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Nestle Marketing Plan

Essay by   •  April 3, 2012  •  Business Plan  •  964 Words (4 Pages)  •  2,884 Views

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Executive Summary

Nestle Company has been a successful company for many decades being the world's largest food and beverage company. This will include an overview of the company and their business endeavors. This will include current business conditions, opportunities, and challenges that our company faces and how we will plan steps for a successful future. Nestle Company Headquarters has been "nestled" in Switzerland since 1905 when Henri Nestle merged with a rival. His rival was the Anglo-Swiss Condensed Milk Company, the first European condensed milk factory which opened in 1866. Nestle has been growing popular ever since, owning around 6,000 brands. Today, there are 86 countries that operate the company around the globe. Switzerland is the country better known as, "The Land of Chocolate" and Nestle takes great pride in providing the globe the finest cocoa and as the world's largest Food and Nutrition Company.

(http://www.nestle.com/AboutUs/Pages/AboutUs.aspx)

Corfield, Justin. "Nestlé." Encyclopedia of Business In Today's World. Ed. Charles (Wankel. Thousand Oaks, CA: SAGE, 2009. 1199-200. SAGE Reference Online. Web. 11 Feb. 2012.)

Current Market Situation

Today, Nestlé's products and services include: baby foods, bottled water, cereals, chocolate, coffee, frozen food, dairy, drinks, ice cream, health care nutrition, pet care, and sports nutrition. It is divided into eight units, of which "at least four contributed more than 10% to annual sales. Generated revenues for Nestle in 2010 were almost $121.1 billion (USD) with a net earning of $10.5 billion. Nestle owns many major consumer brands such as Nescafe, Kit-Kat, Nestle Water, Stouffers, and more. "30 of Nestlé's products earned $1 billion or more in 2011."(www.wikinvest.com/stock/Nestle) Milk products, nutritional, and ice cream is Nestlé's largest segment. Beverages are the second-largest segment. Nestle also has a Pharmaceutical Products division that consists of cosmetic and pharmaceutical brands. For example, Nestle owns 30% of L'Oreal, a cosmetic brand which produces some cosmetic-related nutritional supplements. Successful sales are meeting expectations and beyond for this company.

(http://www.nestle.com/AboutUs/Pages/AboutUs.aspx)

http://www.wikinvest.com/stock/Nestle_%28NSRGY%29#Key_Competitors

SWOT

Strengths: Nestlé's Chief Executive Officer, Paul Bulcke is constantly looking toward the future with renovations of products and services. The company proposal is and should be moving toward eco-friendly and healthy products. The idea is not just to become the world's largest food and beverage company, but to become the world's largest Nutrition, Health and Wellness Company.

Weaknesses: The rising prices on wheat and grain products. As these product prices rise, so will Nestle Company's costs. As long as we factor in these changes, and apply our new proposal, this should not hurt the company too much.

Opportunities: Nestle lies within people's new health conscientious mentalities. More people are focused on being healthy, and since this company is taking that direction this will be a great opportunity for Nestle to increase sales.

Threats:

In terms of external challenges, Nestle competes with other packed food companies such as Unilever NV (UN)-a Dutch company, Kraft Foods (KFT)-a U.S. company, Groupe Danone (DA)-a French company, and Hershey Foods (HSY)-another U.S. company.

http://www.wikinvest.com/stock/Nestle_%28NSRGY%29#Key_Competitors

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