Kraft Foods’ flagship Oreo brand first went on sale in China in 1996. However, sales were lacklustre and by 2005 it was clear that one of the world’s largest biscuit brands was falling far short of expectations in this fast-growing retail market. SMU Professor of Marketing Srinivas Reddy and the SMU Case Writing Team analysed the reasons behind the biscuits’ poor sales performance in China, the challenges faced, and the strategies which the company used to adapt to the local market. Eventually, the company saw its sales soar from $20m in 2005 to $400m in 2012.