Fin/370 Pepsico Essay
Strategic Initiative
Learning Team B:
University of Phoenix
FIN/370
Stephen Beadnell
August 26, 2013
PepsiCo has implemented a very sound strategic initiative plan, by doing so PepsiCo has been able to develop and expand its company even further and will continue to do through the following methods. To ensure a sound strategic plan PepsiCo has implemented a strategic initiative plan will include thorough planning based of factors such as the PepsiCo’s annual report. The initiative will carefully view how the strategic plan affects the organizations financial planning. The plan will monitor how it will affect costs, and sales as well as the risks associated with the plan.
Pepsi like many companies needs to grow to continue to make money. This is a broad statement and works the same for every business operating in any market. Pepsi has recognized this need and has come up with a few initiatives to make this happen. Pepsi decided that the best way to make their company stronger was to build up their current brands and make their distribution practices more streamline and economic. Pepsi has dedicated more than $500 million dollars for this purpose and plans to continue to report positive growth because of this initiative. The plan is to increase the marketing in North America and make the already iconic beverages more of a household name. The thinking behind this is that if the products are in the consumers face, they will be more likely to purchase the products Pepsi offers ensuring positive growth for the shareholders. Although Pepsi has decided to back the most known brands, Pepsi will still continue to bring new snacks and beverages to the market because different factors affect the consumption of the already strong branded products. Because upper level management knows that consumer wants and tastes play a large role in how the public buys snacks, Pepsi has committed to make changes to respond to customer wants and changing tastes in different areas.
Learning Team B:
University of Phoenix
FIN/370
Stephen Beadnell
August 26, 2013
PepsiCo has implemented a very sound strategic initiative plan, by doing so PepsiCo has been able to develop and expand its company even further and will continue to do through the following methods. To ensure a sound strategic plan PepsiCo has implemented a strategic initiative plan will include thorough planning based of factors such as the PepsiCo’s annual report. The initiative will carefully view how the strategic plan affects the organizations financial planning. The plan will monitor how it will affect costs, and sales as well as the risks associated with the plan.
Pepsi like many companies needs to grow to continue to make money. This is a broad statement and works the same for every business operating in any market. Pepsi has recognized this need and has come up with a few initiatives to make this happen. Pepsi decided that the best way to make their company stronger was to build up their current brands and make their distribution practices more streamline and economic. Pepsi has dedicated more than $500 million dollars for this purpose and plans to continue to report positive growth because of this initiative. The plan is to increase the marketing in North America and make the already iconic beverages more of a household name. The thinking behind this is that if the products are in the consumers face, they will be more likely to purchase the products Pepsi offers ensuring positive growth for the shareholders. Although Pepsi has decided to back the most known brands, Pepsi will still continue to bring new snacks and beverages to the market because different factors affect the consumption of the already strong branded products. Because upper level management knows that consumer wants and tastes play a large role in how the public buys snacks, Pepsi has committed to make changes to respond to customer wants and changing tastes in different areas.
References: PepsiCo, (2012). Pepsico announces strategic investments to drive growth. Retrieved from http://www.pepsico.com/PressRelease/PepsiCo-Announces-Strategic-Investments-to-Drive-Growth02092012.html PepsiCo, (2012). Our business risks. Retrieved from http://www.pepsico.com/annual10/financials/mda/our-business-risks.htm. PepsiCo, (2012). Pepsico announces strategic investments to drive growth. Retrieved from http://www.pepsico.com/PressRelease/PepsiCo-Announces-Strategic-Investments-to-Drive-Growth02092012.html PepsiCo Announces Strategic Investments to Drive Growth Retrieved from: http://www.pepsico.com/PressRelease/PepsiCo-Announces-Strategic-Investments-to-Drive-Growth02092012.html