Sunday, October 14, 2012

International Changes in Health

When we think of Nestle, often the sweet products and the cereal come to mind. However, it has many more food products such as baby food, pet foods and even bottled water, according to Wikipedia. Nestle SA is based out of Vevy, Switzerland and is the largest food company in the world, measured by revenues.

The specific focus on Nestle right now is its' breakfast cereals and the sugars/salts that are in them. The News International published an article today stating that "Nestle SA and General Mills Inc will cut sugar and salt in the children's breakfast cereals they jointly market outside North America." They are doing this in response to the health concerns of consumers.

One of the aspects addressed within the article was the marketing aspect of the cereals and how that will change due to the ingredient alterations. There is a certain practice that goes on with marketing a product when the market has changed for it and it's called fat tailing. Fat tailing includes re-marketing a product for a different purpose or to a different audience. Nestle and General Mills want to be able to still sell their cereal and have those frequent buyers, but they are trying to meet these new standards while still making sure taste is not compromised.

As they address in the article as well, this is tough for these companies to accomplish well because ultimately it is the consumers who decide if the cereal is still worth purchasing not the ones who enforce the health of the product. The classic dilemma that is present here, is whether or not food can be healthy and still taste good?

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