APA Style Format

Group Name:-

LEARNERS
Group Members:1. Shujaat Ali Nadeem
2. Syed Ezaz ul Hassan
3. Haider iftikhar
4. Asad mahmood

W1F14MCOM0030
w1f14mcom0021
w1f14mcom0035
w1f14mcom0040

Submitted To:-

Sir.Nazish

DEDICATION
To
our Dearest and most
respected Parents, whose efforts
and prayers are great source of strength to us.
Their love inspired us
to the higher idea of
life

ACKNOWLEDGEMENT
A

task undertaken without offering prayers to almighty ALLAH

and talking blessings from the elders is not a good beginning.

Likewise

the

work

completed

without

acknowledging

the

assistance to those who were always by our sides to make our

efforts fruitful in the task left incomplete.

Firstly,

we would like to thank ALLAH for his cordial and

merciful blessings which have enabled us to complete this project.

We

wish to extend our deepest regards and obligation to Sir.

Sardar Muhamaad Shafique & Sir. Nazish for their help and
guidance in completing the project.
We are obliged and grateful to our Mr. Muhammad Ashraf (HR
Manager Pepsi) and Miss. Saba Amin who has guided us in this
project and helped us in all possible ways to collect and analyze
all the data..

Abstract:Food and beverage sector is one of the emerging and fast growing sectors in
Pakistan having 10% growth rate. This sector encompasses all types of
establishments that supply food and beverages for consumption. The objective of
company is to be the world best beverage company. The company is on the top in
the sector of beverages having 70% market share and foreign direct investment.
The core objective is to study the culture of company, its core values. The
consequence of task recommends that there is structure in the firm, having a strong
culture, there is also a nurturing environment, where individual can grow and
develop their skills along with the company.

Contents
Introduction.............................................................................................................. 10
History of Pepsi Cola.............................................................................................. 10
Pepsi Cola in Pakistan............................................................................................ 11
Founders Of Company........................................................................................... 12
Incorporation and listing........................................................................................... 13
Pepsi Cola International......................................................................................... 13
Pepsi Cola Pakistan Inc:-........................................................................................ 14
Organizational Culture in PepsiCo.............................................................................15
Indicators.............................................................................................................. 15
Performance driven Culture................................................................................... 18
Diversity in Culture................................................................................................ 19
Decentralization.................................................................................................... 19
Communication..................................................................................................... 19
Innovation and Risk............................................................................................... 19
Offices of PepsiCo.................................................................................................. 20
Equipments and Technologies...............................................................................20
Employees Dressing.............................................................................................. 21
Awards and Ceremonies........................................................................................ 21
Social Responsibility and Sustainability Culture.......................................................23
Performance with Purpose..................................................................................... 23
Code of Conduct.................................................................................................... 23
Guiding Principles.................................................................................................. 24
Difference between Pepsi Cola and Coca Cola..........................................................24
Concluding Remarks................................................................................................. 26
Suggestions/Recommendations................................................................................27
Appendices............................................................................................................ 28
Participating firms...................................................................................................... 28
Jurisdictions.............................................................................................................. 28
References............................................................................................................ 29

MISSION STATEMENT
To
be the world's premier
Consumer Products Company focused on
convenient foods and beverages. We seek to produce
healthy
financial rewards to investors as we provide opportunities
for growth and enrichment to employees,
our business partners and the communities in which we
operate.
And in everything we do, we strive
for honesty, fairness &
integrity

10

VISION STATEMENT
To
be the world's best
beverage Company. Being the best means
providing outstanding Quality, service, cleanliness
and value, so that their every Customer is contented and
happy
with their products. To increase The value of their
shareholders Investment throughSales growth,
cost control and wise investment
Of resources

11

Introduction
Pepsi International is a world renowned brand. It is a very well organized multinational
company, which operates almost all over the world. They produce, one of best carbonated drinks
in the world. Pepsi is a symbol of hygiene, quality and service, all over the world. Pepsi
is producing Cola for more than 100 years and it has dominated the world market for a long time.
Its head office is in New York.

History of Pepsi Cola

It was first introduced as "Brad's

Drink" in New Bern,

North Carolina in 1898 by Caleb

Bradham, who made it

at his pharmacy where the drink was

sold. It was later named

Pepsi

digestive

enzyme

the recipe.

Bradham

pepsin

Cola, possibly
and kola

nuts

due

to the

used

in

sought to create a fountain drink that

was

delicious

would aid in digestion and boost

energy.

Bradham moved the bottling of Pepsi-

Cola from his drugstore

In

and
1903,

to a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was
sold in six-ounce bottles, and sales increased to 19,848 gallons. In 1909, automobile race
pioneer Barney Oldfield was the first celebrity to endorse Pepsi-Cola, describing it as "A bully
drink...refreshing, invigorating, a fine bracer before a race". The advertising theme "Delicious
and Healthful" was then used over the next two decades. In 1926, Pepsi received its first logo
redesign since the original design of 1905. In the year 1929, the logo was changed again.

12

In 1931, at the depth of the Great Depression, the Pepsi-Cola Company entered bankruptcy in
large part due to financial losses incurred by speculating on wildly fluctuating sugar prices as a
result of World War I. Assets were sold and Roy C. Megargel bought the Pepsi trademark. Eight
years later, the company went bankrupt again. Pepsi's assets were then purchased by Charles
Guth, the President of Loft Inc. Loft was a candy manufacturer with retail stores that contained
soda fountains. He sought to replace Coca-Cola at his stores' fountains after Coke refused to give
him a discount on syrup. Guth then had Loft's chemists reformulate the Pepsi-Cola syrup
formula.
During the Great Depression, Pepsi gained popularity following the introduction in 1936 of a 12ounce bottle. Initially priced at 10 cents, sales were slow, but when the price was slashed to five
cents, sales increased substantially. With a radio advertising campaign featuring the jingle"PepsiCola hits the spot / Twelve full ounces, that's a lot / Twice as much for a nickel, too /Pepsi-Cola
is the drink for you," arranged in such a way that the jingle never ends. Pepsi encouraged pricewatching consumers to switch, obliquely referring to the Coca-Cola standard of six ounces per
bottle for the price of five cents (a nickel), instead of the 12 ounces Pepsi sold at the same price.
Coming at a time of economic crisis, the campaign succeeded in boosting Pepsi's status. In 1937
500,000,000 bottles of Pepsi were consumed. From 1936 to 1938, Pepsi-Cola's profits doubled.

Pepsi Cola in Pakistan

In 1959 Pepsi Cola was introduced in Pakistan but due to lack of awareness it was unsuccessful
therefore the headquarters decided to windup their business in Pakistan. In 1963 it came again
with much revised Strategy, facing a lot of difficulties in promoting their product and competing
against COCA COLA which was a well established brand here.

13

In 1971, first plant of Pepsi was constructed in Multan, and from there after Pepsi is going higher
and higher. Pepsi had secretly promoted its diversified products and carter to all demographic
groups of Pakistan there for within 5 years they emerged as a market leader, having 72% of
market share while COCO COLA had only 28% share.
Pepsi is the choice soft drink of every one. It is consumed by all age groups because of its
distinctive taste. Compared with other Cola in the market, it is a bit sweeter and it contributes
greatly to its liking by all. Consumers survey results explain the same outcome and Pepsi has
been declared as the most wanted soft drink of Pakistan.
Pepsi Cola International has given franchises all over Pakistan. These companies have installed
their plants in different parts of Pakistan with these specified areas and names e.g

City

Name of Franchise

Karachi

Pakistan Bottlers

Lahore

Riaz Bottlers

Faisalabad
Multan

Punjab Beverages
Shamim & Company

Founders Of Company
The company was initially owned by late Nawab Saddiq Hussain Qureshi & family till 1989.
The Pepsi International franchise declared the management incompetent, thus, the company was
handed over to a new set of personnel. The factory set up was reorganized & reestablished with
expansion in various sectors. The Pepsi International did this by offering it to Mr. Jehangir

14

Tareen, who formed up his new team. Mr. Jehangir Tareen is Nephew of General (late) Akhtar
Abdur Rehman.

Incorporation and listing

The parent company of Pepsi cola international is PepsiCo Inc. Basically the PepsiCo operate in
three markets
1. Soft Drinks: Pepsi Cola Company and Pepsi Cola International.
2. Snake Foods: Pepsi Food International.
3. Restaurants: Pizza Hut & KFC.

Pepsi Cola International

Pepsi Cola International represents the soft drinks business of PepsiCo outside the USA.
Name

PEPSI-COLA INTERNATIONAL (PVT) LTD

Status

Incorporated

CUIN

0028338

Old CUIN

L-05485/19920902

Registration Date

Wednesday, September 09, 1992

CRO

Lahore

Form A/B Made

upto date
Mandatory Filing

Monday, March 31, 2008

Yes

15

Pepsi Cola Pakistan Inc:The Pepsi Cola Pakistan is a part of Pepsi Cola International (West Asia Division). There are
three countries in West Asia Division.
1. Pakistan.
2. Bangladesh.
3. Sri Lanka..
Name

PEPSI COLA (PAK) INC

Status

Incorporated

CUIN

0009783

Old CUIN

146/19820907

Registration Date

Monday, September 27, 1982

CRO

Karachi

Form A/B Made

upto date
Mandatory Filing

None
N/A

16

Organizational Culture in PepsiCo

Organizational culture refers to the unique atmosphere, tone, personality, and character of an
organization. It is a product of the organization mission, vision, purpose, and goals. It is also a
reflection of the philosophical mantra that the senior leaders bestow upon the organization as
they see it playing a role within the community.
A super-corporation such as PepsiCo not only plays a role within the community, but also in our
country, as well as in the rest of the world. Hence, Pepsi Co. needs to market itself with a very
specific trademark that is inclusive, universal, and approachable. Its organizational culture must
reflect what the company stands for, believes in, and hopes to accomplish.

Indicators
PepsiCo explains its organizational culture through the following indicators:

1. Vision Of PepsiCo
"Creating a better tomorrow than today".
"To focus on environmental stewardship, activities to benefit society, and a commitment to build
shareholder value"
2. Mission Of PepsiCo
Pepsi wants to be the preferred provider of quality products to attain a financial stability that will
benefit its shareholders, which are also consumers of the product.

3. Purpose and Performance:Maximum financial gain to "drive shareholder value"

17

4. Values:Following are the core values of PepsiCo

I.
II.

Respecting others
Full inclusion

III.

Embracing diversity

IV.

Speaking the truth

V.

Sell worthy products

VI.

Care for the customer.

5. Philosophy
Sustained growth through empowering the people

6. Leadership
Chain as a "family"- PepsiCo. Foods and drinks serves America, and Pepsi drinks serve Asia, the
Middle East, Africa and Europe.
When analyzed, the indicators show that PepsiCo does believe in selling a quality product.
However, it is interesting that they place tremendous importance in top financial revenue as a
way to demonstrate the success of their product. This, they claim, is to assure the shareholders
that the company is and will remain in good standing. This is not greed, but a necessary
statement to make to current and potential shareholders and investors who have to make crucial
investment choices in today's shaky economy.
PepsiCo does believe in giving back to the community through "empowering people". This is
also a way to strengthen the individuals who work collectively for the corporation and thus will

18

help increase productivity. PepsiCo also takes the environment, the community, and worthy
causes into consideration when giving back.
In all, PepsiCo displays traits that are traditional of a long-standing corporation that has felt the
consequences of an unstable economy. As a historically-recognized corporation, they have
already established a loyal following. Therefore, PepsiCo now needs to focus on what truly
matters in today's society: a trustworthy company to invest money in. Pepsi wants to show how
palpable gains will result in giving back to both shareholders and the community as a whole. As
a cultural icon, Pepsi wants to assure consumers that they are part of the Pepsi family and that
Pepsi will keep the customers' best interests as their number one priority.

Performance driven Culture

PepsiCo has a unique culture as compared to other companies within it industry. They have a
performance driven culture where the squeezes the best from all their employees at all levels.
Everything at the organization is measured. PepsiCo believes in empowering its employees at
individual level. Due to this empowerment accountability and trust streams in all direction of the
firm.

19

PepsiCo has a unique and admirable culture, a community of talented people guided by
shared principles. We are committed to providing our people with a supportive
and empowering workplace
(C.E.O of PepsiCo)

20

Diversity in Culture
PepsiCo is a diverse culture. Diversity according to the company is the simple sound business.
People of the different race, culture and speaking different languages work for PepsiCo and
enjoying doing so. Everyone is treated with equally and with respect.

Decentralization
At PepsiCo every one of its employees is a leader. The company encourages its staff to be risk
taker and initiators. Employees are allowed to make their own decision to certain extent. At
PepsiCo individual are allowed to pursue their own goals without strict structure. Senior
management encourages their junior to come up with ideas.

Communication
There is both upward and downward communication. The company culture also stress on
sincerity and reality in all walks. PepsiCo is a meritocracy where hard work is appreciated,
recognized and rewarded.

Innovation and Risk

The company encourages its staff to be risk taker and initiators. . Senior management encourages
their junior to come up with ideas.

21

Offices of PepsiCo
PepsiCo work in all over the world. The offices of PepsiCo are well decorated according to demand of
new era.

Equipments and Technologies

A technology is the success of every business. Pepsi Co in Pakistan spend billions of
Rs every to import technology. PepsiCo use latest technology in beverages sector
for production.

22

Employees Dressing
There is a proper dressing of employees in PepsiCo. The dress consists of blue Tshirt having a tag of PepsiCo in upper right side of shirt.

Awards and Ceremonies

PepsiCo Awards program is designed to inspire and reward your employees for outstanding performance.

23

24

Talent sustainability is about continually working to develop and retain exceptional

people. We are committed to investing in our employees to help them succeed. We develop
the skills needed to drive the companys growth, while creating employment opportunities
in the communities we serve

Social Responsibility and Sustainability Culture

PepsiCo has recognized the importance of social responsibility to its reputation. PepsiCos
commitment to its community and toward sustainable growth is outlined in something it calls
Performance with Purpose. PepsiCo gives back to its communities and stakeholders while
maintaining high standards, establishing and meeting goals, and producing attainable outcomes.

Performance with Purpose

CEO Indra Nooyi claims that Performance with Purpose consists of three parts.
1. Products
2. The environment
3. Employees.
PepsiCo views its goal of decreasing its environmental impact not only as socially
responsible, but also in the best interest of its stakeholders.
Another aspect of Pepsis commitment to social responsibility is reflected in its support
of and commitment to its employees.

25

It is PepsiCos goal to encourage a diverse corporate culture along with employee

engagement in the workplace and community.

Code of Conduct
PepsiCo has also developed a Code of Conduct that addresses various business ethics
issues such as bribery and conflicts of interest. The company expects its workers to be familiar
with its Code of Conduct and employs a chief compliance officer to enforce the Code. PepsiCo
provides annual ethics training programs for employees and noted a 49 percent increase in
employee ethics training from 2008 to 2009. Training sessions are available online or through
workshops.

26

Guiding Principles
PepsiCo has developed the following six guiding principles that it uses to sustain its
commitment.
1.
2.
3.
4.
5.
6.

Care for our customers, our consumers and the world we live in.
Sell only products we can be proud of.
Speak with truth and candor.
Balance short term and long term.
Win with diversity and inclusion.
Respect others and succeed together.

Difference between Pepsi Cola and Coca Cola

1. PepsiCo follows the high level of decentralized structure while Coca Cola follows the
high level of Centralized structure.
2. Due to centralization the communication system of Coca cola is much quick than
PepsiCo.
3. The PepsiCo focus more on innovations than Coca Cola.
4. PepsiCo follow high level of decentralization which sometimes discourage the unity and
coordination between employees.
5. Another difference between Coca Cola and PepsiCo is to hierarchy structure. Coca
management style is considered as genteel and conservatism.
6. Coca Cola Culture stifles the spirit of equality.
7. The PepsiCo brash organizational culture is more supportive of teamwork than Coca
Cola genteel one.
8. Coca Cola has no clear management succession plans at highest level. There are no
obvious internal candidates who would be capable and welcomed in the CEO positions.
9. There is big cultural difference between coca cola and PepsiCo which we can observed in
their marketing strategies, television adds and brands.

27

28

Concluding Remarks
Pepsi Cola is a reputable organization. It is well known all over the world. Perception of
producing is high quality. They maintain a high quality as Pepsi cola international collect sample
from its different production facilities and send them for lab test in Tokyo. Throughout its history
it has a good relation with franchisers working in different areas of the world where they have
the production facilities. It has the highest production capacity all over the Pakistan.
PepsiCo is a company with all its dimensions because even though there is structure in
the firm there is also a nurturing environment, where individual can grow and develop their skills
along with the company. At PepsiCo the task as well as the man behind the task is given
importance. Senior managers guides the workforce achieve individual as well as organizational
goals.

29

Suggestions/Recommendations
There should be separate employees who deals with visitors especially the students and
provide the data without any hesitation.
The company should target different universities of Pakistan and do some Promotional
activities to promote sale.
Fresh blood is considered asset of an organization. Company should also hire fresh
candidates instead of experience one.
Lunch a TV program Studio
Should organize different musical shows for advertisement.
By creating awareness of Energy Drinks Company can earn more profit.

30
.

Appendices

Participating firms
Pepsi Cola International
Pepsi Cola Pakistan
Coca Cola Pakistan

Jurisdictions
Companies Ordinance 1984
Law of Contract 1872
Income Tax Ordinance 2001
Sale Tax Act 1990
Labor Laws
Health and Safety Laws
Customer Production Laws
Quality Control Laws
Contract of Agencies

31

References
Mr. Noman Jamil (Finance Manager)
Mr. Hamid Jamil (Admin Manager)
Mr. Qasim Raza (Plant Manager)
Mr. Muhammad Ashraf (Human Resource Manager)
Miss. Saba Amin (Human Resource)
Miss. Mahrukh Batool (Legal Advisor)
http://www.pepsico.com/