Consolidation, streamlining and brand strengthening continue to punctuate activity among the world's top food and beverage companies as they vie for competitive advantage.
U.S. food processors had a difficult year--continued invasion of private label brands, a mature food market, the continued economic setbacks in Asia, Russia and Latin America, mediocre stock market performance and unusual or devastating weather all contributed to an uphill battle for growth. In Europe, a new marketplace influenced by trade in the Euro, the increasing power of global retailers and a year plagued with consumer safety issues provide the backdrop for strategic planning as top food companies enter the 21st century.
"I would say most of the growth in the future for us would come through acquisitions," said Dean Foods CEO Howard Dean. "Because the U.S. consumer can eat so much and drink so much in the way of food products and the population is only growing at one or two percent--to grow more than that you've got to take the business from somebody else."