PepsiCo is one of the biggest and most famous companies that recognize the wide cooperation between snack, food, and beverage companies. It divides its products into five major classes, namely Pepsi Cola, Quaker, Gatorade, Tropicana and Frito-Lay, where each category has different brands.
The firm employs a different form of technology to improve its marketing and also increase its competitive advantage. For instance, they use a lot of display system/unit and vending machine patents on both pie charts. These machines enable buyers to compete in the random game, which is displayed on the screen, and win a free 20-ounce bottled beverage (Hafiz, 2015).). This free ounce may be redeemed after that at the Pepsi Interactive Vending machine. Buyers can also have their phones charged as they enjoy participating in the game through the USB ports connected directly to the devices. This is one way of attracting more customers. There is also an invention which mentions US20150053715 A1. The code provides various methods and systems used in dispensing fluids, such as using wireless technology. The price of Pepsi products differs in different countries. For instance, the cost of a 0.33-litre bottle in Switzerland is 4.11$; in South Africa, it is 1.01$; and in Egypt, it is 0.28$. There is no fixed price.
When it comes to competing, Pepsi pays most of its attention to marketing. The use of advertisements on television enables it to prove to the world that its high priority lies in the customer’s taste and preference. This is important since many people nowadays prefer taking stuff which is good for their health. This has enabled Pepsi to extend its business line with products such as Diet Pepsi. Pepsi Company has also expanded a new line of water product with health benefits. Aquafina contains spackling and flavoured water, which appeals to those who dislike the taste of pure water.
In monopolistic competition, there exist many sellers. This makes Pepsi sell products of different varieties, which are perceived to be different even if they serve the same purpose. The difference between these products is in terms of quality, the name of the brand, location, and convenience. Some people prefer Coca-Cola to Pepsi. Lowering the price of Pepsi was used as a strategy to win Coca-Cola, and this attracts more customers since the brand is cheaper (Noronha & Aithal 2017). Advertising is another way to convince customers that Pepsi products are better than other products.
In an oligopolistic competition where we have few sellers, Pepsi firm supplies large amounts of its products in the market. This is to increase the probability of its product being bought by buyers since the few suppliers in the market provide their products in large amounts. Lowering the price of Pepsi products also helps it in competing in such areas.
The above competitive factors are used to ensure that Pepsi products are being purchased at a higher rate than its competitors and also to ensure that the product is well-known all over the world, together with its benefits. This attracts more customers, which in turn increases the company’s profit. Through competition, the firm comes up with better and different ways of marketing the products in a faster and more convenient way.
Pepsi can enhance recycling efforts as a strategy to minimize costs. This will reduce the number of bottles or containers being purchased. This will reduce the cost of buying the new ones.
What will happen if Pepsi Company’s offers are terminated? It is recommended that the company have plans in case of a shortage, such as offer depletion. Saving some cash for this purpose may be of use such that there will be a creation of another kind of offer immediately when one ends. This is important since most people are more attracted to products that are offered. It’s a way of maintaining the customers.
References
Hafiz, R. (2015). Rethinking Brand Identity to Become an Iconic Brand-A Study on Pepsi. Asian Business Review, 5(3), 97-102.
Noronha, S. D., & Aithal, P. S. (2017). Organizational Strategic Approach towards Work-Life Balance of Women in India.
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