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Yahoo News has a story about Campbell Soup CEO Denise Morrison, who last week attended the World Economic Forum in Davos, Switzerland, and seems to be taking the position that there has been a kind of bifurcation in the food marketing business.

The cause, she said, is "the shrinking middle class," which has created a kind of global economic realignment: "“People are really concerned about value and affordability of food. And then, of course, there’s the digital tsunami where consumers are connecting differently with food companies and they want to know everything about their food - where it’s grown, what’s in it, and ‘is it good for me?’”

It appears that Morrison believes that while traditional brands - like Campbell Soup - are often best positioned to address the concerns of the former group, while so-called "challenger brands" are best positioned to disrupt traditional businesses. That's the reason that Morrison has acquired and invested in entrepreneurial efforts that, she said, "gives us a purview of some of the different technology disruptions [and] food disruptions, all the way from growing to last mile delivery. We get to connect with the entrepreneurs. I have people that are advising them and I’ve personally gotten engaged with them because we can learn a lot about what the entrepreneurs are thinking.”
KC's View:
This strikes me as a savvy way to view the business. It is critical that Campbell executes this strategy as well as Morrison explains it, but understanding this essential bifurcation is important to making strategic and tactical choices.