Frito-Lay
Frito-Lay is very strategically positioned within the snack food industry. They account for 13% of sales in the United States snack food industry and are the leading manufacturer of snack chips in the United States; accounting for half of the retail sales of snack chips. In fact, 8 of the top 10 best-selling snack chip items in United States supermarkets are a Frito-Lay product (Doritos, Ruffles, Lay’s, Fritos, Cheetos, Tostitos, Frito-Lay Variety Pack, and Santitas).
Frito-Lay operates based on four basic strategies:
1. Grow established Frito-Lay brands through line extension. This can be a change in the variety of tastes or sizes.
2. Create new products to meet changing consumer preferences and needs.
3. Develop products for fast-growing snack-food categories.
4. Reproduce Frito-Lay successes in the international markets.
Their greatest advantage is the fact that Frito-Lay has such a diverse selection of goods and offers innovative products to their consumers; entirely new products not currently on the market.