FOOD INDUSTRIES

Food Sector
The World's Biggest Food Companies
        

Nestle General Mills Unilever Kellogg Co Kraft Foods Danone Group PepsiCo HJ Heinz ConAgra Sara Lee Corp

Industry Overview
Food Processing Industry Annual production estimated at around $1tn (2010) Key drivers Population growth rate Per capita disposable income Price of grains/ raw materials Health consciousness

Five Forces
SUPPLIER POWER MEDIUM - Most suppliers i.e. agricultural/meat producers enter into long-term contracts with companies BARRIERS TO ENTRY HIGH - High Capital Expenditure - Difficult to replace existing brands (Brand Loyalty) 4 - Access to distribution channels

Contd.
THREAT OF SUBSTITUTES LOW - Substitutes to processed foods are fresh foods or eatingout. Time constraint or money constraint BUYER POWER- HIGH - Most buyers ( Wal-Mart etc.) make up a large percentage of sales RIVALRY- HIGH - Firms compete on innovation, product differentiation and marketing/ advertising - Compete not only among themselves but also with private 5 labels

NESTLE
Nestl is the world's biggest food manufacturer, with around 450 factories spread across the globe, and a portfolio that ranges from baby foods to pet care, from chocolate to mineral water. Its world-famous brands include Nescafe, Kit Kat and Perrier, among many others. The group also owns a large shareholding in cosmetics company L'Oreal.
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GENERAL MILLS
Main focus is on North America Fierce rival to Kellogg in the breakfast cereal and snacks sector Is now the world's #6 food company The world's #37 advertiser.

Brands
Cereal Partners Chex Haagen-Dazs Bisquick Cheerios Betty Crocker Yoplait Total Wheaties Cereal Adventure Pillsbury Gardettos Chex Mix

Small Planet Bugles Muir Glen Cascadian Farms Sunrise Cereal Frescarini Old El Paso Green Giant Progresso Soups Yoplait Jus-Rol Nature Valley Knack und Back

KELLOGG
Kellogg the world's #34 advertiser Careful attention to the company's core brands, aided by another shift in consumer habits, helped Kellogg's regain its #1 position in the US by 2003.

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Brands
All-Bran Crispix Special K Rice Krispies Apple Jacks Coco Pops (UK) Frosties (UK) Froot Loops All-Bran (UK) Fruit Harvest

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Danone
France's leading food group, Direct competition with Swiss giant Nestle. The world #1 in fresh dairy foods, One of the leaders in the global infant foods market, most recently with the acquisition of rival Royal Numico It is the world #2 in bottled water, having lost its lead to Nestle as a result of serious challenges in key markets such as the US and China Danone agreed a deal in 2007 to sell its biscuits and crackers brands, a sector in which it was the worldwide #2, to its main rival, Kraft. 13 Danone the world's #17 advertiser.

BRANDS

Danone Dannon Evian Bledina Shape Aqua Actimel Volvic Activia Stonyfield Farm Milupa Nutricia Cow & Gate

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HEINZ
It's been quite some time since food company Heinz had just 57 varieties. In fact there are more like 5,700 in all, even if the one most people think of is flagship brand Heinz Ketchup. Rival food business Del Monte.

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BRANDS

Boston Market HomeStyle Jack Daniel's Grilling Sauce Bagel Bites Nancy's Heinz Ketchup Ore-Ida Wyler Rosetto KDR Classico Greenseas Weight Watchers Heinz Direct Heinz Stuff Plasmon Mr Yoshida's Salad Cream Honig

WORLDWIDE Heinz Baby Food (Canada) Heinz (UK) Heinz (France) Heinz (Korea) Heinz Wattie's Australia Heinz (Czech Republic)

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Sara Lee Corporation (US)

Associated in most people's minds with American-style cheesecake and other bakery products. ButSara Lee Corporation's portfolio gradually expanded during the 1980s and 1990s to house a clutch of clothing, coffee and housecare brands. The group's various household and personal products brands, and also its North American fresh bakery business, were all sold during 2010. A full breakup of the group is now on the cards for 2011, following announcement of plans to demerge the two remaining divisions World's #99 advertiser.
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BRANDS
Sara Lee Deli Pickwick Hillshire Farm Douwe Egberts Coffee Systems Best's Kosher Cafitesse Moccona Jimmy Dean Zwitsal CroustiPate Ball Park Douwe Egberts Bimbo Senseo Jacqmotte Piazza d'Oro

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Unilever (UK/Netherlands)
world's first packaged goods manufacturer, and is still one of its biggest companies with operations in every corner of the globe. world #1 in personal wash and deodorants. Unilever's foods business is the world's third largest after Nestle and Kraft global leader in culinary foods, ice cream, margarine and tea-based beverages include Knorr, Lipton and Magnum. world's #2 advertiser.

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Kraft Foods
North America's leading food company, and the world #2 (after Nestle) world's #10 advertiser in 2009 launched a bid to acquire British confectionery giant Cadbury.

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BRANDS
Nabisco Cadbury Philadelphia cream cheese Miracle Whip Terry's Chocolate Orange Cote d'Or Maxwell House Vegemite Oscar Mayer Country Time Athenos Kraft Cheese Baker's Chocolate Velveeta Jell-O Polly-O Mozzarella

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CONT..
Boca Burger Jacobs Coffee Lunchables Kool-Aid Minute Rice Kraft Easy Mac Kaffee Hag Marabou Toblerone Suchard Milka chocolate Cool Whip Crystal Light Handi-Snacks Kenco Stove Top Oven Classics Cheez Whiz

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PepsiCo (US)
The biggest slice of PepsiCo's business comes from Frito-Lay, the world's leading manufacturer of potato chips, with brands including Lay's, Fritos, Doritos, Walkers Crisps and Ruffles. Biggest non-alcoholic beverage company in North America, well ahead of Coca-Cola. World's #19 advertiser.

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BRANDS
Pepsi-Cola Golden Grain Pasta Frito-Lay FruitWorks Walkers Crisps Near East Aquafina Gatorade SoBe beverages Dole Juice Lipton Brisk Aunt Jemina

Tropicana Juice
Mountain Dew Quaker Oats Mug Quaker Grits Quaker Oatmeal Cap'n Crunch Mirinda Toddy Life Propel Fitness Code Red

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ConAgra Foods Company (US)

Unlike more international manufacturers such as Kraft or Nestle, the group's background is as a commodity-based business, in flour milling and meat processing, and it only began its move into packaged goods in the 1980s. producing a wide range of packaged foods

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BRANDS
Chef Boyardee Hunt's La Choy Banquet Reddi-wip Egg Beaters Marie Callender's Blue Bonnet Kid Cuisine ConAgra Foodservice Hebrew National Alexia Rosarita PAM cooking spray Healthy Choice Fleischmann's Slim Jim Act II popcorn Parkay VanCamp's Beans Wolf Brand Chili Orville Redenbacher

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