ASSIGNMENT COVER SHEET

STUDENT DETAILS

Student name: Trần Hữu Ngọc Minh Student ID number: 31211024701

UNIT AND TUTORIAL DETAILS

Unit name: Principle of Marketing (MAR101) Unit number:

Tuesday and
Thursday
Tutorial/Lecture: Pmk A2 Class day and time: 3.30pm-6.30pm
Lecturer or Tutor name: Ms. Nguyen Le Xuan Doanh and Dr. Nguyen Ngoc Quynh Thu

ASSIGNMENT DETAILS

Title: Pmk A2
Length: 1668 Due date: 16/03/2022 Date submitted: 11/03/2022

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PepsiCo is a company that produces and manufactures carbonated soft drinks. Made and created in
1898 and presented as "Brad's Drink", it was subsequently renamed as Pepsi-Cola on June 16, 1903,
then, at that point, to Pepsi in 1961.

Pepsi Cola is one of the biggest sodas enterprises which operate in Australia. The fundamental
results of the organization contains different sodas brand including Pepsi, Pepsi Light, Pepsi Max,
7UP, Diet 7UP.

Although pepsi is one of the biggest company in the world,it still has a lot of problems such as
Inability to Deal with Environmental Issues, Inability to Address Health Issues, Competition in the
Market.... They try to solve the problem as radical as possible but it still exists.

The SWOT of PepsiCo.

 Strengths weaknesses opportunities threats
Best Global Brand Products Perceived as Expand E-Commerce Stiff Competition
Unhealthy
Effective Marketing Poor Environmental Enhance Alliances and Government Laws and
Strategy Record: Partnerships Regulations
Customer Loyalty Overdependence on Introduce New Increasing Health
Food and Beverages: Flavors: Consciousness
Effective Supply Chain
Management:

1)PepsiCo’s Strengths

- Global Brand of the YearPepsiCo is the # 29 best brand in the Forbes 2019 rundown, with such a
brand worth of $18.8 billion. In Forbes' Global 2000, PepsiCo was evaluated 87th biggest
organization on the planet in 2020.

-Effective Marketing Strategy: Pepsi perceives the benefit of promoting, as demonstrated by its
sponsorship of the Super Bowl halftime show for the beyond 7 years, drawing in a group of people of
100 million individuals in 2019. The Pepsi Super Bowl Show in 2020 got 104.1 million individuals
worldwide and included notable entertainers.

-Customer Loyalty: PepsiCo has a given after, particularly in the more youthful age, who partake in
the business' sodas for their unmistakable character.

- Effective Supply Chain Management: Organizations work in different commercial centers all
through the world to accomplish cost-proficiency in the present exceptionally globalized economy,
which might be troublesome without skillful inventory network management.According to Steve
Banker that The bundling for the Naked Juice product offering is made from inexhaustible materials;
the jugs are rectangular, permitting the firm to pack more cargo into their conveyances, bringing
down their carbon footprint......

To sum up, with these strengths that Pepsico have a bunch of chances and enough elements to
promote sustainably. Because Pepsico has been operated in the world for a long time, they have the
specific culture in company, famous reputation, and use diverse marketing strategies to attract
many loyal customers which create a successful company.

2) Pepsico’s Weaknesses

-Products Perceived as Unhealthy: With regards to shopper merchandise like sodas and bites,
insight is significant. Most of PepsiCo's carbonated sodas have unreasonable sugar focuses, while its
bites are vigorously salted and seasoned with synthetic increases. This is a huge imperfection,
particularly in the present wellbeing cognizant shoppers.

-Poor Environmental Record: Break Free from Plastic recorded PepsiCo as one of the best 3 plastic
supporters of a dangerous atmospheric devation. The partnership has neglected to find any
significant ways to energize bottle recyclable materials.

-Overdependence on Food and Beverages: Organizations' adaptability and dexterity are hurt when
they become excessively dependent on carbonated sodas and bundled products. PepsiCo challenged
the savvy men by tying up of its assets in one place: food and beverages. To forestall losing every last
bit of it, the partnership ought to differentiate its assets.According to Trefis that Top firms like Coca-
Cola, Procter and Gamble, General Mills, and others contend wildly in the refreshments and snacks
regions.

In conclusion,although Pepsico is an enormous company but it still has a lot of weaknesses to reduce
to grow up fast.Today with high perception about environment and health, Pepsico should care
much about that and expand to the other industries instead of soft drinks and snack to survive when
on the world has so many competitors.

3) PepsiCo’s Opportunities

Expand E-Commerce: Clients are progressively going to computerized media for web based
purchasing. PepsiCo might take utilization of the upsides of web based buying by developing its
online business (versatile applications) and expanding deals through these channels.

Enhance Alliances and Partnerships: Organizations that look for and fabricate solid associations and
organizations are more fruitful in an overall climate. PepsiCo, for example, could extend its current
participation with Starbucks into different puts in request to get the full benefits of their
accomplice's various coffee.

Introduce New Flavors:By guaranteeing predictable top-line improvement, associations can pay all
due respects to changes in client tendencies and interests. PepsiCo can foster its client base by
familiarizing new inclinations with the soft drinks and food assortments it sells. Pepsi Café, which
mixes the rich taste of coffee in with Pepsi Cola, was actually advanced by the corporation.According
to Rachel Arthur

To sum up,there are a range of chances for pepsico to promote. They have done a lot of things like
introducing new flavors,expand e-commerce to target at the customer convenience and statisfy the
customers’ requirements.

4) Threats

Stiff Competition: Coca-Cola, Nestle and different organizations are placing strain on PepsiCo's
benefit and portion of the overall industry. Contest additionally risks long haul suitability and
productivity since it builds the cost of holding clients through commercials, offers, and limits

Government Laws and Regulations: Governments have dynamically instituted supportive of

wellbeing approaches as of late to forestall way of life sicknesses and diseases connected to garbage
and undesirable things. Since PepsiCo's product offering comprises generally of destructive soda
pops and tidbits, advancement of this propensity in the future could endanger benefit,
supportability, and perhaps the organization's presence.

Increasing Health Consciousness: Vulnerability and unsteadiness make it hard to do effective

exercises. Exchange questions between the United States and China have raised worldwide market
unpredictability and flimsiness in the course of the most recent two years. Assuming exchange
strains decline, PepsiCo's worldwide activities may be risked, prompting an exchange war,
noninterference, and protectionism in the organization's global business sectors.

Although Pepsico is a big company but it also exists a lot of threats that dangers the growth of the
company.Pepsico need to have new policies to improve products and effective strategies to be
flexible in any situations.

2.Micro Environment of Pepsi-Cola

2.1Suppliers

PepsiCo's primary components for its drinks, foods, and snacks include fruits, oats, oranges,
potatoes, raw milk, and sugar,... All of them were checked carefully before produce the product.
Owing to the absence of distinctiveness of the items offered, PepsiCo buys from the a wide number
of suppliers, and each individual supplier's bargaining leverage is limited.

2.2Customer

PepsiCo's major target audience for its Pepsi brand of products is persons between the ages of 15
and 45. It also targets sports people and those who are overweight (PepsiCo 2010). Pepsi has a
special way of depicting time in its advertising efforts.

2.3Competitor

Pepsi-Cola has its like Competitor Coca-Cola, Dr.Pepper Snapple, Red Bull, General Mills and so on
Coca-Cola is the significant contender of Pepsi-Cola.Coca-Cola likewise called as Coke. They are
competitive together for decades.

2.4. Marketing intermediaries:

Nowadays, lots of marketing intermediaries from overseas and domestic, such as: Coopmart, Metro,
BigC,.. . This factor open more opportunities for a quite famous brand like Pepsico to bring and sell
products in Vietnam and on the world.

2.5 The company:

When the US embargo on Vietnam was lifted in 1994, PepsiCo joined the market. It began by
forming a local joint venture with International Beverages Company to manufacture the country's
first Pepsi-Cola and 7Up goods.

2.6 Publics

Pepsico is reviewed as one of the best choice of people from age to 15-45 in the world,also in Viet
Nam, although it aslo has many nagative effects on health. In the future, Pepsico is said to produce
the best beverages on the world.

3.Macro Environment of Pepsi-Cola

3.1 Economic

Pepsi's economy is influenced by a number of variables (PepsiCo) PepsiCo's net sales in 2019 was
above $67 billion (PepsiCo, 2020). So it's evident that it's in good financial shape. However, several
corporations, including PepsiCo, have had a difficult year in 2020, with drinks sales in some nations
declining.

3.2 Technology

PepsiCo has unveiled its Social Vending System, a sophisticated network device with full capacitive
touchscreen interaction vending technology that allows customers to interact with the Brand name
at the point of purchase.

3.3 Social

Many UAE residents are practicing healthier lifestyles. This has had an impact on the non-fermented
beverage market, as many individuals are switching to filtered water and methodology colas instead
of beer and other hard drinks (Pitelis, & Teece, 2010). In everyday living, the need for purified water
and other favorable and healthy goods is vital..

3.4 Political:

These days, the laws of countries are creating the chances for Pepsico to develop.Especially,
following the Phap Luat Newspaper (2010) , Vietnam is a country which have stable politic, less
disease, no war. Therefore, Vietnam market is attractive for foreign investment like Pepsico
Company to sell Palmolive shampoo. Moreover, tax policy and import / export for international
brands are much more easier and suitable than before.

3.5 Laws

The legal perspective focuses on the influence of national and international legislation. The Pepsi
Company obtains all intellectual property rights in the course of their operation, and all discoveries
and product enhancements are regularly entered into a secure method.

4.Suggestions:
From my view,Pepsico must reduce the impact of soft drinks to the health and create more and
more categories to help customers have more choices. They should must use more advertisement
on social media to bring their fame to everyone in Vietnam,also on the world.
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