Strategic Analysis of Nestle
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Executive SummaryThe purpose of this report is to evaluate Nestle Company industry based on the case study and comprehend how the company develop strategic intent for their business organisations following the analysis of external and internal business environments. I will analyse the strategic management process as firm used to achieve strategic competitiveness and earn above-average returns. I will discuss the strategy formulation that includes business-level strategy and corporate-level strategy.It also aims to identify market place opportunities and threats in the external environment and to decide how to use their resources, capabilities and core competencies in the firm’s internal environment to pursue opportunities and overcome threats. In order to strengthen this assignment about Nestle, there are several methods of gathering data has been conducted, such as PEST analysis, Porter’s 5 forces model, value chain analysis and SWOT analysis. By the end of this assignment, future strategy will be mentioned as well as my recommendations about Nestle that will fit into strategic orientation in order to perform better in their business world. And continue to develop and implement its learning approach as the chosen large company by using different strategies.Table of ContentsExecutive Summary        11.0        Introduction        41.1        Industry and Nestle Summary        4EXTERNAL ANALYSIS        52.0        General Environment Analysis        52.1        Demographic Segment        52.2        Economic Segment        62.3        Political or Legal Segment        62.4        Socio-cultural Segment        62.5        Technological Segment        72.6        Global Segment        73.0        Industry Environment Analysis        73.1        Threat of New Entrants        83.2        Bargaining Power of Supplier        83.3        Bargaining Power of Buyers        83.4        Threat of Substitute Products        93.5        Intensity of rivalry among Competitors        94.0        Competitive Environment        105.0        Opportunities and Threats of Nestlé        115.1        Opportunities        115.2        Threats        11INTERNAL ANALYSIS        116.0        Nestlé’s Resources, Tangible and Intangible        126.1        Tangible Resources of Nestlé        126.2 Intangible Resources of Nestlé        137.0        Capabilities of Nestlé        138.0        Core Competencies Analysis        159.0        Value Chain Analysis of Nestlé        169.1. Primary Activities        169.1.1        Inbound Logistics        169.1.2        Operations        169.1.3        Outbound Logistics        169.1.4        Marketing and Sales        169.1.5        Services        179.2        Support Activities        179.2.1        Procurement        179.2.2        Technological Development        17

9.2.3        Human Resources Management        179.2.4        Firm Infrastructure        1810.0        Weaknesses        1811.0        SWOT Analysis        1811.1        Strengths        1811.2        Weaknesses        1911.3        Opportunities        1911.4        Threats        1912.0        Current Strategy        1913.0        Strategy        2014.0        Conclusion        21References        22Appendices        23Appendix 1        23Appendix 2        23Appendix 3        24Appendix 4        26Appendix 5        26Appendix 6        4IntroductionThe most important thing for most of business company is an understanding their successful performance among the other competitors in market place. For some parties, like shareholders, it is essential for company to make a profit and gain above-average returns. In this assignment, I will discuss furthermore about Nestlé’s external environment in all aspects such as their general environment, industry environment, competitive environment, and scan the opportunities and threats of the company. And also I am going to explain briefly about their internal environment includes their resources, type of their resources, company’s capabilities, evaluate their core competencies and so on.Industry and Nestle summaryNestlé S.A. is a Swiss multinational nutritional and health-related consumer goods company headquartered in Vevey, Switzerland. It is the largest food company in the world measured by revenues. Nestlé’s products include baby food, bottled water, breakfast cereals, coffee, confectionary, dairy products, ice cream, pet foods and snacks. Nestlé employ around 330,000 people in over 150 countries and have 461 factories or operations in 86 countries. Nestlé sales for 2011 were almost CHF 83.7 billion. It is one of the main shareholders of L’Oreal, the world’s largest cosmetics company. Nestlé history begins back in 1866, when the first European condensed milk factory was opened in Cham, Switzerland, by the Anglo-Swiss Condensed Milk Company. In Vevey, Switzerland, Nestlé founder by Henri Nestlé, a German pharmacist, launched his Farine lactee, a combination of cow’s milk, wheat flour and sugar, saving the life of a neighbour’s child. Nutrition has been the cornerstone of the company ever since. In 1905, The Anglo-Swiss Condensed Milk Company, founded by Americans Charles and George Page, merged with Nestlé after a couple of decades as fierce competitors to form the Nestlé and Anglo-Swiss Milk Company. The company grew significantly during the First World War and again following the Second World War, expanding its offerings beyond its early condensed milk and infant formula products. In 2011, Nestlé was listed No.1 in the Fortune Global 500 as the world’s most profitable corporation. The Nestlé Corporate Business Principles are at the basis of the company’s culture, developed over 140 years, which reflects the ideas of fairness, honesty and long-term thinking. Nestlé believes that not only possible to create long-term value for their shareholders if their behaviour strategies and operations also create value for the communities where they operate, for their business partners and of course, for their consumers.

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Threats Of Nestlé And Nestle Company Industry. (July 2, 2021). Retrieved from https://www.freeessays.education/threats-of-nestle-and-nestle-company-industry-essay/