Organizational Structure

Over the years PepsiCo has changed their organizational structure many times due to increased global expansion. Right now PepsiCo’s organizational structure is mainly based on geographical location, which can be seen in the graph below. On their first level PepsiCo has four categories of business units: Americas Beverages, Americas Food, Europe, and Asia, Middle East and Africa (AMEA). Their Americas Food category is also broken down further into Frito-Lay North America, Quaker Foods North America and Latin America Foods.  As you can see though their main breakdown id be geographical location there is also consideration of products for the Americas. This can be attributed to the fact that the Americas provide 71 percent of PepsiCo’s revenue, requiring a more specific breakdown to adequately serve this area.

Strategic Control and Corporate Governance

One of the ways that PepsiCo is able to maintain behavioral control is with their strong corporate culture aimed at working to help employees succeed. Pepsi allows employees to gain responsibility very early on it their careers, which helps build self-esteem in their work and a sense of being connected with the company that is essential for building a positive corporate culture. Another way to build up this culture is  by rewarding and recognizing those employees who meet the company standards. In 2009 PepsiCo launched a new program to do just that. Their "Chairman's Circle of Champions" recognizes employees for "safety, job performance, service and even people skills". The award is given to only 350 employees and includes a trip to New York. 

International Strategy

PepsiCo is an international business. PepsiCo has four business units:PepsiCo Americas Foods, PepsiCo Americas Beverages, PepsiCo Europe and PepsiCo Asia, Middle East & Africa. These business units cover the many diverse areas of the world that Pepsi does business in. PepsiCo products are distributed in over 200 countries and they are continuing to expand, especially in the Middle East. In 2009 sixteen percent of PepsiCo's net revenue came from their Europe operations and thirteen percent came from their  Asia, Middle East & Africa operations. In their efforts to expand PepsiCo has worked to bring their products to areas of the world that were previously inaccessible as well as creating new products catering to increasingly health conscious customers all around the world.