Comparison Of Pepsi-Cola And Frito-Lay, Inc.

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PepsiCo is a company that saw the light in 1965 thanks to Donald M. Kendall who decided to merge Pepsi-Cola Company and Frito-Lay, Inc., a strategic move necessary to stay competitive with their ever-growing opponent Coca-Cola (Enrico & Roger, 1986). Since then, this global company: markets, distributes and sells a large range of alimentary products and is thus the third biggest in its category. Its offer includes beverages, foods and snacks, which are present in various points of sales in more than 200 countries. Regarding the company’s beverage product portfolio, it includes famous brands of juices, teas, coffees, sports drinks and waters. It is however considered to be one of the most valuable firms in the world due to its presence in two …show more content…
As to be able to efficiently coordinate such an important firm, the company decided to locate its headquartered in New York, and employ around 274,000 people worldwide. (Sharon, 2014)
Its strengths also include its extensive distribution channel and successful marketing and advertising campaigns. (Jurevicius, 2013) On the other hand PepsiCo has a number of weaknesses such as an over-dependence on Wal-Mart, a much weaker brand awareness and market share compared to Coca-Cola and a relatively low net profit margin. (Jurevicius, 2013) As to overcome these weaknesses PepsiCo had to come up with an anthology of strategic moves in other to give birth to a comparative advantage compared to its rivals in the relevant
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The company did not previously have a company wide information and communications technology, such as a common ERP system. As the company had merged and acquired different companies, they did not have a common communication language. The mySAP Business Suite provides a platform where all PepsiCo’s services interact and share information. It helps unify operations, standardize processes and increase efficiency across its divisions (SAP, 2004).
SAP runs with the S/4HANA system, this system use the client/server model and provides the ability to store, retrieve, analyse, and process in many ways corporate data for financial analysis, production operation, human resource management, and most other business processes (Margaret Rouse, 2008). Moreover, this system is completely customizable to the customer needs. It uses the language HANA. mySAP Business Suite offers some hardware packages to optimize the utilisation of its product. mySAP Business Suite can be supported on hardware platforms such as : HP, IBM, Sun, AT&T, AS400, Bull, Sequent, SNI, Compaq Digital. Hardware packages offer different solutions to save data on the Microsoft Cluster server. It is also used to reduce the risk of system

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