Pepsi Co Finance Project
The taste of consumers is rapidly shifting. This is because they are becoming more health conscious and want products that meet these guidelines. In the case of Pepsi Co, the company is at a crossroads. They are known for providing a variety of sugary-based snacks and beverages. A few of the most notable include:: Lays, Ruffles, Doritos, Tostitos, Cheetos, Fritos, Santitas, Quaker oatmeal, grits, rice cakes, Aunt Jemima, Quaker Chewy granola bars, Captain Crunch, Life cereals, Rice-A-Roni, Quaker Oat Squares, Quaker Natural Granola, Pepsi, Gatorade, Mountain Dew, Diet Pepsi, Aquafina, 7UP, Diet Mountain Dew, Tropicana Pure Premium, Sierra Mist, Mirinda, Domik v Derevne, Chudo, Agusha and ready to drink teas. ("Pepsi Co Annual Report," 2015) However, to fully understand if the company is a good long-term investment requires focusing on if any financial, human and intellectual capital should be invested. Together, these different elements will determine if Pepsi Co is a good long-term investment. (Standard and Poor's, 2015)
Would you invest your financial capital in Pepsi Co?
Pepsi Co is a good long-term investment. This is because the company has been rapidly diversifying into other areas that take into account the changing tastes of consumers. While at the same time, they are continuing to deliver the same kinds of products they traditionally enjoy. The result is that the firm can adjust to changes in the marketplace by offering an assortment of products and services. This is something their largest competitor (i.e. Coca Cola) has been unable to accomplish. In the case of Coke, they have continued to focus mainly on beverages and have not really diversified into other areas to health conscious consumers. The most notable include: the Coca-Cola, Diet Coke, Coca-Cola Light, Coca-Cola Zero, Sprite, Fanta, Minute Maid, Powerade, Aquarius, Dasani, Glaceau Vitaminwater, Georgia, Simply, Minute Maid Pulpy, Del Valle, Ayataka, Bonaqua / Bonaqa and Schweppes. This is problematic for Coke, as they are struggling to keep up with shifts in consumer tastes who want healthy products. Second, they do not own any kind of food or snack companies. This means that Pepsi Co can continue to benefit even when someone is purchasing one Coke's products. ("Pepsi Co Annual Report," 2015) ("Coca Cola," 2014) (Standard and Poor's, 2015)
Would you invest human and intellectual capital in the firm as an employee?
Pepsi Co is a good place to invest human and intellectual capital. This is…
Sample Source(s) Used
References
Coca Cola. (2014). Coca Cola. Retrieved from: http://assets.coca- colacompany.com/d0/c1/7afc6e6949c8adf1168a3328b2ad/2013-annual-report-on-form- 10-k.pdf
Pepsi Co Annual Report. (2014). Pepsi Co. Retrieved from: https://www.pepsico.com/Assets/Download/PEP_Annual_Report_2014.pdf
Standard and Poor's. (2015). S&P Stock Guide. New York, NY: McGraw Hill.
Goodman, A. (2013). Pepsi Co Re-Energized. Forbes. Retrieved from: http://www.forbes.com/sites/agoodman/2013/06/14/pepsico-re-energized/
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