1. Nestlé: The Infant Formula
Controversy
Marketing International
Milena Leguizamón
Lorena Perilla
Caterine Ladino

2. IMPORTANT ASPECTS OF CASE
INTRODUCTION
 For over 20 years, Nestlé has been
directly or indirectly charged with
involvement in the death of Third World
infants.
 Accused Nestlé of unethical and
immoral behavior.
 According to UNICEF, every year 1.5
million babies die fed milk powder.
THE CHARGES
 Focus on the issue of whether
advertising and marketing of such
products have discouraged breast
feeding among Third World mothers
and have led to misuse of the products,
thus contributing to infant malnutrition
and death.
 Irresponsible Promotion milk powder
detriment of breast milk.

3. THE DEFENSE
 Nestlé argues that the company has never
advocated bottle feeding instead of breast
feeding.
 The real nutritional problem in the Third World
is not whether to give infants breast milk or
formula but how to supplement mothers’ milk
with nutritionally adequate foods when they
are needed.
NESTLÉ POLICIES
The most important are…
 No advertising to the general public.
 No sampling to mothers.
 No use of commission/bonus for sales.
 No use of infant pictures on labels.
 No point-of-sale advertising.
 No financial or material inducements to
promote products.
IMPORTANT ASPECTS OF CASE

4. THE NEW TWISTS
A new environmental
factor has made the entire
case more complex: As of
2001 it was believed that
some 3.8 million children
around the world had
contracted the human
immunodeficiency virus
(HIV) at their mothers’
breasts.
IMPORTANT ASPECTS OF CASE

5. QUESTIONS
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6. QUESTIONS
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placerat sagittis imperdiet. Suspendisse interdum augue sed nisl
molestie venenatis. Cras tincidunt, urna in interdum iaculis, est diam
rutrum lorem, vitae consequat leo diam a nulla. Fusce fermentum leo
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libero at velit convallis at laoreet libero eleifend. Aliquam
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7. 1 Key Concept –
The International Marketing Task
• Foreign
Environment
• Cultural
Forces
• Geography
and
Infrastructure
Aspects of
the foreign
environment

8. Unconscious reference to one’s own
cultural values, experiences, and
knowledge as a basis for decisions
2 Key Concept –
Self – Reference Criterion and Ethnocentrism

9. 3 Key Concept –
Marketing Mix
Product Promotion
Place Price