multinational company management (1)
DESCRIPTION
with pepsi co in vietnamTRANSCRIPT
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MULTINATIONAL COMPANY MANAGEMENT
Group 9
Topic: Overview about PepsiCo and its business in Vietnam
LOGOMEMBERS OF GROUP 9:
Ngô Thị Thanh Tâm1
Nguyễn Thị Thảo4
Vũ Thị Thanh3
Khổng Thị Thu10Nguyễn Thị Thu Thảo5
Nguyễn Tịnh Tâm8
Đỗ Thị Thanh2
Vũ Thị Thơm9
Phùng Thị Thảo6
Trần Thị Thảo7
LOGOCONTENTS
II.Business in Vietnam
A. General environment
B. Strategies in Vietnam
C. Human resource management
III. Conclusion
I. General view about Pepsi.Co
LOGOGENERAL VIEW ABOUT PEPSI.COPepsiCo is an America multinational company
headquartered in Purchase, New York, United States. PepsiCo was formed in 1965.
It leads in convenient snacks, foods and beverages with revenues of more than 60$ billion and over 285000 employees from almost over the world.
LOGOGENERAL VIEW ABOUT PEPSI.CO
PepsiCo is comprised of PepsiCo Americas Beverages, PepsiCo Americas Foods, PepsiCo Europe, PepsiCo Middle East, Asia and Africa.
LOGOGENERAL VIEW ABOUT PEPSI.CO
Pepsi main product: drinks ( soft drinks and juices), snack, instant food,
Pepsi main brands name: Pepsi for soft drinks, Frito Lay for potato chip and other snack, Tropicana for fruit juices, Quaker for instant and other food, Gatorade for sport drink.
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GENERAL VIEW ABOUT PEPSI.CO
PepsiCo Vietnam is a branch of PepsiCo Asia,Middle East and Africa
Main headquarter in Vietnam: 5th floor, Sheraton building, 88 Dongkhoi , Hochiminh city
Branch office in Hanoi: number 1 Phuong mai , Dong Da, Hanoi.
LOGOGENERAL ENVIRONMENT
Natural environment
The economic environment
The political – legal
environment
Technological environment
Cultural and social environment
General environment
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THE ECONOMIC ENVIRONMENT
Good economic growth rate push up production The steady economic will create the favorable
environment for enterprises High inflation: The CPI in 12/2010 increased up toto
12%business activities would not be predict easily cause of the changing of input price
LOGOTHE ECONOMIC ENVIRONMENT High banking interest: make it difficult in accessing with
loans from banks The economic infrastructure and transportation system: is
upgraded, innovated synchronic. PepsiCo needs to cooperate and take this advantage to
build good distribution channels.
LOGOTHE POLITICAL – LEGAL ENVIRONMENT
Viet Nam has stable security and politic which create a safe environment for enterprises
Equality in business market creates good conditions for Viet Nam Pepsi co’s steady development.
LOGOCULTURAL AND SOCIAL ENVIRONMENT Soft drink market in Viet Nam is the potential market for
both domestic and oversea exploration. The changing in the way Vietnamese select soft drink
special the young. Vietnamese still have tea culture The fast food development market: Pepsico cooperated to
supply fast food service and accompage soft drink accompagner
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TECHNOLOGICAL ENVIRONMENT
Scientific- Technology environment for PepsiCo in Vietnam:
- Does not have to pay costs for technological transference.
- Has the most advanced technologies
- Has to concern over training human resources in the country effectively
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NATURAL ENVIRONMENT Vietnam is characterized by a monsoon tropical climate
which is hot, humid and rainy but differentiate in different regions
The difference: generating the richness and diversity of demand and consumer tastes.
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NATURAL ENVIRONMENT
Environmental pollution: is also getting more and more attention of society PepsiCo need a special attention to the environmental factors.
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Three level strategies
Corporate level strategy: Vertical integration PepsiCo is comprised of PepsiCo Americas Beverages, PepsiCo
Americas Foods, PepsiCo Europe, PepsiCo Middle East, Asia and Africa.
Business level strategy:PepsiCo had a cautious research and knew
Vietnamese economy and politics in order to compete local manufacturers. In the 1990s, local economy was underdeveloped Pepsi launched great discount promotion, attracted
Vietnamese’s attention Their strategies focused on Vietnamese consumption trend which is interested in cheap goods and discount products
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Good functional level strategy
Pepsi expanded their distribution network to the North and obtained many market share from Coca cola by distributing their products to coffee shops, restaurants or stores.
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Good functional level strategy Patriotism, national pride and the love of sports
launched many events that related : held “ football festival” through a TV show, launched the slogan
With good managers and marketing staffs who are well – informed about the Vietnam soft drink market and Vietnamese demand
Always made good marketing strategies, attractive and unique commercial films
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Three level strategy
Took full advantage of Vietnam conditions to entered successfully into Vietnam soft drink market and gain huge market share in our country.
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Entry strategy model
PepsiCo entered our country through entry strategies are join venture, M&A and subsidiary
In 1994, PepsiCo teamed up with International Beverages Company to manufacture and distribute Pepsi-Cola and 7Up products in Vietnam
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Entry strategy
At the same time, PepsiCo's Foods and Beverages merged impact on both strategy, operating principles of PepsiCo Vietnam
Pepsi Vietnam has quickly adopted the new strategy, expanding its business functions and portfolios to manufacture and distribute both Foods and Beverages (F&B) in Vietnam
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Entry stratey PepsiCo Vietnam has successfully in: - Operating in compliance with its corporation's
world-class standard and the local regulations as well.
- Sustaining its market leadership position driven by impressive growth significantly surpassing that of the F&B industry
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C. Human resources management At PepsiCo Vietnam, HR supports & develops their
most important asset. HR process begins with staffing the Organization Then following by building Organization
Capability
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1. Recruitment
PEPSI Vietnam employs through both formal and informal ways of recruitment.
Recently, a new way of recruitment: Online Applications
Recruitment process is improved in terms of efficiency and convenience with the use of technology
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Sources of Recruitment
PEPSICO uses both Internal and External Recruitment.
But the priority is given to the internal if the employee has the capabilities, required by the management for working on that post.
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Recruitment MethodsInternal
“Job Posting”: employees of organization are preferred but if the organization feels that the employee is not competent enough then they go for external methods.
Such announcements are made through bulletin boards, memos and other internal sources.
External
Prefers advertising through newspapers and their official website for their recruitment purposes.
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Selection process
1. The Application2. Written Exams3. Performance Exams4. Specialized Testing5. The Panel Interview 6. The Selection Interview
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2. Training and development
Trained and developed many seniors and fast track managers and supervisors.
Provide full opportunity to employee to develop themselves & train them as the requirements of their job.
Provide the training session in the form of seminars, classroom training courses and workshops.
Pepsi Vietnam often organize Pepsi management trainee program to recruit and train potential candidates.
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-Respect workforce.
- Dawn Hudson, President and CEO of Pepsi-Cola North America states, “building a diverse workforce is not just a ‘nice to do’- there is a clear and obvious business imperative” - Diversity and inclusion are seen as catalysts to innovation and growth.
Management policies
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Commitment to diversity is echoed on the PepsiCo website:
“We view diversity as a key to our future… Offering a workplace where diversity is valued helps us build the top-quality workforce so crucial to our success -- by enabling us to attract and retain great people from a wide spectrum of backgrounds.”
Management policies
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- PepsiCo makes an extra effort to retain its diverse workforce by measuring inclusion efforts. - Continue to recruit and retain those outside the traditional umbrella of diversity – beyond women and minorities- Organizational Health Surveys and Pulse Surveys allows all employees to voice any concerns they may have.
Management policies
LOGOPerformance appraisalJob evaluation: yearly, basis under 360o
method Competent employees: rewarded by
promotions, bonus, increments and annual holidays
Using different questionnaires to judge employees’ personalities
Overtime payment: is pay for workers who are working more than their working hours mostly overtime payment is given to low level staff.
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