Kraft Heinz splits up as consumer preferences shift

## Overview The Kraft Heinz Company is a global food and beverage powerhouse, recognized as one of the largest in the world—ranked fifth globally and third in North America as of recent years[2]. The company is headquartered in both Chicago and Pittsburgh, reflecting its dual legacy, and operates across the Americas, Europe, Asia, and Australia[2]. Kraft Heinz owns an extensive portfolio of iconic brands, including Heinz Ketchup, Kraft Macaroni & Cheese, Philadelphia Cream Cheese, and Oscar Mayer, among others. Its mission is to deliver high-quality, nutritious, and great-tasting foods for every occasion, while also driving innovation and sustainability in the global food industry[3]. ## History Kraft Heinz was formed in 2015 through the merger of two storied American companies: Kraft Foods and H.J. Heinz Company[2]. Kraft Foods traces its origins to 1903, when James L. Kraft began selling cheese from a horse-drawn wagon in Chicago, eventually pioneering processed cheese and becoming a household name[1]. H.J. Heinz Company was founded in 1869 by Henry J. Heinz in Sharpsburg, Pennsylvania, starting with horseradish sold in clear glass jars to emphasize purity—a novel concept at the time[1][5]. Heinz became famous for its “57 Varieties” slogan and for innovations like tomato ketchup and baked beans, expanding rapidly in the U.S. and internationally[1][5][6]. ## Key Achievements Both legacy companies were pioneers in food safety, quality, and marketing. Heinz lobbied for the Pure Food and Drug Act of 1906 and was an early adopter of employee welfare programs[5]. Kraft revolutionized food preservation with processed cheese, enabling mass distribution. The 2015 merger, backed by Berkshire Hathaway and 3G Capital, created a $36 billion entity with a vast global footprint[1][4]. In 20

McDonald's Corporation is the world's largest and one of the most influential fast-food restaurant chains, with over 43,000 locations in more than 100 countries, serving millions daily[6]. Founded over 65 years ago, McDonald's has built a powerful global brand, recognized by its iconic Golden Arches and signature products like the Big Mac, Quarter Pounder, and Chicken McNuggets[1][3]. The company operates primarily through a franchise model, enabling extensive global reach and economies of scale, with 41,822 outlets reported in 2023 across 119 countries[3]. McDonald's key activities focus on foodservice retail, offering a diverse menu that adapts to local tastes and increasingly includes healthier options alongside its classic fast-food offerings[3]. The company emphasizes convenience, value, and culturally relevant marketing, underpinning its strong brand loyalty. Its "I'm lovin' it" campaign remains a central element of brand positioning[1]. In recent years, McDonald's has invested heavily in digital transformation and customer loyalty programs, such as the MyMcDonald's Rewards platform, enhancing the customer experience through technology upgrades and digital ordering systems[1][2]. Innovation also includes menu evolution, with strategic growth in chicken products like the returning Snack Wrap and Chicken Big Mac limited-time offers[1]. Financially, McDonald's continues to demonstrate robust performance. In Q2 2025, it reported a 6% global systemwide sales growth and a 3.8% increase in comparable sales, driven by strong marketing, menu innovation, and value propositions[2][4]. Operating income and net income showed double-digit growth, reflecting effective cost management and operational efficiencies[2][4]. Notable aspects of McDonald's today include leadership in sustainability efforts, such as its largest-ever investment in regenerative agriculture through partnerships, and its "Accelerating the Organization" initiative aimed at modernizing operations and growth strategies[5][4]. Despite facing challenges like labor an

PepsiCo is a leading American multinational food and beverage corporation headquartered in Purchase, New York, renowned globally for its extensive portfolio of products including soft drinks, snacks, and healthier food options. Its iconic brands such as Pepsi, Mountain Dew, Lay’s, Doritos, Gatorade, and Quaker Oats have a pervasive presence, with products enjoyed over one billion times daily across more than 200 countries[1][3][4]. Founded in 1902 by Caleb Davis Bradham, PepsiCo’s modern identity was formed in 1965 through the strategic merger of Pepsi-Cola and Frito-Lay, combining beverage and snack food sectors into a global powerhouse[1][3][4]. Over the decades, the company has expanded through steady growth, innovation, and acquisitions, evolving its product portfolio to include over 500 brands, of which 23 generate more than $1 billion annually. This diversification has allowed PepsiCo to offset declines in sugary soda consumption by emphasizing snacks and healthier product lines[1][2][4]. PepsiCo’s operational structure divides its business into geographic and product-based segments, including Frito-Lay North America, Quaker Foods, and North America Beverages, alongside international divisions covering Latin America, Europe, Asia, and more. Notably, Frito-Lay North America contributes significantly to revenue and profit, reflecting the company’s strategic shift toward snack foods and convenience products in response to changing consumer preferences[2][3]. The company reported nearly $92 billion in net revenue in 2024 and employed approximately 318,000 people worldwide as of 2023, underscoring its scale and economic impact[1][4][6]. Under leadership such as Indra Nooyi (2006-2018) and current CEO Ramon Laguarta, PepsiCo has prioritized sustainability, health-conscious innovation, and social responsibility, aiming for improved health standards across its products by 2030. Its operations management focuse