Crystal Pepsi Case Study

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But for the case of Crystal Pepsi, there was incomplete market and product definition before product development started.

- Strong project management

Ideas are not very valuable unless they are properly implemented, which brings to the hard disciplines of managing time and costs, benefits and risks, team members, contractors and vendors, issues and requirements, tasks and milestones.

Managing product development projects is not extremely different from managing other projects. But there are a few vital add-on points: First, the scope of the project does in fact cover all required tasks to successfully launch the product, not only the technical engineering tasks. Secondly, periodic measurement of project status according to the same criteria that were used to give the initial go for the product is essential.The projects should be kept on track, not only in areas like time and cost, but also regarding projected market potential, profitability and competitiveness.

With Crystal Pepsi’s failure, it can be inferred that there has been challenges in terms of project management.

- Support for customization

Getting the customization issue right actually has to do with most other success factors. It is related to understanding which customer needs are customer specific, and which are ‘generic’. It is about building a product architecture that enables customization. And it’s about the way customer projects are run and how different customer groups are involved in regular product development projects.

Since Crystal Pepsi’s first introduction failed shortly after launching, there should have been effective support for customization. However, on its 2nd introduction, still Crystal Pepsi failed.

- What part of the general environment PepsiCo failed to consider in the marketing plan? Discuss the business impact.

You can’t beat the Feeling “,“ Taste like you’ve never seen before” or “Come alive” as with the case of Pepsi One can question "what feeling?", but that is not the point. The more culturally unbounded the product is, the more a global clustering can take place and the more a standardised approach can be made in the design of marketing programmes. The need to recoup large costs of research and development in new products may force organizations to look at global markets to recoup their investment. This is certainly true of many veterinary products. Global volumes allow continuing investment in R & D, thus helping firms to improve quality. For Crystal Pepsi, drawbacks on these areas were committed. As stated in the case, the reasons for introducing the new product were to compete with Coke and to launch a “healthier” concept of a soda. However, other external factors, and even detailed product identification were not comprehensively done before introducing the product to the market.

In order to take advantage of global opportunities, as well as meet the challenges presented by so doing a number of concepts can be particularly useful. Of all the steps in formulating strategy, no one step is as important as the ability to assess the "environmental" factors in international marketing. Taking account of cultural, economic and political differences is a must when dealing with different markets. An analysis of the environmental uncontrollables allows the potential marketers to place products on a continuum of environmental sensitivity. At the one end are environmentally insensitive products and at the other end, those more sensitive to economic, sociocultural, physical and other factors. The greater the sensitivity, the greater the need for the organisation to learn the way the product interacts with the environment.