¶ … Nestle 2008
Corporate Portfolio
Nestle began as a food -- especially milk-based company that later moved into nutrition, confectionary and recently even to bottled waters. Health care, confectionary and nutrition are the current portfolio of the company. Apart from the above majors, the products now includes pet food, powdered beverages, milk food (modern) and many more consumables. In fact the portfolio has grown very wide comprising of many individual industries.
Core Competences
Nestle has developed a standard business culture that is unique to it and has stood the changes in market and expansion strategies. The competencies also lie in the products it can create, from milk and other confectionary -- expertise that is valuable to core competencies like improvement in technology, adapting to changes and lastly but not the least, management perceptions -- as shown by the thinking that even water could be marketed with sound sense. These competencies have evolved over time and must be nurtured and passed on to the succeeding employees by training.
3. How do you leverage Nestle's core competences?
The core competencies need not have leveraging except in a situation of expansion. What can be done is to improve the delivery mechanism of the existing products - which is already being attempted by the CEO -- who is trying to enter the rural markets. One area where the competencies can be leveraged are the areas where the company is an acknowledged leader - in milk and baby wellness products and health...
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