PepsiCo’s Deal with Indian Medical Association to Promote Tropicana & Quaker Oats Raises Ethical Concerns
Details
CLCB060
4
2008
NO
200
PepsiCo, Inc.
Food & Beverage
India
Marketing Strategy,Brand Strategy, Consumer Marketing
Abstract
In 2008, Fritolay India, the snack foods division of PepsiCo, entered into a deal with the Indian Medical Association (IMA) whereby the IMA would endorse the two brands Tropicana and Quaker Oats. Analysts felt that PepsiCo had entered into the deal with the objective of warding off stiff competition from competing brands, gaining a foothold in the growing health and wellness market in India, and silencing critics who charged it with promoted unhealthy products such as sugary drinks and salt-laden snacks. However, the company’s decision to use the IMA’s endorsement raised ethical concerns and fueled a hot debate in the media.
Learning Objectives
The case is structured to achieve the following Learning Objectives:
- Influencing consumer behavior
- Reference groups
- Consumer behavior and product and promotional strategy
- and Sales promotion
- Ethics
Keywords
celebrity endorsement, advertisement, legal, ethics, competition, health and wellness, competition, Fritolay, India, PepsiCo, Indian Medical Association, IMA, Tropicana, Quaker Oats, Hindustan Unilever Ltd., Kellogg's, Nestlé, Dabur Real, Dabur, Get Active program, Dettol, Dispirin, Reckitt Benckiser, Pampers, Procter & Gamble, Eureka Forbes