Product and Distribution Strategy
PepsiCo is a multinational food and beverage company. Operating in over 200 countries, it is the second largest company of its kind in the world. It can be systemized into four divisions, PepsiCo Americas Foods, PepsiCo Americas Beverages, PepsiCo Europe and PepsiCo Asia, Middle East and Africa. Furthermore PepsiCo is organized into six reportable segments, which are, Frito-Lay North America, Quaker Foods North America, Latin America Foods, PepsiCo Americas Beverages, Europe, and PepsiCo Asia, Middle East and Africa. Each of the six reportable segments manufacture and or sale products in the food and beverage category. Frito-Lay North America, or FLNA, sells, markets, distributes, and produces snack foods such as Lay's and Ruffles potato chips, Cheetos cheese flavored snacks, and Fritos corn chips. In addition, FLNA works with Strauss Group to sell, market, distribute, and produce refrigerated dips and spreads such as hummus and salsas. The main customer groups that purchase branded products from FLNA are independent distributors and retailers. (10-K Annual Report 3) Quaker Foods North America, known as QFNA, sells, markets, distributes, and produces rice, cereals and other branded products such as Quaker oatmeal. Additional products include Rice-A-Roni side dishes, Quaker rice cakes and Pasta Roni side dishes. QFNA products are sold to independent distributors and retailers in North America. Latin America Foods, LAF, is a food division of PepsiCo based in South American countries such as, Brazil, Argentina, Peru and Venezuela. It sells, markets, distributes, and produces snack and cereal products to independent distributors and retailers across the region. Some products include Ruffles potato chips, Tostitos, and Quaker-brand cereals. PepsiCo Americas Beverages, PAB, sells, markets, distributes, and produces beverage products, concentrates, fountain syrups, soft drinks, and juices under a...