Management

Road to Nestlé Strategy

Background of Nestlé:

Starting business in 1866 Henri Nestlé already understood the importance of collaboration and branding. Nowadays his company has grown into the worlds leading Nutrition, Health and Wellness Company and its mission statement is "Good Food, Good Life", which means providing consumers with the best-tasting, most nutritious choices in a wide range of food and beverage categories to suit any occasion. Nestlé is present in 117 countries all over the world. This research paper describes how the Nestlé corporation has developed and grown into a global company over the past 145 years. Food and eating habits vary from country to country and region to region, as do flavour preferences. As they say, "food is local". Nestlé has several successful products, notably Nescafé and Nespresso. In this paper, we will closely examine the strategy which Nestlé took towards ice-cream which enabled them to become a global market leader in this category. This strategy was chosen as its main strength lies in the choice of products and brands and it provides a framework for quickly gaining success in new markets. The first chapter of this report describes Nestlé’s development over the years so that we may gain a better understanding of which experiences led them to develop that strategy. The second chapter provides an overview of Nestlé’s approach to business to which all of the strategies throughout the corporation must adhere. The third chapter is about how Nestlé decided in 1991 that ice-cream would be a product with fast and wide growth potential and how they set themselves a goal to become the gobal market leader in this category. The chapter gives an overview of how exactly Nestlé were able to achieve this. Information regarding the history of the Nestlé coporation and its strategies has been acquired from the official website – www.nestle.com – which will not be further referenced in this paper. One of the authors of this paper has had...