Pepsico Case Study

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The company believes in streamlining its supply chain operations for better efficiency. The Chief Executive officer of PepsiCo India, Shiv Shivakumar has streamlined the company’s operations in bottling by selling PepsiCo’s stakes in the north to the company’s largest bottler. In November 2014, the company had sold its stakes from four different bottling plants to its largest bottler in the North, RJ Corp. This move was mainly to increase the efficiency in terms of transportation costs. RJ Corp. controls the bottling operations in the East too when they got hold of operations of Delhi and Kolkata in 2012. This means that the same bottling company takes care of the operations from Wagah border till Bangladesh. PepsiCo’s supply chain of glass bottles has two stages, taking forward the bottles and bringing them back. The…show more content…
But salty snacks are available in only 5.5 million of these stores and so there is headroom to grow. The report also mentioned that Pepsi was selling its food and beverages in 2.5 million of these units. 3.1. One PepsiCo or “Power of One”: This is an idea proposed by the strategy team of PepsiCo which aims at the sharing of operations and the supply chain of all of PepsiCo’s product right from Lay’s and Quaker Oats to drinks like Pepsi and Tropicana. The Coca Cola Company (TCCC) is the major competitor for PepsiCo and is the world leader in soft drinks market with a value share of more than 25% whereas PepsiCo lags behind it considerably with a share of just over 11%. The company thinks that, the only way in which PepsiCo can beat TCCC is by the full integration of snacks and soft drinks. The challenge lies in integrating the two categories which are totally distinct in many ways. There are two major viewpoints about its implementation in a global

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