Kraft Takes A Big Bite Out Of The China Market

By redesigning and repositioning the Oreo cookie among other cookies in the China market,Kraft has effectively managed to make the Oreo a top-selling product within the foreign market, in addition to its already established reputation in the US market. The oreo sold in China appears longer, thinner, and four-layered, compared to the Orea design made and sold in the US. The transformation of the Orea design is what allowed Kraft to successfully sell the cookie in China, the world's largest market.

International Business makes up 40% of Krafts revenue, even though Chinese oreo sales represent only a small portion of the corporation's annual revenue. Kraft has used it's success in the Chinese market to further capitalize on the concept of redesigning of its food products to more properly target foreign markets. Profits of the corporation rose 48% within the European Union for example, in part due to Kraft's introduction of dark chocolate, a marketing strategy used to response to the strong preference for dark chocolate in countries such as Germany.

Kraft has acheived global success as an international brand, demonstrated with its ranking as the second largest food company in the world. Kraft has experienced an increase in profits based on the positioning their instant coffee product within the Russian market. The coffee is positioned as a high-end, upscale product, distributed for sale among operas, film festivals, and fashion shows throughout the country.

Kraft has maximized profits in developing markets by 54%. The effectiveness of tits new marketing strategies are profound. Kraft, reacting to the Phillipines's particular fondness of iced tea, released a new iced tea beverage, tailored specifically to the culture of the market.

While Kraft continues to build itself as an international brand, it is still able to maintain a dominating presense within its domestic market of the US, indicating incredible talent at developing brands within multiple differing markets.


[Jargon, Julie. "Kraft Reformulates Oreo, Scores in China." The Wall Street Journal. 25 April 2008: B1]