Coursework: The process of developing a marketing strategy for Nestle in Russian conditions. Research of the marketing strategy of the Nestlé company in Russian conditions The strategy of the concentrated growth of the Nestlé company

16.01.2021

Applying a diversified approach to working in the food market. A feature of focusing the company's attention on healthy and proper food. The essence of the principles of the dynamic strategy of the company. Analysis of the concept of rapid response and individualization.

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Nestle company

Completed: Shcherbakova Elena

Pikalova Anastasia

The Nestle Company (full name - Nestlе Strategische Allianz in Russian transliteration - Nestle S.A., Nestle Strategic Association) is a Swiss company, the world's largest food manufacturer.

In the early 1900s, Nestle had factories in the US, UK, Germany and Spain. In 1904, the company began producing chocolate by reaching an agreement with the Swiss National Chocolate Company. And in 1905, Nestle merged with its longtime rival, the Anglo-Swiss Condensed Milk Company, and was renamed Nestle and the Anglo-Swiss Dairy Company.

In 1907, the company launched full-scale production in Australia, its second largest export market. During the same period, warehouses were built in Singapore, Hong Kong and Bombay to meet the needs of the rapidly growing Asian markets.

The Nestle group of companies occupies about 1.5% of the global food and beverage market, being the largest producer in these categories. In 2006, the company's worldwide sales reached $78.8 billion.

In 2006, the sales volume of the Nestle group of companies in Russia amounted to 1.4 billion US dollars.

Supporting the global trend of consumer choice in favor of healthy lifestyle life, one of the most important directions of the company's development was the global transformation of Nestle into a world leader in the field of healthy and proper nutrition.

Over the past 3-4 years, the consumption of natural food enriched with vitamins, minerals and trace elements has grown by 35% worldwide. In Russia, 65% of the population, taking care of their health, prefer to choose high quality products with additional nutritional value.

Nestle focuses on healthy and proper nutrition in response to the needs of the market, and also guided by the desire to constantly improve the nutritional value of its products. diversified response strategy individualization

Among food manufacturers, Nestle is the world's largest investment in research and development. This focus on R&D reflects Nestle's commitment to producing products that not only taste good and are beautifully presented, but are also healthy.

The development strategy of Nestle in Russia is, in fact, the history of consumer preferences of the Russian market of the last decade. We started with the import of products, but quickly moved to the organization of production - through the purchase of enterprises. "We bought the Rossiya chocolate factory in Samara first. Nestle's managers decided that Rossiya was a good brand first and foremost," recalls Mr. Guldenberg. In parallel with the purchase of factories, brands were developed for the local market. Now Nestle has begun a "second wave" of investments in the Russian market - the development of a business selling more specialized products, such as mineral water or animal feed.

A diversified approach to the food market formed the basis of the new strategy and allowed the company to respond even more effectively to consumer demand. Due to the accession of a number of companies to the corporation, dozens of new products have been added to the Nestle range.

Nestle strives to work only with reputable suppliers who are ready to apply the quality standards set by Nestle. In order to constantly improve the quality of products and the level of service, an analysis and evaluation of supplier relationships is carried out. As the relationship between the company and the supplier strengthens and develops, the latter may receive the status of a preferred supplier. Nestlé conducts due diligence on contracted suppliers to see if their performance is in line with Nestlé's founding principles, or at least to ensure that the supplier is making every effort to achieve the best possible compliance with Nestlé's standards. at Nestle. In the event that the supplier's activities do not comply with the principles of Nestle, the company will always demand that measures be taken to eliminate the violations. Nestle personnel must demonstrate the highest level of integrity and professionalism in all business dealings. In case of misconduct or violation of the company's standards and guidelines, administrative sanctions will be applied. The Nestle company is trying to convey to consumers its position regarding proper nutrition and a healthy lifestyle. In particular, he is attentive and responsible to the need to teach children the rules healthy eating.

Questions:

· What type of pure strategy is the company?

Because Nestle is a consumer-oriented company that strives to create products that meet the tastes and desires of consumers in more than 100 countries in which the company operates. The company listens to the opinions of consumers and strives for dialogue with them, establishing it in many countries through telephone hotlines, Internet sites and other means. In addition, strives to ensure that products meet the preferences of consumers as much as possible, and conducts extensive product testing to ensure that consumers prefer our products to competitors' products, and from this it can be concluded that Nestle gravitates towards a dynamic strategy - a kind of pure strategies.

Principles of dynamic strategy:

ü Strives for the full satisfaction of the needs of consumers;

ü Prompt response to changing consumer demands;

l Ensuring high quality

· What kind of mixedx strategies include the company?

ü The rapid response strategy to consumer requests is driven by Nestle's use of computerized systems for automatic order processing, which allows it to track the movement of goods in the distribution network and quickly and efficiently respond to consumer requests. Nestle focuses on healthy and proper nutrition in response to the needs of the market, and also guided by the desire to constantly improve the nutritional value of its products. A diversified approach to working in the food market allows the company to respond even more effectively to consumer demand;

ü Individualization strategy for each market and each country, since Nestle is committed to applying the principles of operation in all countries, taking into account local legislation, as well as cultural and religious characteristics of individual countries.

· Define the goals of the organization? method to achieve it? restrictions?Dynamandwhat changes?

Nestle's goal is to create a product of high quality, sustainable and consistent over time, serving the needs of consumers for nutrition, pleasure and quality they can trust.

Nestle adheres to the following principles in achieving the company's goal:

l supports sustainable farming and agricultural practices and systems, i.e. meeting long-term economic, environmental and social requirements;

l receives agricultural raw materials through trade channels or directly from producers and does not engage in independent commercial activities in the field of agriculture;

l supports mechanisms to promote the regular receipt of income by agricultural producers;

l supports an agricultural production system that is economically viable, socially acceptable and environmentally sound, and therefore encourages sustainable agricultural practices;

l welcomes the application of new technologies and advances in agricultural science, including the opportunities offered by modern biotechnologies, where their positive effects on food safety, the environment, agricultural practices and production efficiency are scientifically proven and accepted by consumers;

ü helps local farmers in Abidjan and throughout the Ivory Coast by sharing with them experience and knowledge on how to provide a stable and decent income for their families by improving the quality and yield of cocoa tree seedlings used. However, the company does not involve the process of children, many of them have the opportunity to study, since with our participation schools were opened in the region;

ь the company constantly interacts with national governments in the implementation of programs aimed at improving the health of millions of children, as well as teaching them the rules of healthy eating at a time in their lives, while they are not yet able to independently monitor the balance of their own diet;

ü actively promotes the principles of good nutrition and a healthy lifestyle throughout the range of Nestle products, as well as spreading knowledge about the fortification of our products with micronutrients and nutrients.

The dynamics of change

- the probability of a change in the composition of the government will not affect the company, since the food industry is not strategically important for the country and government intervention is practically reduced to zero, with the exception of indirect influence through laws;

l due to the economic crisis and the depreciation of currencies, there may be small losses and difficulties in the sales of the company, but not significant enough since Nestle is a fairly large international company;

ь Nestle is adapted to modern conditions and responds positively to new standards of quality and production;

b - the influx of imported goods - analogues does not have a strong influence due to the fact that the company occupies a leading position in sales and demand for its range of goods;

l in connection with the crisis in the economy, the deterioration of the economic condition of citizens leads to the fact that they will buy essential goods. Consumers will buy coffee, chocolate and other Nestle products in smaller quantities, although, of course, the level of consumption will still remain quite high. Social environment;

ь Nestle maintains bilateral relations with scientific and professional organizations in order to continuously update and replenish knowledge, which allows the companies of the Nestle group to constantly improve their products and the quality of services provided;

ü On a global scale, Nestle focuses on SAP solutions. A promising task is to transfer the maximum number of business processes to the information support of these products. This work is complex, gradual and involves significant changes in processes - both in the company itself and in the system being implemented.

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original document?

Content

Introduction

1.1 Analysis of the internal environment
1.2 Analysis of the external environment



2. Strategic analysis of the external and internal environment of Nestle LLC

2.2 Analysis of the factors of the internal environment of the organization

2.4 SWOT analysis of the company's activities
Conclusion
Bibliography

Introduction

Organization is the most important concept in management. Any organization is located and operates in the environment. Each action of all organizations without exception is possible only if the environment allows its implementation. The internal environment is the source of its vitality. It contains the potential necessary for the functioning of the organization, but at the same time it can be a source of problems and even its death. The external environment is the source that feeds the organization with resources. The organization is in a state of constant exchange with the external environment, thereby providing itself with the possibility of survival. Naturally, these moments should be the subject of constant attention from the manager. The importance of changes in the strategy of the enterprise is determined by the contradiction between the practical goals of the enterprise and the existing situation. Recently, more and more enterprises are resorting to the development of company development strategies and, accordingly, to strategic planning.

For large companies with large assets, capital-intensive production, having a long production structure, the existence of a development strategy is considered simply a necessary condition for survival. It is strategic planning that allows the company to determine its goals and what it needs to strive for, through which to develop its business or simply survive in the growing competition.

Many well-known companies not only have a well-developed and transparent strategy, but also stubbornly adhere to the established development parameters, and this ultimately leads them to success, but also when achieving success, for the sake of further existence, the company must resort to strategic planning.

This should not be a one-time process, but a permanent, ongoing activity of top managers. The use of strategy as a management tool in the daily activities of the company is a necessary condition and means not only for survival, but also for ensuring the prosperity of the company.

All companies need to think ahead and develop long-term strategies that would allow them to quickly respond to changing market conditions. Each company must find its own style of work that best takes into account the specifics of the conditions, opportunities, goals and resources.The successful and sustainable functioning of the organization depends on the correctness of the analysis of the factors of both the external and internal environment of the enterprise.

In today's dynamically changing world, one of the main tasks of any organization is the analysis of the marketing environment, because quality monitoring, tracking the interaction of internal and external elements of the environment, is the key to success and prosperity. It allows you to maintain the potential of the company at the level necessary to achieve its main goals, thereby ensuring a stable existence in the long term. This determines the relevance of the chosen research topic.

The purpose of this course work is to study the theoretical basis for conducting a study of the external and internal environment of the company, identifying the key components of both environments and providing methods for studying them.

The object of study of this work is the company " Nestle ”, and the subject is the analysis of the internal and external environment of the organization.

The main tasks of the work are:

1) consideration of elements of the internal and external environment of the organization;

2) analysis of the marketing environment of the Nestle company.

1. Theoretical aspects of the analysis of the internal and external environment

1.1 Analysis of the internal environment

The internal environment of the organization consists of internal variables - situational factors within the organization, which are the result of management decisions. Main internal variables: goals, structure, tasks, technologies, people.

Organization goals.

An organization, by definition, is a group of people with conscious common goals. Organization can be seen as a means to an end that enables people to do collectively what they could not do individually. Goals are specific end states or desired outcomes that a group seeks to achieve by working together. During the planning process, management develops goals and communicates them to the members of the organization. This process is a powerful coordination mechanism because it enables the members of the organization to know what they should be striving for. Organizations have a variety of goals, and their nature largely depends on the type of organization.

- commercial organizations. The goals of such organizations should reflect the commercial result in the form of profit (profitability), income, labor productivity, etc.

- non-profit organizations (associations, foundations), their purpose is mainly determined by the social orientation, so the goals can be formulated as the protection of rights, development scientific direction, supporting the culture of the region, etc.

- state (municipal) organizations, the goals of supporting the existence and development of the state (region) often prevail, organizations develop within the established budget (country, region, district).

Organization structure.

Formal organizations consist of several levels of management and divisions. Another name for divisions may be the term functional areas. The concept of a functional area refers to the work that a unit performs for the organization as a whole, such as marketing, manufacturing, staff training, or financial planning. The structure of an organization is a logical relationship between levels of management and functional areas, built in a form that allows you to most effectively achieve the goals of the organization. If the organization is large enough in size, specialists are usually grouped together within a functional area. The choice of functional areas determines the basic structure of the organization and to a large extent - the possibility of its successful operation. When considering the structure as a component of the internal environment, two issues are usually stopped: the division of labor and control.

Separate horizontal and vertical division of labor. Horizontal - division of labor at specialized levels, for example, a supply manager, sales manager, personnel manager, etc. Vertical distribution of labor (volume of management) is carried out on the basis of the presence of work to coordinate the execution of a task, which is necessary for successful group work . This distribution results in a managerial hierarchy or a number of managerial levels. The hierarchy permeates the entire organization, descending to the level of non-managerial personnel.

The number of persons subordinate to one leader is called the sphere of control. In an organization, each manager has his own area of control. If a fairly large number of people report to one leader, then we are talking about a wide sphere of control, which results in a flat management structure. If the scope of control is narrow, i.e. Few people are subordinate to each leader, we can talk about a multi-level structure. In general, large organizations with a flat structure have fewer levels of management than organizations of comparable size with a tiered structure.

The need for coordination becomes essential when the work is clearly divided both horizontally and vertically. If formal coordination mechanisms are not put in place, people will not be able to do work together. Without appropriate formal coordination, the various levels, functional areas and individuals can easily focus on their own interests. The formulation and communication of the goals of the organization as a whole and of each of its divisions is only one of the many coordination mechanisms.

The tasks of the organization.

Another direction of the division of labor in the organization is the formulation of tasks. A task is a prescribed job, a series of jobs, or a piece of work that must be completed in a predetermined manner within a predetermined time frame. From a technical point of view, tasks are assigned not to the employee, but to his position. Based on the decision of management on the structure, each position includes a number of tasks that are considered as a necessary contribution to the achievement of the goals of the organization. Tasks are traditionally divided into three categories:

- tasks for working with people;

- tasks for working with machines, raw materials, tools, etc.

- information handling tasks.

Changes in the nature and content of tasks are closely related to the evolution of specialization. As Adam Smith showed in his famous pin manufacturing example, a specialist can greatly increase productivity. In our century, technological innovations and the systemic combination of technology and labor specialization have made task specialization deep and complex to a degree that Smith could not have imagined.

Organization technology.

Technology, the fourth important internal variable, has a much wider meaning than is traditionally thought. Most people view technology as something to do with inventions and machines, such as semiconductors and computers. However, sociologist Charles Perrow, who has written extensively on the impact of technology on organization and society, describes technology as a means of transforming raw materials - be they people, information, or physical materials - into desired products and services. Tasks and technology are closely related. Completing the task involves using a particular technology as a means of converting the input material into the output form. Two classifications of technology are usually considered: the Woodward classification and the Thompson classification.

Woodward classification:

1. Single, small-scale or individual production, where only one or a small series of identical products is manufactured at a time.

2. Mass or large-scale production is used in the manufacture of a large number of products that are identical to each other or very similar. This type of production is characterized by mechanization, the use of standard parts and assembly lines. Almost all consumer goods are manufactured using mass production technology.

3. Continuous production uses automated equipment that runs around the clock to continuously produce the same product in large volumes.

Thompson classification:

The sociologist and organizational theorist James Thompson developed a system for classifying technologies that differs from, but does not contradict, the previous one. According to him, technologies can be divided into three following categories.

1. Multi-link technologies are characterized by a series of interdependent tasks that must be performed sequentially. Mass production assembly lines are a typical example of this kind of technology.

2. Intermediary technologies are characterized by the meetings of groups of people, such as clients or buyers, who are or want to be interdependent. For example, banking is an intermediary technology that links savers and those who borrow from a bank.

3. Intensive technology is characterized by the use of special techniques, skills or services in order to make certain changes in a particular material entering production. Film editing is an example of such technology.

The categories proposed by Thompson are not so different from Woodward's categories. Ladder technologies are equivalent to mass production technologies and some forms of continuous production. Intensive technologies are equivalent to individual technologies. Intermediary technologies occupy an intermediate place between individual technologies and mass production technologies. As a result, industrial plants are best described by Woodward's categories, while Thompson's categories seem to be best suited to technologies in other areas.

People.

People are the central link in any management system. There are three main aspects of the human variable in an organization:

- the behavior of individuals;

- behavior of people in groups;

- the behavior of the leader.

Understanding and managing the human variable in an organization is the most complex part of the entire management process and depends on many factors. We list some of them:

1. Human abilities. According to them, people are most clearly divided within the organization. A person's abilities are among the characteristics that are most easily modifiable, such as by training.

2. Needs. Each person has not only material, but also psychological needs (for respect, recognition, etc.). From the point of view of management, the organization should strive to ensure that the satisfaction of the needs of the employee would lead to the realization of the goals of the organization.

3. Perception, or how people react to events around them. This factor is important for the development of various kinds of incentives for the employee.

4. Values, or shared beliefs about what is good or bad. Values are instilled in a person from childhood and are formed throughout the entire activity. Shared values help leaders bring people together to achieve the goals of the organization.

5. The influence of the environment on the personality. Today, many psychologists say that human behavior depends on the situation. It has been observed that in one situation a person behaves honestly, and in another - not. These facts point to the importance of creating a work environment that supports the type of behavior desired by the organization.

1.2 Analysis of the external environment

The external environment of the organization is the main source of resources necessary for the functioning of the organization. The external, or environment, includes a huge number of components that have an influence on the organization that is different in nature, degree and frequency. While some components of the environment provide the organization with opportunities for development, others create serious obstacles to its activities.

Characteristics of the external environment:

1. The complexity of the external environment is the multitude of factors to which the organization must respond, as well as the high level of variability of each factor.In terms of the number of external factors an organization has to respond to, if it is under pressure from government regulations, frequent renegotiation of union contracts, multiple interest groups, multiple competitors, and accelerated technological change, it can be argued that than organizations that have these parameters are different.

2. Environment fluidity is the rate at which changes occur in an organization's environment. Many researchers have pointed out that the environment of modern organizations is changing at an accelerating rate. However, while this trend is general, there are organizations around which the external environment is particularly fluid. For example, the rate of change in technology and competitive parameters in the pharmaceutical, chemical and electronics industries is faster than in mechanical engineering, the production of spare parts for automobiles and the confectionery industry. In addition, the mobility of the external environment may be higher for some departments of the organization and lower for others.

For example, in many firms, the R&D department faces a highly fluid environment because it must keep track of all technological innovations. On the other hand, the production department may be immersed in a relatively slow-changing environment characterized by a stable movement of materials and labor resources.

3. The uncertainty of the external environment is a function of the amount of information that an organization (or person) has about a particular factor, as well as a function of confidence in this information. If information is scarce or there is doubt about its accuracy, the environment becomes more uncertain than when there is adequate information and there is reason to believe it is highly reliable.

4. The interrelationship of environmental factors is the level of force with which a change in one factor affects other factors. Just as a change in any internal variable can affect others, a change in one environmental factor can change others. Interconnection is especially significant for the world market due to its globalization.

There are two relatively autonomous parts of the external environment that influence the organization in different ways - the environment of direct influence and the environment of indirect influence.

1.2.1 Direct exposure environment

According to Elbing, the direct impact environment includes factors that directly affect an organization's operations and are directly affected by the organization's operations. These factors include suppliers, workforce, government laws and regulations, customers, and competitors.

Suppliers

From the point of view of a systems approach, an organization is a mechanism for transforming inputs into outputs. The main varieties of inputs are materials, equipment, energy, capital and labor. The dependency between an organization and a network of suppliers providing the input of these resources is one of the most striking examples of the direct impact of the environment on the operations and urgency of the organization.

- materials. some organizations depend on a continuous flow of materials. examples: engineering firms, distribution firms (distributors), and retail stores. the inability to provide supplies in the required volumes can create great difficulties for such organizations;

- capital. To grow and prosper, a company needs not only suppliers of materials, but also capital. There are several such potential investors: banks, federal loan programs, stockholders, and individuals who accept company bills or buy company bonds. as a rule, the better the company is doing, the higher its ability to negotiate with suppliers on favorable terms and receive the required amount of funds;

- labor resources. adequate provision of the workforce with the necessary specialties and qualifications is necessary for the implementation of tasks related to the achievement of the abandoned goals, i.e. for the effectiveness of the organization as such. Without people able to effectively use complex technology, capital and materials, all of the above is of little use.

Laws and government bodies

The state of legislation is often characterized not only by its complexity, but also by its variability. In the Russian Federation, many laws are adopted that directly affect organizations that regulate their activities. Organizations are required to comply not only with federal and state laws, but also with the requirements of state regulatory authorities. These bodies provide enforcement of laws in their respective areas of competence, as well as introduce their own requirements, often also having the force of law. The regulatory decisions of the subjects of the Russian Federation and local authorities further complicate matters. Each subject, each municipality requires enterprises to acquire licenses, restrict the choice of a place to do business, tax enterprises, set or participate in setting prices in the energy sector and communication systems. Their laws modify or amplify federal regulations.

Consumers

The well-known management specialist Peter F. Drucker, speaking about the purpose of the organization, singled out, in his opinion, the only true purpose of the business - the creation of a consumer. This means the following: the very survival and justification of the existence of the organization depends on its ability to find a consumer of the results of its activities and satisfy its needs. The importance of consumers to business is clear. It is no coincidence that they say: "The consumer is the king in the market."

Competitors

The management of each enterprise clearly understands that if the needs of consumers are not met as effectively as competitors do, the enterprise will not stay afloat for a long time. It is important to understand that customers are not the only object of competition for organizations.

The latter may also compete for labor, materials, capital, and the right to use certain technical innovations. In addition to the obvious threat from direct and potential competitors, companies that produce goods that can replace or completely replace its products can pose a danger to the organization's activities.

1.2.2 Indirect environment

The indirect impact environment refers to factors that may not have a direct immediate impact on operations, but nonetheless affect them. Here we are talking about such factors as the state of the economy, scientific and technological progress, socio-cultural and political changes. The indirect impact environment is usually more complex than the direct impact environment. Management is often forced to rely on assumptions about such an environment, based on incomplete information, in an attempt to forecast possible consequences for the organization.

Scientific and technical progress

The technological component represents the level of scientific and technological progress. Accelerating technological change is shortening the average life cycle product, so organizations must anticipate what changes new technologies bring with them. These changes can affect not only production, but also other functional areas, for example, personnel (selection and training of personnel to work with new technologies or the problem of laying off excess labor released due to the introduction of new, more productive technological processes)

The state of the economy

Management must also be able to assess how general changes in the state of the economy will affect the organization's operations. The state of the world economy affects the cost of all inputs and the ability of consumers to buy certain goods and services. It is important to understand that this or that particular change in the state of the economy can have a positive impact on some and negative on others. From history, for example, we know that the film industry flourished when the economy was in a deplorable state. There are also local variations. While retail stores in general could be hit hard in an economic downturn, stores located in affluent suburbs, for example, probably won't feel anything at all. Organizations doing business in many countries often find the state of the economy particularly challenging and important to them. Fluctuations in the exchange rate of the dollar against the currencies of other countries became the reason for the instant gain or loss of large firms of millions of dollars.

Sociocultural factors

Any organization operates in at least one cultural environment. Social and cultural factors shape the way we live, work, consume and have a significant impact on almost all organizations. New trends create a type of consumer and, accordingly, create a need for other goods and services, defining new strategies for the organization.

Political factors

Certain aspects of the political environment are of particular importance to leaders. One of them is the mood of the administration, legislative bodies and courts in relation to business.

Closely related to sociocultural trends, in a democratic society these sentiments influence government actions such as tax breaks or preferential trade duties, requirements for recruitment and promotion practices for members of national minorities, consumer protection legislation, safety standards, standards for environmental cleanliness. environment, price control and wages. Of great importance for companies with operations or markets in other countries is the factor of political stability.

International environment

While the environmental factors described above affect all organizations to some extent, the environment of organizations operating in international level, is different increased complexity. The latter is due to the unique set of factors that characterize each country. The economy, culture, quantity and quality of labor and material resources, laws, government institutions, political stability, and the level of technological development vary from country to country. In carrying out the functions of planning, organizing, stimulating and controlling, managers must take such differences into account.

1.3 SWOT analysis of the internal and external environment of the organization

Analysis of the external environment is an assessment of the state and development prospects of the most important, from the point of view of the organization, subjects and environmental factors: industries, markets, suppliers and a combination of global environmental factors that the organization cannot directly influence.

After analyzing the external environment, and having received data on factors that pose a threat or open up new opportunities, management should evaluate whether the company has the internal strength to take advantage of opportunities, and what internal weaknesses can complicate future problems associated with external threats.

In order to get a clear assessment of the strength of the enterprise and the situation on the market, there is a SWOT analysis.

SWOT analysis is the definition of the strengths and weaknesses of the enterprise, as well as the opportunities and threats coming from its immediate environment (external environment).

Strengths (Strengths) - the advantages of the organization;

Weaknesses - shortcomings of the organization;

Opportunities - environmental factors, the use of which will create an advantage for the organization in the market;

Threats - factors that can potentially worsen the position of the organization in the market

After a specific list of the organization's strengths and weaknesses, as well as threats and opportunities, is drawn up, the stage of establishing links between them begins. To establish these links, a SWOT matrix is compiled, which has the following form (Table 1.1).

On the left, there are two blocks (strengths, weaknesses), in which, respectively, all the sides of the organization identified at the first stage of the analysis are written out. In the upper part of the matrix, there are also two blocks (opportunities and threats), in which all identified

Tab. 1.1 SWOT analysis

opportunities and threats. At the intersection of the blocks, four fields are formed: SIV (strength and opportunities); SIS (strength and threats); WLS (weakness and opportunities); SLN (weakness and threats). For those couples that have been selected from the SIV field, a strategy should be developed to use the strengths of the organization in order to get a return on the opportunities that have appeared in the external environment. For those couples who have found themselves in the field of SLV, the strategy should be built in such a way that, due to the opportunities that have appeared, they try to overcome the weaknesses in the organization. If the couple is on the SIS field, then the strategy should involve the use of the strength of the organization to eliminate the threat. Finally, for couples in the field of SLN, the organization must develop a strategy that would allow it to both get rid of the weakness and try to prevent the threat looming over it.

2. Strategic analysis of the external and internal environment of LLC "Nestle»

2.1 General characteristics of the organization

Nestle "- the world's largest company - a manufacturer of food and beverages, an expert in the field of proper nutrition and a healthy lifestyle. Nestle's credo is to make life better by offering consumers only high-quality and complete products. The history of Nestle ” has its roots in 1866. It was in this year that Henry Nestle, determined to overcome infant mortality, invented Farine Lactee - the world's first infant formula - and began to produce it.

Since then, the product range Nestle » is constantly expanding, and currently has over 8,000 food brands that are known to consumers on all five continents.

Among food manufacturers Nestle » has the largest investment in research and development in the world.

In 2013, the production volume of Nestlé reached the pre-crisis level and amounted to 58 thousand tons of sweet products (in 2012 - 55 thousand tons).

More than 570 million rubles were invested in the development of the factory. Thus, in 2012 emissions into the atmosphere were reduced by 8%, gas consumption was reduced by 10%, education Wastewater reduced by 23%. In 2013, a new boiler plant was put into operation, which made it possible to reduce gas and electricity consumption by 30% and 20%, respectively. The total volume of investments in Nestlé since 1995 has amounted to about 220 million US dollars.

The association includes the confectionery factory JSC "Confectioner" and JSC "Chocolate Factory" Russia ".

Today Nestle "is the largest food producer in the world. In a group " Nestle » employs more than 280,000 people and owns 456 factories and industrial enterprises in 84 countries. After successful growth in recent years, the Nestlé Group achieved 7.5% organic growth in 2013, with sales reaching CHF 83.6 billion . Organic growth was driven by 3.9% RIG and 3.6% price growth. The exchange rate had a negative impact, reaching 13.4%.Trading profit in Swiss francs was 12.5 billion at a rate of return of 15.0%, +60 bps, (+90 bps excluding the effect of currency fluctuations). Global strengthening of market positions with growth of 13.3% in emerging markets and 4.3% in developed markets (Figure 2.1)

Rice. 2.1

Company today:

- consistently ranks among the largest operators in the confectionery market;

- monthly ships over 1000 tons of confectionery products to its customers;

- is one of the largest suppliers New Year's gifts in Russia, producing more than half a million New Year's gifts per season;

- is developing rapidly, more than doubling its turnover every year.

2.2 Analysis of the factors of the internal environment of the organization

Company goals:

The commercial purpose of the company Nestle , its management and employees at all levels are the production and marketing of the company's products in order to provide long-term benefits to shareholders, employees, consumers, business partners and the economies of the countries in which the company operates. The company also strives to be a highly efficient manufacturer with low production costs. Another goal is to continuously improve the quality of life of our consumers. We do this by providing them with tastier, healthier food and beverages, and by supporting their commitment to a healthy lifestyle. This goal is reflected in our corporate slogan: “Product quality. The quality of life".

Company tasks:

- improvement of product quality;

- improvement of working conditions;

- development of new technologies in production;

- continuation of the policy aimed at acquiring strategically advantageous enterprises.

Organizational structure of corporation management Nestle

Nestle "- a multinational corporation, one of the oldest and most famous food manufacturers. It has operating companies in 75 countries, 282 factories in 56 countries and 14,000 employees. The headquarters is located in Switzerland. Operational companies carrying out current activities bear full responsibility for profits and losses.All organizational activities of the company have a complex multi-stage structure.

The organizational structure of this company is based on a geographical principle, which assumes that the local managers are responsible for the conduct of business, while the top management retains planning and control. All geographic regions, including the base (Swiss) market, are organizationally equal (Table 2.1).

Tab.2.1 Factories by geographic area

Countries	2012	2013
Europe
America
Asia, Oceania and Africa
Total

Management is carried out through a number of departments, each of which has its own specific functions and accountability (Table 2.2).

Tab.2.2 Nestlé management

Marketing department	Informs the necessary employees about the marketing plans of the company; Collects information about the activities of competitors and sends out proactive information about their possible activity; Develops and carries out marketing researches of the market.
Finance Department	Analyzes the activities of each individual bottler or distributor and recommends changes in the structure and level of analysis of selling prices, staff compensation, financial policy; Performs bookkeeping and financial planning.
Human Resources Department	provides recruitment, control over staff rotation
Sales Department	Performs sales functions; Provides control of the client base, their accounting, search for new clients; Ensures the work of sales representatives;

The General Meeting of Shareholders is the highest body of Nestl e . Chairman of the Board of Directors - Peter Brabek-Letmate, General Manager - Paul Bulke.

The Board of Directors consists of 12 people. Corporation " Nestle » provides operational companies with complete independence in their activities in the respective markets, it tries to pursue a single corporate line on the choice of policy, goals, certain standards. Marketing functions at the firm's headquarters are carried out in the product management and marketing services department. Product management is carried out by product directors who work with local product managers to improve product performance in all regions of the world (Figure 2.2).

Functional responsibilities.

The General Director can make any decisions related to the operation of production, related to his competence, he also signs contracts for the purchase of equipment and raw materials, a package of orders for which is not formed centrally. He can make adjustments to the output, but within the limits that are set at the planning level.

The following powers are vested in the meeting of shareholders:

a) adopt and amend the Constitution;

b) elect and dismiss the members of the board of directors and auditors of Nestl e;

c) approve the annual financial report;

d) dismiss the members of the Board of Directors and persons entrusted with management.

Powers of the Board of Directors

The Board of Directors has the following non-transferable and inalienable responsibilities:

Rice. 2.2 Organizational structure of the company " Nestle »

a) the management and supervision of Nestlé's business;

b) defining the principles of accounting and financial control;

c) appointment and dismissal of persons to whom it is entrusted;

management and persons representing Nestl e who have the right to sign;

d) preparation of business reports in accordance with the provisions of the law;

e) preparation of general meetings;

h) determining how dividends are to be paid;

i) on the opening and closing of branches.

we fully support the principles of the global compact on human rights and labor protection and strive to be an example in respect of respect for human rights and the right to work in our business activities;

our employees:

people are the key to our success. we treat each other with respect and expect all our employees to be guided by a sense of personal responsibility. we employ competent, motivated people who respect our values, to whom we provide equal opportunities for development and promotion, protect their personal data and do not tolerate harassment and discrimination in any form.

safety and health in the workplace:

we are committed to preventing work-related accidents, injuries and illnesses and to protecting our employees, contractors and all third parties working with us.

Nestle -a company that needs motivated, active and self-confident employees. The success of a company's business is determined by the people who work in it. Knowledge, potential and the desire to achieve the best results are the most important criteria for any of our positions. Besides, Nestle invites specialists with no work experience to interact for initial positions in various departments of the company. Young employees have an excellent opportunity to successfully start their career in one of the largest international companies, where great attention is paid to the long-term development of employees. Priority areas in work with personnel are the following:

- ensuring labor protection;

- regular measurement of the level of satisfaction of employees with work in “ Nestle";

- fair treatment of employees and assessment of their individual contribution to the success of the company;

- development of professional knowledge and skills;

- young professionals development program.

The company's management supports the culture of production and labor protection by various measures aimed at reducing industrial injuries and improving working conditions. Also, since 2010, the company began to actively implement safety dialogues aimed at changing the attitude of employees to safety and preventing risks associated with human behavior.

The global initiative "Nestlé and I", initiated by the headquarters for the second time and carried out in all companies " Nestle ”, made it possible to determine how satisfied employees are with their work in the company, how they see their career and professional development, and how they assess the present and future“ Nestle ". The main goal of the study by Nestlé and I was to determine the state of the key indicators of corporate culture that directly affect the efficiency of work and the quality of accomplishment of the tasks facing the company. When answering the questionnaire, employees expressed satisfaction or dissatisfaction with various work processes and procedures adopted in the company.

On an annual basis, the company evaluates the performance of employees, which makes it possible to determine and record the achievement of the goals of all employees during the year. At joint meetings, employees and their line managers have the opportunity to openly discuss the results of the year, give and receive feedback and find out the performance rating. Based on this rating, the salaries of employees are reviewed.

Employees at Nestlé » have the opportunity to participate in training programs that they need to develop professional competencies and skills (Table 2.3). Employee training programs include courses taught by trainers " Nestle and external training agencies.

Table 2.3 Employees by geographic areas

Countries	2012	2013
Europe	32,4%	28,9%
America	40,3%	33,7%
Asia, Oceania and Africa	27,3%	37,4%
Total	100,0%	100,0%

From this table, we can conclude that in 2013 the share of workers in the Americas and Europe decreased, while in Asia it increased.

According to the table, it can be concluded that in 2013 the number of employees both in factories and in the administration of the company increased compared to 2012. This is due to the expansion of the company Nestle (Table 2.4).

Tab. 2.4 Employees by type of activity (in thousands)

2.3 Characteristics of the external environment of the organization

Suppliers.

Nestle company insists on honesty, integrity and fairness in all aspects of its activities and expects the same from its business partners and suppliers of materials, goods and services.

Nestle company strive to work only with reputable suppliers who are ready to apply the company's established Nestle quality standards. In order to constantly improve the quality of products and the level of service, an analysis and evaluation of supplier relationships is carried out. As the relationship between the company and the supplier strengthens and develops, the latter may receive the status of a preferred supplier.

Consumers.

Nestle is a consumer-oriented company, and we strive to create products that meet the tastes and desires of consumers in more than 100 countries around the world in which the company operates. It listens to the opinions of consumers and seeks to dialogue with them, establishing it in many countries through telephone hotlines, Internet sites and other means. In addition, we strive to ensure that our products meet consumer preferences as closely as possible and conduct extensive testing of our products to make sure that consumers prefer our products to competitors' products.

Consumer portrait (Table 2.5):

1) age: the company's products are aimed at the population of any gender, from infants (baby food) to the elderly (mineral water, various cereals, sweets). As for coffee, then, of course, the main consumers are young people and the middle-aged population. Working population and leading an active lifestyle;

2) gender: practically no effect on the consumption of the product. Perhaps, in recent years, due to the “dietary boom”, girls and women consume a smaller amount of the product, but there are no significant fluctuations.

3) geographical feature: of course, the basis of consumers is urban population. In small towns and villages there is no need to use this product.

4) by income: any person of the middle class can afford the company's products. Since coffee is not an essential product, therefore, low-income people will not buy it, as it can be replaced with cheaper products. Age composition of consumers

Tab. 2.5 Consumer portrait

Behavioral segmentation (Table 2.6)

Nestle company in its marketing activities it focuses on all segments of the Russian market (according to the behavioral criterion). Depending on what special properties this or that group of consumers is looking for, the company offers the appropriate series of products.

Tab. 2.6 Behavioral segmentation

Client / group of clients	Professional/industry affiliation	Purchase frequency high/medium/low	Payment discipline high/medium/low	Relative share in sales volume in percent
	pupils	low	high
	students	high	high
	workers	high	high

laws and government agencies.

Nestle participates in an ongoing dialogue between food producers and government authorities, both within the same country and internationally.

This activity is aimed at the development and approval of appropriate laws, regulations and/or agreements that are designed to protect the rights of consumers and at the same time ensure conditions for fair, healthy competition.

Nestle company officially supports the UN Global Compact and its ten principles, developed at the initiative of UN Secretary-General Kofi Annan. The Global Compact calls on companies to embrace, support and implement in their area of interest a set of core universal values in the areas of human rights, labor relations and environmental conservation. Company Nestle understands that the globalization of economic activity leads to a constant increase in the number of international recommendations. While these recommendations are primarily addressed to governments, they have a direct impact on business practices and business norms. Nestle conducts its policy taking into account the provisions of such documents as the Convention of the International Labor Organization and the International Code for the Marketing of Substitutes breast milk World Health Organization. Company Nestle supports the recommendations on voluntary self-regulation of activities developed by competent international organizations, provided that these recommendations are agreed with all interested parties. These recommendations include the International Chamber of Commerce's Charter for Sustainable Development and the Organization for Economic Co-operation and Development's 2010 Guidelines for Multinational Enterprises.

Competitors.

Nestle company supports freedom of enterprise and thus enters into fair competition, recognizing the equal rights of other companies to similar actions.

The Company supports the development of competition laws in order to protect the principle of fair competition. Mars is a traditional contender in the candy bar sector.

Their main advantage is that they can only concentrate on their direction. If we talk about drinks - coffee and tea - then this is Kraft Foods. A few years ago they bought Jacobs: Jacobs and Maxwell coffee brands. In addition, Kraft acquired Stollwerk, which is the leader in the cheap chocolate market: here they sell Alpen Gold, Taco and Pokrov. A competitor in the coffee market is Tchibo, as well as newcomers to the market - Elite or Ambassador. The Maggi brand has Gallina Blanca as its main competitor in the broth sector. They entered the market in 1991, overtook and are still ahead of Nestlé. There is a local leader in the soup sector - Russian Foods. If we talk about mayonnaise - there is a competitor to Unilever. She owns Calve, but now they are having problems, because, having bought Knorr and together with Hellmann`s (it is the world's largest producer of expensive mayonnaise due to leadership in the USA and other countries, for example, in Poland), the company became the owner of two brands that compete with each other in the same price range.

Key success factors for Nestle:

- strong brand;

- active competition policy;

- high quality products;

- extensive work experience;

- high qualification of personnel;

- clear identification of development goals and strategies;

- successful pricing policy.

Scientific and technical progress.

The priorities of the company will always be the production of the best and highest quality products for people, no matter where they are, as well as the compliance of the products produced with the needs of a person from the moment of birth and throughout his life. Nestle maintains bilateral relations with scientific and professional organizations in order to continuously update and replenish knowledge, which allows the companies of the Nestle group to constantly improve their products and the quality of services provided.

On a global scale, Nestle focuses on SAP solutions (German company, manufacturer software). A promising task is to transfer the maximum number of business processes to the information support of these products. This work is complex, gradual and involves significant changes in processes - both in the company itself and in the system being implemented. Innovation is one of Nestl's key competitive advantages e . We have over 140 years of research, development and scientific know-how. Although there are many fundamental and applied scientific research. Information systems, just like business, are evolving, and this process must be managed - centrally and on an ongoing basis. Nestle has created and operates a program called Global Business Excellence, or GLOBE, for this purpose.

The state of the economy

The decrease in the indicator in the first quarter of 2013 was 7 percent as of March 19, 2011 compared to the same period in 2012. In February 2013 selling prices for Nestle products were increased from 4 to 14% depending on the product category due to the fact that most of the raw materials, mainly for the production of coffee, chocolate and spices, are imported.

And, most likely, there will be further price increases. In connection with the crisis in the economy, the deterioration of the economic condition of citizens leads to the fact that they will buy essential goods. Consumers will buy coffee, chocolate and other Nestle products in smaller quantities, although, of course, the level of consumption will still remain quite high.

Sociocultural factors

Currently, there is an increase in the population, and, consequently, a new layer of potential buyers is being formed. Every person consumes Nestle products almost daily. Chocolate, sweets, iced tea, coffee - you can hardly do without it. Urbanization entails the rapid development of enterprises, an increase in the number of organizations, and the acceleration of the rhythm of people's lives. Therefore, you have to go to bed late in order to have time to do all the work, have breakfast at work. And coffee is the best helper.

Political factors

ATthe likelihood of a change in the composition of the government will not affect the company, since the food industry is not strategically important for the country and government intervention is practically reduced to zero, with the exception of indirect influence through laws. Company Nestle adapted to modern conditions and responds positively to new standards of quality and production.

The influx of imported goods - analogues does not have a strong influence due to the fact that the company occupies a leading position in sales and demand for its range of goods. Governments and/or political institutions regulate farming and trade in agricultural products.

Conclusion

There are few examples in history when such large corporations as Nestle managed to maintain their leading positions for many decades, regardless of conditions and changes in the world market. The key to Nestle's success is the fundamental principles of activity that the company has been following since its inception to the present day.Nestlé's Code of Business Conduct condemns any form of corruption and bribery. The Supplier Code of Conduct requires our partners to exclude such behaviors. Employees receive special skills that allow them to avoid inappropriate behavior in the future. The company conducts business by creating value for both shareholders and society, only in this case the company can be successful in the long term.

Management has identified areas where the company's interests coincide with the interests of society, and selected three of them where the company can achieve the most significant results that will benefit the company's shareholders and society. The company is an expert in the field of nutrition, produces high-quality and safe products that make people's lives happier and healthier, is interested in the conservation of water resources and the development of rural areas. Investments in these areas increase the sustainability of the business. They also create value for those people who work in these areas: help suppliers and customers grow their business.

At the same time, employees, their families and the communities in which they work are not forgotten - social activity and charity are also supported and developed here. All these ideas are united in the company's slogan “Product quality. The quality of life".

In the course of its activities, the company strives not to cause harm environment thus showing concern for future generations. That is why for more than 140 years we have been producing high-quality food products based on knowledge in the field of nutrition and a healthy lifestyle.

The company plans to further expand its range of products, developing new and improving existing products and brands. Nestle will always adhere to a balanced policy in the development of new territories and the expansion of production. Long-term commitments and potential opportunities will never be sacrificed in the pursuit of short-term profits. The priorities of the company will always be the production of the best and highest quality products for people.

After a detailed analysis of the internal and external environment of Nestle, we can say with confidence that thanks to high-quality monitoring and effective tracking of not only the internal but also the external situation, Nestle has secured a leading position in the food products market.

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Nestle Nestle is the world's largest food and beverage company, an expert in nutrition and a healthy lifestyle. Nestle's credo is to make life better by offering consumers only high-quality and complete products. Today, NESTLE is the undisputed leader in the food industry: the corporation owns more than 480 factories and production facilities in 87 countries around the world. Annual sales amount to more than 98 billion Swiss francs.

Strategic Marketing Positioning Strategy Nestlé is pursuing a strategy that focuses on cost management, due to the fact that the company is focused on the mass market and a large segment of consumers around the world, producing very large volumes. For this, it has economies of scale, good cost advantages and a high market share of goods production. This is a typical strategy for a TNK, which is the Nestlé company.

Strategic Marketing Branding Strategy Nestlé pays special attention to its brands, constantly improving them. For example, since the 1970s, the main strategic goal of the company has been the acquisition of strategically advantageous enterprises. TNK NESTLE merged with such companies as: Alimentana S. A. - manufacturer of seasonings and soups MAGGI®, and was renamed NESTLE Alimentana Company; Crosse & Blackwell, a British manufacturer of canned foods; Findus (frozen food); Libby ( fruit juices); Stouffer (frozen food).

Strategic Marketing As a result of the corporation's success, NESTLE made a strategic decision to move beyond the food industry when the company became the largest shareholder in L'Oreal. Then Alcon Laboratories, Inc. was acquired. is an American manufacturer of pharmaceutical and ophthalmic products. And a little later, Carnation (food) was acquired. On August 31, 2007, NESTLE S.A. completed the acquisition of Gerber, a well-known American manufacturer of baby food. This acquisition will make NESTLE the number one baby food company in the US and globally.

Strategic Marketing Nestlé's worldwide strategy is to make long-term investments. As part of this strategy, the company actively invests in the local production of the consumer country, the development of products that meet its tastes and traditions, and also uses local raw materials and components. Thus, Nestlé combines international experience and leadership in the food industry with the needs of customers.

Operational marketing One of the main components of operational marketing is the choice of the target market segment, which the company carries out as follows: Consumer profile: 1) age: the company's products are aimed at the population of any gender, from infants (Baby food) to the elderly (mineral waters, various cereals, sweets). As for coffee, then, of course, the main consumers are young people and the middle-aged population. Working population and leading an active lifestyle; 2) gender: practically no effect on the consumption of the product. Perhaps, in recent years, due to the “dietary boom”, girls and women consume a smaller amount of the product, but there are no significant fluctuations. 3) geographical feature: of course, the basis of consumers is the urban population. 4) income: anyone in the middle class can afford the company's products.

Operational marketing Nestlé pays special attention to the quality of its products and the conformity of the product to the wishes of the consumer. After all, the company learned first hand the risk involved in changing the marketing element of an "iconic" brand by transforming its Cailler chocolate line. Sales of this brand skyrocketed for several months, after which Nestle brought in French architect Jean Nouvel to redesign Cailler's packaging and a famous Spanish chef to invent new interesting flavors. Unfortunately, Nouvel decided to use packaging with a high content of non-recyclable plastics, and Nestle raised prices, causing some retailers to openly boycott the product. In addition, the Wall Street Journal ran a fascinating article about another Nestle blunder with another of its "iconic" brands: the company's unsuccessful attempt to expand the line of the 75-year-old Kit brand of popular candy bars. Kat, offering consumers a wide variety of flavors from strawberry cream to passion fruit. As a result of the sale of Kit. Kat in the UK have plummeted. In April, the company came to its senses and abandoned the new flavors of Kit. Kat, and returned to the previous options. What is the lesson to be learned from all this? If a consumer has a love and emotional attachment to "iconic" brands, they often do not want the company to change them.

Operational marketing The production of goods can also be considered on the example of the Russian market: More than 80% of Nestlé products sold in Russia are produced there. This puts the company in a more advantageous position compared to other foreign companies - it partially protects against exchange rate fluctuations. But on the other hand, 50% of the raw materials and ingredients used are imported. Moreover, 20% of them can theoretically be replaced by Russian counterparts, but in practice this is still difficult to implement.

Operational Marketing As for the company's marketing strategy, we can say that it withstands all crisis fluctuations, for example: Work is underway to enter the market with new products of a low price category (but at the same level of quality). In particular, in 2008 the company launched the production of coffee in soft packaging. Such products have a lower cost and, accordingly, a final price compared to analogues in glass and tin packaging, which means that they are available to a larger number of consumers.

Nestlé strategies

A strategy is a long-term, qualitative definition of the direction of an organization's development, including a system of measures developed for the future that ensures the achievement of specific goals set by the organization.

Strategy regarding the market share of the firm.

Three main types of marketing strategy are known depending on the market share:

1. Attack strategy or offensive strategy. It assumes an active position of the company in the market, aims to conquer and expand the market niche (to achieve or exceed the optimal market share). The optimal market share is determined by the number of buyers in the market. The optimal segment is considered to be where there are 20% of regular customers who purchase 80% of the goods offered by this company.
2. Defensive or holding strategy. It involves the preservation of the existing market share by the company and the retention of its position in the market. Such a strategy is chosen if the firm's market position is satisfactory or it does not have enough funds to carry out an active offensive policy. It can be either the fear of retaliation from competitors or the fear of being a monopolist. This policy is pursued by reputable firms for the markets known to them.
3. Retreat strategy- a forced rather than a chosen strategy, i.e. the firm deliberately goes to reduce its market share. This strategy involves the gradual curtailment of sales and promotional operations. At the same time, it is important not to disrupt ties and business contacts, not to let down former partners, to ensure the employment of laid-off employees and to prevent leakage of information about the impending termination of business. The goal is to reduce costs. According to the French marketers of the Business School, offensive and defensive strategies include 9 options in case of a concentrated and dispersed entry into the market.

In this situation in the market and in the world, the Nestle company adheres to the strategy of gaining market share. Operates in proven markets. The company is expanding its product range, giving more preference to general consumer goods, its key brands, which bring more profit. Providing discounts, gifts, advertising in the media, all this is due to the fact that Nestle occupies a competitive position in the market. The Company has the potential to increase its market share and gain a stronger competitive position.

Positioning strategy

Nestle is in the zone of cost dominance strategy, due to the fact that the enterprise focuses on the mass market and a large segment of consumers around the world, the production of products in a very large volume, due to which it has economies of scale, good cost advantages and high market share of the production of goods. This is a typical strategy for a multinational corporation, which is what Nestle is.

Branding strategy

Nestle pays special attention to its brands, there have been no special changes in the structure of the company's brands for a long time, only when buying new brands, lines of product groups. However, Nestlé recently learned first hand the risk involved in changing the marketing element of an "iconic" brand by transforming its Cailler line of chocolates.

The brand's sales plummeted from mid-August to mid-September this year after Nestle brought in French architect Jean Nouvel to redesign Cailler's packaging and a renowned Spanish chef to invent interesting new flavors.

Unfortunately, Nouvel chose to use packaging high in non-recyclable plastics and Nestle raised prices, causing some retailers to openly boycott the product. In addition, the Wall Street Journal ran a fascinating article about another Nestle blunder with another of its "iconic" brands: the company's failed attempt to expand the lineup of the 75-year-old KitKat brand of popular chocolate bars, offering consumers a wide range of flavors - from strawberry with cream to passion fruit. .

As a result, KitKat sales in the UK plummeted. In April, the company came to its senses, abandoned the new flavors of KitKat, and returned to the previous options.

What is the lesson to be learned from all this? If a consumer has a love and emotional attachment to "iconic" brands, they often do not want the company to change them. This strategy will be followed by Nestle in the future.

Goals Nestle

As already mentioned, NESTLE's goal is to create a product of high quality, guaranteed and unchanged over time, serving the needs of consumers for nutrition, pleasure and quality they can trust.