CPF to focus on brand building
Over the next 5years, Charoen Pokphand Foods (CPF) will focus more on brand building, distribution, distribution and new food products, according to Adirek Sripratak, president and chief executive of the company.
The company is following the business model of the US giant ConAgra Foods, one of the world’s largest packaged food companies, engaged in the frozen food and prepared meat industries with hundreds of brands.
“It s what I would like CPF to be in the future,” Sripratak says, adding that this would mean decreasing upstream activities, focusing more on downstream activities as brand building, distribution and new food products, which are the steps now being taken by many big food companies.
Over the next five years, the largest portion of CPF’s annual budget, approx. 4-5 bln baht, will be shifted to foreign operations, with more offshore investments that would help lift sales revenue from exports and overseas operations to half of the total, up from the 35% it is at present.
To promote CP as a global brand, increasing sales in Europe, CPF, he says, will add one sales office each in Poland, Portugal and Greece, bringing the number of its sales offices to 21.
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