SWOT Analysis - Nestlé

Angela L.

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SWOT Analysis - Nestlé

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SWOT analysis Nestlé, global agri-food market, infant nutrition, Henri Nestlé, Nestlé company, beverage industry

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Abstract

Being the world's No. 1 in the food industry, Nestlé is the largest food company in the world. With a turnover of over $100 billion, the company has conquered the global agri-food market with its various products, the most famous of which relate to infant nutrition. Indeed, this was the starting point that a pharmacist, Henri Nestlé, started in 1866, and which has allowed him to gain a strong reputation. Over the years, he developed the activities of the company by expanding its portfolio of products and offers, thus becoming the world leader.

Introduction
1. Nestlé
2. Market Data
3. Presentation of Nestlé's SWOT analysis
SWOT Analysis of Nestlé
1. Strengths
2. Weaknesses
3. Opportunities
4. Threats
Conclusion et strategic recommendations

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[...] There are many competing companies, and they are competitive. Nestlé also finds itself having to redouble its efforts in terms of price, taste, distribution, quality and its marketing actions. Therefore, with production difficulties, Nestlé must constantly deal with competition, it will find it difficult to compete in the future. Let us assume that Nestlé faces yet another threat that can influence consumer purchasing decisions. For example, when it comes to increasing the prices of raw materials, the company is, in turn, forced to increase the price of its products. [...]

[...] On the other hand, there are new food start-ups that are constantly growing and which are a huge support to large food companies, for example, Nestlé. It should turn to these start-ups as they provide many solutions in terms of delivery, new ways of working the land and selling the products. In this way, Nestlé could invest more in these start-ups that can help the company meet certain challenges and increase sales. This is a good opportunity for Nestlé as it can use its brand to develop small food start-ups or even collaborate with them to promote its brand. [...]

[...] With an international presence, it is established in more than 135 countries, with hundreds of factories located around the world. The Nestlé company was started by Henri Nestlé, a Swiss pharmacist, in 1866, with a basic idea which was the production of baby milk powder, and which saved a premature baby who could not stand breast milk. Having enjoyed remarkable success during the First and Second World Wars, it acquired a good reputation. From then on, the company broadened its offerings and began to export its products to France, the United Kingdom and Germany. [...]

[...] One of the strengths of the Nestlé company is its presence in 189 countries. Its products have reached almost the whole world. They are found in America, Europe, Africa and the Middle East, as well as Asia. Nestlé's presence in several geographic areas has given it a competitive advantage, particularly in the US market. In fact, instead of settling for just a few markets, the company seizes important markets, developing and developed countries, to generate most of its revenue. Nestlé has strong R&D capabilities that provide a precise understanding of the needs of consumers. [...]

[...] In other words, it is a confrontation between the two analyses (internal and external) in order to highlight the environment as well as the resources of a company. The principle of a SWOT analysis is to take stock of the relationship between the company and its market, and thus managers will be able to make the right decisions and make the right strategic choices. For this, four main elements are studied: - Strengths: These are the factors internal to the company that allow it to gain a competitive advantage. [...]

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