Pepsi’s Growth and Marketing Strategies :: GCSE Business Management Studies

INTRODUCTIONPepsi-Cola Pepsis beverage business was founded by a pill roller namedCaleb Bradham who created a special beverage, a brushed drink, in theback room of his drug store in New Bern, North Carolina (Pepsi Co,2004). It has become one of immediatelys leading soft drink with nearly $20billion in worldwide retail sales (PepsiCo Inc., 2003), and like whatcoke has, Pepsi also has a variety of products in the world, such asPepsi-Cola, diet Pepsi, Pepsi max, mountain dew and so forth.In this report, we pull up stakes specifically focus on Pepsi-Cola, and the aimof this report is to resume and analyse Pepsis growth strategy aswell as its marketing strategies.Firstly, the background of Pepsi Company and their products go forth besummarized.Secondly, four elements or components will be analysed in this report,which are based on* Product* Price* Place* PromotionFinally, some recommendations relative to Pepsis marketing strategywill be suggested.In order to make the information of this report accurate and forceful,several valuable sources were used to analyse. Those sourcesincluding* Marketing textbook* Academic paper* network* Online business magazinesBACKGROUNDPepsi Co. is a Multinational corporation, which extends over manycountries Pepsi and Frito-Lay merged in 1960, which named the newcompany Pepsi Co. Besides, Pepsi Co. has merged with some othercompanies such as Gatorade, which became the worlds fifth-largestfood and beverage company with 15 brands.The company operates in a monopolistically competitive market, whereits biggest competitor is Coca-Cola. Pepsi brand name and itsstrategic heart and soul its the cola have already penetrated the worldmarket. In this case the brand name Pepsi is very effective indifferentiating its product from the others. Within the soft drinkindustry Pepsi is considered to be a middle class drink and Pepsioffers quality product that provides assurance to the public.Pepsi is undertaking both advertising and marketing campa igns approximatelythe world, its advertising campaign include TV, magazines, in-stores,outdoors and on the Internet. The marketing campaigns it undertookinclude lucky draw and publicitys. For example in Singapore there is apromotion done by Pepsi that for every 6-pack of Pepsi you purchaseyou can have a turn on the fortune wheel to win prizes such as Pepsit-shirt, more than Pepsi drinks and cash prizes. This is done when theeconomy is in recession and Pepsi is trying to boost up its companyand product image.Pepsis target market has usually been the middle-income family, asPepsi is not as expensive as Coke and not as cheap as the otherbrands. Pepsi around the world usually target toward early peopleearly teens to late twenties, however this is still based on location