roup Case Questions
Case 10 – Pepsi
1. What is PepsiCo’s corporate strategy? Briefly identify the business strategies that PepsiCo is using in each of its consumer business segments in 2008.
2. What is your assessment of the long-term attractiveness of the industries represented in PepsiCo’s business portfolio?
3. What is your assessment of the competitive strength of PepsiCo’s different business units?
4. What does a 9-cell industry attractiveness/business strength matrix displaying PepsiCo’s business units look like?
5. Does PepsiCo’s portfolio exhibit good strategic fit? What value-chain match-ups do you see? What opportunities for skills transfer, cost sharing, or brand sharing do you see?
6. Does PepsiCo’s portfolio exhibit good resource fit? What are the cash flow characteristics of each of PepsiCo’s four segments? Which businesses are the strongest contributors to PepsiCo’s free cash flows?
7. Based on the preceding analysis, what is your overall evaluation of PepsiCo’s business portfolio in 2008? Does the portfolio provide the company’s shareholders with an opportunity for above-average market returns?
8. What strategic actions should Indra Nooyi take to sustain the corporation’s impressive financial and market performance? Should its free cash flows be used to fund additional share repurchase plans, pay higher dividends, make acquisitions, expand internationally, or for other purposes? What other strategic actions should be pursued by corporate level management?
Case 13 – Walmart
1. What impresses you about this company? What accounts for Wal-Mart’s success over the past 25+ years? Is it a great strategy, superb strategy implementation and execution, or great leadership? What aspects of Wal-Mart do you find unimpressive?
2. Which of the five generic strategies is Wal-Mart employing? What are the chief elements of its strategy?
3. Is Wal-Mart’s strategy working well? What does the information in case Exhibit 1 reveal about...