ASSIGNMENT NO: 1

NESTLE: THE INFANT FORMULA CONTROVERSY

INTERNATIONAL MARKETING

In our opinion, we believe Nestle's intentions were in the right place as well as in the wrong. We

don't believe that they wanted to sell this formula to these women in Third world countries to

hurt them. Like their argument said, "all its products carry a statement that breast feeding is

best." Another valid point that Nestle makes is that people in third world counties do not get the

proper nutrition and therefore cannot sufficiently provide for their children through breast

feeding. "The average well-nourished Western woman, weighing 20 to 30 pounds more than

most women in less developed countries, cannot feed only breast milk beyond five or six

months." This shows that no matter what, if you are selling something to women in less

developed countries, more times than not this will be the outcome.

On the other hand, because they are selling this product to women in under developed countries,

they do not do a very good job on explaining how to use it properly.

However, it is evident that they have done a number of things to try and correct what they have

done. "Nestle then undertook to carry out more comprehensive health education programs to

ensure that an understanding of the proper use of their products reached mothers, particularly in

rural areas." Along with this, Nestle supports the WHO code where they were willing to meet

with concerned church leaders, international bodies, and organization leaders who were

concerned with their application of the code.

All in all, if Nestle makes a product and has the intentions for it to be sold worldwide, they

should make sure that it is suitable for each type of consumer.

What could Nestle have done to have avoided the accusations of “killing third world

babies” and still market its products?

Learn more about the countries culture they market.

Start a women educational based program rather than a hard sale tactic.

Give out free services to teach the new markets on how to use the product, instead of

distributing free samples.

Specifically marketing the products, and not “down selling” the effects of general breast

feeding.

Support breast feeding and its health benefits.

Encourage using its products only on special occasions.

Offer free testing of HIV in third world countries and marketing their products safely.

Labels should be set out in local indigenous languages.

No advertising of breast-milk substitutes.

No free samples or supplies are to be given to mothers.

No promotion of products through health care facilities.

No contact between company marketing personnel and mothers.

No gifts or personal samples to health workers.

Information to health workers should be scientific and factual only.

All information on artificial feeding, including the labels, should explain the benefits of

breastfeeding and the costs and hazards of artificial feeding.

GROUP MEMBERS:

AASHISH TYAGI B-61

SIDDHIDA MODI B-34

DHIRAJ NAGRANI B-32

SAGAR SONI B-56

VIREN KANANI A-19

PARTH SHAH A-49

HARSHIL SHAH A-45

PARTH PATEL A-34