Pepsico Diversification Strategy
16 October 2012 Draft v1
Seitenzahlen einfügen, Inhaltsverzeichnis einfügen
Pepsico’s Diversification Strategy in 2008
Discussion material
16 October 2012
16 October 2012 Draft v1
Contents
Seitenzahlen einfügen
Sections 1 2 3 4 5 6 7 Project Team Our understanding of PepsiCo Market / Industry analysis Financial analysis Portfolio analysis Recommendations Q&A
1
16 October 2012 Draft v1
2.1 PepsiCo
Overview
Overview n n n n
Acquisitions n Formed in 1965: merger Pepsi-Cola Company & Frito-Lay Inc. America mulinational food & beverage corporation Headquartered in United States, NY Manufacturing marketing & distribution of: – grain-based snack foods – salty snacks – beverages
1980‘ & 1990s Mug root beer, 7up International Smartfood, Walker‘s Crisps, Smith‘s Crisps, Mexican cookie company, Gamesa & Sunchips Late-1970s – mid 1990s PepsiCo expanded via acquisition of businesses outside of its core focus of packaged food and beverage brands – 1977: Pizza-Hut – 1978: Taco Bell – 1986: Kentucky Fried Chicken
n
n n n
Expanded to broad range of food & beverage brands Organized in 4 different Business Units Many tuck-in acquisitions (companies all located in non-US) of in 2006 & 2007 It holds 285,000 employees New CEO in 2007: Indra Nooyi Strategic Realignment in 2008
Quick-service restaurants: – 1990: Hot-n-Now – 1992: California Pizza Kitchens – 1993: East Side Mario‘s, D‘Angelo Sandwich Shops, Chevy‘s n n n n
1997 Spin-off of the restaurants as independent traded company – 1997: Cracker Jack, – 1998: Tropicana, Smith‘s Snackfood – 2001: Quaker Oats (incl. Gatorade) – 2006: Stacy‘s bagel and pita chips, Izze carbonated beverages, Duyvis nuts, Star Foods à total: $ 522 million
Further acquisitions:
n
2007 Naked Juice fruit beverages, sandora juices, bluebird snacks, Penelopa nuts and seeds Joint venture with Strauss Group Total acquisition between 2005-2007 amounted
Seitenzahlen einfügen, Inhaltsverzeichnis einfügen
Pepsico’s Diversification Strategy in 2008
Discussion material
16 October 2012
16 October 2012 Draft v1
Contents
Seitenzahlen einfügen
Sections 1 2 3 4 5 6 7 Project Team Our understanding of PepsiCo Market / Industry analysis Financial analysis Portfolio analysis Recommendations Q&A
1
16 October 2012 Draft v1
2.1 PepsiCo
Overview
Overview n n n n
Acquisitions n Formed in 1965: merger Pepsi-Cola Company & Frito-Lay Inc. America mulinational food & beverage corporation Headquartered in United States, NY Manufacturing marketing & distribution of: – grain-based snack foods – salty snacks – beverages
1980‘ & 1990s Mug root beer, 7up International Smartfood, Walker‘s Crisps, Smith‘s Crisps, Mexican cookie company, Gamesa & Sunchips Late-1970s – mid 1990s PepsiCo expanded via acquisition of businesses outside of its core focus of packaged food and beverage brands – 1977: Pizza-Hut – 1978: Taco Bell – 1986: Kentucky Fried Chicken
n
n n n
Expanded to broad range of food & beverage brands Organized in 4 different Business Units Many tuck-in acquisitions (companies all located in non-US) of in 2006 & 2007 It holds 285,000 employees New CEO in 2007: Indra Nooyi Strategic Realignment in 2008
Quick-service restaurants: – 1990: Hot-n-Now – 1992: California Pizza Kitchens – 1993: East Side Mario‘s, D‘Angelo Sandwich Shops, Chevy‘s n n n n
1997 Spin-off of the restaurants as independent traded company – 1997: Cracker Jack, – 1998: Tropicana, Smith‘s Snackfood – 2001: Quaker Oats (incl. Gatorade) – 2006: Stacy‘s bagel and pita chips, Izze carbonated beverages, Duyvis nuts, Star Foods à total: $ 522 million
Further acquisitions:
n
2007 Naked Juice fruit beverages, sandora juices, bluebird snacks, Penelopa nuts and seeds Joint venture with Strauss Group Total acquisition between 2005-2007 amounted