The
aims of this assignment was to analyze the strategic choice of Nestle company,
to give out the alternative strategic choice which they can pursue and lastly
to provide recommendation of strategic choice and how the Nestle can implement
the strategies.
In
the introduction the report tried to give definition of Nestle company and
background, this Nestle Is the largest food and nutrition company in the world,
Founded and headquartered in Vevey, Switzerland, Nestlé originated in a 1905 merger of the Anglo-Swiss
Milk Company, established in 1867 by brothers George Page and Charles Page,
and Farine Lactée Henri Nestlé, founded in 1866 by Henri
Nestlé.
Nestle’s
objectives are to be recognized as the world leader in Nutrition, Health
and Wellness, trusted by all its stakeholders, and to be the reference for
financial performance in its industry.
These
are some of brands of Nestle; Baby foods (Nestlé Cerelac, NAN)
· Breakfast
cereals (Nestlé Cereals)
· Dairy
products (Milkpak, NIDO, Nespray, Nestlé Yogurts, Everyday)
· Ice-creams
(Movenpick, Dreyer’s)
· Chocolate
confectionary (Kit Kat, Smarties, Toffo)
· Beverages
(Nescafe, Milo, Nestlé juices)
· Food
service (Nestlé Jumbo Bottle) etc.
The
assignment used Michael Porter generic choice, BCG Matrix and
Ansoff Matrix so as to support its points.
Not
only that but also there are SWOT analysis of Nestle such as; in strength the
company has Large Portfolio, Economies of Scale etc. weakness side are Nestle has Large Workforce Difficult to Manage,
Subsidiaries Difficult to Manage etc. in
opportunity Nestle has Partnerships & Farmer Support , Emerging Markets
etc. And in threats Nestle has one brand fails New Diet Trends, etc.
According
to analysis of strategic choice Nestle Company, the company uses the cost
leadership and Diversification Strategy which they
used in their operation of selling their products, that’s why they have a big
competitive advantages compare to others.
Some
of alternative strategic choices are Strategic Alternatives Differentiation
strategy, Focus strategy, Focused Differentiation Strategy etc.
Lastly the report tried to provide recommendation
and conclusion some are; Nestle must state in writing that it will make
required changes to bring its Baby Food, Marketing policy and practice into
line with national Code and Resolutions. And in conclusion; its packaging is
good; we can easily find Nestle from any retailer shop.
