Objectives Of Pepsi Company
PepsiCo is among the largest Fortune 500 multinational companies in the world. The company begun in 1898, with the invention of the Pepsi-cola drink by chemist Caleb Bradham. The company has interests in the manufacturing, promotion, and supply of grain-based snacks and drinks in America, Europe, Latin America, Asia, and Africa. The company is estimated to have generated a revenue of 67 billion dollars by 2013, making it a success all over the world. With such statistics, it is undoubted that the company implements carefully thought out business strategies that work commendably with their goals and objectives.
The company’s primary goal is to refine the choices of beverages and foods they sell to their customers by creating healthy options that meets the needs of the customers. The company aims to achieve this by first, reducing the quantity of sugar added to the beverages significantly to 12-oz per serving hence, reducing calories intake. Second, is by producing healthier snacks through the reduction of amounts of saturated fats and volume of salts contained in them. Thirdly, it seeks to increase positive nutrition by expanding their ingredients to include fruits, vegetables, proteins and whole grains. Moreover, is by making available balanced foods and beverages to poor communities all over the world.
The company seeks to meet the goal of sustaining the value of shareholders and delivering extended financial performance. As the second biggest food and beverage industry player, the company adopted two strategies that have and continually makes them competitive and facilitates the achieving of high financial performance leading to profits. First, through the cost leadership strategy, the management adopts cost reduction strategy, which results in the company selling their products at low prices, offering promotional offers and discounts on purchases. Moreover, the company has adopted differentiation strategy. Here, the company gets to acquire more customers by creating unique products, for instance, healthy snacks such as potato chips with less amount of fat. Moreover, the company acquires more market shares by entering into new markets such as different countries and schools where they offer a variety of beverages that provide hydration options.
PepsiCo has the objective of protecting water supplies. The company argues that water is essential to the production of their products, as well as, helping to meet the food and resources needs of the world. The company first adopted the strategy of efficiency water use. Here, they aim at persistently decreasing the quantity of water used by their agricultural suppliers and during manufacturing and maximizing the process of water re-use to reduce pollution. Secondly, in a bid to protect the environment, the company supports the climate change agenda and aims at reducing their emission of greenhouse gases by 20 percent by 2030. Thirdly, the company strives to minimize their waste discharge to landfills, reduce food waste produced by the company and continually recycles and re-uses their packaging to prevent environment and water pollution.
The company also seeks to meet the objective of creating a safe and healthy environment. Being a company that employs, 264,000 employees, the company strives to meet the people goal. It does so through first, observing and respecting human rights through applying a code of conducts when dealing with employees, providing appropriate remuneration packages, providing protective gear and ensuring a safe work environment. Second, the company works towards expanding their sustainable farming initiative through increasing crop yields that result in increased livelihood for the farmers and workers. Third, the company supports diversity through the hiring of an inclusive and gender sensitive workforce that reflect the different societies all over the world. Moreover, it supports caregivers.