Pepsi aggregate Demand and Supply
Aggregate supply is the total quantity of output Pepsi will produce and sale. This means aggregate supply is the real number Pepsi produce GDP. The upward supply curved in Pepsi is directly related to the price Pepsi is charging and producing (Dosi, 2018). In this case when Pepsi price level for outputs increase and the price level of inputs remains fixed, the opportunity will arise for more production to add additional profits. However aggregate demand is also important. Aggregate demand curve will show you the relationship between the price level for outputs and the quantity of total spending in the economy. Therefore, I conclude though Pepsi can be affected in particular areas when there is a negative factor against them truth is the overall billion-dollar GDP is not impacted that much. The United States being a country with many dealing with obesity the soda market is constantly raking in billions to support the buying consumers continue to do even during a pandemic.
cited source
Dosi, G., Pereira, M. C., Roventini, A., & Virgillito, M. E. (2018). Causes and consequences of hysteresis: Aggregate demand, productivity, and employment. Industrial and Corporate Change, 27(6), 1015-1044. https://doi.org/10.1093/icc/dty010
Tyshee,
I think the content of your post is intriguing. The idea that soda companies such as Pepsi profit off of the high obesity rates in the United States shows the recursive nature of the problem. According to the research conducted in 2013, "Soft drink consumption is significantly linked to overweight, obesity, and diabetes worldwide, including in low- and middle-income countries (Basu et al., 2013, p.1)" It seems as though the heavy dependence of obese individuals on soft drinks drives profits for htese companies, allowing them to invfest those profits into increasing their production and advertising. How do you propose the government or other regulatory bodies compensate for this relationship?
References
Basu, S., McKee, M., Galea, G., & Stuckler, D. (2013). Relationship of soft drink consumption to global overweight, obesity, and diabetes: a cross-national analysis of 75 countries. American journal of public health, 103(11), 2071–2077. https://doi.org/10.2105/AJPH.2012.300974