Consumers are increasingly wary of “big food,” and the Campbell Soup Company (CPB) is working to counter the effects of that trend by offering healthier or more natural alternatives. For example, Campbell's recently introduced a new line of organic soups, Campbell's® Organics, and acquired Bolthouse Farms juices and Plum Organics baby food.

In addition to expanding its healthier and more natural product lines, Campbell's also announced that it will implement zero-based budgeting. It expects to save $200 million of its expected annual costs of about $7 billion.

What is the “zero-based budget”?

How does Campbell's expect to save $200 million by using a zero-based budget?

What are some of the possible drawbacks for Campbell's using zero-based budgeting?