The two companies have set some pension plans that have had many effects on the companies’ level of investment and risk while also, it affects their levels of sale and production of products. These plans are aimed at benefiting their retired employees while each company uses a quite different approach from the other. The two companies have developed strong public relations across many nations that assist them in linking customers to their company. The International Financial Report Standard (IFRS) has been a significant unit within the management of funds on the pension plan. It helps the companies realize whether the scheme of pension plan brings a loss or a profit for the company. The companies can therefore classify the pension plans as either assets or liabilities according to the IFRS report. It also enables the companies determine whether they have overfunded or underfunded the pension plan. In 2009, the coca-cola company held a third position among the companies that have adopted a cash balance report meant to cater for the pension plan schemes (Diebold, 2010). The coca-cola executive managers rejected the use of a constitutional approach in funding pension plans. As a result, there were minimized risks to the coca-cola company. Additionally, the company secured more benefits to the employees in comparison to year 2008. Following this actions, the company reported $31.9 billion in revenue operation, which was a higher value compared to $28.9 billion in the preceding year. On the other hand, because of the plan, mobility of the workforce went up while the career benefits accumulated from the plan increased compared to the preceding approach that dealt with pension plan. During the same year, 2009, Pepsi Co Company, through the assistance of the International Financial Report Standard (IFRS), developed a method of offering a final salary pension to the new employees. These were meant to benefit its workers and their family members upon their retirement. This plan included medical fees among other benefits for the retired employee and is differently calculated. This method required a high quality pension scheme capable of securing the retirement of both the present and the newly employed workers. Up to date, the method is still applied in the company (Warfield et al. 2012). However, the method posed a higher risk to the Pepsi Company and brought in a decline of the total sales of Pepsi as compared to the year 2008. At Pepsi Company, Pension plans cover full time employees while their benefits are determined on the bases of either years of service for the worker, or a combination of service or the years of service. Retirees are eligible for life and medical insurance benefits upon meeting a specific age and service requirements. Their share of the pension costs is capped at certain dollar amounts on bases of years of service. The expected return on the pension plan assets is based on the company’s investment strategy on the pension plan as well as on their expectations for their long-term rates of return. In calculating their funding levels and capital gains in the pension plans, a market-related valuation method that realizes investment loses or gains for the securities included in their equity allocations. With complete reliance to the Financial Report Standard (IFRS), the company ensures that the amount of funds allocated for the pension plan does not exceed the expected gains. This is
Coca-Cola Company vs. Pepsi Co Inc Name Institute Coca-Cola Company vs. Pepsi Co Inc Pepsi incorporation and the coca-cola company are international beverage producing companies. Over the years, Different people have had different views and opinions about the two companies despite that their products serve a similar purpose…
In respect of vertical analysis, PepsiCo is found to have earned much more growth as compared to Coca-Cola such that PepsiCo’s revenues increased by 8% and 11% respectively as compared to previous years whereas Coca-Cola’s revenues increased with 4% and 6% during the same periods.
The Coca-Cola Company is considered the globe’s largest drinks selling business, occupying over half of the international marketplace in carbonated soft beverages in addition to a considerable portion of the noncarbonated section. It possesses four of the globe's five best-purchased soft drinks.
In this campaign the company decided to introduce temporarily a white can for its famous coke brand. The usual red cans were rebranded to white cans with images of white polar bears on them. The company for the first time in history changed its iconic red cans white in order to celebrate the polar bear and commit money to WWF’s conservation efforts (Coca Cola).
Pension plan is an important benefit that is to be offered by a company to its employees. Coca-Cola and Pepsi Co are the two global competitors but have done well in ensuring that the employees of the company get full benefits from the pension arrangements of the company though their process of offering benefits may differ.
Coca-Cola has a strong market presence in the soft drink industry and has been continuously introducing various new products to satisfy the needs of their existing customers as well as attract new customers. Through acquisition of local soft drink products and their various marketing strategies, they have been strategically gaining competitive edge and strong local market presence.
Muhtar Kent. The stocks of the company are listed in the New York Stock Exchange .The Company is rated as one of the largest companies in United States of America. It has been in operation for the last 130 years producing over 400 different kinds of brands for its customers.
The markets attending the 2012 London Olympics will be domestic citizens and international citizens of varying demographics and lifestyles. This concept of creating global harmony through Coca-Cola products will be a proper fit for a theme involving ecology and green business as well as diversity found prevalent at the Games.
It is the world’s leading soft drinks manufacturing company which operates its business in more than 200 countries of the world. For more than a century the company continues through depression, prosperity,
Further information was about the company was obtained from a book about Coca-Cola company. Coca-Cola's SEC filings were obtained from the US Securities and Exchange Commission official website.The Coca-Cola Company is a corporation that operates as a manufacturer, retailer and marketer of non-alcoholic beverages syrups and concentrates.
1 pages (250 words)Essay
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