Situational Analysis of PepsiCo: SWOT Analysis, Strengths, Weaknesses, Opportunities, Threats

Business Administration
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Table of Contents
1
.Introduction...............................................................................................................................2
2. Situational analysis.................................................................................................................2
3. SWOT analysis.......................................................................................................................3
3.1. Strength............................................................................................................................3
3.2. Weaknesses......................................................................................................................3
3.3. Opportunities...................................................................................................................4
3.4. Threats.............................................................................................................................4
4. Conclusion..............................................................................................................................4
References..................................................................................................................................5

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1. Introduction
Incorporated in the year 1919 in Delaware, PepsiCo again got reincorporated in the year
1986 in North California. The firm leads global food and beverage industry by holding
complimentary brand portfolio, including Gatorade, Pepsi-Cola and Tropicana. Through
strategic operation, contract manufacturer, authorised bottlers, PepsiCo have made its
marketing, distribution and selling realise net revenues amounting $ 64,661 in the year 2018
(2% higher than 2017). At present, the firm is headquartered in New York city and operates
in more than 200 countries and territories (PepsiCo , 2018).
2. Situational analysis
Situational analysis is used by the firms to identify where they are at present and identify
own strengths and weaknesses related to external opportunities and threats. It is one way that
can help management to select a position in the industry as per identified factors (Blackwell
& Eppler, 2014). Situational analysis of PepsiCo reveals that the firm leads present food and
beverage industry through continuous innovation and effective marketing strategies that made
the firm realise global recognition. Though competition in food industry is fierce, PepsiCo
have added many nutritional and healthy products to gain consumers attention and increased
market share. The investment made in development and technology started bearing enhanced
results for the company and now PepsiCo focuses upon sustainability and CSR to maintain its
global image and reputation (PepsiCo , 2018). However, the increased competition in the
industry have made PepsiCo face tough rivalry with the companies like Coca-Cola and Dr
Pepper Snapple as both the brands have invested huge amount in marketing and other R&D
projects (Kell, 2017).