PepsiCo’s Diversification Strategy in 2015
Indra Nooyi, Chief Executive Officer of PepsiCo, has hired you as a troubleshooter for the
company. Your task is assess PepsiCo’s portfolio of businesses and make recommendations to
top management for specific actions. Your recommendations need to focus on a number of key
areas: (1) revenue and EPS targets for 2016, (2) revenue and EPS targets for 2017, and (3)
recommendations regarding the overall portfolio of PepsiCo businesses as well as (4) individual
units of the company.
Your report will contain a three page summary of recommendations, which can be supplemented
by whatever appendices that you think are appropriate to support your conclusions and
recommendations. Usage of the concepts and analytical tools from Chapter Eight in the Gamble
Essentials Textbook is encouraged as part of your report.
Your report should be prepared as a 3 page Executive Summary of Recommendations. Any
financial recommendations that you make should be specific and contain numerical, time-based
targets and be clearly supported by your analysis of the company’s situation. You may also
include a table of References to sources that you use in your Executive Summary.
• • Case Submission:
Create your summary as a Word document and submit by clicking the title of this assignment
and attaching your saved document to the link provided. Please use Times New Roman, 12pt.
Font, Single and/or Double Space.
Note:
Three pages MAXIMUM for your Executive Summary of Recommendations. This three page
maximum does not include any Appendix or References, if included.
