The guiding principles of PepsiCo

While the organisation clearly states its aspirations to be the world’s premier consumer products company, it also enforces that its culture will be one of honesty, openness, fairness and integrity. The firm highlights within its Values Statement that they are committed to “deliver sustained growth, through empowered people, acting with responsibility and building trust.” In order to achieve sustained growth, it may be argued that a significant aspect of the firm’s culture is its diversity. This can be shown through PepsiCo’s entry into markets, other than its leading Pepsi brand.

While building on their portfolio of beverages, the firm has also entered the food market with its Frito Lay and Quaker brands. PepsiCo is also the owner of Walkers Crisps in the UK, and has shown to have successfully entered the ‘evening snacks’ market. The success of these brands has demonstrated PepsiCo’s culture of commitment to growth and expansion of the organisation on a global basis, thus moving forward with the company’s strategy and not being averse to the risks of entering a new market.

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However, it is also part of PepsiCo’s culture to produce products of the highest standard.

The firm’s guiding principles

The organisation emphasises as part of it commitment to growth that it should only sell products they can be proud of. This aim is filtered through each of the company’s departments. It is through this type of organisational culture that PepsiCo can help grow its market share and this is represented in the firm’s established Guiding Principles;

  1. Care for customers, consumers and the world we live in;
  2. Sell only products we can be proud of;
  3. Speak with truth and candour;
  4. Balance short term and long term risks and benefits over time;
  5. Win with diversity and inclusion and;
  6. Respect others and succeed together.

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Perhaps the most revealing fact of PepsiCo’s culture is its vision. This is encapsulated by the “>” symbol which signifies more or better than. For PepsiCo, it is this symbol which encapsulates the firm’s vision and strategy as it represents their culture of making “Tomorrow better than today.” This vision is applied in a sustained aim as the firm has stated that it is their responsibility to “continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today.”

The firm prides itself on growing talent

On a daily basis, the organisation culture of PepsiCo does seem to represent its future vision. The culture of the workforce is geared towards helping employees reach their full potential. The firm prides itself on growing talent from within the company and promotes a culture of freedom to act and think in ways that will help the organisation get the job done, while being aware of the rest of the company’s needs. While the firm seeks to reward its employees through promotions and other incentives, it also promotes a culture of inclusion by allowing everyone to reach their potential in order for the best ideas to come forward.

Another example of PepsiCo’s organisational culture is its drive for innovation. The organisation places great emphasis on innovation, whether this is achieved by introducing new flavours in their snacks (eg. launching the Doritos a la Turca chips in Turkey), or launching more nutritional products such as Aquafina, so as to accommodate a more health-conscious population. Through this organisational culture, PepsiCo is working towards achieving rather than constraining its strategy.


It is through the type of relationship with its stakeholders and the organisational culture of PepsiCo that enables them to argue that their quest for sustained growth will be achieved. One can certainly suggest that the firm’s proactive approach with its stakeholders and its culture of innovation, inclusion and openness is helping to achieve its strategy of making “tomorrow better than today. ”


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  2. Strategic Change and the Management Process 1987
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  5. PepsiCo Annual Report 2004,
  6. PepsiCo Company website, viewed 1st March 2006,
  7. http://www. pepsico. com/PEP_Investors/AnnualReports/04/index. cfm Bibliography Annual Report 2004,
  8. PepsiCo Annual Report 2004,
  9. PepsiCo Company website, viewed 1st March 2006,
  10. http://www. pepsico. com/PEP_Investors/AnnualReports/04/index. cfm Aleksandra Dobkowski-Joy, Report Reviews

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The guiding principles of PepsiCo. (2020, Jun 02). Retrieved from

The guiding principles of PepsiCo

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