Seminar 11

What can we learn about effective strategic leadership from the PEPSICO case study? 

Effective strategic leadership at PEPSICO is mainly characterised by

• Effective partnerships (e.g. with Starbucks) as well as mergers and acquisitions in order to expand the company's market potential
• Locally customised products (with regards to flavour, etc.)
• A wide brand portfolio

Are being profitable and being responsible equally important? why? 


In my opinion there is a vice versa relationship between profit and responsibility in that customers nowadays expect companies not only to be profitable but also expect them to take responsibility for the well being of the environment, the public, etc. It is therefore vital for a firm to not only focus on profit but also take social responsibility. On the other hand a firm has to make profit in order to have the extra money to invest in projects that support the development/ protection of the society and its environment. It can therefore be said that both is equally important. 

How is their strategic leadership approach different or similar to other case studies?  

Similar 
+ Their approach to provide a wide range of products to cover different customer needs and pockets is similar to the "Carrefour approach" in that they also sell products of a wide spectrum.


+ PEPSICO's partnership- strategy in order to expand their customer potential is also applied by Madonna. The same holds true for their approach to position PEPSICO ("Madonna" respectively) as a strong flagship brand.


+ PEPSICO and IDEO both focus on the customer and provide products that best suit the needs/ preferences of the customer by individually (or regionally in case of PEPSICO) developing product specifications.