Nestle

Topics: Bottled water, Brand, Marketing Pages: 5 (2626 words) Published: October 27, 2014

Contents
Instructions for case study ……………………………………………………………………………………………….………………………………….2 Introduction………………………………………………………………………………………………………...……………………………………….…….3 An analysis of Nestlé case issues …….………….………………………………………………………………………………………………………4 Alternatives in solving these issues …………………………………………………………………………………………………………………...7 Choosing the best alternative …………………………………………………………………………………………………………………………...9 Discussion questions

1. What have been the key success factors for Nestlé? ……………………………………………………………………………………10 2. Where is Nestlé vulnerable? What should it watch out for? ……………………………………………………………………..…10 3. What recommendations would you make to senior marketing executives going forward? What should the company be sure to do with its marketing? ………………………………………………………………..……….11 Bibliography and References ………………………………………………………………………………………………………………………..…12

Introduction
Nestlé began in Switzerland in 1867 when Henri Nestlé, a pharmacist launched his product Farine Lactée Nestlé, a nutritious gruel for children. Nestlé, which means ’little nest’, is used in both the company name and the logotype and symbolizes security, family and nourishment. Nestlé is today the world's biggest food and beverage company and employs roughly 280,000 people in over 86 countries and have factories or operations in nearly every country in the world. The Nestlé family has grown to produce products that include chocolates, soups, coffee, cereals, frozen products, yoghurts, mineral water and other food products. Nestlé has continued to expand its product portfolio in the early 70’s to include pet foods, pharmaceutical products and cosmetics. Nestlé's strategy is directed by several fundamental principles such as innovation and renovation which ensures that the existing products grow and maintain a balance in geographic activities and product lines. Long-term potential is never sacrificed for short-term performance or profit. The Company's priority is to bring the best and most relevant products to people, wherever they are, whatever their needs, throughout their lives. The company’s business principles are vital to its framework for corporate responsibility. This framework also enables it to create shared value with suppliers, partners, customers and consumers across the world. Nestlé’s corporate responsibility involves more than what the regulations and laws require, ensuring greater trust from individuals and organizations that does business with them. Nestlé’s main business principle is based on decentralization, meaning headquarters sets the overall strategy and ensures that it is carried out by each country but they are responsible for the running of its business. This approach is best summed up as: 'centralize what you must, decentralize what you can'. Nestlé believes that they should think about their organizations globally but they deal with people by interacting with them locally. “Thinking globally-acting locally” An Analysis of Nestle Case Issues

SWOT analysis of Nestlé Strengths:
Nestlé is recognized as one of the largest and most powerful food producer globally, having factories in nearly every country over the world and employ over 280,000. Nestlé are low cost operators and produces low cost products that ensure them having the upper hand on competition and benefits the consumer by providing affordable products. Nestlé has a powerful brand positioning in the consumers mind and its product portfolio contains roughly 6,000 brands and is ranked as the largest bottled water corporation that operates in an environmental friendly manner. Globally, Nestlé is the biggest ice-cream producer, having a market share of approximately 17.5% (2006). The business strategy of CEO, Peter Brabeck stresses the importance of internal growth by increasing sales volume by renovating existing products and innovating new products. His explanation of renovation is that “to just keep pace in the industry, you need to change at least as fast as...

References: http://thebovine.wordpress.com/2008/11/27/nestle-ordered-to-recall-melamine-tainted-baby-formula-in-south-africa/http://www.nestlebaby.ca/en/products/formula/starter/goodstart_probiotic.htmhttp://en.wikipedia.org/wiki/Nestl%C3%A9_boycotthttp://www.scribd.com/doc/13826325/NestleMarketinghttp://www.scribd.com/doc/21544545/Introduction-Nestle-Was-Founded-in-1866-by-Henri-Nestle-Andhttp://www.thetimes100.co.uk/case-study--sustainability-water--7-1225.phphttp://kylelacy.com/does-negative-social-media-and-pr-really-hurt-abrand/http://www.oppapers.com/essays/Nestle-s-3-Key-SuccessFactors/436484http://www.polarisinstitute.org/nestl%C3%A9%E2%80%99s_sinking_divisionhttp://www.wikiswot.com/SWOT/3_Consumer_Packaged_Goods_(CPGs)/Nestle.htmlhttp://www.freeswotanalysis.com/consumer-goods-swot/125-nestle-swot-analysis.htmlhttp://www.nestle.com/AllAbout/AtGlance/Introduction/Introduction.htmhttp://www.nestle.com/Resource.axd?Id=C6C11013-FF1A-40F4-994D-7BAFFC270218http://money.cnn.com/magazines/fortune/mostadmired/2010/full_list/http://www.allbusiness.com/trade-development/economic-development/5518413-1.htmlhttp://www.equalizerpost.com/2010/01/nestles-swot-analysis.htmlhttp://articles.castelarhost.com/nestle_background.htmhttp://www.docstoc.com/docs/12163694/Nestle-Marketing-Mixhttp://www.coursework.info/University/Business_and_Administrative_studies/Marketing/Nestle_is_the_world_biggest_known_brand_L92630.htmlhttp://www.scribd.com/doc/22274938/Swot-n-Pest-Analysis-of-Nestle-and-Coca-Colahttp://remorph.blogspot.com/2008/09/swot-nestle.htmlhttp://free-pdf-ebook.com/2010/10/08/nestle-and-coca-cola-a-swot-analysis/http://www.freeswotanalysis.com/consumer-goods-swot/125-nestle-swot-analysis.html
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