Nestle is a Swiss company founded in 1866 that markets over 10000 products across 130 countries. It employs over 250000 people and sells over a billion products daily. As the world's largest food company, Nestle's success is due to consumers trusting its brands. In India since 1962, Nestle manufactures infant food, milk, beverages, and chocolate. Its vision is excellence in all it touches to delight stakeholders. Key competitive advantages include qualified suppliers and access to new capabilities. Major competitors are Amul and Cadbury. Nestle focuses on nutrition, health and wellness through units like Nestle Nutrition and the Corporate Wellness Unit. Its strategies involve investments in dairy and emerging markets as well as partnerships with companies like

1. NESTLEStrategic ManagementPresented to:PARAKHIYA VASANT

2. INTRODUCTIONNestlé is aSwiss company,founded in 1866by Henri Nestle.

3. Brands of Nestle…

4. Did you know …Nestlé markets its products in 130 countries across the worldNestlé manufactures around 10000 different products and employs some 250000 peopleNestlé sells over a billion products everyday

5. People, products,brandsWhat makes Nestlé the world’s largest food companyare the millions of consumers across the globe whoput their trust in its products, bite after bite, sip aftersip, day after day.

6. Nestle Indiaa subsidiary of Nestle S.A. of SwitzerlandIncepted in 1962manufactures a variety of food products such as infant food, milk products, beverages, prepared dishes & cooking aids, and chocolates & confectionaryPresently the world's largest and most diversified food company

7. VISIONBeing the best in everything they touch & handle

8. Continuously excel to achieve and maintain leadership position in the chosen businesses; and delight all stakeholders by making economic value additions in all corporate functionsMISSION

9. Competitive advantagesA pool of qualified suppliers that understand and support Nestlé’s commitment to excellence.

10. A pool of qualified suppliers that are directly aligned with underrepresented and emerging communities and can promote positive relationships with our customers

11. Better quality goods and services at a lower price as a result of increased competition and an extended supply base

12. Access to new capabilities and innovations

13. A competitive advantage as we seek government contracts, and assurance that we are in compliance with the diversity expectations of our public sector contracts.Major CompetitorsAMULCADBURYBRU

14. The Internal Assessment

16. Nestlé describes itself as a food, nutrition, health, and wellness company. Recently they created Nestlé Nutrition, a global business organization designed to strengthen the focus on their core nutrition business. They believe strengthening their leadership in this market is the key element of their corporate strategy.

17. In order to reinforce their competitive advantage in this area, Nestlé created Nestlé Nutrition as an autonomous global business unit within the organization, and charged it with the operational and profit and loss responsibility for the claim-based business of Infant Nutrition, HealthCare Nutrition, and Performance Nutrition.

18. The Corporate Wellness Unit was designed to integrate nutritional value-added in their food and beverage businesses. This unit is responsible for coordinating horizontal, cross-business projects that address current customer concerns as well as anticipating future consumer trends.

19. Nestlé’s competitive strategies are associated mainly with foreign direct investment in dairy and other food businesses. Nestlé aims to balance sales between low risk but low growth countries of the developed world and high risk and potentially high growth markets of Africa and Latin America.

20. When operating in a developed market, Nestlé strives to grow and gain economies of scale through foreign direct investment in big companies.In the developing markets, Nestlé grows by manipulating ingredients or processing technology for local conditions, and employ the appropriate brand.

21. Another strategy that has been successful for Nestlé involves striking strategic partnerships with other large companies. In the early 1990s, Nestlé entered into an alliance with Coca Cola in ready-to-drink teas and coffees in order to benefit from Coca Cola’s worldwide bottling system and expertise in prepared beverages.

22. In Asia, Nestlé’s strategy hasbeen to acquire local companies in order to form a group of autonomous regional managers who know more about the culture of the local markets than Americans or Europeans.Nestlé’s strong cash flow and comfortable debt-equity ratio leave it with ample muscle for takeovers.

23. MarketingTarget Market  Male and Female; Have many brands and products to meat the taste of each type of consumers.Have high allocation of advertising budget for endorser contract, TVC, print ads, and sponsorship activities. Have top endorsers who have a good image in the soap industry.

24. DistributionNestle has worldwide distribution lineNestle has good distribution line to retailerNestle has new ordering system, named Futures Ordering Program

26. STRENGTHSstrong support from its parent companythe world’s largest processed food and beverage companya presence in almost every countrystrong brands like Nescafe, Maggi and Cerelaccontinuously introducing new products for its Indian patrons on a frequent basis, thus expanding its product offerings

27. complex supply chain managementWEAKNESSES