The Four Challenges That Turned Kraft Foods Into a Merger Target

Kraft Foods Group Inc. investors are cheering its plan to merge with H.J. Heinz Co., but the deal followed years of sluggish growth and organizational challenges for the once-mighty food giant.

Since its spinoff from Mondelez International Inc. in 2012, Kraft has been struggling to reignite sales in a mature U.S. market. It’s also coping with a consumer shift toward more natural foods -- a difficult transition for the maker of Velveeta, Jell-O and Lunchables.