Frito Lay Case Study

Essay by RozellaUniversity, Master'sA+, September 2006

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Business Description

In 1932, two young entrepreneurs independently started two separate companies that were thousands of miles apart. Elmer Doolin of San Antonio, Texas and Herman W. Lay of Nashville Tennesse, had the same objective in mind, and both shared the same basic business philosophy: "Provide the customer with a product of the highest quality and value; sell it for a fair profit; and make service a fundamental part of doing business."

Frito-Lay's snacks include a broad portfolio of products including chips and granola bars, dips, salsas, nuts and seeds. The company's range of branded products include Lay's potato chips, Doritos flavored tortilla chips, Tostitos tortilla chips, Cheetos cheese flavored snacks, Fritos corn chips, Ruffles potato chips, Rold Gold pretzels, Sun Chips multigrain snacks, Munchies snack mix, Lay's Stax potato crisps, Cracker Jack candy coated popcorn and Go Snacks. Frito-Lay also sells a variety of branded dips, Quaker Fruit & Oatmeal bars, Quaker Quakes corn and rice snacks, Grandma's cookies, nuts and crackers.

In addition to its extensive range of products, the company also offers extensions and limited time available products that provide variety for current consumers and appeal to new consumers.

Frito-Lay branded products are sold to independent distributors and retailers; which are then available via warehouse clubs/mass merchandisers; convenience stores; foodservice/vending; supermarkets/grocery stores; and other channels. The company owns and leases approximately 50 food manufacturing and processing plants and approximately 1700 warehouses, distribution centers and offices.


2.1 Business DEFINITION

Frito-Lay manufactures, markets, sells and distributes branded snack foods.

2.2 Business MISSION

The overall mission of Frito-Lay is "to be the world's favorite snack and always within arm's reach".


For the coming years, Frito-Lay seeks to achieve the following goals:

To offer a workplace where all associates can grow...