Verified Document

Nestle 2008 Corporate Portfolio Nestle Began As Essay

¶ … 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...

Parts of this document are hidden

View Full Document
svg-one

The research and development ought to be concentrated in defining and redefining these markets with intensive research and marketing for which the core competency could be enhanced.
4. Competitive advantages? What synergies do they need to integrate AND leverage?

The major competitive advantage is that Nestle has the market for both the common consumer and the high end consumer within the same product array. However to integrate and create a synergy, the products and the general outlook must be concentrated to create a basket of goods that can be brought together in the market. This requires that the beverages basket be handled in an independent manner but at the same time must be able to innovate with other product baskets. For example a nutrition-based tea would include the nutrition and milk-based unit with the tea and beverage to create a new product that can be sold under nestle brand with the least cost and which surprises the competition.

5. How do they manage from the center? Do they create synergies or do they destroy it?

The management from the centre as is seen is not rigid and bureaucratic. There is freedom within the existing framework and the company has not got a rigid work model. This has helped create synergies in the various departments that complement the need of the company. However, as the company is moving into more and more sophistications there will be a need in future for greater control from the centre. At that point it is necessary to create…

Sources used in this document:
References

De Witt and Myer, R (2004), "Strategy: Process, Content and Context," 3rd edn, Oxford

International Thompson Business Press.
Cite this Document:
Copy Bibliography Citation

Related Documents

Business Plan: Bridal Salon Business Products and
Words: 3400 Length: 10 Document Type: Business Plan

Business Plan: Bridal Salon Business Products and services Keys to Success Company description Vision Statement Mission Statement Company background Products and Industry Product Description Industry Description The Market Market and Target Customer Market Segmentation Target Market Strategy Competition and Competitive Advantage Curbing Local Competition Curbing Regional Competition Marketing Strategy Overall Strategy Sales Plan Competitive Plan Research and Development (Growth Plan) The Organization Legal and Organization Structure Key Personnel Related Service Providers Location The Financials Critical Risks Income Statement Cash Flow Projection Balance Sheet Assumptions References Executive Summary Introduction Pace-setter is a bridal salon that rides on the theme of 'experience'. It creates an environment in which

Business Description Definition of the Market Description
Words: 1271 Length: 4 Document Type: Business Plan

Business Description Definition of the Market Description of the Products Organization and Management Descriptions Marketing Strategies Financial Management This paper presents business plan for a new leather garment manufacturing and retailing business. The business is being set up with an initial capital outlay of $53 million. The paper starts with a brief description of the business; its target market and product offerings, and then proceeds by proposing organizational and management strategies, marketing strategies, and financial management

Business Plan Gbsgreen Building Solutions Company Description
Words: 1926 Length: 6 Document Type: Business Plan

Business Plan GBSGreen Building Solutions Company Description Product & Service Description Marketing Strategy & Plan Environmental Analysis (SWOT/PEST) Competitive Analysis Products and Services Pricing Promotion People Financial Analysis & Projections Profit and Loss Risks and Assumptions GBSGreen Building Solutions Business Plan According to the Environmental Protection Agency (EPA) the impact of commercial buildings on the physical and social environment are such that there is "not questioning the vast impact…" (Environmental Protection Agency, 2006) Commercial Buildings are reported by the U.S. Department of Energy's Energy Information Administration

Business Plan Idc Interiors Aims
Words: 3240 Length: 12 Document Type: Business Plan

[2: www.med.govt.nz/business/business.../structure-and-dynamics-2011.... ] The primary research of the Auckland market presents the following sectors for consideration for the new venture: The demographics in the target market include: college going and married women with children who either are working mothers or stay-at-home mothers; this makes the age group anywhere between 25 to 55; the overall annual income of the household is more than AUS $100,000; the property owned by the target individual

Business Plan Product Description Market
Words: 4066 Length: 15 Document Type: Business Plan

As part of the research triangle, Raleigh has a significant portion of its population that fits the target market. For the Farmery to succeed, it only needs to capture a small portion of the market share. This is especially true because the store has a small footprint, and has the flexibility to set up on vacant lots without the costs of either renting or developing fixed real estate. The

Business Plans Investment Decisions an Analysis of
Words: 760 Length: 3 Document Type: Business Plan

Business Plans Investment Decisions An Analysis of Three Business Plans in Regards to their Riskiness This paper will examine three separate business plans and rate these plans based on the level of risk and the cost of capital that should be awarded to these plans. Of the three plans considered, a plan for an expansion of a coffee production facility in South America carries the least risk. An investment opportunity for a truck

Sign Up for Unlimited Study Help

Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.

Get Started Now