Mkt 501
MKT 501 MODULE SLP
DR GORDON LEICHTER
3 OCTOBER 2012
Introduction:
PepsiCo produces, promotes and sells a variety of salty, sweet and grain-based snacks, carbonated and non-carbonated beverages. Pepsi is a non- alcoholic carbonated beverage. Many different types of flavors were introduced by the company. Fruit flavors, coffee flavors were variant versions. Firstly, Pepsi used niche-marketing to distribute the product among the customers after that the Pepsi challenge marketing campaign was introduced by the Pepsi to the marketplace. Pepsi faces rivalry with coca-cola that was reduced by adopting this strategy. The goal of the company is to provide premier quality products to its customers and it aims at providing growth opportunities and enhancement to their employees. Thus this will also give advantage to its customers.
This Session Long Project is aimed to integrate all the previous assignments and which we have learned during last week of discussion in class under the umbrella of “Strategic Marketing” including four P’s of marketing i.e. Products, Promotion, Pricing and Placement. Pricing refers to the process employed in order to determine the amount firm will receive after handing over its products to end users of consumers. There are numerous factors on the basis of which price of product is determined including mainly manufacturing cost, conditions of markets, market place, quality of products and so forth. In the field of microeconomics the pricing is considered as the key variable in allocating theory of price. It is one of the important and fundamental dimension of financial modeling and marketing mix (Carter, 1992).
Pricing Strategies:
Pricing strategy is one encompasses three different dimensions in order to improve firm’s profitability and returns on investment including firstly the cutting down the cost and increase their margins, sell more products (may be by reducing sales prices for products having higher
DR GORDON LEICHTER
3 OCTOBER 2012
Introduction:
PepsiCo produces, promotes and sells a variety of salty, sweet and grain-based snacks, carbonated and non-carbonated beverages. Pepsi is a non- alcoholic carbonated beverage. Many different types of flavors were introduced by the company. Fruit flavors, coffee flavors were variant versions. Firstly, Pepsi used niche-marketing to distribute the product among the customers after that the Pepsi challenge marketing campaign was introduced by the Pepsi to the marketplace. Pepsi faces rivalry with coca-cola that was reduced by adopting this strategy. The goal of the company is to provide premier quality products to its customers and it aims at providing growth opportunities and enhancement to their employees. Thus this will also give advantage to its customers.
This Session Long Project is aimed to integrate all the previous assignments and which we have learned during last week of discussion in class under the umbrella of “Strategic Marketing” including four P’s of marketing i.e. Products, Promotion, Pricing and Placement. Pricing refers to the process employed in order to determine the amount firm will receive after handing over its products to end users of consumers. There are numerous factors on the basis of which price of product is determined including mainly manufacturing cost, conditions of markets, market place, quality of products and so forth. In the field of microeconomics the pricing is considered as the key variable in allocating theory of price. It is one of the important and fundamental dimension of financial modeling and marketing mix (Carter, 1992).
Pricing Strategies:
Pricing strategy is one encompasses three different dimensions in order to improve firm’s profitability and returns on investment including firstly the cutting down the cost and increase their margins, sell more products (may be by reducing sales prices for products having higher
References: http://www.pepsico.com/PEP_Company/index.cfm http://www.pepsico.com/Download/Barclays_BTS_Presentation.pdf http://www.pepsico.com/purpose/overview/management-approach.html http://www.pepsico.com/annual11/financials/mda/our-business-risks.html http://www.pepsico.com/annual11/financials/mda/our-business.htm Carter, D. and Baker, B. (1992), Concurrent Engineering: The Product Development Environment for the 1990s, Addison-Wesley, Boston, MA. Mussel whilte, C. (1990), “Time-based innovation: the new competitive advantage,” Training & Development Journal, January, p. 55. Bateman, T.S. and Crant, J.M. (1993), “The proactive component of organizational behavior: a measure and correlates”, Journal of Organizational Behavior, Vol. 14 No. 2, March, pp. 103-18. Crant, J.M (1995), “The proactive personality scale and objective job performance among real estate agents”, Journal of Applied Psychology, Vol. 80 No. 4, pp. 532-37. Hulbert, J.R. and Pitt, L.F. (1996), “Exit left centre stage? The future of functional marketing” European Management Journal, Vol. 14 No. 1, February, pp. 47-60. Berry, J. and Schiller, Z. (1994), “Attack of the fighting brands,” Business Week, May 2, p. 125.Dolan, R.J. and Simon, H. (1997), Power Pricing – How Managing Price Tranforms the Bottom Line, The Free Press, New York, NY.