PepsiCo Company’s Activity Analysis

Subject: Company Analysis
Pages: 2
Words: 587
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3 min

PepsiCo Overview

PepsiCo was founded in 1965 as a result of a combination of Frito-Lay and Pepsi-Cola. At that time, Pepsi-Cola has already overcome its’ difficulties and filed for bankruptcy twice and was saved by Charles Guth, the president of the Loft Candy Company. Around the 1940s, the Pepsi-Cola company’s net earnings were estimated at more than $5 million. The potato chips, produced by the Herman Lay’s company, became popular during the years of World War II as the snack that did not contain sugar or chocolate, which were limited due to rationing. The collaboration between two companies was described by Donald Kendall, CEO of Pepsi-Cola and Lay, as a “marriage made in heaven” (PepsiCo, 2021). To this day, there are not many examples of products that accompany each other in a way that sweet beverages and salty snacks do, so the cooperation of Pepsi-Cola with Frito-Lay was bound to succeed.

Nowadays, the company’s products are available in more than 200 countries. PepsiCo’s products are consumed more than one billion times a day, making the company one of the most influential companies in the world (PepsiCo, 2021). In 2019, the company launched the Winning with Purpose framework, focused on consumers’ joyful experiences with the brand (PepsiCo, 2021). PepsiCo spends a significant amount of capital on technical innovations and develops environmentally-friendly solutions, like electricity-powered delivery trucks and solar-powered production lines. The company uses a model of continuous improvements and marks, making the work process faster, stronger, and better as the company’s main aspiration. Moreover, the company lists sustainability of the food system as one of the priorities and focuses its’ expertise in areas of agriculture, product packaging, water use, and climate.

The company continuously develops new brands and new flavors for consumers. Currently, PepsiCo owns 23 subsidiary brands worth more than $1 billion in annual retail sales (PepsiCo, 2021). In 2020 despite the COVID-19 outbreak and a 3% fall in revenue, the company was able to generate more than $70 billion with an additional boost from the snacks department (Lucas, 2020). The company spent around $400 million on COVID-related issues and protective equipment for the company’s employees (Lucas, 2020). Overall, the company’s activity could be described as successful in terms of financial results and its attention the social responsibilities.

Timeline of Company History

  • 1965 – PepsiCo is born as a result of the combination of two separate companies: Pepsi-Cola and Frito-Lay
  • 1966 – PepsiCo products expand to Japan and Europe
  • 1970 – The company moved its headquarters to Purchase, NY.
  • 1972 – Pepsi becomes the first product from the Us to be produced and sold in the Soviet Union
  • 1975 – The introduction of Pepsi Challenge
  • 1985 – Pepsi can is tested aboard the Space Shuttle
  • 1986 – Pepsi acquires the 7-up and Kentucky Fried Chicken (KFC)
  • 1989 – Pepsi is listed in the top 25 companies of Fortune 500 list
  • 1991 – Pepsi forms a joint with Unilever’s Lipton
  • 1994 – Pepsi forms partnership with Starbucks
  • 1995 – Lay’s chips launch internationally
  • 1997 – KFC, Taco Bell, and Pizza hot become Tricon Restaurants
  • 2005 – Frito-Lay launches environmentally green distribution center In Rochester, NY
  • 2010 – Launch of first electric delivery trucks
  • 2011 – Launch of PepsiCorps volunteering program
  • 2015 – Pepsi becomes a key sponsor for UEFA Championship League
  • 2016 – PepsiCo launches 2025 sustainability goals
  • 2018 – Launch of the first at-home soda maker, SodaStream
  • 2019 – Launch of Winning with Purpose framework
  • 2020 – PepsiCo announces the introduction of renewable electricity to the production


Lucas, A. (2020). PepsiCo revenue falls 3% as pandemic hits beverage sales but boosts snacks business. CNBC. Web.

PepsiCo. (2021) About the company. Web.