Pepsi Essay

This essay has a total of 1411 words and 9 pages.


Corporate History
1965 PepsiCo, Inc. is founded by Donald M. Kendall, president and chief executive officer
of Pepsi-Cola and Herman W. Lay, chairman and chief executive officer of Frito-Lay,
through the merger of the two companies. Pepsi-Cola was created in the late 1890s by Caleb
Bradham, a New Bern, N.C. pharmacist. Frito-Lay, Inc. was formed by the 1961 merger of the
Frito Company, founded by Elmer Doolin in 1932, and the H. W. Lay Company, founded by
Herman W. Lay, also in 1932. Herman Lay is chairman of the Board of Directors of the new
company; Donald M. Kendall is president and chief executive officer. The new company
reports sales of $510 million and has 19,000 employees. Major products of the PepsiCo,
Inc. are: Pepsi-Cola Company - Pepsi-Cola (formulated in 1898), Diet Pepsi (1964) and
Mountain Dew (introduced by Tip Corporation in 1948). Frito-Lay, Inc. - Fritos brand corn
chips (created by Elmer Doolin in 1932), Lay's brand potato chips (created by Herman W.
Lay in 1938), Cheeotos brand cheese flavored snacks (1948), Ruffles brand potato chips
(1958) and Rold Gold brand pretzels (acquired 1961). Mountain Dew launches its first
campaign "Yahoo Mountain Dew ... it'll tickle your innards."

1967 Pepsi Generation advertising, PepsiCo stock splits two-for-one.

1969 Bold, modern Pepsi-Cola packaging using red, white and blue is introduced.
1970 PepsiCo sales pass the $1 billion mark. The company has 36,000 employees. Pepsi
introduces the industry's first two-liter bottle..

1974 PepsiCo sales pass the $2 billion mark. Pepsi-Cola becomes the first American
consumer product to be produced, marketed and sold in the former Soviet Union.

1975 PepsiCo has 49,000 employees. Pepsi Light, with a distinctive lemon taste, is
introduced as an alternative to traditional diet colas. "

1976 Pepsi-Cola becomes the single largest selling soft drink brand sold in U.S. supermarkets..
1977 PepsiCo acquires Pizza Hut, Inc. PepsiCo passes the $3 billion mark in sales. PepsiCo stock splits three-for-one.
1978 Taco Bell is acquired.
1979 PepsiCo reaches $5 billion in sales. PepsiCo's international snack food operations
continue to grow. Pepsi introduces twelve-pack cans.

1980 PepsiCo now has 111,000 employees. Pepsi is #1 in sales in take-home market.
1981 PepsiCo passes $7 billion in sales.."
1982 Pepsi Free and Diet Pepsi Free, the first major brand caffeine-free colas, are
introduced. Inauguration of the first Pepsi-Cola operation in China.

1984 PepsiCo is restructured to focus on its three core businesses: soft drinks, snack foods and restaurants.
1985 PepsiCo is now the largest company in the beverage industry. The company has revenues
of more than $7.5 billion, more than 137,000 employees. Pepsi-Cola products are available
in nearly 150 countries and territories around the world. Snack food operations are in 10
international markets. Pepsi distributes products in China.

1986 PepsiCo stock splits three-for-one. PepsiCo purchases Kentucky Fried Chicken, PepsiCo passes $10 billion in sales.

1989 PepsiCo introduces SharePower Stock Option program for all employees, becoming the
first large corporation to award stock options to virtually all full-time employees.

1990 PepsiCo enters top 25 of Fortune 500 ranking with sales of $15.4 billion, it is
number 23. The company has more than 300,000 employees. PepsiCo stock splits

1991 Profits exceed $1 billion for the first time. Pepsi-Cola forms joint venture with
Thomas J. Lipton Co. to develop and market tea-based drinks.

1992 Pepsi-Cola starts distributing Ocean Spray Cranberries, Inc. single serve juice products.
1993 Pepsi-Cola begins distribution of Lipton's line of ready-to-drink teas nationwide..
Pepsi introduces "The Cube," an innovative 24-can multipack, that satisfies growing
consumer demand for convenient large size soft drink packaging.

1994 . Pepsi-Cola introduces Aquafina bottled water into test market.
1995 . PepsiCo sales reach $30.4 billion. There are 470,000 employees worldwide, making
PepsiCo the third largest employer.

1997 PepsiCo announces plans to spin off its restaurant businesses as an independent
publicly-traded company, sell its food distribution company and focus on its core beverage
and snack food businesses. PepsiCo is now a $20 billion company with approximately 140,000
employees worldwide

1998 Pepsi-Cola introduces new lemon-lime soft drink called Storm..
1999 Pepsi-Cola and Subway announce 10-year agreement making Pepsi-Cola the endorsed
beverage in Subway's more than 11,500 outlets. Lipton introduces Iced Tea Green Tea with
Honey and Diet Peach. Tropicana juices are entering the huge Indian market for the first

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