Developingnew products that not only outshines competitors but also brings inhigh revenues may not be an easy task. It requires sacrifice,commitment, strong leadership and even sorting out the minutestdetails. There are also many barriers involved in the productionprocess that needs to be identified and overcome before taking thefinal plunge. Some of these challenges that PepsiCo expects to facein the course of introducing unsweetened drinks include one,obtaining the requisite expertise who can contribute fully to theproduction of these beverages. Second is resistance to change.PepsiCo is globally known for the production of carbonated drinks.Any attempt shift to production of non-carbonated drinks may reduceits popularity and competitiveness. In that case, most employees maybe hesitant to embrace the change in the fear that the company mayfail terribly. The third challenge is inadequate resources whichcomprise of human, financial and technical resources. Lastly, thecompany expects to face promotional challenges in most developingnations. This is because a large number of the population have noaccess to newspapers, social media, televisions and the companywebsite which are the most efficient channels to promote a product(MSG Experts 2014).
Overcomingthe challenges stated above will be the first step to achievingorganizational success. For instance, to address the issue ofinadequate expertise to bring on board, the company will outsourcesome of its skilled labor from the international market. By doing so,the corporation will be in a position to produce high-qualityproducts that fit the need of the target customer segment. On asimilar line, by surmounting promotional challenges, the businesswill be able to extend its geographical reach to untapped groundshence gaining a larger market share. Also, maintaining connectednessamong all components of the business model require adequate financialresources. By prevailing over this threat, the company will havesuccessfully integrated all its key elements hence maintaining acohesive structure.
MSGExperts.(2014). Managementstudyguide.com.Retrieved 27 October 2016, fromhttps://www.managementstudyguide.com/challenges-in-new-product-development.htm