NEW YORK – Beverage and snack maker PepsiCo Inc. said Monday it will invest $1 billion in China over the next four years to expand its manufacturing capability, research and development and sales force in the country.
The investment will fund programs to expand manufacturing capacity, mainly in interior and Western China.
It will expand local research and development facilities, build the sales force and fund brand-building and new product initiatives.
"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," said PepsiCo Chairman and Chief Executive Indra Nooyi.
Nooyi was in China for a four-day visit this week.
Purchase, N.Y.-based PepsiCo earlier this month reported a nearly 10 percent drop in third-quarter profit, missing Wall Street expectations. The company, which has focused on growing market share in quickly growing markets of Brazil, India, Russia and China, said at the time it would cut 3,300 jobs and close six plants to combat weak U.S. drink sales and a surging dollar, which will hurt profits from its rapidly growing international business.