This report will examine the stock performance of PepsiCo and P&G over the past ten years and the factors that lead to this performance.
Preliminary Conclusions and Recommendations
Proctor & Gamble continue a lagging trend approach to continued long term success. This company holds on to one of the most diversified portfolios in their industry. They boast a product line that exceeds 250 different items. This company that has survived since the 1830 's has walked through every historical financial calamity that the United States has suffered in the last 150 years. They have suffered some instability at the leadership level but have managed to remain competitive. There is substantial information leading the investor to believe that there will be significant downsizing in the near future. They have had some ups and downs in the market this year and in years past but as the visuals indicate they are swinging towards an upward trend. How far up remains to be seen (Procter & Gamble Co., 2007) P&G has allowed their company to get caught up in slow moving, and conservative ways. This held them back from expanding their products into other areas and countries. This has also kept them from taking advantage of modern tools like the Internet, to better market their products (Procter & Gamble, n.d.).
On the face it would appear that the trend favors PepsiCo, they have had an exceptional year in the market primarily predicated on their recent ventures in both the domestic and global markets. They have successfully diversified their product line in recent years and have been able to pass their competitors in the area of variety especially in their efforts to pass their major competitor Coca Cola. In addition the current leadership (Executive body) for Peps Cola has been in place and working together long enough at the helm to propel PepsiCo into the clear leader in their industry (Murry, B .PepsiCo, Inc, 2007). The
References: Carter, William: PepsiCo Financial visuals retrieved on September 15, 2007, from: http://finance.yahoo.com/q/bc?t=1y&s=PEP&l=on&z=m&q=l&c=proctor Proctor & Gamble visual and information retrieved on September 15, 2007 from: https://secure.wilink.com/asp/YAH1_order_complete_ENG.asp?session_ID=EC61B47B9B0344B5 PepsiCo Quarterly and Annual Reports. (2007). Retrieved on September 8, 2007, from http://phx.corporate-ir.net/phoenix.zhtml?c=78265&p=irol-reportsannual This link gives you information on PepsiCo common stock performance with charts. PepsiCo Stock Quote and Chart. (2007). Retrieved on September 8, 2007, from http://phx.corporate-ir.net/phoenix.zhtml?c=78265&p=irol-stockquote .This link gives information on PepsiCo product history and milestones PepsiCo 's History Timeline. (2007). Retrieved on September 8, 2007, from http://www.pepsico.com/PEP_Company/History/index.cfm This link gives the history of P&G brands and the company. Murry, B .PepsiCo, Inc. (2007). Retrieved on September 12, 2007, from http://www.hoovers.com/PepsiCo/--ID__11166--/free-co-factsheet.xhtml?cm_ven=PAID&cm_cat=GGL&cm_pla=TCH&cm_ite=pepsico