In a potential boost for China's job market which has been hit by the world downturn, food and beverage giant PepsiCo (NYSE: PEP), said on November 3 that it plans to invest US$1 billion in China over the next four years.
PepsiCo Chairman and Chief Executive Officer Indra Nooyi announced the plans while on a four day visit to China during which she met with government officials and business executives. "This is our largest investment in China in the nearly 30 years we have been doing business here, and it is consistent with our broader global strategy of investing in high-growth developing markets."
PepsiCo said its investment is expected to create thousands of new jobs and will expand its manufacturing capacity, particularly in the less developed interior and western areas of China. Part of the investment will be used to create local research and development facilities to assist in the development of new products tailored to Chinese consumers.
PepsiCo and its Chinese partners currently employ around 22,000 people in China. The company said China is one of its fastest-growing international markets and many of its most prominent brands are produced and sold in China, including Pepsi, Frito-Lay snacks, Tropicana juices, Quaker foods and Gatorade sports drinks.
(China.org.cn by John Sexton, November 4, 2008)