Preview

Nestle

Better Essays
Open Document
Open Document
943 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Nestle
Assignment 2 Nestle

Dr. Mary Tranquillo

HRM 560 Managing Organizational Change
October 28, 2010

Organization changes that Nestle has undergone
1. Discuss the organization changes that Nestle has undergone.
Nestle is the largest and most successful consumer packaged goods company in the world, founded and headquartered in Vevey Switzerland. Nestle successfully introduced many new products into many different parts of the food and beverage industry. The Nestle Company was established in 1867 by Henri Nestle. In the beginning, Nestle Company specialized in selling infant milk; which provided alternative for mothers who could not breast feed their infant. The value of the product was soon recognized, as it saved many children’s life. Today, Nestle is the world 's largest and most diversified food company, with nearly 500 factories around the world, producing healthy, enjoyable food products for every stage of life.
Nestle underwent many organizational changes. In 1905 Nestlé Company merged with the Anglo Swiss Milk Company by the Page Brothers. The merger provided the company with a wide range of product line. According to Palmaer, I., Dunford, R., & Akin, G., 2009, “Nestle changed its approach to global expansion and began purchasing global subsidiaries in foreign markets.” During the World War I Nestle purchased several factories in the United States to keep up with the increasing demand for condensed milk and dairy products via government contracts. When fresh milk became available again after the war, Nestle financial status suffered which caused a tremendous amount of debt. The price of ingredients was increasing, the economy slowed down and exchange rates deteriorated because of the war.
During World War II many “executive offices offshore were transferred to the United States. These moves into the offshore markets were part of Nestle’s commitment to changing the company in order to increase efficiency and



References: Bikashkumarsha. (2010). Nestle 's brand management strategies. Retrieved from http://hubpages.com/hub/nestle. Palmer, I., Dunford, R., & Akin, G. (2009). Managing organizational change: A multiple perspectives approach (2nd ed.). New York: McGraw-Hill.

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Jasper Jones

    • 828 Words
    • 4 Pages

    | Nestle make a wide range of products from bottled water to pet food to breakfast cereals.It’s one of the largest food companies in the world.…

    • 828 Words
    • 4 Pages
    Satisfactory Essays
  • Good Essays

    Business Research Ethics

    • 790 Words
    • 4 Pages

    This paper will take a look at the corporate giant Nestle and some questionable behavior that goes back to the 1960’s. I will take a look at the behavior that took place with Nestle that originally started out as a dispute over the way that infant formula was made by several companies but then the focus went directly to Nestle, which lead to a boycott of the infant formula make and how this scandal changed the course of this company.…

    • 790 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Problems at Perrier

    • 640 Words
    • 3 Pages

    Nestlé underwent a second –order change according to the case. Nestlé did a transformational change. It continued in the corresponding network of what the organization had already but, the focal point was, how to revitalization itself so that it can progress more adequately. For example, Nestlé only sold their products through sales agents to countries outside of its home market. They changed the approach to worldwide expansion so that they can buy from local subsidiaries in foreign networks. Also, Nestlé had changes made to where they produced more than just food; they started producing cosmetic with L’Orѐal and incorporated Alcon Laboratories. Coming together with both of these companies steered Nestlé away from their initial structure and created different products that was not a part of the organization advancement. Its launch into the American market was initiated when the First World War increased demand for dairy.…

    • 640 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Nestle is a corporation engaged in home products processing and marketing worldwide. In the mid-1860s, it developed an infant-food formula as a supplement and/or substitute to breast-feeding. It then claimed humanitarian achievement after the formula was used by relief organizations such as the Red Cross to feed starving infants in refugee camps. In third world countries, the Nestle product has also been used as an alternative to less nutritious local infant feeding substitutes. And today, Nestle is the third largest home food company in the world with gross sales of nearly US$39 billion a year. But the Nestle success story is marred by controversy as the company has been charged for gross violations of a World Health Organization Code that affected both first world and third world countries.…

    • 2409 Words
    • 10 Pages
    Powerful Essays
  • Satisfactory Essays

    When Nestle began it was a Swiss national organization that sold to countries outside its home market only though sale agents, however by 1900 nestle changed their approached towards global expansion; they began buying local subsidiaries in foreign countries. When World War one occur there was high demand in dairy products, nestle took advantage of this and saw the opportunity to acquire existing factories and establish itself in the United States. By the time Second World War was happening a feeling of isolation in Switzerland lead nestle to make the decision of moving many of its executive offices offshore to the United States. Nestle was committed into changing the company to increase efficiency and productivity by moving into offshore market. By 1974 nestle for the first time made a move outside the food industry, Nestle became a major shareholder in the cosmetic giant L’Oreal,…

    • 703 Words
    • 3 Pages
    Satisfactory Essays
  • Best Essays

    Nestle Ethical Issue

    • 2675 Words
    • 11 Pages

    Nestle is the one oldest multinational businesses which was established in Switzerland since 1866 by a Swiss pharmacist, Heinrich Nestle. He developed a milk food formula for infants. This company had gone in many name changes from 1866 to 1947, and the last name Nestle has used since 1977. There are eleven categories such as Baby Foods, Sports Nutrition, Chocolates, Waters, Coffee, Beverages, Frozen Meals, Ice Cream & Frozen Treats, Imported Foods, Healthcare Nutrition, and Pet Foods. Base around the world is in 83 countries 461 factories, and 45% of all factories are approached to settle manufacture in developing countries where include 48% of employees (Nestle 2010). In this essay, it will be evaluated that Nestle has faced with ethical issues in three product segments of unethical water supply, child labor in cocoa supply chain and breast powdered-milk boycott which this firm has some keys to dealing with those challenges. Moreover,…

    • 2675 Words
    • 11 Pages
    Best Essays
  • Good Essays

    Internship Report of Nestle

    • 8130 Words
    • 33 Pages

    Nestlé was founded in 1866. In the 1860s Henri Nestlé, a pharmacist, developed a food for babies who were unable to be breastfed. His first success was a premature infant who could neither tolerate his own mother's milk nor any of the usual substitutes. The value of the new product was quickly recognized when his new formula saved the child's life, and soon, Farine Lactée Henri Nestlé was being sold in much of Europe. In 1905 Nestlé merged with the Anglo-Swiss Condensed Milk Company. By the early 1900s, the company was operating…

    • 8130 Words
    • 33 Pages
    Good Essays
  • Better Essays

    3 Stages of Management

    • 5328 Words
    • 22 Pages

    Nestle started of its journey in the year 1867. Henri Nestle, a German pharmacist was the founder of Nestle and he aimed to reach the global market ever since they started. The Anglo-Swiss Condensed Milk Company was the first European condensed milk factory in Cham, Switzerland in 1866. As a stepping stone, Nestle merged with Anglo-Swiss Condensed Milk Company in 1905. Nestle has faced a lot of ups and downs in its journey of survival. During the World War I, in 1914, obtaining raw materials and distributing their products became harder therefore it caused many factories to sell all their supplies in order to survive. On the other hand, war created an opportunity for Nestle to obtain 40 factories worldwide. Nestle has been offering varieties of product since 1925 such as Milo, Nescafe, Maggi, Nesquik, Nespresso and Buitoni. In order to be the market leader, Nestle also became the shareholder of L’Oreal. It also ventured further by merging with Nestle Purina Pet Care Company, Dreyer’s ice cream business, Chef America Incorporation a frozen food industry and Movenpick Ice Cream (Nestle, 2013).…

    • 5328 Words
    • 22 Pages
    Better Essays
  • Powerful Essays

    hgvgn

    • 2234 Words
    • 7 Pages

    Nestle had long recognised the need to diversify its operation beyond the Swiss frontier. Nestle strongly believe that a Nestle company in a foreign country can grow successfully only if there is a parallel growth in that country. It is with this spirit of partnership growth in that country. It is with this spirit of partnership and enterprise that Nestle arrived at the shores of Malaysia in 1912.…

    • 2234 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    History of Nestle

    • 716 Words
    • 3 Pages

    In 1945, the end of the world also the beginning of particular dynamic phase of nestle. Many…

    • 716 Words
    • 3 Pages
    Good Essays
  • Best Essays

    Marketing Mix of Nestlé

    • 4888 Words
    • 20 Pages

    Nestlé S.A. was founded and headquartered in Vevey, Switzerland, and originated in a 1905 merger of the Anglo-Swiss Milk Company. It established in 1867 by brothers George Page and Charles Page, and Farine Lactée Henri Nestlé, founded in 1866 by Henri Nestlé.…

    • 4888 Words
    • 20 Pages
    Best Essays
  • Good Essays

    Nestle Growth Strategy

    • 859 Words
    • 4 Pages

    The reason Nestle thought of acquisition was due to a number of reasons such as :-…

    • 859 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Nestle And Alcon

    • 388 Words
    • 3 Pages

    The case talks about Nestle which is the world’s largest food company trying to assess whether a part of…

    • 388 Words
    • 3 Pages
    Good Essays
  • Best Essays

    Henri Nestle a pharmacist, who found the Nestle during 1860s, developed a food for babies who were unable to breastfeed. The product was a premature infant who could not tolerate his mother’s milk or any of the usual substitutes. People quickly recognized the value of the new product, after Nestlé’s new formula saved the child’s life, and soon Farine Lactee Henri Nestle was being sold in much Europe. In 1905 Nestle merged with the Anglo-Swiss condensed milk company which was good decision as you can see now. Nestle is the leading FMCG company of Switzerland, more than 500 factories in 86 countries comprising almost all continents. One of the amazing things in Nestle is that “His family coat of arms, the nest with mother bird protecting her children, became the company’s logo and symbol of company’s care and…

    • 3775 Words
    • 16 Pages
    Best Essays
  • Good Essays

    Nestle

    • 1119 Words
    • 5 Pages

    Meunier, who talks of the rise of a “new consumer,” highlights the need to develop new…

    • 1119 Words
    • 5 Pages
    Good Essays

Related Topics