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TABLE OF CONTENTS
1. Overview of Pepsi Co.
2. Introduction Corporate History
History of Pepsi Co
Pepsi Co. in U.P.
Kanpur Warehouse
Area Office
Mission & Vision
Organizational Structure
3. Company Profile Contribution
Bottling operation
Pepsi Business
Business challenges & policy of the Company
4. Product Profile
5. Research Methodology
6. Data Introduction
7. Findings
Graphical Analysis
SWOT Analysis
Recommendation
8. Bibliography
9. Annexure
ACKNOWLEDGEMENT
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In the pursuit of greater knowledge, a greater understanding
of
the market & the corporate world, distribution channels and
the
supply of Pepsi, we had to take some precious time put of
the,busy schedules of our project guide & faculty, without
their
help, such a through study would not have been possible,
Thus
we have been the stepping stones to success.
We would firstly like to thank Mr. Subodh Udhania & Mr.
Aprove
Mathur for guiding us through the whole process and for
being
there at times when I needed their support. They have
enabled
us to have a vision and the driving energy to fulfill our
aims.
PREFACE
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Summer training program is an integrated part of M.B.A.
program the emphasis in this program is to provide practical
the job exposure to real life management situation and to
develop simultaneously the ability to relate the studies to
the
real world. This also helps to gain insight into corporate
culture
and in developing decision making abilities.
I gained valuable experience and knowledge during the
survey.
The summer training report consist of my findings after
tabulation of collected data and finally recommendation were
put forward.Report consist of two section :-
1.) - Introduction
2. ) - Project
Introduction part introduce the Pepsi Co. India Holding Pvt.
Ltd.
and Project part involves the Objective, Scope and
Methodology . It also deals With findings and
recommendation.
PEPSI OVERVIEW
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PepsiCo is a world leader in convenient foods andbeverages, with
2006 revenues of more than S35 billionand 168,000 employees :
The company consists of Frito-Lay North America,
PepsiCoBeverages North America, PepsiCo International and
QuakerFoods North America. PepsiCo brands are available in
nearly200 countries and territories and generate sales at the
retaillevel of about $92 billion.
Some of PepsiCos brand names are more than 100-years-old,but the
corporation is relatively young. PepsiCo was founded in1965 through
the merger of Pepsi-Cola and Frito-Lay. Tropicanawas acquired in
1998 and PepsiCo merged with The Quaker
Oats Company, including Gatorade, in 2001.
PepsiCo offers product choices to meet a broad variety ofneeds
and preference from fun-for-you items to productchoices that
contribute to healthier lifestyles.
Pepsico mission is to be the worlds premier consumer
productscompany focused on convenient foods and beverages. We
seekto produce healthy financial rewards to investors as we
provide
opportunities for growth and enrichment to our employees,
ourbusiness partners and the communities in which we operate.And in
everything we do, we strive for honesty, fairness andintegrity.
Shareholders :
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PepsiCo (symbol: PEP) shares are traded principally on the
NewYork Stock Exchange in the United States. The company is
alsolisted on the Amsterdam, Chicago and Swiss stock exchanges.
PepsiCo has consistently paid cash dividends since
thecorporation was founded.
Corporate Citizenship :
At PepsiCo, we believe that as a corporate citizen, we have
aresponsibility to contribute to the quality of life in
ourcommunities. This philosophy is expressed in our
sustainabilitv
vision which states : Pepsico responsibility is to
continuallyimprove all aspects of the world in which we
operateenvironment, social, economic - creating a better
tomorrowthan today.
Our vision is put into action through programs and a focus
onenvironmental stewardship, activities to benefit society, and
acommitment to build shareholder value by making PepsiCo atruly
sustainable company.
PepsiCo Headquarters :
PepsiCo World Headquarters is located in Purchase, New
York,approximately 45 minutes from New York City. The
seven-building headquarters complex was designed by Edward
DurrellStone, one of Americas foremost architects. The
buildingoccupies 10 acres of a 144-acre complex that includes
theDonald M. Kendall Sculpture Gardens, a world-acclaimedsculpture
collection in a garden setting.
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The collection of works is focused on major twentieth
centuryart, and features works by masters such as Auguste
Rodin,Henri Laurens, Henry Moore, Alexander Calder,
AlbertoGiacometti, Arnaldo Pomodoro and Claes Oldenberg. The
gardens originally were designed by the world famous
gardenplanner, Russell Page. and have been extended by
FrankoisGoffinet. The grounds are open to the public, and a
visitorsbooth is in operation during the spring and summer.
PepsiCo World Headquarters is located in Purchase, New
York,approximately 45 minutes from New York City. The
seven-building headquarters complex was designed by Edward
DurrellStone, one of Americas foremost architects. The
buildingoccupies 10 acres of a 144-acre complex that includes
the
Donald M. Kendall Sculpture Gardens, a world-acclaimedsculpture
collection in a garden setting.
The collection of works is focused on major twentieth
centuryart, and features works by masters such as Auguste
Rodin,Henri Laurens, Henry Moore, Alexander Calder.
AlbertoGiacometti_ Arnaldo Pomodoro and Claes Oldenberg. Thegardens
originally were designed by the .N-orld famous gardenplanner.
Russell PaLle, and have been extended by FranAois
Goffinet. The grounds are open to the public. and a
visitorsbooth is in operation during the spring and summer.
FRITO-LAY ;Frito-lay north americaPepsiCos snack food operations
hadtheir start in 1932 when two separate events took place. In
SanAntonio, Texas, Elmer Doolin bought the recipe for an
unknownfood product K a corn chip and started an entirely
newindustry. The product was Fritos brand corn chips, and his
firmbecame the Frito Company.
That same year in Nashville, Tennessee, Herman W. Laystarted a
business distributing potato chips. Mr. Lay laterbought the company
that supplied him with product andchanged its name to H.W. Lay
Company. The Frito Company
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and H.W. Lay Company merged in 1961 to become Frito-Lay,Inc.
Frito-lay north americaMajor Frito-Lay products include
LayaCTMS potato chips, Doritos flavored tortilla chips,
Tostitostortilla chips, Cheetos cheese flavored snacks, Fritos
cornchips, Ruffles potato chips, Rold Gold pretzels, sun
Chipsmultigrain snacks, Munchies snack mix, Lay5CTMS Stax
potatocrisps, Cracker Jack candy coated popcorn and Go
Snacks.Frito-Lay also sells a variety of branded dips, Quaker Fruit
&Oatmeal bars, Quaker Quakes corn and rice snacks,
Grandmaacookies, nuts and crackers.
PEPSI COLA :
Pepsi beverage business was founded 1898 by Caleb Bradham,a New
Bern, North Carolina druggist, who first formulatedPepsi-Cola.
Today, Brand Pepsi is part of a portfolio of beverage brandsthat
includes carbonated soft drinks, juices and juice
drinks,ready-to-drink teas and coffee drinks, isotonic sports
drinks,bottled water and enhanced waters. Pepsi Cola has well
known
brand such as Mountain Dew, Diet Pepsi, Gatorade, TropicanaPure
Premium, Aquafina water, Sierra Mist, Mug, Tropicana
juice drinks, Propel, SoBe, Slice, Dole, Tropicana Twister
andTropicana Season Best.
PBNA manufactures and sells concentrate for some of thesebrands
to licensed bottlers, who sell the branded products toindependent
distributors and retailers. PBNA providesadvertising, marketing,
sales and promotional support for itsbrands. This includes some of
the worlds best-loved and most-recognized advertising.
In 1992 Pepsi-Cola formed a partnership with Thomas J. LiptonCo.
to selling ready-to-drink tea brands in the United
States.Pepsi-Cola also markets Frappuccino ready-to-drink
coffeethrough a partnership with Starbucks.
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Pepsi products Tropicana was founded in 1947 by AnthonyRossi as
a Florida fruit packaging business. In 1954 Rossipioneered a
pasteurization process for orange juice. For the
first time, consumers could enjoy the fresh taste of pure
not-from-concentrate 100% Florida orange juice in a ready-to
servepackage. The juice, Tropicana Pure Premium, became thecompany
flagship product. PepsiCo acquired Tropicana,including the Dole
juice business, in August 1998.
So be became a part of Pepsi Cola in 2001. SoBe manufacturesand
markets an innovative line of beverages including fruitblends,
energy drinks, dairy_ based drinks, exotic teas andother beverages
with herbal ingredients.
Gatorade thirst quencher sport drinks was acquired by TheQuaker
Oats Company in 1983 and became a part of PepsiCowith the merger in
2001. Gatorade is the first isotonic sportsdrink. Created in 1965
by researchers at the University ofFlorida for the schools football
team, The Gators, Gatorade isnow the worlds leading sports
drink
PEPSICO INTERNATIONAL :
Pepsico international Pepsi-Cola began selling its
productsoutside the United bega and Canada in the mid-1930s,
openingin the United Kingdom in 1936. Operations grew
rapidlybeginning, in the 1950s. Today, PepsiCo beverages
areavailable in more than 200 countries and territories.
Brandsinclude Aquafina, Gatorade and Tropicana.
In addition to brands marketed in the United States,
PepsiCoInternational brands include Mirinda, Seven-Up and many
localbrands.
Pepsico international PepsiCo began its international snackfood
operations in 1966. Today, products are available innearly 200
countries. Often PepsiCo snack food products areknown by local
names. These names include Gamesa and
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Sabritas in Mexico, Walkers in the United Kingdom, Simths
inAustralia, Matutano in Spain, Elma Chips in Brazil, and
others.
The company markets Frito-Lay brands on a global level,
andintroduces unique products for local tastes.
2007 Milestones :
PepsiCo signs Maria Sharapova for Internationalendorsement of
Gatorade and Tropicana
Tropicana launches Tropicana Healthy Heart with Omega-3s, the
first national orange juice to include omega-3s.
Ruffles unveils new packaging to reflect its switch to 100%pure
sunflower oil
PepsiCo announces new Diversity & Inclusion
LeadershipAward
inspired by Steve Reinemund
Mt. Dew and AMP Energy sponsor the Winter X Games Aquafina
launches Aquafina Aliveda low calorie, vitamin-
enhanced water beverage. Quaker Oats debuts new Quaker Life
Chocolate Oat
Crunch Cereal. Flat Earth Fruit and Vegetable Crisps hit
storesnationally. Fritos Corn Chips celebrates 75th Annversary with
retro
packaging. Near East celebrates its 45th Anniversary with a
recipe
contest.
Tropicana launches Tropicana Fruit Squeeze, a 20-caloriedrink
with real Tropicana fruit juice
Lay launches Share the Joya program to help the Make aWish
Foundation raise funds.
Pepsi-Cola North America launches Diet Pepsi MAX.
Oh Boy! Oberto brand debuts 100-calorie Jerky Bites inoriginal
beef, and teriyaki turkey flavors
IZZE Launches IZZE Esque, a low-calorie, nothing
artificialbeverage in three flavors: Sparkling Mandarin, Sparkling
ISparkling Black Raspberry and Sparkling Limon
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Propel unveils new K-Fit Has a Feelinga campaign andNew Powder
Packets for On-The-Go
New Quaker Mini Delights launches offering great tasteand
portion control in a satisfying serving of mini snack cakes.
Diet Pepsi Jazz introduces new Caramel Cream flavor. Grandmaa
Cookies offering limited-edition flavors forspring: Iced Lemon and
Sugar flavors.
PepsiCo launches Smart Spot Dance! Initiative withcelebrities
Mario Lopez and LaChanze to help African Americanand Hispanic
families lead healthier, more active lifestyles
Walkers is the first major food brand in the world todisplay a
carbon footprint reduction logo on its packs.
SoBe Beverages launches SoBe Essential Energy. PepsiCo Announces
25% Dividend Increase and Raises
Share Repurchase Target; Nooyi Assumes Chairman Title. EPA Names
PepsiCo 2007 ENERGY STAR(R) Partner of the
Year. PepsiCo Makes Largest Corporate Purchase of Renewable
Energy Certificates. Pepsi launches KoeDesign Our Pepsi CandEq
National
Promotion.
Tropicana unveils New Organic Line K Tropicana Organic
Organic.
QTG facility earns an Energy and Environmental Design(LEED) Gold
a certification from the U.S. Green BuildingCouncil.
PCNA and Frito-Lay launch Shrek the Third NationalSummer
Promotion.
Indra Nooyi receives the Outstanding American by
ChoiceAward.
2006 Milestones :
Quaker Snacks Unveils Breakfast Cookies
Doritos unveils new packaging, including an updated logo
PepsiCo Launches Pepsi Limon in Peru
PepsiCo Completes Acquisition of Stacys Pita ChipCompany
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Tropicana Now Offering OJ with Benecol
PepsiCo Foodservice Partners With Cracker Barrel to ServeUp
Fritos-Branded Menu Item
PepsiCo Foodservice Pours Two New Account Wins:
Famous Daves of America and Roundtable Pizza Pepsi Celebrates
20th Consecutive Super Bowl With New
Diet Pepsi Campaign North American Coffee Partnership Launches
New
Starbucks Beverages, Starbucks Iced Coffee, Starbucks IcedCoffee
Light as well as Strawberriesand Creme Frappuccino andStarbucks
DoubjeShot Light.
PepsiCo India re-launches Mirinda.
SoBe Launches New SoBe Life Water
Cheetos kicks off the biggest marketing, campaign in itshistory
with Undercover Chester, an integratedcommunications platform that
asks consumers to help ChesterCheetah recover the stolen recipe for
Cheetos
In selected cities cross the United States, Pepsi
distributesmore than three million free cans of newly reformulated
DietMountain Dew, marking the largest single-day sampling effortin
company history
Frito-Lay announces the launch of a new line of snackchips
called Lays Sensations and Tostitos Sensations
Frito-Lay launches Tostitos Multigrain; new snack bringsflavor
of four wholesome grains to one of Americas favorite
tortillachips
Sams Club teams with Aquafma to Return the Warmthto local
communities through a national large-scale recyclingprogram. The 50
communities to collect the most Aquafinabottles and deposit them at
designated collection locationsreceive a $1,000 grant from Sams
Club in addition to an
assortment of fleece jackets made from recycled plastic
bottlematerial
Lays Introduces Hot n Spicy KC Masterpiece BBQ PotatoChips
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Grammy award winning artist Mariah Carey writes andrecords
original ringtones for the Pepsi Cool Tones & MotorolaPhones
promotion
Rice-A-Roni introduces a new line of whole-grain side
dishes
Pepsi Joins Bipartisan Alliance, Adopts New School Policyto
Promote Healthier Lifestyles for Elementary, Middle and HighSchool
Students
Frito-Lay cuts saturated fat in Lays, Ruffles by more than50%
with move to Nu Sun Sunflower Oil.
Pepsi unveils new Dole Sparklers and Sierra MistCranberry
Splash.
PepsiCo announces that it will be the official, exclusivefood
and beverage partner of the highly anticipated SupermanReturns
film
Starbucks and PepsiCo sign a distribution agreement forEthos
Water.
PepsiCo,, the National Hockey League (NHL) and theNational
Hockey League Players Association (NHLPA ) sign anexclusive
multi-year beverage and snack deal
PepsiCo, National Hockey League and National Hockey
League Players Association sign multi-year deal, giving
PepsiCoexclusive beverage, bottled water and snack categories.
Withthis deal, Gatorade becomes the official sports drink of
NHL.
PepsiCo Mexico celebrates the official launch of the
ViveSaludable program illustrating their commitment to
promotehealthy lifestyles for consumers and employees.
Diet Pepsi launches Jazz, a new line of zero-calorie
colasavailable in rich flavors like Black Cherry French Vanilla
andStrawberries & Cream.
PepsiCo introduces Ben & Jerry Milkshakes, a rich,
creamydrinkable treat in three classic flavors Cherry Garcia,
ChunkyMonkey and Chocolate Fudge Brownie.
Tropicana debuts Tropicana Pure a new line of 100%premium
juices.
PepsiCo is added to the Dow Jones Sustainability NorthAmerica
Index (DJSI).
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Quaker Oats debuts its new Quaker Oatmeal Crunch,warm oatmeal
with the crunchy texture of cold cereal.
Indra Nooyi named Chief Executive Officer of PepsiCo asof
October 1, 2006
Frito-Lay debuts action cups
Frito-Lay kicks of its nationwide rollout of LaydCTMs with100%
Pure Sunflower Oil
Pepsi acquires IZZE beverage company
Arby dETM s names Pepsi-Cola as its Food and BeverageSupplier
Award winner
Golden Corral restaurants and Pepsi announce a multi-year
agreement making Pepsi the chamdETNISpreferredbeverage supplier in
all locations
Grandmas Cookies releases 2 limited-edition dE-fallfavorite
flavored Spiced Molasses and Fall Fudge Chip
Cold Stone Creamery announces a multi-year agreementmaking Pepsi
its exclusive beverage supplier
Frito-Lay North America signed agreement with theAlliance for a
Healthier Generation for a new policy for sellingour foods in
schools.
Frito-Lay launches new Baked!Tostitos Scoops! Tortillachips.
With lower calorie and lower fat benefits
Pepsi signs 5-year sponsorship renewal with Major LeagueBaseball
Properties making Pepssco Official Soft Drink of MajorLeague
Baseball.
PBSG Parkwood and Frito-Lay headquarters associatesraise
morethan $1.8 million dollars in the American Heart
AssociationWalk
PepsiCo announced intent to acquire Naked JuiceCompany
Federal Trade Commission clears PepsiCo for Naked JuiceCo.
purchase
PepsiCo announces it will acquire New Zealand snackcompany
Bluebird Food.
2005 Milestones :
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Frito-Lay introduces Doritos Black Pepper Jack
Diet Sierra Mist becomes Sierra Mist Free
SoBe Launches Sugar-Free No Fear.
PepsiCo launches Smart Spot symbol in Canada Tropicana Teams
With Weight Watchers to Offer Tropicana
Light n Healthy as Part of Points Program
Pepsi Lime and Diet Pepsi Lime Launch
Tropicana Twister Soda Launched in April
The Fuddruckers restaurant chain signed a 7-year, 5.6million
gallon agreement with Pepsi-Cola North America to
serve Pepsi products Pepsi-Lipton Tea Partnership Announces New
Lipton
Original Iced Tea and New Lipton Iced Tea;
ReformulatedReady-to-Drink Teas Hit Store Shelves
Pepsi-Cola North America adds to its portfolio of Dole100%
juices K Ruby Red Grapefruit K as well as a new line of50% juice
beverages called Dole Lights.
Gatorade introduces Gatorade Endurance Formula
Pepsi-Cola North America announced it will add
SplendaA*) brand sweetener to a newly reformulated PepsiONE,
creating a full-flavor cola taste with only one calorie
Frito-Lay Brings Wasabi Funyuns to Continental UnitedStates
Quaker snack bars re-launched with new branding,packaging and
advertising
PepsiCo Celebrates 40th Anniversary
PepsiCo International announced the appointment ofPioneer Foods,
a leading South African food and beverage
company, as its franchisee in the Republic of South Africa.
Tropicana has launched Tropicana Sensations, a new line
of premium fruit juices in Spain
PepsiCo launches Quaker Milk Chillers
Gatorade Partners with NFL to Educate High SchoolFootball
Coaches on Proper Hydration During Practice
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Pepsi-Cola North America Launches Mountain Dew PitchWack II
Quaker Introduces Weight Control Instant Oatmeal
Diet Pepsi Presents the NFL Rookie Challenge Winner
Receives Superbowl Tickets for Life Tropicana Launches All Fruit
Smoothies
Pepsi is chosen as the exclusive beverage provider forSoup
Kitchen International, Inc. and The Original SoupMan
PepsiCo Donates $2 Million to Pakistan Earthquake Victims
PepsiCo Launches New Samba Drink in Australia
Pepsi-Cola North America Launches MDX Energy Soda
Pepsi Partners with Harveys, Swiss Chalet and
MilestonesRestaurants
PepsiCo Twistos Croutons Launched in Russia Gatorade Launches
Propel Calcium - First Calcium-
Enriched Fitness Water
Frito-Lay Launches Quaker Oats in India
Walkers to Launch New Beef Jerky Product in the U.K.under its
Nobbys brand
PepsiCo Health & Wellness Launches Everyday SmartMoves
Magazine
PepsiCo, Cindy Crawford and KaBOOM Build First Smart
Spot Playground in Washington, D.C Pepsi Latte Launches in
Thailand
Tropicana FruitWise Campaign Launches
2004 Milestones :
Frito-Lay aCTM s 24-count Multi-Sack variety pack won
theInstitute of Packaging Professionals (IoPP) Integrity Award,
oneof the industry aCTMS top awards, at this yeardETMs
AmeriStarPackaging Awards
Frito-Lay Introduces Doritos Black Pepper Jack Diet Sierra Mist
Becomes Sierra Mist Free Pepsi Bottling Group (PBG) Pepsico biggest
bottler
bought Phil Gaudreault et Fils Ltee, a Quebec-based
Pepsibottler.
SoBe Launches Sugar-Free No Fear
PepsiCo Launches Smart Spot Symbol in Canada
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Frito-Lay launches Doritos Edge and Tostitos Edge lineextensions
with 60% fewer carbohydrates.
Gatorade introduces Gatorade Endurance HydrationFormula a
specialized sports drink to meet the needs of
endurance athletes. Frito-Lay introduces Quaker Chewy Cookies
& Milk granola
bars and Quaker Fruit & Oatmeal cereal bars
Frito-Lay Canada eliminates trans fats from chips andlaunches a
line of All Natural and Organic products
Pepsi-Cola to launch Pepsi Edge, the first full-flavored
colawith 50% less sugar, carbohydrates and calories than
regularcola.2003 Milestones :
Pepsi-Cola launches Sierra Mist nationally. PepsiCo launches Get
Active/Stay Active program.
Quaker Chewy introduces Quaker Chewy WholesomeFavorites and
Quaker Chewy Trail Mix
Gatorade unveils In-Car Hydration System for NASCARDrivers.
SoBe sponsors U.S. Open Snowboarding Championships.
Pepsi announces plans to launch Mt. Dew LiveWire, anorange
drink, this summer.
Pepsi-Cola signs an exclusive four-year sponsorship dealwith
theCanadian Hockey Association, making Pepsi the official
softdrink.
Pepsi announces four-year sponsorship agreement withthe UK
Football Association.
Frito-Lay announces new line of snacks made with
organicingredients called Natural Snacks.
Pepsi stuff Campaign kicks-off in Canada Frito-Lay finds winner
of Would You Name Your Baby
HortondC11 search celebrating the birthday of its Rufflesbrand.
The child will receive $50,000 college tuition fund
fromFrito-Lay.
PepsiCo creates PepsiCo International, the business thatwill
unite all international snack, beverage and food units in an
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effort to drive faster growth and improved profitability
aroundthe world.
PepsiCo releases a Spanish-language Power of Onetelevision
commercial starring Puerto Rican singer and actor,
Ponce, and Velasquez, Mexican-American singer and actress.
Pepsico Cola trademark turns 100 years old.
Quaker rolls out new Oatmeal Breakfast Squares.
Pepsi Vanilla is launched in the United States.
Tropicana introduces Tropicana 100% Juice Blends.
Pepsi unveils a new tagline: Pepsi. Its the Cola. It is
thebrands first major campaign shift since 1999 and highlightshow
Pepsi goes with everything from food to fun.
2002 Milestones : Frito-Lay introduces Go Snacks, canisters that
truly go
anywhere Gatorade introduces new Gatorade ICE in three
flavors-
Orange, Lime and Strawberry.
Tropicana Pure Premium announces sponsorship ofDisneys
award-winning show The Lion King
TropicariaAg Pure PremiumAS introduces 14-oz. single-serve
resealable bottle you can take with you for the
on-the-goconsumers.
Diet Pepsi has a new look Mr. Green, a green-tinted carbonated
soft drink with
caffeine and ginseng, is launched under SoBes New Agebeverage
line in April
The North American Coffee Partnership (NACP), a jointventure
between Starbucks, Coffee Company and PepsiCo, Inc.introduces
Starbucks DoubleShot
Quaker Oatmeal this year celebrates the 125thanniversan, of
thenations number-one-choice for a nutritious, hot
breakfastcereal.
Gatorade turns 35. It was created in 1960s to help
performance of Florida Gators football team and now isthe
leading sport drink.
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New line of Gatorade brand drinks, Xtremo, comes inthree new
flavors - Mango, Tropical and Citrico.
PepsiCo and Kenneth Cooper, M.D., M.P.H., of CooperConcepts Inc.
(CCI), a division of the renowned Cooper Aerobics
Center in Dallas, TX enter into an agreement to
promotenutrition, fitness and wellness
Dole Beverages enters chilled orange juice business as
itlaunches
packages. new flavors and ..ci-L _-afges.
Aquafina debuts new line of great-tasting enhancedwaters.
Aquafina. Essentials target active, health-conscious adultsin
four lightly sweetened varieties including B-Power,
Calcium+, Daily C and Multi-V in 20-oz. bottles. PepsiCo
reorganizes to unite all North American beverage
operations, including Pepsi-Cola, Tropicana and Gatorade,
intoone new division PepsiCo Beverages and Foods NorthAmerica.
PepsiCo announces $5 billion share repurchase program.
Starbucks unveils white vanilla and coconut
crA-meFrappuccino.
Tropicana has new ad campaign for Tropicana Pure
Premium Healthy Kids - TV spots designed to capture theessence
of childrens needs.
Galaxy Nutritional Foods launches Ultra Smoothies madewith
Tropicana juices
PepsiCo publishes Health and Wellness Philosophy.
(onpepsico.com)
Frito-Lay announces it is eliminating trans fats fromDoritos,
Tostitos, and Cheetos.
Frito-Lay announces plans to introduce Lays Reduced Fat
chips and Cheetos Reduced Fat snacks. Quakers Nutrition for
Women team has developed a Food
GuidePyramid for Women as well as an online nutritional
assessment.
Brand Pepsi has a new look.
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Beyonce Knowles has joined the Pepsi family and willcollaborate
with Pepsi two new TV commercials, radio io, andInternet ads
PepsiCo introduces Marathon Kids, a program that
encourages kids and their families to be more physically
active.The program debuts in Dallas, TX.
Tropicana introduces a new campaign with the tag lineSo pure. So
alive. Tropicana Pure Premium.
Tropicana Pure Premium and Quaker Oatmeal launch theHeart and
Soul Mates Support Network featuring nutrition tips,motivational
messages and coaching advice, to help consumersturn healthy habits
into life-long change.
2001 Milestones :
Pepsi-Cola Company launches Dole single-serve juices inrending
machines. coolers and other retail outlets throughoutthe United
States.
Pepsi-Colas flagship brand will have new tagline, The Joyof
Pepsi.
Tropicana celebrates a company milestone - 300 billionfresh
oranges squeezed since the company began makingcountrys first ever
mass distributed, not-from-concentrate
juice in 1947 Tropicana introduces Smoothies. A natural
juice-based
product, smoothies combine fruit juices and non-fat yogurt intoa
smooth, filling drink that delivers nutrition, taste
andconvenience.
Pepsi-Cola launches the bold new Mount,;.- Dew CodeRed
nationwide. It is Mountain Dews first line extension sincethe
introduction of Diet Mountain Dew in 1988.
May 2 -The Board of Directors of PepsiCo, Inc. electedSteven S
Reinemund chairman of the board and chief executiveofficer,
succeeding Roger Enrico who will become vicechairman. The board
also elected liidra K. Nooyi as a directorand gave her the
additional title of president of PepsiCo inaddition to CFO
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Frito-Lay introduces Lays Bistro Gourmet potato chips.
Pepsi-Cola Company introduces a Pepsi Twist. Regularand diet
versions of the crisp new cola with lemon are enteringretail
outlets in selected U.S. markets.
SLAM, the orange brand Mirinda. is launched in Italy.
PepsiCo acquires Tasali Foods, Saudi Arabias leadingsnack
company.
On August 2, PepsiCo merges with The Quaker OatsCompany,
creating a $25 billion food and beverage companyfocused on the
rapidly growing consumer demand forconvenience.
Tropicana Pure Premium Low Acid orange juice makesofficial debut
atTropicana 400
Diet Sierra Mist is Introduced
2000 Milestones :
Pepsi-Cola revives its Pepsi Challenge advertisingcampaign.
Challenge includes Pepsi One and Diet Coke as wellas regular
cola.
Pepsi-Cola teams up with Yahoo Inc., the biggest webnavigation
company, in a multimedia marketing campaignaimed at teens and
campaign young adults.
Tropicana, in a joint venture with Galaxy Foods Co.,
willintroduce an icy smoothie soy milk-and-fruit drink, made
withjuice, fruit puree along with soymilk and soy protein.
Aquafina brand bottled water becomes the best-sellingbrand of
single-serve bottled water in US retail channels.
PepsiStuff.com, a web site for merchandise, discounts anddigital
music files from biggest names in movies, music, videogames,
apparel and sports is launched in joint promotion with
Yahoo
Pepsi-Cola launches Sierra Mist a caffeine-free,lemon/lime
soda.
The North American Coffee Partnership launched Caramel-flavored
bottled Frappuccino Coffee Drink - the sixth flavoraddition to its
popular line of ready-to-drink coffee.
PepsiCo, Inc. reaches agreement to acquire a majoritystake in
South Beach Beverage Company, whose highly
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innovative SoBe brand has made it one of industrys
mostsuccessful companies
PepsiCo, Inc. and The Quaker Oats Company reached anagreement to
merge.
PepsiCo completes the acquisition of a majority stake inSouth
Beach Beverage Co
PepsiCo sales are $20 billion and the company has125,000
employees at year end
PepsiColaunchesDiversity@work,http://www.pepsico.com/diversity
website.
1999 Milestones :
Tropicana introduces two new calcium-fortified PurePremium
juices: Pure Premium Grovestand Calcium and PurePremium Ruby Red
Grapefruit Calcium.
Pepsi launches The Joy of Cola advertising campaign.
In March, The Pepsi Bottling Group, the worlds largestPepsi
bottler, begins trading on the New York Stock Exchange.It is listed
under the symbol PBG. The $2.3 billion publicoffering is among the
biggest initial public offerings in stockmarket history.
Steve Reinemund named president of PepsiCo.
Hallie Eisenberg Joy of Cola commercials named #6 ofFifty
Greatest TV commercials of all time, by TV Guide.
Lipton introduces Iced Tea Green Tea with Honey and
DietPeach.
PepsiCo and Suntory Limited signed an agreement tocreate a joint
venture linking bottling networks in NorthCarolina and New York.
The new company, Pepsi BottlingVentures, will be the third largest
bottler in the Pepsi system.
Tropicana juices are entering the huge India market forthe first
time. Spearheaded by Tropicana Asia Pacific, orange
juice will appear in the New Delhi and Bangalore markets
Frito-Lay introduces a new corporate logo.
Frito-Lay signs agreement with Oberto Sausage to be theexclusive
distributor of the natural-style jerky.
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1998 Milestones :
Pepsi-Cola introduces two-liter plastic bottle with built-in
grip handle that makes it easier to grip and pour. PepsiCo
Chairman and CEO Roger A. Enrico donates his
salary to provide scholarships for children of
PepsiCoemployees.
Pepsi introduces new look called the Globe whichprominently
features a 3-dimensional Globe against a blue icebackdrop.
Pepsi-Cola announces breakthrough product: Pepsi
One,great-tasting, one-calorie cola is first in United States
with
newly FDA approved sweetener SunettAk. Former Chairman and CEO
Wayne Calloway dies on July
9th. He joined PepsiCo in 1967 becoming its Chairman and CEO
in1986.
PepsiCo acquires Tropicana Products from SeagramCompany Ltd.,
the biggest acquisition ever undertaken byPepsiCo. Tropicana was
founded in 1947 by Anthony Rossi. Itsmajor brand is Tropicana Pure
Premium Juices.
The Frito-Lay Company purchases Smiths SnackfoodCompany in
Australia from United Biscuits Holdings, Inc.(Purchase completed on
Aug. 26.)
In November the PepsiCo Board of Directors authorizesthe company
to convert a significant portion of its $7 billioncompany-owned
bottling operations, The Pepsi Bottling Group(PBG) into public
ownership.
PepsiCo signs groundbreaking 10-year agreement with theYMCA of
the USA through which both Pepsi-Cola and Frito-Laywill
develop national and local marketing programs to supportthe
organizations many charitable efforts.
Frito-Lay becomes the snack chip leader in South andCentral
America as it enters a joint venture with EmpreseasPolar SA of
Venezuela.
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Frito-Lay acquires Barcel, Chiles second-largest
snackcompany.
Frito-Lay acquires an expanded state in Tasty FoodsEgypt.
Pepsi and Frito-Lay media buying is consolidated.
PepsiCo products contribute more than any otherpackaged goods
company to the sales growth in U.S.supermarkets, mass merchandisers
and chain drug stores.
Tropicana Products, Inc. acquires Alimentos del Valle S.A.,one
of Spains leading chilled juice and soup companies.
1997 Milestones :
Pepsi-Cola introduces new advertising campaign with thetheme
Generation Next.
Pepsi-Cola North American bottling operations become aseparate
unit called The Pepsi-Cola Bottling Co.
National roll-out of Aquafina bottled water.
Frito-Lay announces plans to buy the 104-year-old snack,Cracker
Jack, a candy-coated mix of popcorn and peanuts fromBorden Foods
Corp.
Pepsi-Cola kicks off the celebration of its 1998 100th
Anniversary with first worldwide bottlers conference, held
inHawaii. Frito-Lay introduces Doritos 3Ds Tortilla Chips, a
triangle-
shaped chip
1996 Milestones :
Pepsi-Cola launches Pepsi World at
Pepsi Stuff unveiled. Consumers save points formerchandise.
PepsiCo stocks splits two-for-one.
Pepsi-Cola domestic and international operationscombined into
Pepsi-Cola Company. International and domesticsnack food operations
combined into one business unit calledFrito-Lay Company.
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Mountain Dew launches a massive beeper network calledThe
Mountain Dew Extreme Network.
PepsiCo, Inc. and Lucasfilm Ltd. announce the largestpromotional
alliance in entertainment history, linking existing
and future Star Wars series with PepsiCo beverage, snack
foodsand restaurant brands worldwide.
Pepsi-Cola and MTV establish a partnership to
developinternational programming, cross promotions, marketing
tie-insand special events.
Filming of the worlds first commercial in space.Cosmonauts shoot
a large blue Pepsi can in orbit outside theMIR Space station.
International retail sales.
brand tortilla chips exceed $250 million, global expansionnears
20 countries. PepsiCo announces plans to spin off its
restaurant
businesses as an independent publicly-traded company, sell
itsfood distribution company and focus on its core beverage
andsnack food businesses.
The spin-off is completed October 6, 1997. Shareholdersreceive
one share in the new restaurant company, TriconGlobal Restaurants,
Inc., for every 10 shares they hold inPepsiCo, Inc.
PepsiCo is now a $20 billion company with approximately140,000
employees worldwide.
Pepsi-Cola introduces Nothing else is a Pepsi theme line.
Pepsi-Cola is top ad scorer in Super Bowl.
Mountain Dew sponsors the Grammy Awards. Theme lineis Been
There, Done That, Tried That.
The Pepsi Lipton Tea Partnership debuts new ad
campaignemphasizing Theres only one Original.
Pepsi-Cola introduces Smooth Moos Smoothies, a line oflow-fat
dairy shakes.
Roger Enrico succeeds Wayne Calloway as chief executiveofficer
and chairman of the Board of Directors.
1995 Milestones :
Pepsi-Cola introduces Nothing else is a Pepsi theme line.
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Pepsi-Cola is top ad scorer in Super Bowl.
Mountain Dew sponsors the Grammy Awards. Theme lineis Been
There, Done That, Tried That.
The Pepsi Lipton Tea Partnership debuts new ad campaign
emphasizing Theres only one Original. Pepsi-Cola introduces
Smooth Moos Smoothies, a line of
low-fat dairy shakes.
7Up International launches 7UP Ice Cola, a new clear cola.
Frito-Lay aggressively expands its low/no-fat snacksegment.
Baked Lays is introduced.
Frito-Lay tests Baked Tostitos, Rold Gold Fat Free
Pretzels,Ruffles Reduced Fat Potato Chips and Tostitos fat-free
salsasand black bean dip brands. Campaign line is Taste the fun,
not
the fat. PepsiCo will introduce Lays brand potato chips in
20
markets throughout the world.
1994 Milestones :
Pepsi-Cola is first major soft drink maker to beginproducing and
distributing its product in Vietnam
PepsiCola launches its sports drink All Sport. It is sold
in2001.
Pepsi-Cola International acquires Indian company, its firstbig
bottling plant in Bombay.
Doritos is introduced to the United Kingdom, marking thecreation
of a new global brand.
Frito-Lay and K.C. Masterpiece Original Brand BarbecueSauce
Original launches Lays Masterpiece brand BarbecueFlavor Potato
Chips, marking the first time Lays has enteredinto a co-branding
agreement.
PepsiCo and Starbucks form the North American CoffeePartnership
to jointly develop ready-to-drink coffee beverages.
Pepsi-Cola licenses the Citrus Hill trademark from TheProcter
& Gamble Co. to launch a line of fountain juices anddrinks.
China gets cheese-less Cheeotos, the first time a
majorsnack-food brand will be produced in China for Chinese
tastes.
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Reba McEntire becomes first celebrity to appear nationallyon a
Frito-Lay package.
Frito-Lay nationally launches new baked Rold Gold FatFree Thins
Pretzels, the first fat free reduced sodium pretzel
introduced by the company. Wake Forest University names its
School of Business and
Accountancy in honor of Wayne Calloway.
PepsiCo sales reach $30.4 billion. There are 470,000employees
worldwide, making PepsiCo the third largestemployer.
1993 Milestones :
Frito-Lay launches new Doritos brand Tortilla Thins. Withinfive
months of launch, Tortilla Thins breaks into the ranks ofthe 10
largest-selling snack chips in the U.S
After a 27-year absence, Pepsi returns to Broadway withthe
lighting of a spectacular new neon sign in Times Square.
Both PepsiCo beverages and snack food operating profitspass the
$1 billion mark.
Pepsi-Cola introduces freshness dating.
Frito-Lay introduces Baked Tostitos brand Tortilla Chips. Pepsi
introduces The Cube, an innovative 24-can
multipack, that satisfies growing consumer demand forconvenient
large size soft drink packaging.
PepsiCo acquires East Side Marios Restaurants Inc. It sellsthe
40 units in 1997.
PepsiCo acquires DAngelo Sandwich Shops chain, which issold in
1997.
Pepsi-Cola International introduces Pepsi Max, a soft drinkwith
unique blend of sweeteners that delivers maximum colataste in a
no-sugar product.
Frito-Lay nationally launches Wavy Lays Original and AuGratin
flavors.
Pepsi-Cola introduces Aquafina bottled water into
testmarket.
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1992 Milestones :
PepsiCo purchases an equity interest in California PizzaKitchen.
It is sold in 1997.
Pepsi-Cola introduces new Gotta Have It advertising
theme and launches the Gotta Have It card. Frito-Lay and General
Mills agree to merge snack food
businesses in Europe.
Frito-Lay introduces reformulation of Doritos brand
NachoCheesier flavored tortilla chips.
Frito-Lay presents network Lays/Ruffles advertising thefirst in
10 years.
Frito-Lay enlists George Foreman for Doritos advertising.
Pepsi introduces new slogan Be Young - Have Fun - Drink
Pepsi. Pepsi-Cola begins distribution of Liptons line of
ready-to-
drink teas nationwide.
1991 Milestones :
PepsiCo acquires an equity interest in Wedel SA, theleading
manufacturer of chocolate and confectionery in PolandSnacks now
include operations in 23 countries.
Pepsi-Cola introduces a new logo, its eighth in 93
years.Advertising features rap singer MC Hammer.
Pepsi-Cola forms joint venture with Thomas J. Lipton Co.
todevelop and market tea-based drinks. p
Frito-Lay launches Sunchips, its first multigrain snack.
Frito-Lay introduces Chee tos Paws
Frito-Lay introduces Tostitos brand Restaurant-Styletortilla
chips.
Ray Charles teams up with the Uh-Huh Girls. The sloganfor Diet
slogan Pepsi is modified to You Got The Right OneBaby, Uh-Huh!
PepsiCo purchases an equity position in Carts of Colorado,Inc.,
the leading manufacturer and marketer of mobilemerchandising
equipment. It is sold in 1995.
1990 Milestones :
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PepsiCo acquires a controlling interest in Gamesa,Mexicos
largest cookie company.
Frito-Lay advertising for Doritos brand tortilla chipsfeatures
talk celebrity Jay Leno.
PepsiCo signs the largest commercial trade agreement in
history with the Soviet Union.
PepsiCo profits exceed $1 billion for the first time.
1989 Milestones :
PepsiCo acquires Walkers Crisps and Smith Crisps, two ofthe
United Kingdoms leading snack food companies.
PepsiCo acquires Smartfood ready-to-eat popcornbusiness.
PepsiCo enters top 25 of Fortune 500 ranking with sales of$15.4
10, billion, it is number 23. The company has more than300,000
employees.
1988 Milestones :
Pepsi-Cola International enters a landmark joint
ventureagreement in India.
Renewed accord with the Soviet Union extends PepsiCotrade
relationships.
Hostess Frito-Lay, a major new partnership in Canada, isformed
with Hostess Foods in Canada.
Chase, a four-part Pepsi ad featuring Michael Jackson inhis
first-ever episodic commercial, airs during the Grammyawards and
becomes the most-watched commercial inadvertising history.
Pepsi-Cola runs first paid advertisement on Soviet TVduring
Pozner in America, a joint US-Soviet production.
Worldwide retails sales of Doritos brand tortilla chips hit$1
billion. It is the worlds largest selling snack chips brand.
PepsiCo introduces SharePower Stock Optio program forall
employees, becoming the first large corporation to awardstock
options to virtually all full-time employees.
1987 Milestones :
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Mustang, a Diet Pepsi commercial, becomes the first adever to
appear in a home video cassette. The cassette, TopGun, becomes the
largest-selling video ever.
Machine, David Bowie and Tina Turner.
Frito-Lay pioneers the use of hand-held computers for
marketing.
1986 Milestones :
Wayne Calloway becomes chairman of the Board ofDirectors and
chief executive officer in May when Donald M.Kendall retires.
The corporation is reorganized and decentralized.Beverage
operations are combined under PepsiCo Worldwide
Beverages; snack food operations are combined under
PepsiCoWorldwide Foods.
Shareholders approve reincorporation of PepsiCo in
NorthCarolina.
PepsiCo stock splits three-for-one.
PepsiCo purchases Kentucky Fried Chicken, the leader inthe quick
service chicken market. KFC was founded by ColonelHarland Sanders.
Colonel Sanders began franchising thecompany in 1952. KFC is spun
off along with Pizza Hut and
Taco Bell businesses as Tricon Global Restaurants, Inc. in
1997.
PepsiCo purchases Seven-Up International, the thirdlargest
franchise soft drink operation outside the United States
PepsiCo passes $10 billion in sales.
PepsiCo is listed on the Tokyo stock exchange.
Chester Cheetah makes his prime-time television debutfor
Frito-Lay with a fully animated commercial for Cheeotoscheese
flavored snacks.
Dew it Country Cool, becomes new slogan for MountainDew.
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Diet Pepsi gets a new logo.
Pepsi-Cola acquires Mug Root Beer.
Pepsi-Cola sponsors the first Western-produced
consumercommercial in the Soviet Union, appearing during the
Goodwill
Games. PepsiCo Board of Directors visits the Peoples Republic
of
China to mark the opening of Pepsis second bottling plant
inChi
Bottling in China.
Frito-Lay introduces Santitas brand restaurant style
tortillachips.
1985 Milestones : PepsiCo is now the largest company in the
beverage
industry. The company has revenues of more than $7.5
billion,more than 137,000 employees.
Pepsi-Cola products are available in nearly 150 countriesand
territories around the world. Snack food operations are in10
international markets.
Frito-Lay expands into new headquarters in Plano, Texas.
PepsiCos first line of sweet snacks, Sonrics, is added in
Mexico. The cola war takes one giant sip for mankind, when a
Pepsi space can is successful tested aboard the
spaceshuttle.
Pepsis successful Entertainment Marketing strategy isextended,
with singers Lionel Richie and Tina Turner and actorMichael J. Fox,
among others.
Pepsi distributes products in China.
1984 Milestones :
PepsiCo is restructured to focus on its three corebusinesses:
soft drinks, snack foods and restaurants.
Transportation and sporting goods businesses are sold.
Wayne Calloway becomes president of PepsiCo.
Diet Pepsi is reformulated with 100% NutraSweet.
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Slice and Diet Slice, the first major soft drinks with
fruitjuice, are introduced.
Pepsi-Cola makes advertising history as Michael Jacksonand his
brothers usher in a new generation of Pepsi-Cola
advertising in two of the most eagerly-awaited
televisioncommercials featuring music marketing. Pepsi becomes
TheChoice of a New Generation.
Herman W. Lay Award of Excellence established at Frito-Lay to
recognize world-class selling excellence.
1983 Milestones :
The Bottler Hall of Fame is established to recognize the
achievement and dedication of international bottlers. Dew It to
It, theme is incorporated to brand Mountain
Dew.
1982 Milestones :
Pepsi Free and Diet Pepsi Free, the first major
brandcaffeine-free colas, are introduced.
Inauguration of the first Pepsi-Cola operation in China.
1981 Milestones :
PepsiCo passes $7 billion in sales.
Tostitos brand crispy round tortilla chips are introduced
byFrito-Lay.
PepsiCo Fitness Center is completed; making PepsiCo oneof the
most advanced companies in the area of employeehealth and
fitness.
Frito-Lay begins nutritional labeling on a national basis
Pepsis got your taste for life( is the new campaign. PepsiCo and
China reach agreement to manufacture soft
drinks, with agreement production beginning in 1982.
PepsiCo launches PepsiCo Food Systems (PFS), itsrestaurant
supply company. PFS is sold to AmeriServe in 1997.
Give me a Dew succeeds the ,,, sloan Reach for theSun, Reach for
slogan a Mountain Dew.
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1980 Milestones :
PepsiCo Food Service International (PFSI) is formed tofocus on
overseas development of restaurants.
PepsiCo now has 111,000 employees. First presentation of the
international Donald M. Kendall
Bottler-of the-Year Award.
Frito-Lay begins nationwide roll-out of Grandmas
brandcookies.
Garden designer Russell Page (1906-1985) begins toextend the
gardens at PepsiCo.
1979 Milestones :
Opening of PepsiCo Research and Technical Center inValhalla,
N.Y.
PepsiCo reaches $5 billion in sales. PepsiCos international
snack food operations continue to
grow. It is now larger than Frito-Lay at the time of its
mergerwith Pepsi-Cola
Pepsis new campaign, Catch that Pepsi Spirit! reflectsthe upbeat
campaign, attitude of an increasingly positiveAmerica
Hello Sunshine campaign remains basically intact,theme line is
changed to Reach for the Sun, Reach forMountain,Dew.
Pepsi introduces twelve-pack cans.
1978 Milestones :
Taco Bell is acquired. Taco Bell was established in the mid1960s
by Glen Bell. It is spun off along with Pizza Hut and KFCbusinesses
as Tricon Global Restaurants, Inc. in 1997. Laterbecomes YUM.
1977 Milestones :
PepsiCo acquires Pizza Hut, Inc. Pizza Hut was founded in1958 by
Dan and Frank Carney. It is spun off along with Taco
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Bell and KFC businesses as Tricon Global Restaurants, Inc.
in1997.
PepsiCo passes the $3 billion mark in sales.
PepsiCo stock splits three-for-one.
1976 Milestones :
The Pepsi Challenge, introduced in Dallas, Tex. in 1975,becomes
a national campaign. Around the nation, consumersselect Pepsi-Cola
as the best tasting cola.
PepsiCo adopts Code of Worldwide Business Conduct.
Pepsi-Cola becomes the single largest selling soft drinkbrand
sold in U.S. supermarkets. Advertising campaign isHave a Pepsi day!
Puppies, becomes one of Americas best-
loved ads.
1975 Milestones :
PepsiCo has 49,000 employees
Pepsi Light, with a distinctive lemon taste, is introduced asan
alternative to traditional diet colas.
Hello Sunshine becomes the slogan for Mountain Dew
1974 Milestones :
PepsiCo sales pass the $2 billion mark. Pepsi-Cola becomes the
first American consumer product
to be produced, marketed and sold in the former Soviet
Union.
1973 Milestones :
Foods International, later called PepsiCo FoodsInternational
(PFI) and subsequently named Frito-LayInternational, is established
to market snack foods around theworld.
Individualism flourishes, Pepsi advertising picks up on
themovement, plays it back as Join the Pepsi people, feelin
free.
The third Mountain Dew slogan appears Put A LittleYahoo in Your
Life.
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1972 Milestones :
Mountain Dew, acquired by Pepsi-Cola in 1964, switchesits
advertising and package graphics from hillbillies to
action-oriented scenes. Sales climb and Mountain Dew will
become
one of the 10 best-selling soft drinks in the United States Don
Kendall announces agreement making Pepsi-Cola the
first foreign product sold in the then U.S.S.R. PepsiCo is
givenexclusive rights to import Stolichnaya Russian vodka in the
U.S.
1971 Milestones :
PepsiCo Chief Executive Officer Donald M. Kendallassumes the
position of chairman of the Board of Directors onthe retirement of
Herman W. Lay. Lay maintains an active rolein the corporation until
his death December 6, 1982.
Andrall E. Pearson is appointed president of PepsiCo, aposition
he holds until his retirement in 1984.
1974 Milestones :
PepsiCo sales pass the $2 billion mark.
Pepsi-Cola becomes the first American consumer productto be
produced, marketed and sold in the former Soviet Union.
1973 Milestones : Foods International, later called PepsiCo
Foods
International (PFI) and subsequently named
Frito-LayInternational, is established to market snack foods around
theworld.
Individualism flourishes, Pepsi advertising picks up on
themovement, plays it back as Join the Pepsi people, feelin
free.
The third Mountain Dew slogan appears Put A LittleYahoo in Your
Life.
1972 Milestones : Mountain Dew, acquired by Pepsi-Cola in 1964,
switches
its advertising and package graphics from hill scenes.
Salesclimb and Mountain Dew will become one of the 10
best-sellingsoft drinks in the United States.
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Don Kendall announces agreement making Pepsi- Cola thefirst
foreign product sold in the then U.S.S.R. PepsiCo is givenexclusive
rights to import Stolichnaya Russian vodka in the U.S.
1971 Milestones : PepsiCo Chief Executive Officer Donald M.
Kendall
assumes the position of chairman of the Board of Directors onthe
retirement of Herman W. Lay. Lay maintains an active rolein the
corporation until his death December 6, 1982.
Andrall E. Pearson is appointed president of PepsiCo, aposition
he holds until his retirement in 1984.
1970 Milestones :
PepsiCo sales pass the $1 billion mark. The company has36,000
employees.
PepsiCo moves from New York City to new worldheadquarters in
Purchase, N.Y. The new corporateheadquarters feature a building by
one of Americas foremostarchitects, Edward Durrell Stone
(1902-1978), set on a campusof 144 acres amid an outdoor sculpture
garden.
Frito-Lay begins a program of expansion. Over the nextdecade,
the company opens, on average, more than one newplant a year.
W.C. Fritos is introduced as Frito-Lays new
advertisingmascot.
Wilson Sporting Goods, a top name in sports equipment,joins
PepsiCo. It is divested in 1985.
Pepsi introduces the industrys first two-liter bottle.
Pepsi is the first company to respond to consumerpreference with
lightweight, recyclable, plastic bottles.
1969 Milestones : Bold, modem Pepsi-Cola packaging using red,
white and
blue is using introduced. Youve got a lot to live, Pepsis got
alot to give, becomes the advertising theme.
Frito-Lay introduces Funyuns brand onion flavored snacks.
Mountain Dew changes its slogan to Get That BarefootFeelin
Drinkin Mountain Dew.
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1968 Milestones :
North American Van Lines (NAVL), a premiertransportation
company, joins PepsiCo. NAVL remains a strodng
contributor to PepsiCo until it is divested in 1984.
1967 Milestones :
Pepsi Generation advertising, Come Alive! Youre in thePepsi
Generation campaign that named and claimed a wholegeneration
(1963-67), introduces a new theme: Taste thatbeats the others cold.
Pepsi pours it on!
1966 Milestones :
Doritos brand tortilla chips are introduced. They aredestined to
become the most popular snack chip in the U.S.
Pepsi enters Japan and Eastern Europe.
1965 Milestones :
PepsiCo, Inc. is founded by Donald M. Kendall, Presidentand
Chief Executive Officer of Pepsi-Cola and Herman W. Lay,Chairman
and Chief Executive Officer of Frito-Lay, through themerger of the
two companies. Pepsi-Cola was created in thelate 1890s by Caleb
Bradham, a New Bern, N.C. pharmacist.
Frito-Lay, Inc. was formed by the 1961 merger of the
FritoCompany, founded by Elmer Doolin in 1932, and the H. W.
LayCompany, founded by Herman W.Lay, also in 1932. HermanLay is
chairman of the Board of Directors of the new company;Donald M.
Kendall is president and chief executive officer. Thenew company
reports sales of $510 million and has 19,000employees.
Pepsi in India
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By most accounts, Pepsi gained entry to India in 1988 bycreating
a joint venture with the Punjab government-ownedPunjab Agro
Industrial Corporation (PAIL) and Voltas IndiaLimited. This joint
venture marketed and sold Lehar Pepsi until
1991 when the use of foreign brands was allowed; Pepsi boughtout
its partners and ended the joint venture in 1994.Othersclaim that
firstly Pepsi was banned from import in India,in 1970, for having
refused to release the list of its ingredientsand in 1993, the ban
was lifted, with Pepsi arriving on themarket shortly afterwards.
These controversies are a reminderof Indias sometimes acrimonious
relationship with hugemultinational companies. Indeed, some argue
that Coke andPepsi have been major targets in part because they are
well-known foreign companies that draw plenty of attention. In
2003, the Centre for Science and Environment (CSE), a
non-governmental organization in New Dehli, said aerated
watersproduced by soft drinks manufacturers in India,
includingmultinational giants PepsiCo and Coca-Cola, contained
toxinsincluding lindane, DDT, malathion and chlorpyrifos
pesticidesthat can contribute to cancer, a breakdown of the
immunesystem and cause birth defects. Tested products includedCoke,
Pepsi, Seven Up, Mirinda, Fanta, Thumbs Up, Limca,Sprite. CSE found
that the Indian-produced Pepsis soft drink
products had 36 times the level of pesticide residues
Permittedunder European Union regulations; Coca Colas 30 times.
CSEsaid it had tested the same products in the US and found nosuch
residues. However, this was the European standard forwater, not for
other drinks. No law bans the presence ofpesticides in drinks in
India.Coca Cola and PepsiCo angrilydenied allegations that their
products manufactured in Indiacontained toxin levels far above the
norms permitted in thedeveloped world. But an Indian parliamentary
committee, in2004, backed up CSEs findings and a
government-appointedcommittee is now trying to develop the worlds
first pesticidestandards for soft drinks. Coke and PepsiCo opposed
the move,arguing that lab tests arent reliable enough to detect
minutetraces of pesticides in complex drinks. On Decernee7,
2004,Indias Supreme Court ruled that both Pepsi and
competitorCocola must label all cans and bottles of the respective
soft
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drinks with a canitrner warning after tests showedunacceptable
levels of residual pesticides.Both companiescontinue to maintain
that their products meet all internationalsafety standards without
yet implementing the Supreme Court
ruling. As of 2005, Coke and Pepsi together hold 95% marketshare
of soft-drink sales in India. Pepsi has also been alleged
topractice water piracy due to its role in exploitation of
groundwater resources resulting in scarcity of
drinking water for the natives of Pudussery panchayat in
thePalakkad distict in Kerala, India. Local residents have
beenpressuring the government to close down the Pepsi unit in
thevillage.Coca-Cola controlled the Indian market until 1977, when
the
Janata Party beat the Congress Party of then Prime
MinisterIndira Gandhi. T o punish Coca-Colas principal bottler,
aCongress Party stalwart and longtime Gandhi supporter, the
Janata government demanded that Coca-Cola transfer its
syrupformula to an Indian subsidiary (Chakravarty, 43).
Coca-Colabalked and withdrew from the country. India, now left
withoutboth Coca-Cola and Pepsi, became a protected market. In
themeantime, Indias two largest soft-drink producers have
gottenrich and lazy while controlling 80% of the Indian market.
These
domestic producers have little incentive to expand their
plantsor develop the countrys potentially enormous market .
Someanalysts reason that the Indian market may be more
lucrativethan the Chinese market. India has 850 million
potentialcustomers, 150 million of whom comprise the middle
class,with disposable income to spend on cars, VCRs, andcomputers.
The Indian middle class is growing at 10% per year.
To obtain the license for India, Pepsi had to export $5 of
locally-made products for every $1 of materials it imported, and it
hadto agree to help the Indian government to initiate a
secondagricultural revolution. Pepsi has also had to take on
Indianpartners. In the end, all parts involved seem to come
outahead: Pepsi gains access to a potentially enoalTys
market;Indian bottlers will get to serve a market that is
expandingrapidly Pecauise of competition; and the Indian
consumerbenefits from the competition fibm abroad and will pay
lower
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prices. Even before the first bottle of Pepsi hit the shelves,
localsoft drink manufacturers increased the size of their bottles
by25% without raising costs.From Joint Venture to Fully-Owned
Subsidiary Pepsi is no longer
a joint venture company with its Indian partners. Taking
fulladvantage of liberalised policies, it has taken full control
ofPepsi Foods. In 1994, Pepsi made a offer to both Voltas andPAIC
to buy their equity at attractive terms. Voltas sold all itsshares
to Pepsi while PAIC, being a public enterprise, wasforced to pull
out and now it holds less than 1 percent of thetotal equity in
Pepsi Foods Ltd. Instead of taking strict, actionagainst Pepsi for
not following its commitments, the Indiangovernment has given more
concessions to it in the post-liberalisation period. For instance,
it has allowed Pepsi to
increase its turnover of beverages component to beyond
25percent, and Pepsi is also no longer restricted by itscommitment
to export 50 percent of its turnover. Recently thegovernment also
allowed PepsiCo to set up a new company inIndia called PepsiCo
India Holdings Pvt.Ltd, a wholly ownedsubsidiary of PepsiCo
International. Surprisingly, the newcompany is also engaged in
beverage manufacturing, bottlingand exports activities as Pepsi
Foods Ltd. All the newinvestments by the PepsiCo International have
been
channelised through this new venture. It now handles 28bottling
plants with a sales turnover of Rs 500 crores which ishigher than
Pepsi Foodss turnover of Rs.375 crore in 1996.(The Financial
Express, April 21, 1997). Although the financialperformance of both
these companies in India has not beencreditable so far, with total
accumulated losses close to Rs.350crore (except small surplus in
1996), yet it has been successfulin achieving significant market
share and brand royalty in India.
The company in recent years has not only bought over bottlersin
different parts of India but also bought Dukes, a popular
soft-drink brand in western India to consolidate its market share.
Ithas also shrewdly consolidated its position through
aggressivemarketing and advertising in India. According to
surveysconducted by many market research agencies, Pepsi now
holdsover 40
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percent share in Indian soft drink market. In 1995 alone,
thecompanys beverage business grew 50 percent, well ahead ofthe
market which expanded by 20 percent. Another importantrecent shift
in Pepsis marketing strategy has been its focus on
Cola over other non-Cola brands. We have single- mindedlyfocused
on brand Pepsi admits Rishi, Vice-President,Marketing, and Pepsi.
(Business India, January 15-28, 1996). Atthe international level,
PepsiCo International has been focusingmore on India where the
consumption of soft drinks is expectedto increase many-fold which
is only three ounces per personflow as compared to 200 ounces in
Europe and over 300ounces in North America. But, at the same time
it is notrealized that there is a vast difference between the
purchasingpower of an average Indian and North American as it takes
an
Indian 1.5 hours of work to be able to buy a bottle of
Pepsiwhereas for a North American, it takes less than 5
minutes.
This experience of eight years clearly shows that Pepsi,
totallypreoccupied with selling soft drinks in India, has
brokenpromises. The responsibility of implementation of
commitmentscannot be left to Pepsi alone. One should expect the
statemachinery to intervene and enforce these commitments onPepsi.
Surprisingly, there is a total silence on the part of
statemachinery.
PEPSI COMPANY IN UTTAR PRADESH
Uttar Pradesh, which has spread of two 2,94,416sq. Km.
asgeographical area i.e. about 8.9% of Indias total
geographicalarea and 16.44% of total population still lives in
rural area ofthe state.
Pepsi company has divided North India in three regions
viz.Western, Central and Eastern region. The Central and
Easternregions are know as UPCOBO( Uttar Pradesh Company OwnedBoth
Operations) whereas western region is known asFOBO(Franchise Owned
Bottling Operation)
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The company has three bottling units (COBO) in Uttar Pradeshon
at Satharia (Allahabad), another at Kanpur Dehat and thirdat
bajpur.UPCOBO has five warehouseLucknow, Gorakhpur,Kanpur,
Allahabadand Bareilly. Warehouse are mainly for
storing finished Pepsi products from where the distributiontakes
place through direct and indirect routes. Direct routes inmarkets
area where Pepsi supplies its products through thewarehouse vans
.
Where indirect routes cover those market area where thecompany
appoints its distribution who supply in the market.
The company in U.P. operates its direct routes ony in two
citiesi.e. Luck now and Kanpur . The rest of area is covered
through
indirect routes of distribution.
