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Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Prof. V. B. Shah Institute of Management
Marketing management
Topic
Comparision of marketing mix of
Balaji co. pvt. Ltd. with Pepsico pvt. Ltd.company
Submitted to: Guatam Dua
Submitted by:
218 Kosiya Dhaval
227 Patel Urvashi
232 Prajapati Hinal
234 Rabadiya Archana
253 Savaj Monika
256 Seladiya Heena
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Table of Content
Sr. no. Name Of Content Page No.
1 Marketing Mix 1
2 Balaji Pvt. Ltd. 2
3 Pepsico Pvt. Ltd. 7
4 Comparison 14
5 Bibliography 15
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
1
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Balaji pvt.ltd.
Introduction
Balaji wafers is private limited company. It was established in 1981 Rajkot with
help of the capital & resource. And then in the year 1981-1982 they started the
balaji wafers limited. In the modern competitive area, BALAJI WAFERS Pvt. LTD
has made very good progress. It has a golden history in world of food items. For
preparation of Market Research Report, it should be necessary to understand
such type of general matters of the org. these type of general matters are
considered in the section of “General information”. If the such types of general
matters are not contained in the preparation of industrial report will be
incomplete & it was not provide perfect knowledge of organizations. BALAJI
WAFERS PVT LTD produces readymade food items. Nowadays people
are fond of eating readymade food items and “BALAJI” name is very
popular & well – known in Saurashtra & Gujarat of the people choose
Balaji items produces many types of food items like, potato wafers,
banana wafers, mug dal, frari chewdo, ratlami sev,shing, chataka
pataka, gathiya etc all this items 100% pure & vegetarian. The “BALAJI WAFERS
PVT.LTD is located at vajdi Kalawad Road, Tal, Lodhika, Dist, Rajkot
–3. The main product of Balaji Wafer is p otato wafer, which brand
name is “BALAJI”.
MARKETING MIX
There are 4ps of marketing mix:
1. Product
2. Price
3. Promotion
4. Place (Distribution)
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
2
PRODUCT
Sr. no. Name of the product Varity of product Availability in size
1 Potato wafer Simple & spice 40gm, 80gm, 200gm,
90gm
2 Banana wafer With paper &
condiment
40gm, 90gm
3 Farali chevdo
-
40 Gm, 90 Gm,1Kg,
2.5 Kg
4 Ratlami sev
-
100gm, 200gm, 1kg
5 Sing bhujiya
-
100gm, 200gm
6 Mung dal
-
100gm, 200gm, 1kg
7 Chana dal
-
100gm, 200gm
8 Vatana
-
100gm, 200gm, 1kg
9 Sing
-
Small pouch, 40gm,
100gm
10 Thika - Mitha Mix
-
40gm, 90gm, 200gm,
1kg
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
3
PRICE
Product Name Available Prices
Potato Masala wafers 5Rs. 10Rs.
Aloo Sev 2Rs. 5Rs. 8Rs. 10Rs.
Mung Dal 2Rs. 5Rs. 8Rs. 10Rs.
Ratlami Sev 2Rs. 5Rs. 10Rs.
Sing Bhujia 2Rs. 5Rs. 10Rs.
Chataka Pataka 5Rs. 10Rs.
Salted Wafers 5Rs. 10Rs.
Banana Mari 5Rs. 10Rs.
Farali Chevado 10Rs. 18Rs.
Chana Dal 5Rs. 10Rs.
Katha mitha mix 5Rs. 10Rs.
Tikha mitha mix 5Rs. 10Rs.
Tomato masti 5Rs. 10Rs.
Masala Sing 8Rs.
Ganthiya 10Rs. 15Rs.
Vatana 5Rs. 10Rs.
Chat chaska 5Rs. 10Rs.
Banana Masala 5Rs. 10Rs.
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
4
3. PLACE
It has a strong marketing network in Gujarat. Balaji wafers, a brand that
commands a 70% market share in Gujarat, with another 10%, 15%, and 5% in the
states of Rajasthan, Maharashtra and Madya Pradesh respectively.
4.Promotion
ADVERSTISEMENT
Advertising is the most important means for promoting sales of the product. By
advertising people can know about the quality and price of the
product. Advertisement attracts the customers towards product. By
that way the sale of the product is increased. Advertisement bombards on the
mind of customers. For the advertisement of its products “balaji wafers pvt. ltd.”
Keep Its medium through, television, radio, spon soring the serials and magazines.
Competitors
Balaji wafers as in the healthy competitors are as follow:-
Samrat namkeen
Real wafers
Atop namkeen
Haldiram namkeen
Lays
DISTRUBTION NETWORK
The wheel of network is devised under the ideal distribution channel network.
That ensures to supply fresh product in any corner of Gujarat within 24 hours.
You can have Balaji snacks in every 100 meters of are in Gujarat. At balaji is
not just distribution but it is an euphemistic effort of team work.
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
5
Recommendations
Company should provide better service to the storekeeper for more sales
Balaji wafers should produce health related food products because of
future demand and people becoming more health conscious.
Company should give replacement guarantee for sales increase. Market
share of the product is not good so gives more advertisement.
6
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
PEPSICO PVT.LTD.
COMPANY OVERVIEW
In 1965 Herman W. Lay of the Frito-Lay Company and Donald Kendall of Pepsi-
Cola formed PepsiCo. In 1986 operations were combined under PepsiCo
Worldwide Foods and PepsiCo Worldwide Beverages.
PepsiCo entered India in 1989 and in a short period of 20 years has grown into the
largest and one of the fastest growing food & beverage business in the country.
PepsiCo India’s growth has been guided by PepsiCo’s global vision of
“Performance with Purpose”. This means that while businesses maximize
shareholder value, they have a responsibility to all the stakeholders including the
communities in which they operate, the consumers they serve and the
environment whose resources they use.
PepsiCo Inc. is an American multinational corporation headquartered
in Purchase, Harrison, New York, United States, with interests in the
manufacturing, marketing and distribution of grain-based snack foods, beverages,
and other products. PepsiCo was formed in 1965 with the merger of the Pepsi-
Cola Company and Frito-Lay, Inc. PepsiCo has since expanded from its name sake
product Pepsi to a broader range of food and beverage brands, the largest of
which include an acquisition of Tropicana in 1998 and a merger with Quaker
Oats in 2001 – which added the Gatorade brand to its portfolio as well.
PepsiCo is the second largest food & beverage business in the world. Within North
America, PepsiCo is ranked (by net revenue) as the largest food and beverage
business. PepsiCo brands are among the best known and most respected in the
world and are available in about 190 countries.
7
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Product
This carbonated soft drink was invented in 1898 Caleb
Bradham as ‘Brad’s Drink’. It was later renamed to
‘Pepsi Cola’ in 1903.
Mountain Dew is a citrus-flavored carbonated soft drink.
It was invented by two beverage bottlers Barney and Ally
Hartman in the 1940s. The brand’s production rights were
obtained by PepsiCo in 1964.
‘Lay’s’ is the brand name for a variety of potato chips. The
brand was introduced in 1932 by Frito Lay, a company that is
now owned by PepsiCo.
8
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Gatorade is a brand of sport-related foods and beverages
including sport drinks, protein beverages and nutrition bars. It
replenishes fluids, carbohydrates and electrolytes which are
divested from the body during physical exercise. It was first
developed in 1965 at the University of Florida and is hence
named after the university’s sports team, the Gators.
Introduced as a variant of Pepsi Cola in 1964, Diet Pepsi is
a sugar-free, no-calorie carbonated soft drink. Its biggest
market is the United States.
Tropicana Products is an Illinois-based American juice
company that was founded in 1947 by Anthony T. Rossy
in Florida. It was bought by PepsiCo in 1998.
7 Up is a lemon-lime flavored, non-caffeinated carbonated soft
drink the rights to which are a held by Dr Pepper Snapple Group
in the United States and PepsiCo in the rest of the world. It was
created by Charles Leiper Grigg in 1929. It was popular as a
medicine during the early 20th century.
Doritos is a brand of seasoned, tortilla chips created by Arch
West. It was introduced in 1964 by Frito Lay, Inc which was
bought by PepsiCo one year later.
9
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Lipton is a brand of tea produced by PepsiCo in partnership
with Unilever. It was invented by Sir Thomas Lipton towards the
end of the 19th century.
Quaker Oats is an American food corporation which was founded
in 1901 by the merger of four oat mills. It was bought by PepsiCo
in 2001 and currently produces breakfast cereals and other oat-
based food products.
Competition
The Coca-Cola Company has historically been considered PepsiCo’s primary
competitor in the beverage market. In 2009, the Coca-Cola Company held a
higher market share in carbonated soft drink sales within the U.S. In the same
year, PepsiCo maintained a higher share of the U.S. refreshment beverage
market, however, reflecting the differences in product lines between the two
companies. As a result of mergers, acquisitions and partnerships pursued by
PepsiCo in the 1990s and 2000s, its business has shifted to include a broader
product base, including foods, snacks and beverages. Beverages accounted for
less than 50 percent of its total revenue in 2009. In the same year, slightly more
than 60 percent of PepsiCo's beverage sales came from its primary non-
carbonated brands, namely Gatorade and Tropicana.
PepsiCo's Frito-Lay and Quaker Oats brands hold a significant share of the U.S.
snack food market, accounting for approximately 39 percent of U.S. snack food
sales in 2009. One of PepsiCo's primary competitors in the snack food market
overall is Kraft Foods, which in the same year held 11 percent of the U.S. snack
market share.
10
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
PRICE
Expenses related to transportation, ingredients and labor continue to
pressure the beverage industry toward price increases.
PepsiCo’s drink pricing strategies may be heavily influenced by its working
relationship with Wal-Mart whose low price themes put pressure on
PepsiCo to hold down prices.
The company strives to cut or maintain current prices by cutting overhead
and re-engineering the manufacturing process.
PepsiCo is expanding its use of inexpensive and recyclable plastic bottles;
nevertheless the company has instituted some price increases in recent
years, specifically in its overseas markets such as New Delhi and Dubai.
PLACE
PepsiCo is primarily a US based company with approximately 52% of its
revenues located in the states.
PepsiCo is in the midst of making a $1,000 million investment in china, and
a $500 million investment in India. Both initiatives are part of its expansion
into international markets and a lessening of its dependence on US sales.
In addition the company plans on major capital initiatives in Brazil and
Mexico.
The company is also acquiring Russia’s leading juice company,
Lebedyansky, and V Water located in the United Kingdom.
Areas of business
The structure of PepsiCo's global operations has shifted multiple times in its
history as a result of international expansion, and as of 2010 it is separated into
four main divisions: PepsiCo Americas Foods, PepsiCo Americas
Beverages, PepsiCo Europe, and PepsiCo Asia, Middle East and Africa. As of 2009,
71 percent of the company’s net revenues came from North and South America,
16 percent from Europe and 13 percent from Asia, the Middle East and
Africa. Approximately 285,000 people are employed by PepsiCo worldwide as of
2010.
11
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Headquarter, Newyork
PROMOTION
PepsiCo instituted also called Pepsi stuff promotion whereby customers
could accumulate Pepsi Points from buying various products these points
could be used to by other products, most recently AmazonMP3.
In 2008 PepsiCo employed Tiger Woods to promote a Gatorade brand
called Gatorade Tiger.
PepsiCo continues is promotional association with the NFL and the Super
Bowl specifically marketing Pepsi and Doritos.
In 2009 Pepsi launched its “Pepsi Throwback” campaigned offering a drink
with the sugar content of its original product.
PepsiCo promote its product with the help of Advertising. Pepsico
advertise through various channels i.e. News papers and magazines,
banners, TV channels, Internet etc.
12
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
It was hot summer of Chennai which made me realize of this unique pricing
strategy of Cola Companies. It was few years back when these companies
come up with the concept of “Chota Pepsi” or “Coke” for that matter. They
offered consumers 150 ml of soft-drink for Rs.5. It was well accepted by
consumers who were use to drink 300 ml. At this point of time both 150 ml
and 300 ml (for Rs. 9) were available in the market.
Then after some time they increased the volume and price of small bottles
to 200 ml and Rs. 7, though 300 ml was at same price.
Finally, these companies are now selling same “Chota Pepsi” or “Small
Coke” at the price of “Bada” i.e. Rs. 9. And we without realizing this have
happily accepted this. And the price of pet jar i.e. 500 ml has just increased
from Rs. 18 to Rs. 20, where as the prices of 1.5 liters and 2 liters have been
decreasing or is mostly with some offer like free my can or something. 300
ml bottles have almost vanished from the market now.
Hats Off to the pricing strategy of the Cola Companies who have been
successfully able to sell 66% of the product at the cost of 100% almost in a
phased manner and making consumer habitual and unaware of the
increased price.
13
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
Comparison
POINTS BALAJI PEPSICO
When Started? Balaji started in 1981-82
in Gujarat.
PepsiCo is formed in 1965
at America and it entered
India in 1989.
product Its product is available in
Gujarat and some other
states.
Its product is available in
all over the world.
Price Its price low than the
other product of PepsiCo.
Its price is higher than
than the Balaji.
Place Its product is available at
any corner of the Gujarat.
Its product is worldwide.
Advertisement It not give any advertise
to promote its product in
other countries.
It promotes its product
with the help of
advertisement in all over
the world.
Market Share Balaji has high market
share in India especially in
Gujarat.
PepsiCo has high market
share in all over the
world.
Profit Margin Its profit margin is high in
the Gujarat and that
shows strong pricing
policy.
Its profit margin is high
than the Balaji because it
is international Company
14
Marketing Management Group 6
Bachelors Of Business Administration-3rd
Semester
BIBLIOGRAPHY
1. WWW.BALAJIWAFERS.COM
2. WWW.PEPSICOINDIA.COM
15

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  • 1. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Prof. V. B. Shah Institute of Management Marketing management Topic Comparision of marketing mix of Balaji co. pvt. Ltd. with Pepsico pvt. Ltd.company Submitted to: Guatam Dua Submitted by: 218 Kosiya Dhaval 227 Patel Urvashi 232 Prajapati Hinal 234 Rabadiya Archana 253 Savaj Monika 256 Seladiya Heena
  • 2. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Table of Content Sr. no. Name Of Content Page No. 1 Marketing Mix 1 2 Balaji Pvt. Ltd. 2 3 Pepsico Pvt. Ltd. 7 4 Comparison 14 5 Bibliography 15
  • 3. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester 1
  • 4. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Balaji pvt.ltd. Introduction Balaji wafers is private limited company. It was established in 1981 Rajkot with help of the capital & resource. And then in the year 1981-1982 they started the balaji wafers limited. In the modern competitive area, BALAJI WAFERS Pvt. LTD has made very good progress. It has a golden history in world of food items. For preparation of Market Research Report, it should be necessary to understand such type of general matters of the org. these type of general matters are considered in the section of “General information”. If the such types of general matters are not contained in the preparation of industrial report will be incomplete & it was not provide perfect knowledge of organizations. BALAJI WAFERS PVT LTD produces readymade food items. Nowadays people are fond of eating readymade food items and “BALAJI” name is very popular & well – known in Saurashtra & Gujarat of the people choose Balaji items produces many types of food items like, potato wafers, banana wafers, mug dal, frari chewdo, ratlami sev,shing, chataka pataka, gathiya etc all this items 100% pure & vegetarian. The “BALAJI WAFERS PVT.LTD is located at vajdi Kalawad Road, Tal, Lodhika, Dist, Rajkot –3. The main product of Balaji Wafer is p otato wafer, which brand name is “BALAJI”. MARKETING MIX There are 4ps of marketing mix: 1. Product 2. Price 3. Promotion 4. Place (Distribution)
  • 5. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester 2 PRODUCT Sr. no. Name of the product Varity of product Availability in size 1 Potato wafer Simple & spice 40gm, 80gm, 200gm, 90gm 2 Banana wafer With paper & condiment 40gm, 90gm 3 Farali chevdo - 40 Gm, 90 Gm,1Kg, 2.5 Kg 4 Ratlami sev - 100gm, 200gm, 1kg 5 Sing bhujiya - 100gm, 200gm 6 Mung dal - 100gm, 200gm, 1kg 7 Chana dal - 100gm, 200gm 8 Vatana - 100gm, 200gm, 1kg 9 Sing - Small pouch, 40gm, 100gm 10 Thika - Mitha Mix - 40gm, 90gm, 200gm, 1kg
  • 6. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester 3 PRICE Product Name Available Prices Potato Masala wafers 5Rs. 10Rs. Aloo Sev 2Rs. 5Rs. 8Rs. 10Rs. Mung Dal 2Rs. 5Rs. 8Rs. 10Rs. Ratlami Sev 2Rs. 5Rs. 10Rs. Sing Bhujia 2Rs. 5Rs. 10Rs. Chataka Pataka 5Rs. 10Rs. Salted Wafers 5Rs. 10Rs. Banana Mari 5Rs. 10Rs. Farali Chevado 10Rs. 18Rs. Chana Dal 5Rs. 10Rs. Katha mitha mix 5Rs. 10Rs. Tikha mitha mix 5Rs. 10Rs. Tomato masti 5Rs. 10Rs. Masala Sing 8Rs. Ganthiya 10Rs. 15Rs. Vatana 5Rs. 10Rs. Chat chaska 5Rs. 10Rs. Banana Masala 5Rs. 10Rs.
  • 7. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester 4 3. PLACE It has a strong marketing network in Gujarat. Balaji wafers, a brand that commands a 70% market share in Gujarat, with another 10%, 15%, and 5% in the states of Rajasthan, Maharashtra and Madya Pradesh respectively. 4.Promotion ADVERSTISEMENT Advertising is the most important means for promoting sales of the product. By advertising people can know about the quality and price of the product. Advertisement attracts the customers towards product. By that way the sale of the product is increased. Advertisement bombards on the mind of customers. For the advertisement of its products “balaji wafers pvt. ltd.” Keep Its medium through, television, radio, spon soring the serials and magazines. Competitors Balaji wafers as in the healthy competitors are as follow:- Samrat namkeen Real wafers Atop namkeen Haldiram namkeen Lays DISTRUBTION NETWORK The wheel of network is devised under the ideal distribution channel network. That ensures to supply fresh product in any corner of Gujarat within 24 hours. You can have Balaji snacks in every 100 meters of are in Gujarat. At balaji is not just distribution but it is an euphemistic effort of team work.
  • 8. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester 5 Recommendations Company should provide better service to the storekeeper for more sales Balaji wafers should produce health related food products because of future demand and people becoming more health conscious. Company should give replacement guarantee for sales increase. Market share of the product is not good so gives more advertisement. 6
  • 9. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester PEPSICO PVT.LTD. COMPANY OVERVIEW In 1965 Herman W. Lay of the Frito-Lay Company and Donald Kendall of Pepsi- Cola formed PepsiCo. In 1986 operations were combined under PepsiCo Worldwide Foods and PepsiCo Worldwide Beverages. PepsiCo entered India in 1989 and in a short period of 20 years has grown into the largest and one of the fastest growing food & beverage business in the country. PepsiCo India’s growth has been guided by PepsiCo’s global vision of “Performance with Purpose”. This means that while businesses maximize shareholder value, they have a responsibility to all the stakeholders including the communities in which they operate, the consumers they serve and the environment whose resources they use. PepsiCo Inc. is an American multinational corporation headquartered in Purchase, Harrison, New York, United States, with interests in the manufacturing, marketing and distribution of grain-based snack foods, beverages, and other products. PepsiCo was formed in 1965 with the merger of the Pepsi- Cola Company and Frito-Lay, Inc. PepsiCo has since expanded from its name sake product Pepsi to a broader range of food and beverage brands, the largest of which include an acquisition of Tropicana in 1998 and a merger with Quaker Oats in 2001 – which added the Gatorade brand to its portfolio as well. PepsiCo is the second largest food & beverage business in the world. Within North America, PepsiCo is ranked (by net revenue) as the largest food and beverage business. PepsiCo brands are among the best known and most respected in the world and are available in about 190 countries. 7
  • 10. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Product This carbonated soft drink was invented in 1898 Caleb Bradham as ‘Brad’s Drink’. It was later renamed to ‘Pepsi Cola’ in 1903. Mountain Dew is a citrus-flavored carbonated soft drink. It was invented by two beverage bottlers Barney and Ally Hartman in the 1940s. The brand’s production rights were obtained by PepsiCo in 1964. ‘Lay’s’ is the brand name for a variety of potato chips. The brand was introduced in 1932 by Frito Lay, a company that is now owned by PepsiCo. 8
  • 11. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Gatorade is a brand of sport-related foods and beverages including sport drinks, protein beverages and nutrition bars. It replenishes fluids, carbohydrates and electrolytes which are divested from the body during physical exercise. It was first developed in 1965 at the University of Florida and is hence named after the university’s sports team, the Gators. Introduced as a variant of Pepsi Cola in 1964, Diet Pepsi is a sugar-free, no-calorie carbonated soft drink. Its biggest market is the United States. Tropicana Products is an Illinois-based American juice company that was founded in 1947 by Anthony T. Rossy in Florida. It was bought by PepsiCo in 1998. 7 Up is a lemon-lime flavored, non-caffeinated carbonated soft drink the rights to which are a held by Dr Pepper Snapple Group in the United States and PepsiCo in the rest of the world. It was created by Charles Leiper Grigg in 1929. It was popular as a medicine during the early 20th century. Doritos is a brand of seasoned, tortilla chips created by Arch West. It was introduced in 1964 by Frito Lay, Inc which was bought by PepsiCo one year later. 9
  • 12. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Lipton is a brand of tea produced by PepsiCo in partnership with Unilever. It was invented by Sir Thomas Lipton towards the end of the 19th century. Quaker Oats is an American food corporation which was founded in 1901 by the merger of four oat mills. It was bought by PepsiCo in 2001 and currently produces breakfast cereals and other oat- based food products. Competition The Coca-Cola Company has historically been considered PepsiCo’s primary competitor in the beverage market. In 2009, the Coca-Cola Company held a higher market share in carbonated soft drink sales within the U.S. In the same year, PepsiCo maintained a higher share of the U.S. refreshment beverage market, however, reflecting the differences in product lines between the two companies. As a result of mergers, acquisitions and partnerships pursued by PepsiCo in the 1990s and 2000s, its business has shifted to include a broader product base, including foods, snacks and beverages. Beverages accounted for less than 50 percent of its total revenue in 2009. In the same year, slightly more than 60 percent of PepsiCo's beverage sales came from its primary non- carbonated brands, namely Gatorade and Tropicana. PepsiCo's Frito-Lay and Quaker Oats brands hold a significant share of the U.S. snack food market, accounting for approximately 39 percent of U.S. snack food sales in 2009. One of PepsiCo's primary competitors in the snack food market overall is Kraft Foods, which in the same year held 11 percent of the U.S. snack market share. 10
  • 13. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester PRICE Expenses related to transportation, ingredients and labor continue to pressure the beverage industry toward price increases. PepsiCo’s drink pricing strategies may be heavily influenced by its working relationship with Wal-Mart whose low price themes put pressure on PepsiCo to hold down prices. The company strives to cut or maintain current prices by cutting overhead and re-engineering the manufacturing process. PepsiCo is expanding its use of inexpensive and recyclable plastic bottles; nevertheless the company has instituted some price increases in recent years, specifically in its overseas markets such as New Delhi and Dubai. PLACE PepsiCo is primarily a US based company with approximately 52% of its revenues located in the states. PepsiCo is in the midst of making a $1,000 million investment in china, and a $500 million investment in India. Both initiatives are part of its expansion into international markets and a lessening of its dependence on US sales. In addition the company plans on major capital initiatives in Brazil and Mexico. The company is also acquiring Russia’s leading juice company, Lebedyansky, and V Water located in the United Kingdom. Areas of business The structure of PepsiCo's global operations has shifted multiple times in its history as a result of international expansion, and as of 2010 it is separated into four main divisions: PepsiCo Americas Foods, PepsiCo Americas Beverages, PepsiCo Europe, and PepsiCo Asia, Middle East and Africa. As of 2009, 71 percent of the company’s net revenues came from North and South America, 16 percent from Europe and 13 percent from Asia, the Middle East and Africa. Approximately 285,000 people are employed by PepsiCo worldwide as of 2010. 11
  • 14. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Headquarter, Newyork PROMOTION PepsiCo instituted also called Pepsi stuff promotion whereby customers could accumulate Pepsi Points from buying various products these points could be used to by other products, most recently AmazonMP3. In 2008 PepsiCo employed Tiger Woods to promote a Gatorade brand called Gatorade Tiger. PepsiCo continues is promotional association with the NFL and the Super Bowl specifically marketing Pepsi and Doritos. In 2009 Pepsi launched its “Pepsi Throwback” campaigned offering a drink with the sugar content of its original product. PepsiCo promote its product with the help of Advertising. Pepsico advertise through various channels i.e. News papers and magazines, banners, TV channels, Internet etc. 12
  • 15. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester It was hot summer of Chennai which made me realize of this unique pricing strategy of Cola Companies. It was few years back when these companies come up with the concept of “Chota Pepsi” or “Coke” for that matter. They offered consumers 150 ml of soft-drink for Rs.5. It was well accepted by consumers who were use to drink 300 ml. At this point of time both 150 ml and 300 ml (for Rs. 9) were available in the market. Then after some time they increased the volume and price of small bottles to 200 ml and Rs. 7, though 300 ml was at same price. Finally, these companies are now selling same “Chota Pepsi” or “Small Coke” at the price of “Bada” i.e. Rs. 9. And we without realizing this have happily accepted this. And the price of pet jar i.e. 500 ml has just increased from Rs. 18 to Rs. 20, where as the prices of 1.5 liters and 2 liters have been decreasing or is mostly with some offer like free my can or something. 300 ml bottles have almost vanished from the market now. Hats Off to the pricing strategy of the Cola Companies who have been successfully able to sell 66% of the product at the cost of 100% almost in a phased manner and making consumer habitual and unaware of the increased price. 13
  • 16. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester Comparison POINTS BALAJI PEPSICO When Started? Balaji started in 1981-82 in Gujarat. PepsiCo is formed in 1965 at America and it entered India in 1989. product Its product is available in Gujarat and some other states. Its product is available in all over the world. Price Its price low than the other product of PepsiCo. Its price is higher than than the Balaji. Place Its product is available at any corner of the Gujarat. Its product is worldwide. Advertisement It not give any advertise to promote its product in other countries. It promotes its product with the help of advertisement in all over the world. Market Share Balaji has high market share in India especially in Gujarat. PepsiCo has high market share in all over the world. Profit Margin Its profit margin is high in the Gujarat and that shows strong pricing policy. Its profit margin is high than the Balaji because it is international Company 14
  • 17. Marketing Management Group 6 Bachelors Of Business Administration-3rd Semester BIBLIOGRAPHY 1. WWW.BALAJIWAFERS.COM 2. WWW.PEPSICOINDIA.COM 15