Nestle: Multinational Vevey Vaud
Nestle: Multinational Vevey Vaud
Nestle: Multinational Vevey Vaud
Weakness:
Criticism over high water usage, selling contaminated
food, anti-unionism, forced child labour and using other
unethical practices
Contaminated food recalls
Opportunities:
Clear and accurate labelling indicating of any harmful
products
Transparency in material sourcing
Growing number of small Silicon Valley based food start-
ups
Growing ready-to-drink (RTD) tea and RTD coffee markets
Threats:
Poor quality water and its scarcity
Increased competition in the beverage and food industries
The price of coffee beans could significantly rise due to
major weather disasters
Strategies:
Differentiated targeting strategy can help the company
in targeting the homogeneous set of customers (i.e.
customers with similar needs) with their bundle
of products.
The broad product portfolio help the company in
maintaining a high share of wallet of customers.
Its dairy products, powdered & liquid beverages,
bakeries& cookies and confectionary business verticals
are stars due to nestle having a strong hold in these
businesses with large product length.
Developing nations have been the
biggest opportunity for a company like Nestle as there
is challenges & opportunity in penetrating the market.
Nestle uses multi-channel strategy to distribute its
products.
Nestle is Fortune 500 company and it
does individual branding of their brands which help it in
creating high visibility & awareness.
With a large number of players fighting in the same
market, penetration to the untapped market is what
drives the industry to further growth.