Essay 2

Submitted By Franky-Chan
Words: 1480
Pages: 6

Each company has its own mission statement; they might have some similarities, but actually they are different from each other. Mission statements consist of two elements, which are the vision of the organization and the value or principles of the organization. In this paper, Coca-Cola and PepsiCo will be illustrated. These two companies are the largest firms of soft drinks in the world, and they have many similarities as well as competition parts, especially the products of Coca-Cola with good sales performance. This paper will discuss the differences and characteristics of the two companies by making a comparison from vision of the organization and value or principles of the organization.

In 1886, Coca-Cola was born in Atlanta of Georgia, and it has been integrated with social development and stimulated innovation inspiration since then. These historical moments unfolded successively are unusually brilliant, which has created a legend of 100 years for the global brand. Now it brings about refreshing and wonderful feelings to people around the world every day. At present, 1.7 billion consumers in the world will drink the products of Coca-Cola Company every day, and 19,400 bottles of drink will be sold every second. It is the largest beverage manufacturer in the world now. However, another company named PepsiCo was founded by a pharmacist in North Carolina, Caleb Bradham in the 1890s; its drink is made of soda, sugar, vanilla, unboiled oil, pepsin and kola nut. This medicine was used to treat gastric diseases at the beginning; later it was named “Pepsi” and registered as a trademark on 16 Jun. 1903. Afterwards, it developed into a kind of carbonated beverage introduced by PepsiCo that is also the major competitor of Coca-Cola Company. PepsiCo entered people’s view 16 years later and it was founded late, but it has found it position on the market controlled by Coca-Cola and shared a piece of cake owing to its marketing strategy.

Vision of the organization can be understood as future planning and prospect of the enterprise. Coca-Cola Company: In a bid to broaden its international appeal, the Atlanta-based beverage giant has announced investments of more than $30 billion in markets around the world over the next five years. The investment boost, which will be done in conjunction with Coca-Cola’s bottling partners, is part of the company’s “2020 Vision,” a strategy to double Coca-Cola’s revenue — it was about $100 billion in 2010 — in the next eight years.
However, PepsiCo said Monday it would spend about $5.5 billion over six years to expand its Indian operations, part of the company's effort to build its business in emerging markets as sales in developed countries slow.

Therefore, both of them look forward to the future. As for the difference, Coca-Cola emphasizes some stable markets in developing countries such as China, Mexico, Brazil and Russia where there will be no big warfare. However, the future investment of PepsiCo is just 1/20 of Coca-Cola. Without big investment force, it mainly aims at the markets of India and China with great development potential and very good investment environment. According to the investment directions of these two companies, Coca-Cola tries to be a world brand and create world influence. It intends to make people in places where there is no sales volume of Coca-Cola see the attractive aspects of Coca-Cola. However, development of PepsiCo in the future 20 years tends to stabilize and expand the existing markets, and it tries to eat the markets of Coca-Cola in China and India when Coca-Cola pays attention to the whole world. As it turns out, in terms of market shares, global market share of Coca-Cola reaches 60% while it is only 30% for PepsiCo. However in Indian market, the market share of PepsiCo has increased from the original 37% to 60% now. According to these data, PepsiCo is encroaching on the local markets of Coca-Cola and guaranteeing the stability.

Principles of the organization