Professional Documents
Culture Documents
Proposed Mission Statement Pepsi Co. Pakistan: Rivalry Among The Firms
Proposed Mission Statement Pepsi Co. Pakistan: Rivalry Among The Firms
Pepsi Co. is the International Food and Beverage (1) Company working in Pakistan (2) since
1940’s (4) and well known for its beverages and snacks in all the regions (1 & 4) . The market
leader in the industry always aimed to satisfy the taste preference of its customers (4) through
effective use of technology (9) and for this support of management and employees is always
been appreciated (5 & 7) .
1. Analyze the Competition: For the detailed analysis of competition we will use Michael
Porters Five Forces. The forces are as under:
a) Rivalry among the Firms: This will indicate the degree and severity of Direct
Competition that is from those companies which are developing almost similar
range of products. This will be determined through the following
i. Number of companies selling identical products
ii. The Product Life cycle stage
iii. Any uniqueness to the product of the your or to any other competitor
iv. Presence of Any Giant in the competition
v. Ease of Liquidation from market
c) Threat of New entrants: New Entrants are those who may enter in the
competition and this is a serious threat that if anyone may became your rival then
your profitability will decrease significantly. For effective analysis of Threat of
New entrant we may consider the following variables.
Government Policies
Boarder cost and Shipping Cost
Industry and Market Growth Probability
Customer Base and Profile
Ease of Distribution
Ease of Franchising and Outsourcing
Ease or chances of getting profit
d) Bargaining Power of Suppliers: Suppliers are those whohc provide raw material
commonly knwin as vendors and anyone who purchases our product is not a
supplier. Thus suppliers may also influence the performance of the firm and
having potent role in the analysis of competition, company having larger supplier
base will remain free of tension and may aso work effectively. Following are the
factors which are used in the analysis of bargaining power of suppliers: