ASSIGNMENT

Business Economics Assignment

Business Economics Assignment

Section 1a

Pepsi Co. is an international organization which operates globally. The company immensely believes on fulfilling the needs and wants of its customers so that the brand loyalty must be maximized. The mission of the Pepsi is to become the world's leading consumer product company through focusing on convenient foods and beverages. The mission statement of the Pepsi shows that the company highly values its all stakeholders and the company believes in providing opportunities for growth and development. The main ingredients of the company are honesty, fairness and integrity.

Similarly, the vision of the Pepsi is to improve the world aspects in which the company operates such as the environment, social, economic. The vision statement of the company shows that the Pepsi thoroughly believes on the social and environmental agendas. The company maintains the long lasting relationship with its partners globally in order to have the competitive advantage from Coca Cola (Zmuda 2011, pp. 1).

Every business that is flourishing today is based on focusing on the customer. In the same way, the Pepsi since its inception has focused on the customer's tastes and preferences. So when a company meets the customers' requirements, then the company is surely on its way to success. The evaluation of meeting consumer needs is the value and volume of sales that a company makes.

Another strategy that Pepsi uses to increase its business performance is Reinvestment. Reinvesting profits is one of the leading strategies to sustainable business development. It is important that there is a capital base which can earn the company profits in the future. This capital base increases by reinvesting profits in the company.

Pepsi's strong following and quality product keep consumer loyal. Pepsi has kept the same product formula for many years, guaranteeing the same quality product purchase after purchase. Pepsi has a strong history of philanthropic giving to charities and scholarship programs that reinstate Pepsi's constant image. Even though, Pepsi is the leader in the soft drink industry, it remains as a speculative company due to the strong competition of its competitors. Pepsi's largest competitor, Coca Cola, offer similar products for a similar price. If Pepsi introduces a healthful and eco conscious product, while entering an untouched market, can lead to excessive returns or excessive losses.

The company has made two major contributions to the world market and its stakeholders. First is the contribution through its creative advertising and one of the world's best marketing teams. Secondly, the company is known to build slogans and campaigns that convey positive messages to the humanity. It instils a positive energy among the depressed, especially teenagers and youngsters. It is recommended that the company maintains this philosophy and strategy of marketing.

Section 1b

There are several stakeholders of the Pepsi Co., but mainly the three important stakeholders are the customers, investors and governments.

Pepsi has been successful in using the internationalising strategy to an extent that it has become one of the major reasons for the development of the ...