Globalization has an impact both on a relatively small food industry as Hansen's Natural and a relatively big food industry as Kraft Foods. Hansen’s Natural Corporation develops, markets and distributes wide assortment of beverage products. It operates in the US. Kraft Foods manufactures, markets and packages food and beverages. It’s the largest packaged foods company in North America and second largest in the world, behind Nestle.
The internet and IT has created a great opportunity for both companies, Kraft and Hansen, to provide information education on the benefits of their products to their current customers as well as their potential customers. It has broadened the scope of advertisement across the globe. Anywhere the internet is accessible information about any product from any of these companies could be obtained. Global business regulations, if violated, could reduce the confidence of existing and potential investors, civil remedies, including fines, injunctions, recalls or seizures, as well as potential criminal sanctions, which may impact the business of the organization. Hansen’s Natural is currently involved in a number of legal proceedings. One is with its former Canadian distributor, Pepsi- Cola Canada as defendants. “The plaintiff alleged that the defendants misleadingly packaged and labeled Monster Energy products in Canada by not including sufficiently specific statements with respect to contradictions and adverse reactions associated with the consumption of the energy drink products”. Hansen needs to do ample research before transacting business across the globe in order not to violate the global regulations. In this way the company could retain its credibility. I think Kraft Food did lots of research before expanding their company globally, therefore there has been no negative impact obtained from global business regulations.
Hansen’s Natural Sodas, Hansen’s Blue Sky, Junior Juice and Monster Energy will enable the industry thrive in...
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