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AGENDA 
• About Nestle 
• Its Strategies 
• PESTEL Analysis 
• Porter’s five force model 
• BCG 
• SWOT 
• Ansoff matrix 
• Value Chain 
• Current Scenario
Mission Statement of Nestle 
...the world's leading nutrition, health and 
wellness company. Nestlé's mission of 
"Good Food, Good Life" 
is to provide consumers with the best 
tasting, most nutritious choices in a wide 
range of food and beverage categories and 
eating occasions, from morning to night.
Vision and values of Nestle 
To be a leading, competitive, 
Nutrition, Health and Wellness 
Company delivering improved 
shareholder value by being a preferred 
corporate citizen preferred employer 
preferred supplier selling preferred 
products.
PEST ANALYSIS 
Political 
PEST 
Economical 
Social 
Technological
PORTER’S FIVE FORCE MODEL
SWOT ANALYSIS 
NESTLE
STRENGTHS 
1. Unmatched product and brand portfolio 
2. R&D capabilities 
3. Distribution channels and geographic presence 
4. Competency in mergers and acquisitions 
5. Brand reputation valued at $7 billion.
WEAKNESSES 
1. Inability to provide consistent 
quality in food products 
2. Weak implementation of CSR
OPPURTUNITIES 
1. Increasing demand for healthier food 
products. 
2. Acquiring start-ups. specializing in 
producing well-being products. 
3. Establishing new joint ventures.
THREATS 
1. Food contamination. 
2. Trend towards healthy eating. 
3. Growth of private labels. 
4. Rising raw food prices.
Ansoff Matrix
Existing PRODUCTS New 
INCREASING RISK 
INCREASING RISK 
Existing 
MARKETS 
New 
MARKET 
PENETRATION 
Sell more in 
existing Markets 
MARKET 
EXTENSION 
Achieve higher 
sales/market 
share of existing 
products in new 
markets 
PRODUCT 
DEVELOPMENT 
Sell new products in 
existing markets 
DIVERSIFICATION 
Sell new products in 
new markets
Value Chain 
Analysis
What is Value? 
What is Value Chain?
Firm Infrastructure (General Management) 
Human Resource Management 
Technology Development 
Procurement 
Inbound 
Logistics 
Ops. Outbound 
Logistics 
Sales & 
Marketing 
Service and 
Support 
PRIMARY ACTIVITIES 
SUPPORT 
ACTIVITIES 
Value Chain Model
PRIMARY ACTIVITIES
Firm Infrastructure (General Management) 
Human Resource Management 
Technology Development 
Procurement 
Inbound 
Logistics 
Operation 
s 
Outbound 
Logistics 
Sales & 
Marketing 
Service and 
Support 
PRIMARY ACTIVITIES 
SUPPORT 
ACTIVITIES 
Value Chain Model
Current Scenario 
18% 
16% 
14% 
12% 
10% 
8% 
6% 
4% 
2% 
0% 
Volume Growth 
2008-10 2011-13 
Growth in % 
Period 
Volume Growth 
16 
3
Reasons behind decline 
?
1. Focus on the urban market 
2. Price increase & slowing urban 
demand
No. 1 player 
Instant noodles & baby food products in India 
No. 2 player 
Instant coffee and chocolates segment 
In spite of decline in volume and growth 
Margins are STRONG and STRENGTHENED
Conclusion 
The STRUCTURE, ORGANIZATION and STRATEGY of 
the company reflect an organization that is well focus 
to achieve its stated objectives and goals. 
as a Food - Nutrition – Health –Wellness co. 
targeted motivation for consumer to purchase 
Popularly Positioned Product (PPP) strategy 
Through its global strategic approach, Nestlé 
has transformed its organization to a world 
recognized leader in nutrition, health and 
wellness
Really 
Thank you

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Nestle Good Food Good Life

  • 1.
  • 2. AGENDA • About Nestle • Its Strategies • PESTEL Analysis • Porter’s five force model • BCG • SWOT • Ansoff matrix • Value Chain • Current Scenario
  • 3.
  • 4.
  • 5. Mission Statement of Nestle ...the world's leading nutrition, health and wellness company. Nestlé's mission of "Good Food, Good Life" is to provide consumers with the best tasting, most nutritious choices in a wide range of food and beverage categories and eating occasions, from morning to night.
  • 6. Vision and values of Nestle To be a leading, competitive, Nutrition, Health and Wellness Company delivering improved shareholder value by being a preferred corporate citizen preferred employer preferred supplier selling preferred products.
  • 7.
  • 8.
  • 9. PEST ANALYSIS Political PEST Economical Social Technological
  • 11.
  • 12.
  • 14. STRENGTHS 1. Unmatched product and brand portfolio 2. R&D capabilities 3. Distribution channels and geographic presence 4. Competency in mergers and acquisitions 5. Brand reputation valued at $7 billion.
  • 15. WEAKNESSES 1. Inability to provide consistent quality in food products 2. Weak implementation of CSR
  • 16. OPPURTUNITIES 1. Increasing demand for healthier food products. 2. Acquiring start-ups. specializing in producing well-being products. 3. Establishing new joint ventures.
  • 17. THREATS 1. Food contamination. 2. Trend towards healthy eating. 3. Growth of private labels. 4. Rising raw food prices.
  • 19. Existing PRODUCTS New INCREASING RISK INCREASING RISK Existing MARKETS New MARKET PENETRATION Sell more in existing Markets MARKET EXTENSION Achieve higher sales/market share of existing products in new markets PRODUCT DEVELOPMENT Sell new products in existing markets DIVERSIFICATION Sell new products in new markets
  • 21. What is Value? What is Value Chain?
  • 22. Firm Infrastructure (General Management) Human Resource Management Technology Development Procurement Inbound Logistics Ops. Outbound Logistics Sales & Marketing Service and Support PRIMARY ACTIVITIES SUPPORT ACTIVITIES Value Chain Model
  • 24. Firm Infrastructure (General Management) Human Resource Management Technology Development Procurement Inbound Logistics Operation s Outbound Logistics Sales & Marketing Service and Support PRIMARY ACTIVITIES SUPPORT ACTIVITIES Value Chain Model
  • 25. Current Scenario 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% Volume Growth 2008-10 2011-13 Growth in % Period Volume Growth 16 3
  • 27. 1. Focus on the urban market 2. Price increase & slowing urban demand
  • 28. No. 1 player Instant noodles & baby food products in India No. 2 player Instant coffee and chocolates segment In spite of decline in volume and growth Margins are STRONG and STRENGTHENED
  • 29. Conclusion The STRUCTURE, ORGANIZATION and STRATEGY of the company reflect an organization that is well focus to achieve its stated objectives and goals. as a Food - Nutrition – Health –Wellness co. targeted motivation for consumer to purchase Popularly Positioned Product (PPP) strategy Through its global strategic approach, Nestlé has transformed its organization to a world recognized leader in nutrition, health and wellness