PepsiCo AMEA: A Report on Strategic Issues and Marketing Strategies

This report provides a synopsis of the strategic issues faced by PepsiCo AMEA, focusing on challenges related to planning, consumer behavior, brand image, and costs. The analysis highlights the impact of changing consumer behavior, high costs, and brand image issues due to local culture adaptation. The report suggests alternative solutions such as leveraging social media, promoting healthier products, and innovative packaging designs. It outlines implementation strategies, including cost considerations, resource requirements, and potential benefits like increased sales and community health benefits, as well as potential barriers. The conclusion emphasizes the importance of addressing these challenges through creative packaging, brand image management, and the promotion of healthy products to achieve growth. The report references relevant marketing theories and concepts and includes a table of contents, findings, recommendations, implementation details, and references.

PepsiCo.

Synopsis
Strategic issues face by the companies at the time of
achieving the organisational goal. PepsiCo AMEA is also
faced the issues due to its planning process, or
strategies such as consumer behaviour, brand image
and high cost. Earlier, PepsiCo. AMEA earned 1billion
from its sale. The company can use the alternative
solution with the strong social media, promote healthy
product and other to handle the issues. At the time of
implementation company face some barriers and get
the advantages.

Table of Contents
Synopsis2
Finding: Issues faced by PepsiCo AMEA2
Recommendations: Alternative solution7
Implementation9
Conclusion10
References12

Issues faced by PepsiCo. AMEA
Changing Consumer Behaviour
ANALYSIS- Different consumers have different demand
and taste
Theory- Consumer behaviour theory which defines the
consumer behaviour towards the product.
Concepts- Need, Wants, demand and exchange
concept

Issues faced by PepsiCo. AMEA
High Cost
ANALYSIS- Multipack consumes the high cost
(Fuentes, 2017).
Theory- Cost leadership theory
Concept- Consumer satisfaction concept

Issues faced by
PepsiCo. AMEA
Brand Image due to Local Culture
adaptation
ANALYSIS- PepsiCo. Adopt the local culture
Theory- Culture Adaptation
Concept- Target markets, positioning,
segmentation

Alternative solution
Strong Social Media presence
Pros- Less cost consuming
Cons- Culture , religion, and government policies
Creative and cost effective Packaging
Pros- Attracts the consumer
Cons- Risk of consumer values (Kleppe, and
Mossberg, 2015).

Alternative solution
Promote healthier product
Pros- Encourage the other customer towards the
healthy product
Cons- Risk of loss of consumers

Recommendation
• Healthier product
solution.
• Healthy product is
beneficial for each and
every types of consumer
• consumer behaviour
theory

Implementation Cost
Resource Requirements
Amount ($)
Research and Development
10k-20k
Positioning strategy 5k- 10k
Manufacturing Cost 1 million*
Product Branding and Package Designing
10k- 15k
Social Media Marketing 1k-2k

Implementation
Benefits
• Increasing sale manages the cost
• Healthy product is beneficial for the community
(Divine, and Lepisto, 2005).
Barriers
• Many customers who did not like the taste
• Risk of complaints or loss of consumers

Conclusion
• The company faced the challenges.
• Promote the healthy product by create
creative packaging and others.
• Brand image
• The company will achieve the high growth