Pepsico and Public Health: Is the Nation's Largest Food Company a Model of Corporate Responsibility or Master of Public Relations?

Abstract

While most people just think of soda when they hear the name Pepsi, the multinational conglomerate called PepsiCo is actually the largest food company in the United States and second largest in the world (Nestlé is number one).1 PepsiCo’s dizzying reach extends far beyond just fizzy sodas. Formed in 1965 through a merger of Pepsi-Cola with Frito-Lay, the company’s marriage of salty snacks with soft drinks has been key to the company’s success, and sets it apart from industry competitor Coca-Cola, which still only owns beverages.2 Over the past decade, many questions have been raised about the role of the food industry in contributing to a marketing environment in which unhealthy beverages and snacks have become the norm. While industry responses have come in various forms, PepsiCo stands out, at least in terms of public relations. The company prides itself on being a leader in corporate social responsibility. The goal of this article is to take a closer look at what the company says it’s doing, what it’s actually doing, and the broader context for these actions. By any measure of good health, sugary beverages and salty snacks are not exactly “part of a balanced diet,” at least not on a regular basis. Add to that increasing pressures in schools and local communities to reduce or eliminate junk food marketing to children,3 and it becomes clear that a company like PepsiCo has a pretty serious public relations challenge on its hands.