Oreos and Milk, Chinese Style - Assignment Example

The profit of Kraft in European Union and the developing countries grew outpacing the U.S. profit growth. China, being the fourth largest country, and has the highest population estimated to 1,330,141,295 (as of July 2010) gave Kraft Foods an opportunity in introducing Oreo cookies. Although Kraft introduced the top-selling U.S. style Oreo cookies in 1996, it was only in 2006 that Oreo cookies was totally accepted all over the parts of China. The original Oreo cookies presented was too sweet and too expensive for the Chinese consumers.

Kraft however, was not discourage to continue introducing and selling the Oreo cookies in China. This made them think that reinventing the Oreo cookies is the only way that the populous country of China would accept Oreo cookies. Several marketing strategies were made to make their product more acceptable to Chinese consumers. In the event of their study, they found out that, first, the Chinese are not accustomed to sweet foods particularly chocolates (most of the Chinese’ food pattern is more on rice-based products, spices, low calorie diet, soy products, and fruits and vegetables), secondly, China is big which is also divided in two regions, the North and the South, wherein, the two regions has two extreme climate condition (Northern part is extremely cold, while the Southern part is tropical), and third, the Chinese are born thrifty (they find Oreo cookies too expensive).

Kraft considered other alternatives to make Chinese consumers patronize Oreo cookies. In 1996, Kraft Foods introduced Oreo cookies in China in the form of the original top-selling Oreo cookies of the U.S. However, even a lot of marketing effort has been done, the sales of the Oreo cookies in China remained flat. This statement is supported with my aforementioned discussion in the research. The study is limited to Kraft Food and its marketing strategy in selling Oreo cookies in China. Kraft’s