Answer within 24 hours

Sihra 1

Hritik Sihra

Business 100

Diane Sionko

20, November 2019

Environmental Analysis

The brand image and the supply chain of the PepsiCo business are linked to the environmental

concerns. There are environmental standards that govern the operation of the business. Example

there is high expectations as well as standards on how the PepsiCo is going to dispose its waste.

Stringent regulations and rules on the mode of the waste disposal and the treatment can have

impact on the profit generation of the company. The business will have to meet the expectations

of the government in different countries because PepsiCo is a global business. It has to adhere to

the environmental laws and regulations otherwise it will not be able to carry out its operations.

Government and other organizations are very keen on environmental pollution and that is why

strict laws have been put in place.

Before PepsiCo enters into the market in different countries, it must carefully evaluate the

standards of the environment that are required. A key concern is raised on the green economy

and the impact of the business on the ecology. Similarly, environmental factors have become a

threat to the business especially on the issues related to climate change. Water scarcity is

becoming a challenge in developing countries because of climate change. The business uses lot

water and water scarcity has a direct impact on its production. The supply chain is also affected

by climate change.

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Consumers and other agencies are pushing PepsiCo to improve the standing of environmental

standing. It is being pushed to come up with good strategies for waste disposal such as waste

recycling so that the customers can have support on the business after understanding that their

welfare is being considered. Implementation of these strategies can make the company to incur

extra cost and use more resource. It is a must for the company to make sure that it has improved

its environmental impact because it is a strategy of retaining the customers and making sure that

there is stabilization of the supply chain. Furthermore, in some countries such as Europe,

companies that use operates based on the renewable energy are given tax break. This can be a

great opportunity for the PepsiCo to do research on renewable energy and make use of it. The

attitude of the people towards use and support of the renewable energy is very important. Lastly,

PepsiCo must understand the management of waste and the perception of the consumers toward

it.

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https://www.pepsico.com/sustainability/packaging

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References:

Venkataraman, Sankaran, Mary Summers, and S. Venkataraman. "PepsiCo: The Challenge of

Growth through Innovation." Darden Business Publishing Cases (2017): 1-22.

Laseter, Timothy M., and Timothy M. Laseter. "PepsiCo: QTG Emerging Channel

Investment." Darden Business Publishing Cases (2017): 1-18.

Fisher, Jonathan. "Environmental Regulation and Growth: Impact on Sustainable Economic

Growth." In Developments in Environmental Regulation, pp. 49-89. Palgrave Macmillan, Cham,

2018.

Yach, Derek. "Health as a cornerstone of good business and sustainable development." American

journal of public health 106, no. 10 (2016): 1758.

Fisher, Jonathan. "Environmental Regulation and Growth: Impact on Sustainable Economic

Growth." In Developments in Environmental Regulation, pp. 49-89. Palgrave Macmillan, Cham,

2018.