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Nestle Competitor Analysis Essay

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Competitor Analysis
Nestle Ghana is facing both direct and indirect competition. Some strong competitors are Cadburry Schweppes Ghana Ltd, Cocoa Processing, Company NABB Brothers and Kings Cocoa Processing Company Ltd (KCPCL). All those competitors are manufacturing and marketing cocoa products. Cadburry and NABB Brothers are international companies which have large experience in international marketing all over the world. The rest are domestic companies which grow cocoa and manufacture and market cocoa products for Ghanaian citizens.
One of the Multinational entities which enter Ghana earlier than Nestle is Cadburry Schweppes Ghana Ltd which entered Ghana on 1910 for its own business. It was 100% owned by Cadburry Schweppes (UK) with more …show more content…

Thus, Nestle should make its products more affordable and reachable to the majority. The disadvantages for Nestle is the external economic environment is increasingly unfriendly and risky with the increases in inflations; unfortunately high interest rates and the high level of currency instability are leading company to increase the prices.

Competition by Promotion
Nestle is operating sales outlet and widely distributed through supermarkets. Nestle has 100 distributors countrywide and the biggest distributor of Unilever’s G.B. Ollivant subsidiary. Nestle uses merging of media advertising and sales promotions aimed youth for Milo. The company is sponsoring highly popular youth football leagues, sponsoring tennis tournaments and so on. Sales promotion technique of company (free drinks) was aiming to promote the sales. Media advertising is promoting the themes such as good health, growing up, and success as closely related to drinking Milo product. Nestle’s strategy in Ghana was to provide strong awareness of its brands, largespread distribution and quality of its goods which helped take down its competitors in the cocoa beverage

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