A Project under the university of Calcutta

BUSINESS PLAN REPORT OF LAY’S

NAME- Aastha Dubey

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 INTRODUCTION

Starting a business begins with a single spark: an idea. This idea is the cornerstone of any
venture, shaping the foundation upon which the entire business will be built. Whether it's
a unique product, a solution to a common problem, or a new service that meets an
emerging demand, the strength of a business idea lies in its ability to address a gap in the
market and create value for customers. However, transforming an idea into a fully
operational business is a journey that requires careful planning, creativity, and
determination.

A well-thought-out business setup process involves several critical steps, each designed to
refine the idea and prepare it for real-world execution. It begins with identifying a target
audience, analyzing market trends, and assessing competitors. These steps help you
understand the viability of your concept and how it can differentiate itself in a crowded
market. Following this, you need to craft a solid business plan that serves as a roadmap,
outlining the mission, vision, and objectives of your enterprise, as well as the strategies for
achieving them.

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 EVOLUTION OF BUSINESS

Lay’s was founded in 1932 by Herman W. Lay, a young entrepreneur from Nashville,
Tennessee. Armed with a dream and a car, Herman began selling potato chips door-to-
door, delivering freshness and quality directly to customers. He initially sourced the chips
from a manufacturer but soon began producing his own to meet growing demand.
Herman Lay’s personal dedication to customer service and consistent quality allowed his
business to flourish, and in 1938, he officially established H.W. Lay & Company. This
marked the beginning of the Lay’s brand as we know it today.
During the late 1930s and early 1940s, Lay's expanded its production facilities and began
distributing across the Southeastern United States. The brand's popularity skyrocketed due
to its commitment to using high-quality potatoes and its innovative packaging that
preserved freshness. Lay’s became one of the first potato chip brands to be sold in
vacuum- sealed bags, ensuring longer shelf life and a crisp product.

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 NATURE OF LAYS

The nature of Lays' business is primarily centered around the production, distribution, and sale
of snack foods, particularly potato chips. It operates within the broader food and beverage
industry, with a strong focus on the snack segment. Lays is a well-established brand known for
its diverse range of flavored potato chips and snack products. Below are some key
characteristics that define the nature of Lays' business:

1. Consumer Goods Industry

Lays is a part of the consumer goods industry, specifically in the snack food category. The
company produces and sells ready-to-eat, packaged snacks that are meant to be convenient,
tasty, and easily accessible. These products are sold directly to consumers through retail stores,
supermarkets, and convenience shops, as well as online platforms.
2. Mass Market and Global Reach
Lays operates in the mass-market segment, targeting a wide demographic ranging from
children to adults across various income levels. It has a global presence, being available in
over 200 countries worldwide, which makes it one of the most recognized snack brands.
Lays' extensive distribution network allows it to cater to local preferences while
maintaining a consistent product offering across markets.
3. Brand Diversification and Product Variety
Lays offers a broad range of product types beyond its classic potato chips. The brand has
ventured into other snack varieties such as:

• Flavored chips (e.g., barbecue, sour cream & onion, cheese)

• Healthier alternatives (e.g., baked chips, low-fat chips, gluten-free options)

• Other snacks, including corn chips, tortilla chips, and occasionally limited-edition products.

• This diversification allows Lays to appeal to a wide range of consumer preferences, from
traditional snack lovers to health-conscious individuals.

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4. Innovation and Adaptation

The business nature of Lays involves constant product innovation. Lays regularly introduces
new flavors and limited-edition products to keep the brand fresh and exciting for consumers.
Additionally, the company adapts to market trends, such as offering healthier options (e.g.,
baked chips, chips made from alternative vegetables) to cater to the growing demand for
low-calorie and organic snacks.

5. Part of PepsiCo
Since its acquisition by PepsiCo in 1965, Lays benefits from being part of a multinational food
and beverage conglomerate. This provides the brand with access to PepsiCo’s extensive global
supply chain, distribution networks, and financial resources. Being a part of PepsiCo also
allows Lays to leverage PepsiCo’s reputation and marketing muscle, enhancing its reach and
market penetration.

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 PURPOSE OF BUSINESS

The purpose of Lay's business, as part of PepsiCo, is to:

1. Generate Profit: As a for-profit company, Lay's focuses on maximizing revenue and

2. Meet Consumer Needs: Lay's aims to provide a convenient, enjoyable snack option
that aligns with consumer preferences for taste, quality, and variety.

3. Expand Market Reach: The business purpose includes growing its global presence by
adapting to local markets, offering region-specific flavors, and expanding its
product portfolio.

4. Promote Brand Loyalty: Lay's works to build long-term relationships with customers by
delivering consistent quality and engaging in marketing efforts that resonate
emotionally with its audience.

5. Support Sustainable Practices: In recent years, Lay's has emphasized sustainability

6. Drive Innovation: The company invests in developing new products, flavors, and
packaging designs to stay competitive and relevant in a constantly evolving
market.

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 OBJECTIVES OF BUSINESS
The objectives of Lay’s business (and similar businesses within PepsiCo) can be summarized as
follows:

1. Profitability

• Maximize revenue by offering high-demand snack products at competitive prices.

• Maintain cost efficiency in production and distribution.

2. Market Expansion

• Increase market share globally by entering new regions and adapting products to suit
local tastes.

• Strengthen its presence in established markets through effective branding and promotional
campaigns.

3. Customer Satisfaction

• Deliver consistent quality and taste to meet customer expectations.

• Introduce innovative flavors and product varieties to cater to diverse preferences.

4. Sustainability

 Promote environmentally friendly practices, such as reducing waste, using

• Work toward corporate social responsibility goals to align with global

5. Brand Equity

• Enhance brand recognition and loyalty through creative marketing, partnerships, and
customer engagement.

• Maintain Lay’s position as a trusted and iconic snack brand.

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6. Innovation

• Invest in R&D to create new flavors, healthier snack options, and convenient packaging
designs.

• Use consumer feedback to continually improve and innovate products.

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 CONCLUSION

In conclusion, Lay’s business objectives revolve around profitability, market growth, customer
satisfaction, innovation, sustainability, and brand leadership. By focusing on delivering high-
quality snacks that cater to diverse consumer tastes while embracing responsible business
practices, Lay’s strives to remain a global leader in the snack industry. These objectives drive the
company’s efforts to create value for stakeholders, expand its market presence, and ensure long-
term success in a competitive marketplace.

Lay’s Business is rooted in its ability to combine customer satisfaction, market leadership and
sustainability. As a globally recognized brand, Lay’s continues to thrive by consistently
delivering high- quality snack, innovating with new flavors, and adapting to evolving consumer
preferences. Its strong marketing strategies and commitment to sustainability ensure long -term
growth and relevance in the competitive snack industry. By focusing on these objectives, Lay’s
solidifies its reputation as a trusted and beloved brand worldwide.

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 BIBLIOGRAPHY

I have successfully completed this project with the help of the

 www.wikipidea.com
 www.commerceschool.com
 www.toppersnotes.com

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 ACKNOWLEDGEMENT

I would like to express my sincere gratitude to all those individuals for mentoring and supporting
me in completing this project my teacher Sapna Shaw, for providing me with invaluable insights
and direction.
To myparents, their constant encouragement and understanding have been the pillars of my success.
I am grateful to my friends who contributed ideas and perspectives that enriched the project. I
would like to thank each and every one who had helped me in completing this project
successfully
within the limited span of time.

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