The document discusses two multinational corporations, PepsiCo and Unilever. It provides a history of each company and details their global operations and presence in various countries. It also discusses how each company influences the global economy and affects the economy of the Philippines.
The document discusses two multinational corporations, PepsiCo and Unilever. It provides a history of each company and details their global operations and presence in various countries. It also discusses how each company influences the global economy and affects the economy of the Philippines.
The document discusses two multinational corporations, PepsiCo and Unilever. It provides a history of each company and details their global operations and presence in various countries. It also discusses how each company influences the global economy and affects the economy of the Philippines.
The document discusses two multinational corporations, PepsiCo and Unilever. It provides a history of each company and details their global operations and presence in various countries. It also discusses how each company influences the global economy and affects the economy of the Philippines.
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Barilla, Maria Nicolette A.
Gec103 Uu2
November 17, 2020
1. Choose two (2) multinational corporations (MNCs) you want to investigate. (each MNC will be graded separately) Unilever PepsiCola/PepsiCo
2. Research the origin and history of the MNCs you want to investigate. (10 points each)
PepsiCola/PepsiCo
Pepsi Cola is just like Coca-Cola, a creation of an American pharmacist. In 1893, 5 years after the introduction of Coca-Cola, Caleb Bradham began to serve his customers ‘Brad’s Drink’ from his own soda machine. Because of the positive reactions of his samplers he decided to begin advertising in 1898 and he named the drink Pepsi-Cola. He founded the Pepsi-Cola Company in 1902. Pepsi-Cola is a big success in the United States and the Pepsi-Cola Company decides to export the drink to Mexico in 1907, other countries would follow soon.
The company invested in sugar and is declared bankrupt in 1923 due to the collapse of sugar prices. After a couple of reorganizations the Pepsi-Cola Company is bought by Loft Inc. in 1931. Because of the popularity of Pepsi, Loft changes its name to ‘Pepsi-Cola Company’ in 1941.
Pepsi-Cola is referred to as the ‘kitchen cola’ in the 1960’s because it’s much cheaper than competing drinks. The company decides to focus their advertising strategy on the post-war baby boom generation. One of the new slogans is: “Now it’s Pepsi, for those who think young”. Diet Pepsi is introduced in 1964 for people who would like to live healthy.
The PepsiCo Company was founded in 1965 by the president of the Pepsi-Cola Company and the chairman of Frito-Lay. It produces and sells not only soft drinks like Pepsi, 7-Up, Mountain Dew, Miranda and Gatorade but also snacks like Lays, Doritos, Hamka’s and Quaker cereals in 192 countries.
In the early 21st century, PepsiCo focused on expanding its operations in other countries, notably Russia, which was its second largest market. In 2008 it bought a controlling interest in JSC Lebedyansky, Russia’s largest juice manufacturer, and three years later it completed its acquisition of Wimm-Bill-Dann Foods. Those investments helped make PepsiCo the largest food and beverage company in Russia. Unilever
William Hesketh Lever was born at Bolton, Lancashire in 1852 was the son of grocer. Together with James Lever, William Lever established a soap manufacturing company at Warrington, England with his brothers and named the company Lever Brothers in 1885.
Their products, Sunlight, the world’s first packaged soap, was very successful. The soup they made in ready moulded tablet. Previously laundry soap was marketed in bars and grocers cut off pieces and sold them by weight. Until 1919, Lever was wholly own and controlled by the founder. By 1919, as a result of ingle minded expansionist, commercial policies, his firm accounted for 60 percent of soap production in Britain.
Two butter makers, Jurgen and Van den Berghs formed Margarine Union in 1927. The Dutch Margarine Union merged with Lever Brothers of United Kingdom in 1929 to form Unilever.
During the 1930s, the structure and management of Unilever has been describe as a professional largely non-family managed hierarchy. For tax, purpose, two separate entities were established, one in London and another in Rotterdam.
Historically, Unilever has grown to be a very multilocal company. However, while the company used to work with regional supply chains on regional brands. Unilever started to globalize their brands in the early and mid 1990s.
3. Map the international connection it has created (countries where it has presence)(5 points each)
PEPSICOLA The company was made up of seven divisions: PepsiCo Beverages North America; Frito-Lay North America; Quaker Foods North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia/New Zealand and China. Each of these divisions has its own unique history and way of doing business.
UNILEVER
Unilever is organized into four main divisions – Foods, Refreshment (beverages and ice cream), Home Care, and Beauty & Personal Care. It has research and development facilities in China, India, the Netherlands, United Kingdom and United States.
4. Locate the Philippines in this map of interconnections (Address) and country head. (5 points each)
PepsiCola/PepsiCo The company was founded on March 8, 1989 and is headquartered in Muntinlupa, Philippines.
Frederick Dy Ong,President, Chief Executive Officer & Director
Unilever
Unilever’s new head office in Taguig City is just one among the big-ticket investments of the company, which also include the mega distribution center in Cabuyao, Laguna, its largest distribution center in the Philippines and the world-class Unilever Cavite Foods Factory, which has Halal capability to address the needs of Muslims in the country.
Benji Yap - Chairman of Unilever Philippines
5. After your research, answer the following questions:
• How does your chosen MNC influenced the global economic activity? (15 points each)
PepsiCola/PepsiCo
The company is pursuing new initiatives to promote diversity in its global workforce and spur social and economic development in communities around the world. They have a tremendous opportunity, as well as a responsibility to not only make a profit, but to do so in a way that makes a difference in the world. Pepsi focuses on creating a healthier relationship between people and food, contribute to more sustainable global food system and help make local communities more prosperous. Global sustainability agenda designed to develop the continued business growth in a way that responds to changing consumer and societal needs by helping to improve health and prosperity through the products it sells, protecting the planet, empowering people around the world and help solve water scarcity. To adopt sustainable agriculture practices, farmers need to know that they will work, both economically and environmentally.
Unilever
Unilever focus more on environmental impact like:
Working with food banks and their 'zero waste' ambition. To help them achieve the waste reduction targets while making a positive difference to people's lives, Unilever's partnerships are contributing to their goal by working with food banks to reduce waste in the supply chain and find ways to create a positive social impact while making environmental improvements.
Fighting deforestation with the World Wildlife Fund. Stopping deforestation is an urgent priority in tackling climate change. With the partnership of WWF to Unilever, they aim to raise awareness of the importance of forests to life on earth by helping to protect millions of trees in two of the world’s most threatened areas, Brazil and Indonesia, with special emphasis on reducing deforestation and forest degradation, restoring forest areas, promoting sustainable forest management and increasing tree stocks in agricultural landscapes.
Improving sustainability in partnership with Rainforest Alliance. In more than 10 years of
collaboration, Unilever and Rainforest Alliance have supported the transition of more than 750,000 smallholders to sustainable practices. They have pioneered range of sustainable agriculture programs in a variety of territories and commodities, which have improved livelihoods in crops like tea, cocoa, pepper and vanilla-producing communities.
How does it affect the economy of the Philippines? Any benefits or problems created by your chosen MNCs in the Philippines? (15 points each)
PepsiCola/PepsiCo
Here in the country, Filipinos are also having the awareness on all these health issues, but so far, the biggest challenge is still poverty and malnutrition. Among the things Pepsi does for the community is to support local communities where they operate like organizing school nutrition program and they called it "Pepsigla"
Pepsi is very much aware of the changing societal concerns, attitudes and lifestyles as important trends. People are becoming more concerned about obesity, diabetes, hypertension and other health issues, representing a bigger challenge for the industry players.
Nurturing a Sustainable Supply Chain. Among the pressing water crisis, the company was able to sustain healthy production through reduced resource wastage. It does not just motivate them to strengthen and resolve in being a responsible corporate citizen, but also it creates a healthy ecosystem that nurtures the business and its employees, the communities which we have build our success and the environment that provides all of us the resources to prosper. It will aware on how business stakeholders are now more concerned with a firm’s impact to the economy, environment and society.
Unilever
Unilever created real solutions in areas such as nutrition, livelihood, water, sanitation, and the environment. They're not just to further grow the market, but to nurture young Filipino talent as well. They are implementing to address major social concerns by organizing
Sustainable Living Programs in committed to make sustainable agriculture and sustainable
manufacturing practices. And they are looking at strategic investments in the Philippines to better serve Filipino families by offering products for their daily use and helping them in challenges the people face.
Provide the sources of your research:
• The name of the website or material you used.
History of Unilever
A Short History of PepsiCo
About the Company Unilever - Wikipedia WSJ Markets Unilever Philippines Names New Chairman Working With Others to Reduce our Environmental Impact PepsiCo Launches 2025 Sustainability Agenda Designed to Meet Changing Consumer and Societal Needs Pepsi Philippines embraces sustainable transformation in first ever sustainability report
