Published on 19 Jan 2022 on Zacks via Yahoo Finance

Kraft Heinz's (KHC) Operating Model & Pricing Efforts Solid

The Kraft Heinz Company KHC is benefiting from its focus on growth-oriented operating model, which was laid out in September 2020. The company’s strategic pricing efforts and efficiency-building plans are worth mentioning.Let’s discuss further.

Operating Model Holds Promise

The Kraft Heinz is committed to its operating model, which was laid out last year. The model incorporates five key elements — People with Purpose, Consumer Platforms, Ops Center, Partner Program and Fuel Our Growth. The Consumer Platforms represent a portfolio of six consumer-driven platforms like Taste Elevation, Easy Meals Made Better as well as Real Food Snacking, among others. Kraft Heinz is committed to expanding the International Taste Elevation product platform across emerging markets. In December 2021, Kraft Heinz entered into an agreement to buy 85% stake in Germany-based Just Spices GmbH. The buyout will enhance its direct-to-consumer operations and go-to-market expansion. Management acquired sauces-focused business — Assan Foods — from privately-held Turkish conglomerate Kibar Holding in October 2021. The move accelerates its retail and foodservice growth across Europe, the Middle East and Africa. In September 2021, the company signed an agreement to buy the Brazil-based condiments and sauces company — Companhia Hemmer Indústria e Comércio —to further accelerate growth in the condiments and sauces category.