Nestle Business Policy

In: Business and Management

Submitted By bongky18
Words 7384
Pages 30
Group members:
AberAhmed
Alice Chen YuXin
Bong Kern Yih
DongHyunKim
Edward Setyadarma
Salman Kamani

Executive Summary
Nestlé is currently the biggest food and beverages (F&B) company in the world. The company has a long-standing history of 140 years and a business portfolio comprising of more than 140 brands under the umbrella of Nestlé. One of Nestlé’s cash cow product lines is the ice cream. Popular household ice cream brands under Nestlé include Häagen-Dazs, Movenpick and Dreyer’s.
Nestlé acquired its financial prowess and brand equity from a few sources. Firstly, Nestlé possesses an unmatched R&D capability enabling them to research on new ice cream products to satisfy consumers’ needs and retain their loyalty. In addition, Nestlé also has a huge resource pool, which they can utilize to expand their product lineup and business portfolio through various merger and acquisitions.
Nestlé entered into the US premium ice cream market in 2002 through the acquisition of Dreyer’s ice cream followed shortly by Movenpick in Switzerland and Häagen-Dazs. This acquisition allowed Nestlé to venture into highly desirable niche premium market and expand their global coverage. It was not long before Nestlé overtook Unilever as the biggest ice cream manufacturer in 2011, in terms of both sales volume and market share (Nestlé: 17.5% vs Unilever: 16%).
Switzerland, despite being Nestlé’s home market, did not provide a significant inflow of revenue. On the other hand, Nestlé derived most of its revenue from foreign markets which it has penetrated into, for example the USA and Europe. When news of the booming financial market in Asia went viral, Nestlé did not lack to expand its influence into emerging markets in Asia, especially China whereby they sell ice cream to cater for the local taste through its multidomestic corporate strategy.
Opportunities…...

Similar Documents

Business Policy

...business Definition of Business PolicyBusiness Policy defines the scope or spheres within which decisions can be taken by the subordinates in an organization. It permits the lower level management to deal with the problems and issues without consulting top level management every time for decisions. Business policies are the guidelines developed by an organization to govern its actions. They define the limits within which decisions must be made. Business policy also deals with acquisition of resources with which organizational goals can be achieved. Business policy is the study of the roles and responsibilities of top level management, the significant issues affecting organizational success and the decisions affecting organization in long-run.Features of Business PolicyAn effective business policy must have following features- | | 1. Specific- Policy should be specific/definite. If it is uncertain, then the implementation will become difficult. 2. Clear- Policy must be unambiguous. It should avoid use of jargons and connotations. There should be no misunderstandings in following the policy. 3. Reliable/Uniform- Policy must be uniform enough so that it can be efficiently followed by the subordinates. 4. Appropriate- Policy should be appropriate to the present organizational goal. 5. Simple- A policy should be simple and easily understood by all in the organization. 6. Inclusive/Comprehensive- In order to have a wide scope, a policy must be......

Words: 433 - Pages: 2

Business Policy

... : H.L. Liyanage (09151150) : S.K. Wirthamulla(09153551) Subject Name : Business Policy Batch Number : 13 BSc in M I S Executive Summary Cargills (Ceylon) PLC is one of the foremost and the largest retail chain in Sri Lanka with having over 150 outlets widen transversely the island covering 20 districts, counting Cargills Big City hypermarkets, Cargills Food City supermarkets and Cargills Express convenience stores. Today Cargills is the leader in the food and beverages sector and is ranked among the top 10 companies in Sri Lanka with over 4,600 employees. Supermarket industry is one of the high competitive industries in Sri Lanka. Within this assignment we analyzed the internal and external factors that affected to Cargills and generate strategies which help to gain competitive advantage among competitors. In this Assignment we concern about SWOT analysis and TOWS matrix. According to those analyses we develop corporate, business and functional strategies to Cargills which help to achieve its vision Contents Executive Summary 2 Our Business 4 Overview of the Industry 5 Organization Vision, Mission and Objectives 7 Vision 7 Mission 7 Objectives 7 SWOT Analysis 8 Strengths 8 Weaknesses 9 Opportunities 10 Threats 10 TOWS Matrix 11 SO Strategies- 11 ST Strategies- 11 WO Strategies- 11 WT Strategies - 11 Strategies 12 References 15 Our Business Cargills (Ceylon) PLC is one of the foremost and the largest retail chain......

Words: 3073 - Pages: 13

Business Policy

...best service in the industrial industry. Also, these strengths sync with their strategy of growing through customer service. One of the biggest competitive advantages Fastenal has developed is their world class logistic. Their logistic is directly developed from their strategy of growth through customer service. In order to grow through their customer service, Fastenal must set up stores that are near their target market. This is why Fastenal has over 2,600 local stores that are across all 50 states, Canada, and Mexico. Also, with having so many locations across many nations, this enables them to provide services to all over the world. What makes them more competitive than their rival is that Fastenal handles each location as its own business, allowing them to tailor its inventory and service provided according to the local customers. What makes their logistics one of the best in the industry is having their own transportation fleet (300 big trucks, 5000 plus local delivery trucks). With 14 strategically placed distribution centers, this allows them to control their freight cost as well as allow them to move inventory throughout their networks of stores. Another strength Fastenal has is their product breadth. Fastenal supplies more than 1.1 million MRO, Construction, and OEM products across 18 different product lines. Fastenal has high level of diversity across their product line, which enables them to provide service to a wide range of customers. Each location is stocked...

Words: 5295 - Pages: 22

Business Policy

... What is the relationship between business policy and business strategy? Organisations, institutions and government have to make decisions and actions (or inaction) which will result in a desired outcome. Before organisations, institutions and government can make those decisions they need to establish policies. Companies use policy to make sure that employees take actions that support the corporation’s goals, mission and strategy. The Encarta dictionary defines policy as a program of actions adopted by a person, group, or government, or the set of principles on which they are based. A policy is a broad guideline for decision-making that links the formulation of strategy with the implementation. Certain procedures are normally implemented to support each policy explaining how to apply the policy to the business’s customers, employees and products, and the instructions necessary to follow the policy. Business policies are broad guidelines for managers, supervisors, and other employees in their action (activities) for the achievement of objectives. Policies indicate how resources are to be allocated, and how task assigned to the organisation might be accomplished so that functional level managers execute the strategy properly. Business policy has general management orientation and tends primarily to look inward with its concern for properly integrating the corporation’s many functional activities. Business policy also deals with acquisition of resources with which......

Words: 1088 - Pages: 5

Nestle Environment Policy

...Green strategies stared in the national policy on the environment of malaysia * Proactive approach to regional and global environmental issues * Formulation and implementation of action plans Critically discuss how the green strategies can improve the environmental quality of malaysia. How the policy help improve the environmental performance of the company The Environmental policy of Nestle is based upon a documented and clearly communicated policy. This policy set out the organization commitment towards a cleaner environment. Firstly, Nestle understand which area of their business has the greatest environmental impact. For example, they know about what natural resources and the raw material they use and where do they come from. By understanding all this, they can cut down the waste of the raw material and protected the natural resources be wasted. Besides that, Nestle are prioritizing they green efforts where they can achieve greatest impact, which is water, agricultural raw materials, manufacturing and distribution and also packaging to specific food and beverages business. By this, they can know what alternative sourcing arrangements they can make, and at the same time, the products have to be better produced as well. This will protect natural resources being indiscriminate use. Nestle increase the packaging that can be recycle and avoid the usage of substance that can give impact to the nature during packaging production and disposal. This will......

Words: 457 - Pages: 2

Business Strategy Nestle Presentation

...Attention: Is a long msg….MUST read all cos is important >< Hey guys, let’s discuss about Mr.Wilson group assignment…During this weekend,if free, hope u guys can see through about Nestle and may give some idea about our presentation & essay outline^^ Below is just my opinion of our outline & I don’t is correct onot?????….I hope u guys may make changes to improve it^^ This is the question: Drawing on a specific organization or industry, provide a case study to explore the extent to which international companies adapt to local needs. Basically is about CULTURE. So, We are choosing Nestle…we need to write 1k summary of our Case study & Case study is an in-depth analysis about our company. This is the evaluation that Mr.Wilson need us to do in our 1k words & presentation. 1. Introduction: Setting out the main points & Clearly Identify the company & industry (This part-Write about the business nature of Nestle, Company background,mission/vision Organizational Culture/values using Harrison’s Typology whether is task culture or power culture or etc & our overall discussion about they are facing cross-cultural issue & challenges) (This part mainly will start 1st during presentation & got responsible to edit whole 1k text & do references=P) (Me????) 2. Critical analysis of the key issues & challenges & 3. Use of relevant theory and framework from literature to support (Refer back to No.1, the issue may be is their...

Words: 680 - Pages: 3

Human Resource Policies & Practices in Nestle

...HRM PRACTICES BY NESTLÉ BANGLADESH LTD. i INSTITUTE OF BUSINESS ADMINISTRATION JAHANGIRNAGAR UNIVERSITY SPRING 2014 Term Paper on HRM Practices of Nestlé Bangladesh Ltd. TO: Shahriar Kabir Course Instructor HRM 201: Human Resource Management BY: Group members | ID | Zerin Tasnime | 1521 | Syeda Rifat Ara | 1531 | Mabia Khatun | 1538 | Yeasmin Akter | 2357 | S.M. Arifur Rahman | 2601 | Date of Submission: 03-03-2014 Letter of Transmittal March 3, 2014 TO Shahriar Kabir Institute of Business Administration Jahangirnagar University Subject: Submission of HRM practices by Nestlé Bangladesh Limited Dear Sir, This is our pleasure to submit the term paper on Nestlé, world’s largest health, nutrition and Wellness Company. We have prepared there on the reports is of the Study on Human Resource planning and personnel policies of Nestlé Bangladesh......

Words: 6941 - Pages: 28

Nestle Business Case Analysis

...I - Issue and Scope: The primary Corporate Social Responsibility (CSR) issue in the case is whether Nestlé should label its new product ‘Partners’ Blend’ with the Fairtrade brand or continue with its own social responsibility initiatives. United Kingdom (U.K.) is one of Nestles major markets. Therefore, it is imperative for Nestlé to be aware of the social, environmental and financial circumstances surrounding its business. Social: From the social perspective, the main circumstances that concerned Nestlé were local infrastructure, Fairtrade payment and the avoidance of child labor. In connection to that, products marked with Fairtrade label were described as “ethical” and “sustainable” conveying a broad message that farmers of these products have been given fixed price or have met ethical standards. Environmental: From the environmental perspective, there is a growing market trend in the U.K. for environmentally-friendly materials and therefore recycled materials in the packaging would have a big impact in consumers purchase decision. In addition, ecological washing systems have been built by Nestlé initiatives in order to expand water distribution within communities. In 2004, there were 1000 Fairtrade products from 150 companies available in most of the super market stores in different product categories. Finally, improvements in nutrition, environmental standards and agricultural supply chain have been discussed as circumstances. Financial: On the......

Words: 1967 - Pages: 8

Business Policy

... Answer : 1 – 20%, 21 - 40%, 41 – 60%, 61 – 80%, 81 – 100% • How does online networking affect your social life? Answer : Does not have an effect on face to face communication, Somewhat has an effect on face to face communication, Replaces most face to face communication • Have You Ever Been A Victim Of On-Line Bullying (offensive comments or emails)? Answer : Yes, No Positive Effects: * Do you feel that if you were to not participate in social networking you would be missing out? Answer : Yes, Sometimes, No * Are you with using social networking technology for learning in schools/colleges? Answer: Strongly agree, Agree, Fair, Disagree, Strongly disagree * Do you think privacy policies are effective in social networking sites? Answer: Strongly agree, Agree, Fair, Disagree, Strongly disagree...

Words: 271 - Pages: 2

Business Analysis on Nestle Malaysia

...BUSINESS ANALYSIS ON “NESTLE MALAYSIA BERHAD” Introduction [Nestle Logo (Famouslogos.us, 2012)] Nestle is a Swiss-based brand founded in 1866 by Henri Nestlé, a German pharmacist. Henri was a very enthusiastic person to globalise his company and advocates pragmatism, flexibility, learning initiatives, respect towards foreign cultures and many other key attitudes and values to stake a corporate culture that lasts until today. (Nestle, 2012) In 1912, Nestle was introduced as the Anglo Swiss Condensed Milk Company to Malaysia. Today, more than 140 years after born, the world’s leading nutrition, health and wellness company continue to improve human lives with nutritious food products. (Nestle, 2013) 1.0 PESTEC 1.0.1 Political, Legal & Governmental Forces [Religion Distribution (Department of Statistics, 2011)] To cater the major ethnic of Muslim market in Malaysia, Nestle has to restrict the process of food productions to ingratiate the Trade Description Order 1957 bound by the Syariah Law (Islamic Law). Under the Act, Nestle is prohibited to produce any food items which contain any parts from haram prohibited animals. During the process and preparation of product, Nestle must not use or touch any ingredients or equipments which are......

Words: 3987 - Pages: 16

Business Policy

...ASSIGNMENT QUESTIONS: 1) An organisation coporate planning and strategy will be fruitless without the synergistic work of functional department. 2) What do you understand by organisational restructuring. 3) Pick a typical Nigerian business organisation and explain vividly your own understanding of business restructuring. Q1. Coporate planning is a systematic approach to clarifying objectives, strategic decision making and checking progress towards objectives. A corporate plan is a set of instructions to managers of an organisation describing what role each department is expected to fufil in achievement of organisational objectives. Another word for coporate planning is strategic management. Strategic planning on the other hand, is an organisation's process of defining its strategy, or direction, and making decisions on allocating its resources to pursue this strategy. Every single organisation is working properly with the basic and necessary departments. There exist many arguements about which functional area would be the most important one for the long-term development for an organisation. Normally, there are four main functional areas in an organisation, involving marketing, human resource, operation and finance. They are working as whole, and they are interrelated and interacted during the course of the operation of an organisation. While some people believe human resource management drives the whole organisation, others think marketing should be the......

Words: 618 - Pages: 3

Business Policy

...Policy #2 The history of the American economy has been greatly impacted by the industrial revolution. Life as the people of this time knew it would have a big change ahead of them. The normal life of using your hands to produce products would become more of machines doing the manual work. There was a boom in population and income stemming from the economy becoming more efficient. The Industrial Revolution increased the supply of goods dramatically from the invention of a mass-production technique that was represented by Henry Ford. The majority of the increase of supply was largely seen in mining, steel, oil, transportation networks, communications networks, industrial cities, and financial centers, but also consumer goods. The concept of people not having to use their hands as much anymore was an important advancement. The time being saved was significant not to mention how efficient these steam powered machines were in production. Now the overall work time is being cut dramatically considering they could now have settings for machines to produce the work. At the same time, the workers needed to realize this meant there would be less jobs available for employees. There would be less work to manage, but this led to creating a bigger profit since there was not as much man power needed in the factory. This idea of having the machine do the dirty work sparked the importance of profits for the business leaders, which over time has arguably led to the greedy business leaders......

Words: 5463 - Pages: 22

Business Policy

...CONTENT I. THE ROLE OF TOP MANAGEMENT AND THE IMPORTANCE OF COMPANY POLICY A. Introduction to Business Policy B. Responsibilities of Chief Executive C. Definition – major policy, objectives, strategy operating policies II. THE NATURE OF POLICY & STRATEGY D. Strategic Planning, Strategic Plans, Strategy and Policy E. Strategy and Policy F. Types of Strategy G. Strategy versus Tactics H. The Nature of Policies I. Procedures, Standard Operating Plans and Rules J. Types and Classification of Business Policies III. THE TOTAL ENVIRONMENT OF THE FIRM A. Key Factors which can Affect the Management B. Environment Constraints IV. INDUSTRY ANALYSIS: POSITIONING THE FIRM WITHIN THE SPECIFIC ENVIRONMENT A. The Industry Structure B. The Components of the Industry C. Status of the Industry D. Intra-Industry Competition E. Industry Analysis and Strategic Decision of the Firm VI. CORPORATE SOCIAL RESPONSIBILITIES AND RESPONSES A. Corporate Social Responsibilities of Business 1. Shifting Managerial Philosophies 2. Meaning of Social Responsibilities of Business 3. The Case Against Business Assumption of Social Responsibilities VII. THE STRATEGY OF USING FOREIGN INVESTORS AND LICENSES: A PHILIPPINE PERSPECTIVE A. Company Goals B. Potential Problems C. Point of View of Foreign Company D. Point of View of......

Words: 266 - Pages: 2

Business Policy

...BUSINESS POLICY EVOLUTION OF BUSINESS POLICY Evolution of Business Policy Course by SREE RAMA RAO on NOVEMBER 2, 2010 Business policy as a distinct field of study was introduced at Harvard Business School way back in 1911. The course aimed at improving the general management capabilities of students. It was intended to tie together and give proper focus to the first year courses by showing how the functions of business both internally and as between businesses, were closely interrelated in practice and how a chief executive had to recognize and deal with those relationships. The course, however received widespread acceptance only after the publication of two reports in 1959. The Gordon and Howell report, sponsored by the Ford Foundation predicted that a course on business policy would give students an opportunity to put together what they have learned in the separate business fields and utilize this knowledge in the analysis of complex business problems! The Pierson report, sponsored by the Carnegie Foundation also recommended the introduction of the course strongly. Following these reports the business policy course was made mandatory in all business schools in the US for the purpose of recognition. In the course of time the course gained popularity in business schools in other parts of the world as well. It is being increasingly viewed as an integrative course offered to students after completing as set of functional area courses in Finance, Marketing, and Accounting...

Words: 4596 - Pages: 19

Business Policy

...country has 3 sections contribution to make the GDP like agriculture, industry and services. Industry has been invented to the Sri Lanakan market since 1977 with the industrialization policy adaption. Then apparel industry has great contribution to the Sri Lankan economy tremendously. It provides not only the massive export income but also novel technology with opportunities to unemployment. Sri Lankan economy gained GSP+ due because of perfectiveness in apparel industry. Apparently when illustrating factors in apparel industry the trade mark is MAS Holdings which is the empire of the Sri Lanakan apparel market. The journey begun when three brothers Mahesh, Ajay and Sharad Amalean started to do business in 1987 and made it to one of the pioneer lingerie manufacturing in South Asian region. It has almost 17 partners to build this empire and consist this without unbeaten. One of the major partners is Strechline pvt Ltd. Stertchline is one of the world largest and only branded narrow fabric manufactures in the world by providing its service to eight countries around the world in three continents. Sterchline’s vision is to “constantly engage in innovations and enhance their quality of service”, based on five pillars of the organization which have pioneered for the growth and success of the business for the last 18 years. Stertchline cultivates the values for innovation and excellence performance by talent acquisition, striving for excellence performance, creating an learning......

Words: 9233 - Pages: 37

TeamViewer v13 | Viti Tsc A Testa Svasata Con Calotta E Taglio Cacciavite Inox A2 | Deutsches Reich 887 , ** , * , o , - 55. Geburtstag Adolf Hitler