12월 사수자리

This is my presentation for the class, U.S. Business Strategy, that I took 2006 Spring. In this presentation, I look over the one hundred years of its history and analyzed its business strategy and business strategy of Korean subsidiary.

Pepsi, one of the longest survived companies, had been considered as a loser of "Cola-war"^[각주:1]. However, it suddenly gain its momentum to catch up Coca-cola from 2000, and it took over Coca-cola in terms of market capital in 2005 finally.



Based on my research, it growth was came from "Frito-Lay", which was merged by Pepsi in 2000, rather than Pepsi itself. More than 40% of carbonated drinks were sold in America, and carbonated drink sales are decreasing from 2000. So Pepsi chose to diversify its product portfolio so it bought "Quaker-Oats" in 2001 and complete its "Smart Choice" lineup, while Coca-cola concentrated on carbonated drinks and worked for international cola market. As a result, Pepsi is still losing to Coca-cola in terms of carbonated drink sales, however, it gained momentum to catch up market capital.

Future risks of Pepsi are:

1. Lack of long term strategy
2. Weak international distribution channel
3. Weak sales on fountain
4. Increased buying power and volume of retailers, such as megastores like Walmart
   
5. Carbonated drinks consumption is shrinking
6. Less brand loyalty in non-carbonated soft drink market