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**Company History and Evolution:**
– Frito Company founded in 1932 by Charles Elmer Doolin in San Antonio, Texas.
– H.W. Lay & Company established by Herman Lay in 1939 in Atlanta, Georgia.
– Merger of Frito Company and H.W. Lay & Company in 1961 formed Frito-Lay, Inc.
– Subsequent merger with Pepsi-Cola Company in 1965 created PepsiCo, Inc.
– Introduction of new snack brands like Doritos, Funyuns, and Munchos in the 1960s and 1970s.
– Acquisition of GrandMas Cookies in 1980 and expansion into international markets.
– Integration of Frito-Lay operations within PepsiCo structure over the years.

**Product Line and Innovation:**
– Expansion of product line to include potato chips, cheese curls, and pretzels in the 1970s.
– Launch of successful brands like Tostitos, Smartfood, and Sun Chips in subsequent decades.
– Introduction of Baked product line, Natural line products, and acquisitions to diversify offerings.
– Reformulation of Lays potato chips with all-natural ingredients in 2010.
– Focus on developing unique and appealing snack options for consumers.

**Global Presence and Market Share:**
– Frito-Lay products like Fritos, Cheetos, Doritos, and Lays generating over $1 billion in sales each in 2009.
– Strong market presence with 40% share of U.S. savory snacks and 30% in international markets in 2009.
– Frito-Lay North America contributing to 25% of PepsiCo’s annual sales in 2018.
– Establishment of Frito-Lay as a major player in the global snack food market.

**Organizational Structure and Acquisitions:**
– Creation of Frito-Lay North America and Frito-Lay International as divisions.
– Merger with Hostess Food Products in Canada and acquisitions of Smiths Snackfood Company and Savoy Brands.
– Joint ventures with Walkers, Smiths, Sabritas, and Gamesa in the 2000s.
– Changes in organizational structure over the years to streamline operations and expand product lines.

**Controversies, Health Concerns, and Operations:**
– Addressing controversies like stereotyping in commercials and concerns about genetically modified ingredients.
– Initiatives to reduce trans-fats in products like Doritos, Tostitos, and Cheetos in 2004.
– Media attention on poor working conditions at a plant in 2021, leading to a strike.
– Global operations in over 40 countries, with headquarters in Plano, Texas, and under the leadership of CEO Steven Williams.

Frito-Lay (Wikipedia)

Frito-Lay, Inc. (/ˈfrt l/) is an American subsidiary of PepsiCo that manufactures, markets, and sells corn chips, potato chips, and other snack foods. The primary snack food brands produced under the Frito-Lay name include Fritos corn chips, Cheetos cheese-flavored snacks, Doritos and Tostitos tortilla chips, Lay's and Ruffles potato chips, Rold Gold pretzels, and Walkers potato crisps (in the UK and Ireland). Each brand generated annual worldwide sales over $1 billion in 2009.

Frito-Lay, Inc.
Company typeSubsidiary
PredecessorsThe Frito Company
H.W. Lay & Company
FoundedSeptember 1961;
62 years ago
FateMerged with Pepsi-Cola Company to form PepsiCo, remaining as a subsidiary
Area served
Key people
Steven Williams (CEO)
ProductsSnack foods
RevenueUS$15.798 billion (2017)
ParentPepsiCo Edit this at Wikidata

Frito-Lay began in the early 1930s as two companies, "The Frito Company" and "H.W. Lay & Company", which merged in 1961 to form "Frito-Lay, Inc". In 1965, Frito-Lay, Inc. merged with the Pepsi-Cola Company, resulting in the formation of PepsiCo. Since then, Frito-Lay operates as a wholly owned subsidiary of PepsiCo. Through Frito-Lay, PepsiCo is the largest globally distributed snack food company, with sales of its products in 2009 comprising 40 percent of all "savory snacks" sold in the United States, and 30 percent of the non-U.S. market. In 2018, Frito-Lay North America accounted for 25 percent of PepsiCo's annual sales.

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