What Is Novartis Uk Commerce Essay


On this assignment on the first part I talk about Novarties . Novartis UK is the UK affiliate of Swiss based Novartis AG - one of the largest and most widely respected pharmaceutical companies in the world. In this part I explain about ethical issues , company's rights, conflict and responsibilities . I also explain about this company's marketing policies , professionalism , information system , communication , law related with the company.

On the second part of the assignment I talk about Turkey . Turkey (Turkish: Türkiye), known officially as the Republic of Turkey. Here I explain about Turkey's legal system , source of turkey's law . I also explain about Turkey's court structure. I also explain about law and regulation that allow foreign nations or investors to invest in turkey. I also explain Turkey's copyright , trademark, patents and designs law.

On the third part I talked about Nestle. Nestle is one of the largest food companies in the world. Here I talk about this company's globalization policy as well this company's development in information , communication and technology. I also talk about this company's culture , power , politics, law and choice .

Answer Question number 1

Introduction of the company

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Novartis is a world leader in the research and development of products to protect and improve health and well being. The name Novartis, derived from the Latin novae artes, meaning "new skills," reflects the company's commitment to focus on research and development to bring innovative new products to the society they serve. They are a scientific and educational charity, formed in 1949 by the Swiss company Ciba (now Novartis).  They have a mission to bring value to their patients and customers. They want to have a positive impact on people's lives and to discover, develop and successfully market innovative products to cure diseases and enhance the quality of life. In addition, they want to provide a shareholder return that reflects their outstanding performance. They also want to build a reputation for an exciting workplace where people can realize the company's professional ambitions and where creativity is encouraged. They have their objectives based on the following core values:

Right conflicts & responsibilities

A business culture can be defined as "the approach of the organisation" or "the written or unwritten policies and procedures of the organisation" or "the personality of the organisation". The reason why there are so many definitions for the culture of the company is that the culture in general can give an idea about the company's way of working and its management style.

There are four types of organisational cultures:

      Power culture

This type of culture mainly has a centralised power for e.g. a spider's web. This type of culture is generally found in small organisations. Only one person makes the decision in the organisation.

      Role culture

This type of culture is mainly found in the government departments. The power is derived from employee's position in the organisation.

      Task culture

This type of culture mainly requires teamwork. There is an extreme focus on the tasks. There is a democratic approach in the decision-making.

      Person culture

This type of culture is generally found in the charities, clubs and voluntary organisations. The organisations having this type of culture exist for the benefit if those within the organisation.

At Novartis they understand and believe that people do make a lot of difference.

This means that they treat each other with respect, support each other's efforts, and work at delivering superior results. They want their associates to take pride in working at Novartis and to have fun in doing so. This requires inspiring leaders at all levels who fully utilize the talent and diversity of their fellow associates. The company invest to attract and retain leaders, professionals, and to develop their associates. They value competence, professionalism, and a positive attitude. They recognize and reward high performance. At every level of the organization, they want their people to become "best-of-class".

By fostering teamwork and collaboration, they can enhance learning throughout the organization. Thus, they promote interaction across functions, geographies and hierarchies.Hence, it can be said that Novartis operate and functions based on role culture and task culture.The company values candor, trust and integrity, and they recognize the importance of open, continuous communication.


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Every day their researchers and managers make decisions about whether or not to take an action that will meet a business interest and a societal need. They must consider the consequences of both action and inaction from many different perspectives.


Over a period of time, Novartis has changed its culture in the organisation. In the beginning when Novartis was established the company had adopted power culture. However, later as the company started progressing and soon established itself they decided to change the culture and adopt a much democratic culture that would help to integrate the company and motivate it time and time again.

They evaluate the effect of their products on the end user i.e. their customers, on the environment and on society by taking a feed back from them. They take into account production issues and how the company can responsibly care for the health and well being of their neighbours and workers. They look ahead to see how they can monitor their products' use and effects in the marketplace.

They also consider the long-term effect of their innovations, not only on the short-term result. In assessing the impact of their products, they participate in an interactive dialogue involving the company, regulatory agencies that act on behalf of society, and the customer, who personally chooses whether or not to buy the product. They take the interests of their stakeholders into account.


Marketing is a process, involving all members of an organisation, aimed at satisfying the needs and wants of customers by focusing on the design, pricing, promotion and accessibility of products and services.Novartis employees and operations in the UK make a vital contribution to the overall Novartis commitment to improve health and well being all over the world. The UK ranks amongst the top four countries for R&D spend by Novartis and is the strategic location for a new, excellent centre dedicated to research into new treatments for respiratory disease. Known as the Novartis Horsham Research Centre (NHRC), it marks an investment of over £40 million. The NRRC also hosts international pre-clinical and clinical operations for other therapeutic research areas. Each major step of the pharmaceutical product development process is undertaken at Horsham, from compound discovery and research right through to manufacturing.


An objective is a goal the business wishes to achieve. A business will succeed in its aim through the achievement of a variety of objectives, including profitability, growth, quality and social responsibility. Some of the objectives can conflict each other.Business and individuals have attitude, beliefs and values that make up their culture and their objectives.Business objectives involve different individuals and groups of people like employees, customers, etc. These people are often referred to as stakeholders. It is the task of the management of a business to prioritise business objectives-some of which can be conflicting to keep the majority of the stakeholders happy for the majority of the time.

 Novartis has tried to explain its mission in brief as follows:

      "As the leader in the field of transplantation since the early 1980's, Novartis Pharmaceuticals Corporation continues to build on the proven success of its leading therapies. We remain dedicated to enhancing therapeutic options, quality of life and the long-term success of therapy. To meet these goals, we have created the broadest pipeline in the field with three compounds in clinical trials and ten other projects in development."

Information system

An information system is a system or process that provides the information necessary to manage an organization effectively. Information it generates are generally considered essential components of prudent and reasonable business decisions. IS is a critical component of the institution's overall risk management strategy. MIS supports management's ability to perform such reviews. Mostly it's used to recognize, monitor, measure, limit, and manage risks.There are four main elements that a good Information system should give a feedback on:

• Policies or practices.

• Operational processes.

• Staff and management.

• Feedback devices.

''Technology advances have increased both the availability and volume of information systems and the directors have available for both planning and decision making. Correspondingly, technology also increases the potential for inaccurate reporting and flawed decision making.'' Because data can be extracted from many financial and transaction systems, appropriate control procedures must be set up to ensure that information is correct and relevant .As we have discussed, any modern company or organization, must have a certain information system, a strategy that'll help it to achieve its goals. There are several key elements that organization stands on. They are:

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•         People: Managers, knowledge workers, data workers, production or service workers

•         Structure: Organization chart , groups of specialists, products, geography

•         Operating procedures: Standard operating procedures (SOP, rules for action)

•         Politics: Power to persuade, get things done

•         Culture: Customs of behavior

Only maintaining the balance between these elements and managing them properly without interrupting them, an organization can be considered successful.



All the people involved in a business need to have access to suitable information in order to do their jobs effectively. A business needs to be co-ordinated so that the right things happen at the right time.

In communication, two things have to be taken into consideration. Firstly that the message is sent and secondly that the message is understood. Any failure in communication routes could result in serious problems and inefficiency.

The main objectives of communication are as follows:

      Providing information.

A successful organisation is one that enables its employees and customers to have access to up-to-date, relevant and correct information. In business communication means getting the right message across.

      Giving instruction.

Communication in an organisation sometimes requires instruction to be transmitted from one person or department to another. Each member of an organisation will have to follow the instruction at the appropriate time.

      Making checks and receiving feedbacks.

The organisation needs to keep an eye and check on areas of work for which they are responsible. Feedback will need to be sent to the managers to make decisions on the further course of action.

      Negotiation.

The human resource managers negotiate job descriptions with staff.

 A business that does not develop new products or revamp existing products will soon lose out to its competitors. Research and development is an essential function, particularly where the business is technology based. In the pharmaceuticals industry, the success of a company is based on the drugs it researches and develops; ICT has reaped the rewards for developing the best selling anaesthetic.As said before no company can ever survive without technology. Novartis is a huge multinational company and has technology and ICT in every part of their success.Novartis' use of new technology is governed by two principles. It must bring benefits and it must be safe.The company needs the science to come up with new products, further research or existing products and also the field force to get all this information to physicians and help patients.Novartis is one of the world's main investors in research and development and is a leader in the development of new emerging technologies such as genomic, biotechnology and cell therapy. Ethical and responsible uses of new emerging technologies offer them huge potential in combating disease and improving health.


Businesses are traditionally divided into the private sector and the public sector. In addition to these, there are the charities, which form the voluntary sectors.

The public sector comprises government-owned or government-controlled bodies whereas the private sector comprises the businesses which are directly or indirectly in private ownership and this sector accounts for most businesses operating within the U.K.

Charities are the independent bodies in what is known as the voluntary sector.

A sole trader is an individual trading in his or her name, or under a suitable trading name. A sole trader is the most common form of business. However, there are more risks involved in sole trading than in any other type of business.

A partnership is a group of individuals working together in business with a view to making a profit. A partnership is established by involving two or more people running a business together. In legal terms, the partners are the business.

All these are followed by the limited companies. There are two types of limited companies: a private limited company (Ltd.) and the other one is the public limited company (Plc.).

The private companies cannot offer their shares for sale to the public at large.

Another type of business is the co-operative business. Its members own a co-operative society. It incorporates the insurance company and the co-operative banks.

The franchise system was first established in the U.S.A. and is now a rapidly growing business sector in the U.K. A franchise is an established business name that is sold to someone setting up in business. The two people involved in this deal are the franchiser and the franchisee.

The public companies can offer its share for sale on the stock market.

A private company can go public by selling its shares in the market. Huge plc's are referred to as multinational companies.

Novartis pharmaceuticals are a public limited company. It has its shares traded in the stock market.

Answer Question number 2

The Legal system

The foundations of the Turkish legal system were laid in the early Republican period (1923-1930). This structure was maintained in general after the transition to a multi-party system and following the constitutions adopted in 1961 and 1982.

The Constitution of 1982 adopts all the basic characteristics of parliamentarism as its predecessor did but strengthened the presidential office within the executive branch and also the status of the Prime Minister within the Council of Ministers. Executive powers are exercised by the President and the Council of Ministers as stated in Article 8. The President is the impartial component of the executive branch. The Council of Ministers is politically responsible and accountable for executive matters b Article 102 of the Constitution regulates the election of the President. According to this provision the President can be elected by the Grand National Assembly by a qualified majority. In the first two ballots a two-thirds majority of the total membership of the Grand National Assembly is required. If this majority can not be obtained in the first two ballots, in the third and fourth ballots the absolute majority of the total membership of the Grand National Assembly would be sufficient. If this majority could not be obtained in the fourth ballot, the elections of the Grand National Assembly shall immediately be renewed. efore the parliament.

Legal Sources of Turkish Law

Primary sources of Turkish law are the constitution, laws, law amending ordinances, international treaties, regulations, by-laws in a hierarchical structure. The procedures for their enactments, their legal effects, and the mechanism of judicial control over them shall briefly be examined below. The constitution is the highest source of Turkish legal order because of the principle of the supremacy of the constitution. This principle was firstly adopted by the 1876 Constitution. It was maintained by the 1924, 1961 and 1982 Constitutions, and was reinforced by the 1961 Constitution by the establishment of the Constitutional Court. The 1982 Constitution maintained both this principle and the judicial review power of the Constitutional Court over laws, and law amending ordinances. Article 87 of the Constitution authorized the Turkish Grand National Assembly to make, amend, and abrogate laws. Legislative bills shall be proposed by the Council of Ministers and individual deputies as stated in Article 88. Such bills are debated and adopted by the Parliament in its plenary session in accordance with the Constitution and the Standing Orders of the Grand National Assembly. In the hierarchical structure of Turkish legal order regulations are the third source following laws. Just as its predecessors, the Constitution of 1982 authorizes the Council of Ministers to make regulations in accordance with the constitution and laws in its Article 115. International treaties are another source of Turkish law stated in Article 90 of the Constitution. Contrary to Anglo-American law, in Turkey jurisprudence is not considered one of the main sources of law, since all Republican Constitutions made the Grand National Assembly the sole authority to make law and prohibited the delegation of legislative power to any governmental agency. However, judicial decisions are not entirely without a binding effect in Turkish law. Decisions of the supreme courts -such as the Court of Cassation, Council of State, Supreme Military Administrative Court, Military Court of Cassation- have a binding effect on the decisions of lower courts within their jurisdiction.

Court Structure

The Constitution regulates the supreme courts in its third part between the articles 146-160. These supreme courts are: Constitutional Court, Court of Cassation / the Supreme Court, Council of State, Military Court of Cassation / Military Supreme Court, Supreme Military Administrative Court, Court of Conflict, Court of Account.

 The Constitutional Court established by the 1961 Constitution is regulated by the 1982 Constitution in Its Articles 146-153. Article 148 of the Constitution defines the powers and duties of the Court. According to this Article:

"The Constitutional Court shall examine the constitutionality, in respect of both form and substance, of laws, decrees having the force of law, and the Rules of Procedure of the Turkish Grand National Assembly. Constitutional amendments shall be examined and verified only with regard to their form. However, no action shall be brought before the Constitutional Court alleging unconstitutionality as to the form or substance of decrees having the force of law issued during a state of emergency, martial law or in time of war.

The President of the Republic, members of the Council of Ministers, presidents and members of the Constitutional Court, of the Court of Cassation, of the Council of State, of the Military High Court of Appeals, of the High Military Administrative Court of Appeals, their Chief Public Prosecutors, Deputy Public Prosecutors of the Republic, and the presidents and members of the Supreme Council of Judges and Public Prosecutors, and of the Audit Court shall be tried for offences relating to their functions by the Constitutional Court in its capacity as the Supreme Court."


The Court of Cassation or The Supreme Court, regulated in Article 154, is empowered to make final decisions on the conflicts concerning private and criminal laws. According to Article 154:

"The Chief Public Prosecutor of the Republic and the Deputy Chief Public Prosecutor of the Republic of the Court of Cassation shall be appointed by the President of the Republic for a term of four years from among five candidates nominated for each office by the Plenary Assembly of the Court of Cassation from among its own members by secret ballot. They may be re-elected at the end of their term of office.

The organization, the function, the qualifications and procedures of election of the president, deputy presidents, the heads of division and members and the Chief Public Prosecutor of the Republic and the Deputy Chief Public Prosecutor of the Republic of the Court of Cassation shall be regulated by law in accordance with the principles of the independence of courts and the security of tenure of judges."


The Council of State is regulated in Article 155 of the Constitution. It is authorized to make final decisions concerning the decisions of lower-level administrative courts. It is also authorized to make first and final decision on certain matters. According to Article 155:

"The president, chief public prosecutor, deputy president, and heads of division of the Council of State shall be elected by the Plenary Assembly of the Council of State from among its own members for a term of four years by secret ballot and by an absolute majority of the total number of members. They may be re-elected at the end of their term of office.

The organization, the functioning, the qualifications and procedures of election of the president, the chief public prosecutor, the deputy presidents and the heads of division and the members of the Council of State, shall be regulated by law in accordance with the principles of specific nature of the administrative jurisdiction, and of the independence of the Courts and the security of tenure of judges."


The Military Court of Cassation or the Military Supreme Court is regulated in Article 156 of the Constitution and authorized to make final decisions concerning criminal matters which are within the competence of the military penal courts. According to Article 156:

"The president, chief public prosecutor, second presidents and heads of division of the Military High Court of Appeals shall be appointed according to rank and seniority from among the members of the Military High Court of Appeals.

The organization, the functioning of the Military High Court of Appeals, and disciplinary and personnel matters relating to the status of its members shall be regulated by law in accordance with the principles of the independence of the courts and the security of tenure of judges and with the requirements of military service."


The Supreme Military Administrative Court is regulated in Article 157 of the Constitution and authorized to make first and final decisions on matters concerning military personnel and military services. According to Article 157:

"The president, chief public prosecutor and head of division of the Court shall be appointed from among military judges according to rank and seniority.

The organization and functioning of the High Military Administrative Court, its procedure, disciplinary affairs and other matters relating to the status of its members shall be regulated by law in accordance with the principles of the independence of the courts and the security of tenure of judges within the requirements of military service."


The Court of Conflict is regulated in Article 158 of the Constitution and authorized to resolve conflicts between civil, administrative and military courts. According to Article 158:

"The organization of the Jurisdictional Court of Disputes the qualifications of its members and the procedure for their election, and its functioning shall be regulated by law. The office of president of this Court shall be held by a member delegated by the Constitutional Court from among its own members.

Decisions of the Constitutional Court shall take precedence in jurisdictional disputes between the Constitutional Court and other courts."


Different resolution of business allowed to operate and the laws governing them

In 2003, Turkey introduced significant legislative reforms to improve the investment climate

in Turkey in order to facilitate the flow of foreign direct investment and as an integral part of

a broader national reform. New enactments include three pieces of legislative acts, which aim

to eliminate bureaucratic red tape, introduce equal treatment to both domestic and foreign

investors and protect foreign investors' rights in a fashion that match international standards.

The first one of these legislations is the law on foreign direct investment; the second one is

the law concerning company formation; and finally the implementing regulation on foreign

direct investment law.The new Foreign Direct Investment Law as it introduces the "equality principle" for domestic and foreign companies. Accordingly, all companies established with foreign capital and under the rules of the Turkish Commercial Code are regarded as local Turkish companies, and therefore entitled to

and benefit from the same rights and exemptions that are granted to domestic companies engaged

in the same field of activity.

As the reflection of such equality principle, the foreign investors are no longer required to obtain an

initial permit from the GDFI. In addition, there is no longer US$50,000 minimum capital

requirement for foreign shareholders to establish or participate in a capital company in Turkey.

Moreover, the new Law allows foreign investors to freely transfer profits, dividends and the sale

and liquidation proceeds as well as payments received in relation to licence, know-how, technical

assistance, management or franchise arrangements. Another recent amendment related to Land

Law emphasizes the equal treatment principle and grants same rights to foreign companies to own

or use land as domestic businesses in Turkey. However, "reciprocity" will be sought for foreign

investors. Accepting International Standards for Definitions of "foreign investor"

Pursuant to the former foreign direct investment legislation, only foreign nationals and foreign

legal entities were regarded as foreign investors. The New Direct Investment Law has broadened

the definition of "foreign investor" to include Turkish nationals resident abroad and international


The definition of "foreign direct investment" has also been broadened to include all possible types

of assets such as monetary capital in the form of convertible currency, company securities

excluding government bonds, machinery and equipment, intellectual property rights imported

abroad and profits, proceeds, receivables and other financial rights converted into capital by way of

reinvestment in Turkey.

Law Relating to copyrights, trademarks, patents & designs

Copyright, trademarks, patents & designs law is designed to protect the author and creator of a work so they can reap the commercial benefits of producing work and will be encouraged to create more. Unfortunately, this law is one of the hardest to police as many people keep recordings of programmes at home on video or audio tape and others will try and get away with reproducing works without permission. For extra protection, Authors' can lodge their work with a lawyer or notary public or they can put their work in a safe deposit box or even send it to themselves with a wax seal over the flap. One area that is proving near impossible to police is the Internet. It is a worldwide technology that allows the fast relaying of information around the globe. With differences in International Copyright Laws the situation cannot currently be policed, it is far too easy for someone to copy and use information or works that belong to somebody else. Authorship can easily be lost and the creat or could go without credit. Currently, though, there is no way to solve this problem

Turkey is revising its intellectual property rights laws in order to align them with WIPO standards. Turkey is a party to the Berne Convention, the Rome Convention and the TRIPS Agreement. Turkish copyright law was made compliant with these treaties after its 1995 and 2001 amendments. The Law on Intellectual and Artistic Works covers the moral and financial rights of authors who create the works and performers who perform or interpret works, phonogram producers and broadcasting organizations, utilisation and procedures of the rights, judicial remedies and sanctions, duties and liabilities of the Ministry of Culture.




Answer Question number 3


Globalisation is a term meaning the way things like ideas and money spread around the globe more and more rapidly and easily. A transnational corporation, or TNC, is a company with branches or workers in many different countries; this is an example of globalisation. Nestle is one of the largest food companies in the world. The company's credo is to make life better by offering costumers only qualitative products. History of Nestle Company rooted in 1996. At this particular time Henry Nestle made decision to overcome infantine mortality and invented Farine Lactee - first in the world infant milk formula and turned a hand to manufacture. From that time the product assortment of Nestle is constantly widening and at the present time to estimate over 8000 brands of consumer products, which well known by costumers in all five continents. Among all other food traders Nestle company compares favorably with largest volume of investments in research activities and development works. This reflects aims of company to produce products not only with good eating qualities and well performed but also healthy. The Nestle fields of concern connected with producing of foodstuff. Furthermore, Nestle company is hold sharer of some perfume-cosmetic and pharmaceutical industries. Today, Nestle has become the world's biggest producer of food in the world, 7th biggest company in Europe and also 26th biggest company in the world.253000 people are working for Nestle world. Nestle owns 511 factories and industrial enterprises in 86 countries of the world.

Developments in information, communication & technology

If the cost of machinery rises, it will due to increase the cost of producing and products. This is a factors make sale and profit goes down. However, there could be new machine enter the market that allows production to be carried out more effective and efficient than before, which saves the labour cost.It may be necessary for Nestle to upgrade old machines to improve the company efficiency in producing new products but in the other hand, employees need to be training for using those machines and of course, company will have to pay the expense for training their employees.Internet marketing has become the way of future, with successful business using it to advertise, promote, sell and undertake public relations. Nestle and Cadbury advertise their products through internet. They built up a website for people who want to know the latest news form them. They also use the high technology to produce more chocolate and cheaper cost chocolate and will increase profit of Nestle.



Nestle has many factories in many countries which is serve for producing products, for example in 1902 Nestle opened its first factory in UK. But if  Nestle factories do not control their pollution levels or have a big building destroying the landscape with noise and traffic congestion then the local resident would complain to their local council resulting to possible incentives for bringing in jobs for the community being stopped.

On the other hand, local resident with small businesses near to Nestle Factories would benefit due to the money being brought in by workers at factory.

Nowadays, more and more people like to use the diet food which is less risk for their healthy so this is one of the factors make the sales product of Nestle go down. Consumers will eat less chocolate because of healthy risks or their weight. That means people lifestyle changed for example more people want to get fit and lose weight so they will stop eating chocolate and spend their money on gym membership or diet food.

Moreover, if the population size decreased then they would be less people to buy chocolate or the others product therefore sale and profit will also go down.


Political decision can effect Nestle in two side : good and bad because if the government decide to increase the taxes in confectionary , the price of products will be also increase so the high price will make the consumers decrease and sale and stock go down. However, if the taxes decrease, consumers will buy more.

If government has a decision to stop producing and selling the products with high level of cholesterol or sugar like chocolate, it will be a big trouble with the company.

Raw material is one of the most important things for producing of the company and if it war breaks out, supply could be short and cut back on production. There could also be imports restrictions bought in by the government.

What's more, if the government continues to not lower petrol taxes, Nestle will have to use more money in expense and of course the benefit will go down.

There could be ban, quotas or high tariff on import to the other countries i.e., there where trick standard that English chocolate had to meet before it could be imported into Holland few years ago.


Nestle has a history of recalling a number of products from the market. In March 2006, Nestle's subsidiary, Purina Pet Care recalled some of its pet products from the market as it contained contaminated wheat gluten tainted with melamine, a substance used to make plastic kitchen utensils and fertilizer.

In November 2005, Nestle UK recalled two batches of their promotional packs containing 10 bars of two finger milk chocolate Kit- Kat due to the possibility of the product containing small metal particles. Also in 2005, Nestle recalled the company's infant milk product in France, Portugal, Spain and Italy after traces of isopropylthioxanthone (ITX), a photographic chemical was found in the milk products. Several product recalls indicate inadequate quality assurance and quality control systems for Nestle.The company has not acquired any organic brand companies nor has it launched organic products like its competitors. Moreover, large private label manufacturers are also offering organic versions of their best-known products. Limited presence in a fast growing product segment like organic foods would put the company at a competitive disadv


Nestle is increasingly putting efforts to transition into a 'nutrition and well-being' company. In June 2006, Nestle acquired Jenny Craig, a weight management company offering consumers a range of branded nutritional products and services in the US, Canada, Australia and New Zealand. Lastly, in December 2006, Nestle acquired the entire medical nutrition business of Novartis for $2.5 billion. The move propelled Nestle into a number two position in the fast growing and profitable healthcare nutrition segment, where Nestle used to play only a minor role. Nestle's strategy to strengthen its position as a nutrition and well-being company comes at a time when consumers are increasingly become health conscious. Rising health awareness among consumers is leading to higher demand for low carbohydrate and low calorie foods worldwide. In April 2007, Nestle acquired the Gerber brand from Novartis for $5.5 billion. Gerber Products, with revenues of $1.6 billion, sells pureed carrots and strained peas in 80 countries. Gerber has a market share of 79% in the US. Nestle expects Gerber to generate sales of approximately $1.9 billion in 2007 and a 10% sales growth in the long run. The acquisition gives Nestle the number one position in the US, the world's single largest baby food market.