Vanessa Eastman
Globalization Essay #3

PepsiCo is known around the world as one of the largest companies in the beverage industry, but that is not the only industry that PepsiCo is involved in. Over the years PepsiCo has merged with other companies such as Frito Lay and Quaker to expand their footprint throughout the entire food industry. They now provide not only well known beverages such as Pepsi and Mountain Dew, but also products such as potato chips, oatmeal, and Tropicana orange juice to name a few. These expansions have helped PepsiCo grow to the major corporation that it is today. “Pepsi was first introduced as “Brad’s Drink” in New Bern, North Carolina, in 1893 by Caleb Bradham, who made it at his drugstore where the drink was sold. It was later labeled Pepsi Cola, named after the digestive enzyme pepsin and kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy.” (Pepsi, 2013) “As the cola developed in popularity, Bradham created the Pepsi-Cola Company in 1902 and registered a patent for his recipe in 1903. The Pepsi-Cola Company was first incorporated in the state of Delaware in 1919. The company went bankrupt during the Great Depression in 1931, and on June 8 of that year the trademark and syrup recipe was bought by Charles Guth who owned a syrup manufacturing business in Baltimore, Maryland. Guth was also the president of Loft, Incorporated, a leading candy manufacturer and used the company’s labs and chemists to reformulate the syrup. He further contracted to stock the soda in Loft’s large chain of candy shops and restaurants, which were known for their soda fountains, used Lofts resources to promote Pepsi, and moved the soda company to a location close by Loft’s own facilities in New York City. In 1935 the shareholders of Loft sued Guth for his 91% stake