A Company Analysis Of The External Environment
Firstly what is Diversification? It is a corporate strategy to extend market penetration and thereby growing sales and gaining market share.
An alternative exists for PepsiCo within the good-for-you and better-for-you markets that they’re simply beginning to implement throughout their products. This change in client tastes worldwide gives an opportunity for PepsiCo to accumulate a ‘health food’ company equally to Sanitarium in Australia. Sanitarium would match into the PepsiCo mannequin of being a consumer meals company with a concentrate on able to eat breakfast cereals and effectively as being a horizontal integration into the worth chain as a related diversification. The added benefit is that Sanitatium would give PepsiCo more credibility within the GFU/BFU market and allow the company to take management on this difficulty.
Nevertheless, although crises could problem the popularity and survival of a company, there seem to be reluctance to adopt disaster management plans. Moreover, being proactive …