PepsiCo Corporation and its Annual Report
Pepsi launched its operations in the U.S. in 1893. In 1903, the company sold 7,968 gallons after switching to the production of a fountain drink that enhances digestion and body energy (PepsiCo announces, n.d.). Pepsi got its first logo in 1926 which was changed in 1926. However, in 1931, Pepsi went bankrupt due to fluctuations in sugar prices. Fortunately, Coca-Cola acquired the company around 1933. PepsiCo hit the spot again in the 1950s on television and motion pictures.
Key changes in management in 2012 include the appointment of Brian Cornell as the CEO and John Compton as the president (PepsiCo announces, n.d.).
Financial highlights (Distribution of Earnings)
PepsiCo has four organizational units which include;
Three Changes in PepsiCo
Marketing strategy
Some changes in marketing strategy include the use of celebrities in brand promotions. Also, the company places numerous adverts in television, radio, and posters (Pepsi Advertising, n.d.). Additionally, PepsiCo became one of the major sponsors in three North American sports leagues (PepsiCo announces, n.d.).
Distribution system
PepsiCo enhanced its distribution channels to reach consumers in about 200 countries. It has three distribution networks. Direct shop delivery whereby merchandises are delivered directly to retail chain stores. Customer warehouse used to distribute non-fragile products. Third-party distribution channels, these include schools, wholesalers, coffee shops and stadiums (Bailey, 2014).
Enhancing competitive advantage
PepsiCo has improved competitive edge by launching diverse products, lowering prices, and entering untapped markets (Bailey, 2014).
References
Annual Report - PepsiCo (2013). Retrieved March 4, 2016, from https://www.pepsico.com/Assets/Download/PEP_Annual_Report_2013.pdf
Bailey, S. (2014). PepsiCo: A company overview - Market Realist. Retrieved 4 March 2016, from http://marketrealist.com/2014/12/pepsicos-three-channel-distribution-network/
PepsiCo announces new global structure and leadership to drive continued growth. (2012, December 3). Retrieved March 4, 2016, from http://www.pepsico.com/live/pressrelease/PepsiCo-Announces-New-Global-Structure-and-Leadership-to-Drive-Continued-Growth03122012
Pepsi advertising. Retrieved March 4, 2016, from http://www.americanartarchives.com/pepsi.htm
