While Kraft is slimming down on a global scale, it is increasing its investment in fast-growing developing countries. China has become one of the five countries where Kraft has invested heavily, which makes it more and more important for China people to know Kraft again.
So far, Kraft has invested more than 200 million dollars in China. At the beginning of 2006, all the production capacity of Kraft's Australian factory was transferred to Suzhou, China. Suzhou Factory was one of the first food factories invested and built by Kraft when it entered China in the late 20th century. Kraft's biscuit brands, including Oreo, Lezhi, R&F, Taiping and Doudou, have become the fastest growing source of income for Kraft in China.
Kraft is one of the first international food and beverage companies to enter Chinese mainland. However, contrary to the excellent performance of biscuits and other products in the market, Kraft survey found that few customers knew that these products came from Kraft.
Unlike Kraft's competitor Nestle, which ranked first in the revenue list in 2005, all products of Nestle use the Nestle brand, while all products of Kraft have their own brands.
Kraft's challenge comes from a new round of health needs. In the North American market, Kraft has improved many products in order to care about people's waistlines, and clearly marked the calorie content on the packaging. In China, although most people are not aware of this problem, Kraft has taken the lead in clearly indicating the calorie content on the product packaging, "so that consumers can choose more clearly and control their consumption."
Kraft obviously hopes to widen the distance with its peers through these ways, and also hopes that these responsible behaviors can exchange consumers' knowledge and understanding of this food enterprise.
201February, Kraft Foods (KFT) said that it would split the company in two later, and its North American food department would keep the name of Kraft Foods unchanged, and the company would name the newly established international food company next month.