Preview

Situation Analysis - Pepsi

Powerful Essays
Open Document
Open Document
6441 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Situation Analysis - Pepsi
10/Oct/2012 Author: Bin Liu | ID #: U1037223 |

Assignment # 2 | A Completed Analysis of Marketing Plan for Pepsi New Zealand |

Executive Summary
This paper presents a completed marketing plan/analysis for Pepsi in order to assist it regain its “second leader” position in the soft drink market in New Zealand. The first half of this paper shows the situation analysis of Pepsi. In particular, the internal analysis focuses on the power of suppliers, buyers, new entrants, and product substitutes. The results show that the bargaining power of suppliers and buyers are not great, threat from new entrants are negligible but significant from the substitutes. The external analysis focuses on the economic, regulatory and industrial environments. The analysis of economics suggests that both the income growth rate and inflation rate over the next 4 years for NZ is positive. The outcomes of regulatory analysis recommend that the company should perhaps not use plastic bottles as they are hard to be recycled. The industrial competitiveness analysis suggests that Pepsi should develop wider product range to differentiate its’ products from the Coca-Cola. Following the external analysis is the SWOT analysis. Results from the SWOT analysis are as follows. First, the age of target group is between 12 and 50; second, winder range product development is important to maintain existing customers and attracts new customers; third, PepsiCo should focus on less-developed and developing nations.

With the knowledge of the marketing situation of Pepsi, a detailed marketing plan and strategies are discussed in the 2nd half of this paper. The goal of this marketing analysis is to help Pepsi regain its “second-leader” position in the soft drink market. Without introducing a completely new product, we propose that Pepsi should 1focus on the advertisements (as the result from Pepsi challenge shows that the consumers cannot really distinguish between Coca-cola and Pepsi once the brand

You May Also Find These Documents Helpful

  • Best Essays

    Marketing Plan for Kickstart

    • 3527 Words
    • 15 Pages

    PepsiCo has world renown brand name, a reputation for solid brands and a deep and wide product line in the international and domestic markets. (Simon & Sullivan, 1993). With revenue of more than $66.5 billion, PepsiCo is a world-wide leader in the beverage industry (Bryson York, 2012; Watling, 1992). According to its annual report, the international brand, innovative capabilities, and strong distribution network define PepsiCo as a market leader and are its strengths (www.pepsico.com; Valentin, 2001). One of the strength identified for PepsiCo is its franchise system (www.pepsico.com). A consistent brand and advertising campaign coupled with a consistent marketing strategy for promoting its brands is also a strength. PepsiCo further has a strong global presence as it sponsors major sporting events (www.pepsico.com). It also has a focus on one of the most important customer trends, i.e., customer satisfaction (Finch, 2012; Valentin, 2001). PepsiCo is ahead of some of its main competitors, for instance Coca-Cola, on both the…

    • 3527 Words
    • 15 Pages
    Best Essays
  • Powerful Essays

    Pepsi Next

    • 1345 Words
    • 6 Pages

    The article considers the product launch of the Pepsi Next brand soft drink by beverage industry firm PepsiCo scheduled for the summer of 2011. The soft drink is a so-called mid-calorie soft drink sweetened with a blend of high-fructose corn syrup and artificial sweetener. The launch is considered in terms of PepsiCo's attempts to reverse a decline in the market share of its cola soft drinks.…

    • 1345 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Vitamin Water

    • 3034 Words
    • 13 Pages

    Titles Page # 1. Introduction 01 2. Mission and vision statement 01 3. Facts about company 02 4. Pepsi in Pakistan 04 5. Product in spot light 09 6. Market analysis of soft drink 10 7. Pakistani soft drink industry 13 8. Industrial SWOT analysis 14 9. External Environmental factors 16 10. Internal Environmental factors 21 11. Pre-marketing Mix 25 12. Marketing Mix strategies 27 13. Conclusion 39 14. Suggestions 40…

    • 3034 Words
    • 13 Pages
    Powerful Essays
  • Powerful Essays

    New Coke

    • 1958 Words
    • 8 Pages

    By 1977, Pepsi had actually pulled ahead of Coke in food store market share. (Schindler, 1992) Coke's lead had dropped from a better than two to one margin to a mere 4.9 percent lead by 1984. (Bastedo & Davis, 1993) Coke was clearly in danger of becoming the Number-Two soft drink. In April 1985, the management of Coca-Cola Co. announced its decision to change the flavour of the company's flagship brand. The events that followed from this decision, as well as the factors which led up to it, have been reviewed, discussed, and extensively analyzed in this report.…

    • 1958 Words
    • 8 Pages
    Powerful Essays
  • Better Essays

    Cola Wars Continue

    • 1342 Words
    • 6 Pages

    When it comes to soft drinks there are two top soft drink brands that come to mind, Coke and Pepsi. These two brands were invented in the 1800s and produced tasteful drinks that could be acquired at the nearest drinking fountain. The first drink produced by both companies, Coca-Cola by Coke and Pepsi-Cola by Pepsi, fought neck and neck from their early existence. Coke and Pepsi being competitors of each other from that day on went on to produce numerous of drinks that mirrored each other in some way over the next 100 years. In this case study that I extensively read I became more familiarized with both brands and more knowledgeable of their backgrounds and competiveness amongst each other. The primary focus is how the brands were conducting business in the 1990s. The following two questions have been posed and I will answer them with supporting information from the reading itself:…

    • 1342 Words
    • 6 Pages
    Better Essays
  • Better Essays

    MGT330 Final Paper

    • 2291 Words
    • 10 Pages

    The new age brings a challenge to Coca-Cola to find a way to reinvent and rebrand itself. With Mary Minnick as the new head of marketing, Coca-Cola is creating a new and fresh image through marketing and product development efforts. In this paper, I will describe and evaluate Coca-Cola’s marketing and innovation strategy transformation designed to position the company on the cutting edge of consumer trends, and developing healthy beverages, examine the underlying logic of Minnick’s emphasis on understanding why people consume beverages, discuss the underlying local of the non-carb drinks strategy, and compare and contrast the performance of Coca-Cola and Pepsi.…

    • 2291 Words
    • 10 Pages
    Better Essays
  • Satisfactory Essays

    Cory Wells Coke And Pepsi

    • 380 Words
    • 2 Pages

    The competition between Coke and Pepsi has affected industry profits in a positive way. Their internal rivalry has accounted for a combined 73% of the market share. Globalization of the two firms has also changed the industry. Though Coke leads Pepsi in international sales, this is because of Coke took advantage of Pepsi’s late entry into the different market. Threat of substitutes can always be a challenge; although there not many now, and since Coke and Pepsi remain separate this gives them more power with buyers and suppliers. Also, because of Coke and Pepsi’s internal rivalry it forces them to constantly assess their firms’ macro-environment to stay…

    • 380 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Pepsi Refresh Analysis

    • 555 Words
    • 3 Pages

    For decades, PepsiCo beverages have had success in capturing much market share of the soft drink industry through fascinating advertising campaigns. Their campaigns revolved around the idea that Pepsi was a drink for the young and young at heart. The advertisements were filled with optimism and aimed to bring people together in some way. At the turn of the twenty-first century, Pepsi was challenged with the fact that people were simply drinking less soda to switch to healthier options. In response to the issue, Pepsi began to expand its product portfolio by including healthier alternatives to the sugar-filled soft drink. Although it was a good attempt to conform to the more health-conscious world, this new focus hindered the attention that was given to their money-making products.…

    • 555 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    This report provides an analysis and evaluation of the Marketing Strategy of PepsiCo. Methodsof analysis include Market Segmentation, Market Targeting, Market Positioning, as well as theMarketing Mix of PepsiCo.The research draws attention to the Market Segmentation of PepsiCo. While the soft drink industry has probably the widest and deepest customer base in the world, Pepsi did not use themajority fallacy to market their product. Instead, Pepsi prefers to segment itself as the beveragechoice of the ³New Generation´, Generation Next, or just as the ³Pepsi Generation´. These…

    • 444 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Pepsico Case Study

    • 2050 Words
    • 9 Pages

    * 24. Slogans of pepsi• 1939 « Twice as Much for a Nickel »• 1958 « Be Sociable, Have a Pepsi »• 1961 « Now it’s Pepsi for Those Who Think Young »• 1984 Pepsi. The Choice of a New Generation.• 2003 « It’s the Cola ». « Dare for more »• 2008 « Pepsi is # 1 »• 2010- present"Every Pepsi Refreshes The World"…

    • 2050 Words
    • 9 Pages
    Better Essays
  • Satisfactory Essays

    Pepsi Marketing Plan.

    • 13415 Words
    • 54 Pages

    We believe that we applied our knowledge in the practical field with sincerity in this paper. We would be very thankful to you if you accept this term paper. We seek out address the major issues to make this paper accurate and reliable despite some limitations. If you have any kind of inquiry, we would be very pleased to explain.…

    • 13415 Words
    • 54 Pages
    Satisfactory Essays
  • Best Essays

    The Pepsi soft drink or the soft drink in this report means specifically only a carbonated cola soft drink that is categorized in a monopolistically competitive market due to a condition of the industry. A monopolistic competition is between monopoly and perfect competition. There are many buyers and sellers in which firms produce products that are…

    • 3104 Words
    • 13 Pages
    Best Essays
  • Powerful Essays

    In spite of growing competition in the soft drinks market, many companies, ranging from multinationals to niche specialists, continue to see volume growth well in excess of the market average. Much of their success can be attributed to progressive attitudes to their competitive environment and by exploiting new production, packaging and distribution technologies, they are able to meet consumers' needs more accurately and immediately than ever before. With leading players such as The Coca-Cola Company driving the battle…

    • 2069 Words
    • 9 Pages
    Powerful Essays
  • Satisfactory Essays

    Case 1 Analysis

    • 397 Words
    • 1 Page

    Consumer’s main concern is price, quality, performance and service, and time. Coke and Pepsi have tried to meet customer demands by making their product available to the consumer in a number of different outlets and venues. Coke focused on fountain sales, while Pepsi sought out retail stores. The price fluctuated with the economy. Coke and Pepsi fought a battle with pricing and store brand competition. During the “Pepsi Challenge” in the 1970’s, Pepsi was deemed by consumers in Dallas to be the best soda. Coke lost ground during this time, but came back in the 1980’s to go global and shoot past Pepsi in the industry. Performance and service are important to how the consumer views the brand. According to data in the case study most consumers in the US found Coke to have the superior product. In 2000, $7,870,000 in sales for Coke versus only $3,289,000 in sales for Pepsi.…

    • 397 Words
    • 1 Page
    Satisfactory Essays
  • Powerful Essays

    The soft drink industry is concentrated with the three major players, Coca-Cola Co., PepsiCo Inc., and Cadbury Schweppes Plc., making up 90 percent of the $52 billion dollar a year domestic soft drink market (Santa, 1996). The soft drink market is a relatively mature market with annual growth of 4-5% causing intense rivalry among brands for market share and growth (Crouch, Steve). This paper will explore Porter 's Five Forces to…

    • 4478 Words
    • 22 Pages
    Powerful Essays

Related Topics