Home

help with a 3 page paper https://keiseruniversity.blackboard.com/bbcswebdav/pid-28800755-dt-content-rid-144061501_1/xid-144061501_1

Please respond to both separately with a minimum of 100 each.
1.A business typically uses different approaches for the purpose of creating competitive pricing and efficient channels of distribution. PepsiCo is one such example. It is a global authority in the beverage and food realm, facing intense rivalry from Coca-Cola. Since the industry is faced with stiff competition, PepsiCo uses a differentiation strategy to make its products distinct based on aspects like marketing, innovation, and a variety of product lines, such as Gatorade, Pepsi, and Mountain Dew (Jallow, 2021). It also offers a selection of snacks under Doritos and Lay’s brand names. PepsiCo focuses on balanced strategy, providing more nutritious alternatives along with conventional favorites to address the ever-changing needs of its consumers.
The company employs multichannel marketing technique, which consists of direct-to-consumer, online, as well as retail channels. Using alliances and strategic partnerships enables easy accessibility of PepsiCo’s products worldwide, reaching customers via physical stores, digital sites, as well as convenience shops. Such a diversified strategy enables PepsiCo to get adapted to varying situations and prospects in the unpredictable food and beverage industry.
Regarding pricing, the company uses both marketplace share and short-term profits. PepsiCo attracts those targets segments deemed to be less sensitive to price, for example customers who are looking for certain attributes and health-conscious alternatives. In determining the prices of its products, the company factors in the prices of competitors as well as makes use of techniques such as economic-value-to-customer pricing technique. This ensures that its products’ perceived value rationalizes the price approach. Its detailed pricing methodology along with channels of distribution makes PepsiCo capable of dealing effectively with the difficult issues of the market at the same time fulfilling the multifaceted preferences and needs of its consumers.
2. Rum Jungle Pricing Strategy and Distribution Channels
Rum Jungle is a local café in San Diego that offers various beverages and cuisines to
its customers. The café stands out from the numerous cafés in the area due to its
innovativeness, which allows it to introduce new products to the market first. The café
differentiates its products by offering nutrient-rich snacks and meals with diverse flavors that
reflect various cultures worldwide. The primary marketing channels Jungle Café utilizes
include social media platforms such as Instagram, the rum Jungle Café website, and high
SEO and online presence, such as on Google My Business listings. Rum Jungle should adapt
prices and marketing channels to meet varying circumstances by conducting market research
to understand customer preferences, thus more effectively advertising their products.
Additionally, the café can adopt a dynamic pricing strategy, which would allow it to easily
adjust its prices across different seasons.
Based on the interview, the Rum Jungle Café adopts a market share leadership pricing
strategy. Their prices are set at an affordable rate, which would give the café short-term
profits to capture a significant market share (Kokemuller, n.d.). The café does not have a target
segment that is less sensitive than others. The Café does not pay much attention to competitor
pricing but instead focuses on offering value-based products. The café’s cost pricing
approach is both value-based and cost-plus because they consider ingredient costs, some of
which are organically sourced.