Case Study: Nestle

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Nestle is a worldwide leader of major manufacturing companies. The company was first created in the 17th century as a national Swiss organization. In these early years, the company only sold its products via sales agents, and only to countries that were outside of its home market. In the many years since its inception, Nestle has gone through many changes and transformations. As it stands today, the company has evolved into a completely transformed organization that has adapted over the years to accommodate the changing times. By the 1900's, Nestle had already begun to alter its business approach by shifting from a focus on global expansion, to a focus on purchasing local subsidiaries within foreign markets. Several years later, during World War I, Nestle responded to an increase in the demand for dairy products in the United States. They continued to take advantage of this opportunity by acquiring several factories that already existed in the U.S. By the time World War II had begun, it came with a sense of feeling isolated in Switzerland. Nestle acted upon this by transferring many of its executive offices over to the United States. Moving its offices offshore demonstrated Nestles' mission of changing aspects of the company as it is necessary to increase its efficiency and productivity. Nestle made a much more radical change in 1974 when it ventured outside of the food industry for the first time. In an attempt to promote growth within the company, Nestle chose to

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