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A sugar company that is worried that consumers may buy artificial sweetener instead of sugar is concerned about the ________?

1) taste of artificial sweetener
2) price of artificial sweetener
3) health effects of artificial sweetener
4) availability of artificial sweetener

1 Answer

3 votes

Final answer:

A sugar company is likely most concerned about the price of artificial sweetener, as its cost-effectiveness and lower calorie content can sway consumers away from sugar. The threat to market share due to the price competitiveness of artificial sweeteners like saccharin, cyclamates, and aspartame is a critical issue for sugar companies.

Step-by-step explanation:

A sugar company that is concerned about consumers potentially choosing artificial sweeteners over sugar is likely concerned about the price of artificial sweetener. Cost competitiveness is a crucial factor for consumers when making purchasing decisions. Given that artificial sweeteners such as saccharin, cyclamates, and aspartame offer low-calorie alternatives to traditional sucrose and can be significantly sweeter, thereby requiring smaller amounts for the same level of sweetness, they could represent a cost-effective option for consumers.

Additionally, these artificial sweeteners are beneficial for individuals with specific health conditions like diabetes, allowing for better control of carbohydrate intake without sacrificing sweetness. Hence, from the perspective of a sugar company, the price of these substitutes could pose a significant threat to their market share.

The history of artificial sweeteners like saccharin and aspartame suggests that the taste, availability, and health effects have been important considerations; however, the economic implications associated with price are pivotal for sugar companies. For instance, during periods of sugar scarcity, such as World War I, the demand for saccharin increased, indicating that availability and price can drive consumer choices in the market toward artificial sweeteners.

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