3. INTRODUCTION
Pepsi was first introduced as "Brad's Drink" in New
Bern, North Carolina, United States, in 1898 by
Caleb Bradham, who made it at his home where
the drink was sold.
It was later labeled Pepsi Cola, named after the
digestive enzyme pepsin and kola nuts used in the
recipe
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4. History :
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1. The modern Pepsi logo has its origins in the 1940s, during World War II
2. Since Pepsi was recognizable with its script logo in the same manner as
its main rival, Coca-Cola, the cap logo was meant as a show of U.S.
patriotism.
3. The cap logo became Pepsi's primary logo around 1945. The logo was
redesigned in 1962 as a bottle cap.
5. Products :
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There are 22 PepsiCo brands
Some are written below :
• Pepsi
• Doritos
• Quaker Foods
• Cheetos
• Mirinda
• Aquafina
• Starbucks
• Pepsi Max
• Diet Pepsi
• Mountain Dew
• Lay's
• Gatorade
• Tropicana
• 7 Up
6. Market Structure (Monopoly)
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• Pepsi is not a monopoly. The main
competitive force in the market are
substitutes.
• Soft drinks are cheap. People will only
pay a certain amount for this sugar
water and it is not a necessity.
• This is because if Pepsi were to raise
their price, people would just buy juice
and water: the list is endless.
7. Market Structure (Oligopoly)
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The beverage market is particularly a oligopoly with few sellers and many
buyers offering slightly differentiated products
PepsiCo and Coca Cola particularly offer the same product with slightly
different features
R.C cola is also their competitor, so a few firms dominate the market and
are particularly price makers
These companies have been established from a very long time and are
therefore achieving economies of scale prohibiting entry of competitors
8. Major Challenges :
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• Threat of Newcomers.
• Threat of Substitute Products.
• Bargaining Power of Suppliers.
• Bargaining Power of Buyers.
• Rivalry Among Competitors.
9. Competition :
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Competition
The COCA COLA Company has historically been considered PepsiCo's
primary competitor in the beverage market
In 2005 PepsiCo surpassed Coca Cola in market value for the first time
in 112 years
Due to PepsiCo policy of mergers, acquisitions, partnerships, takeovers
it expanded its base of operations
Now less than 50% revenue is made from carbonated drinks
About 60% revenue is earned from snacks food and particularly
Gatorade and Tropicana
