

SUPPLY CHAIN OPERATION