PEPSICO
...citing promotions keep Pepsi-Cola brands young. Fruit Works - Pepsi Max Tropicana Anthony Rossi founded Tropicana in 1947. The company entered the concentrate orange juice business in 1949, registering Tropicana as a trademark. In 1954 Rossi pioneered a pasteurization process for orange juice. For the first time, consumers could enjoy the taste of pure not-from-concentrate 100% Florida orange juice in a ready-to-serve package. The company went public in 1957, was purchased by Beatrice Foods Co. in 1978, acquired by Kohlberg Kravis & Roberts in 1986 and sold to The Seagram Company Ltd. in 1988. Seagram purchased the Dole global juice business in 1995. PepsiCo acquired Tropicana, including the Dole juice business, in August 1998. Today, Tropicana is the world's largest marketer and producer of branded juices with products available in 50 countries worldwide. For any company it is really important to know who your rival is in order to competent the market share with your rival more efficiently. Coca-Cola is the current biggest competitor for PepsiCo. Coca-Cola Company has its own secret recipes and they had done a good job on market their brands. The Coca-Cola Company owns four of the top five soft-drink brands (Coca-Cola, Diet Coke, Fanta, and Sprite). The firm also sells about 400 drink brands, including coffees, juices, sports drinks, and teas, in about 200 nations. Although Coca-Cola Company does not has bottling itself, but the company owns about 36% of Coca Cola Enterprises which is the largest Coke bottler in the world. Coca-Cola Enterprises (CCE) is not only doing bottling and also distribution of the soft drinks. CCE accounts for 21% of worldwide sales of Coca-Cola's beverages. CCE bottles and distributes other beverages, including Canada Dry, Dr Pepper, Nestea, bottled waters, and juices. It sells soft drinks almost every where in the world, the company's territories consist of more than 400 million potential customers. Coca-Cola not only becomes the biggest rival to the PepsiCo, but it can also be the leader of the marker. Strategy and structure of the firm would be conditioned by the tradition of the country. Due to different country has different styles, thus you need to study and understand different style of managements in order to perform the best way in each country. It is better to adapt each country’s strategy and structure as far as possible. And knowing your rivalry, it is better to know the national than international. In the case of the PepsiCo, it is very important for them to understand certain issue in order to introduce their product in a new market. They need to the important of their supplier and buyer and their bargaining power, and the potential substitute for their company’s product or services. They should also need to estimate the potential for new entrants into their industry. We can use Five Forces to do the analysis for the three different market of PepsiCo. Those three markets are the soft drink market, the snack market, and the orange juice market. The supplier for the PepsiCo seem is not a problem for them, because it is not difficult to find potatoes, corn, and oil suppliers. But the problem is there have the possibility of variability of prices in the raw material caused by a bad year of harvesting or there has a petrol crisis. For this reason, PepsiCo have special way to purchase their raw material. They use “future contracts” for prevent higher cost in the future because of any different fluctuation in the raw material marke...