Swot Analysis Of Heinz Ketchup

2.1.3 Mission Statement and Vision

KHC mission is “to be the best food company, growing a better world”. KHC defines the best in the 5 sectors which are financial performance, brand, quality, talent, and reputation. The financial performance is defined as the most profitable company by having the highest EBITDA margin and driving the top-line growth. The best brand is being identified as the first or the second brand in the market share for the categories. The highest quality is measured by the performance from the blind tests. The best talent is defined as the human capital that has the outstanding performance. Last, the best reputation is having a positive impact on the community with the Corporate Social Responsibility (CSR) programs.

2.1.4 Strategy

Kraft is targeted to the value-aware consumer while Heinz is targeted to the premium consumer. The company also has local brand presence such as ABC in Indonesia and Alfaro in Spain, which making it easier to widen their product portfolio through their strong local brand recognition. Another example is bundling the new product Seriously Good Mayonnaise with the iconic Heinz Tomato Ketchup. As Heinz ketchup has the market leader in the category, it is expected that the positive image will be translated as well to the new mayonnaise. These examples are known as brand extension strategy. Brand extension strategy utilizes the well-known brand name to launch the new product in which having lower failure rate and lower marketing costs (Keller, 1993). The consumer’s familiarity with existing brand aids the new products into the market and capture the new market segments quickly (Dawar & Anderson, 1994; Milewicz & Katsanis,

KHC divides its operation into 5 regions which are North America, Latin America, Europe, RIMEA (Russia, India, Middle East) and Asia Pacific. However, 70% of the sales are still generated in The United States, while the remaining 30% were generated outside US (Kraft Heinz, 2017).

2.1.6 Image

The company is striving to build its reputation in the community through the CSR programs. Since 2001, KHC has a campaign called The Kraft Heinz Company Micronutrient Campaign with the purpose to address hunger and improve nutrition. The program enables access to nutritional supplements that promote healthy growth and development, especially in developing countries and regions (Kraft Heinz, n.d.). KHC is really committed to bring an impact in the world with the goal by 2021 to donate 1 bllion nutritious meals with collaboration with several nonprofit organizations.

2.2 Internal Characteristics

2.2.1 Size of the Company

The company has 175 subsidiaries in 51 countries with more than 40,000 people with diverse nationality and multiple languages. While the placement place, Kraft Heinz Zeist, is dealing with Benelux Commercial, Distributor and Export (D&E), Supply Chain Hub, and EU and Global Procurement. Currently, KHC head office in Zeist employs more than 300