Financial Analysis for Nestle

This changed in 2012 when Kraft teamed up with Mondelez International Inc. “Mondelez International’s strategy was directed at exploiting its powerful brands of snack foods across the 165 country markets where its products were sold.” (Gamble, 2016) The company aimed to fulfill their strategy by expanding the company’s product line to include cookies, chocolates, candy, gum, and

This is more than any other food company – both as a percentage of sales, as well as absolute terms (Nestle, The world of Nestlé - (n.d.). Retrieved from http://www.nestle-family.com/our-company/english/assets/downloads/The-World-of-Nestle.pdf), p. 16, para. 6). Nestle has established a rigorous process of product testing which includes scientific nutritional assessment. Each product has a measurable nutritional value to prove its superiority in delivering nutritional benefits. Research and development has given the organization the capability of forming innovative partnerships and collaborations at each stage of the product development process (Nestle, The world of Nestlé - (n.d.)., p. 19, para. 2). The company’s ability to bring together all of its global R&D resources enables Nestle to provide efficient, innovative, and high quality products while adhering to a strict regulatory compliance. Nestlé’s R&D has been influential in the global food market and beneficial for large companies to duplicate their success in creating value and sustainability through research and development.

This gain value and addresses a key decisive achievement factor in the industry (Grant,2010). As position is important to offer convenience and a deep assortment, An extra unique intangible resource would be their brand representation and customer loyalty, this is vital since it can attract or attract consumers and it could be necessary to build the brand image .

Easy visibility of the company and recognition of its brand name, due to unparalleled marketing strategies

The Kraft Heinz Company successfully merged on July 2, 2015 when Heinz owned by Berkshire Hathaway and 3G Capital teamed up with Kraft Foods Group. The deal is considered one of the top most mergers in the food and beverage industry worldwide. Currently the company has its strong presence worldwide. Moreover both 3G Capital-a Brazilian Equity Firm and Warren Buffet together contributed by investing $10 billion in the deal making the company worth about $46 billion.

As aforementioned, Nestlé is the leading company in nutrition, healthcare and wellness, offering nutritious products for every moment and age. It is the largest food and beverages conglomerate in the world, with a portfolio covering almost every food and beverage category, providing consumers a multitude of products to choose from.

Nestle is a Swiss based multinational company which is head quartered in Vevey, Switzerland. There is a long list of the products of Nestle but the most important ones include baby food, bottled water, breakfast cereals, coffee and tea, confectionery, dairy products, ice cream, frozen food, pet foods, and snacks.

In marketing strategy, Place means distribution of the products. There are the few different forms of distribution which Nestle has. They may sell the La Cremeria, Nestle directly to the end consumer as well as sell to other companies for resale. Nestle regularly introduces trade discounts and various tactics to keep this channel motivated. Nestlé Company is currently the largest food company in the world. The distributions of Nestle product to end consumers are as below:

Here are some the common challenges which all the organizations face around the world and Nestle Bangladesh Ltd is also facing all of these challenges more or less.

Since then the company has continued to flourish; mergers and acquisitions, global investment and product innovation have seen Nestlé position itself as a “global leader in Nutrition, Health and Wellness” (Nestlé, 2015) and, according to Forbes (2016), it is the largest company within the food industry and the 33rd ranked company on the Global 2000 (Forbes, 2016). Whilst renowned for chocolate, it did not become a global leader on the strength of one product. Its portfolio includes, baby food, beverages, frozen food, prepared dishes and healthcare nutrition. Food and beverages in particular have been prevalent in the aggrandizement of the corporation.

Economy of countries differs everywhere. So Nestle has to set different economic policies for different targeted segments. The price of the product is an important decision to take while strategizing the economic policies according the inflation rate and the buying power of the segments. Nestle company should made an analysis report on frequent basis to get the knowledge of the inflation rates and different income levels.

In September 1866, HENRI NESTLE developed the milk based baby food .In 1905 with the merging of anglo swiss milk based baby foods it started its operation .The current name NESTLE was adopted in 1977.According to 2013 Nestle revenue is CHF 92.16billions and operating income is CHF13.07 billions and profit is 10.02billions and total assets are 120.44billions and also total equity is

According to me Nestle have only focus on the economic responsibilities and has been concern about the shareholders acceptations than the society. There is a wide space for improvement in the company’s policies towards society and environment.

After the war, government contracts dried up and consumers switched back to fresh milk. However, Nestlé's management responded quickly, streamlining operations and reducing debt. The 1920s saw Nestlé's first expansion into new products, with chocolate the company's second most important activity.

The purpose of this report is to evaluate Nestle Company industry based on the case study and comprehend how the company develop strategic intent for their business organisations following the analysis of external and internal business environments. I will analyse the strategic management process as firm used to achieve strategic competitiveness and earn above-average returns. I will discuss the strategy formulation that includes business-level strategy and corporate-level strategy.