Nest Case Study (adapted from the case study authored by Abul Bashar in https://www.academia.edu/14542553/strategy ot_the_Nestle_Company Nou is the world's largest nutrition, health and Wellness company, not only in terms of its sales but also income of its product range and its geographical presence: Neste covers nearly every field of nutrition and food business Infant formula, baby food, milk products, chocoland confectionery, Instant cone cream culinary proucts, frozen ready-made moals, mineral water of Nostle is also a major producer of pet food. In most of these product groups and in most 2 markets Neste is the leader or at least a strong number two. Nosti is a much focused Company with more than 94 percent of the sales coming from the food and beverage sector For a company to start trom a small domestic town in Switzerland and Then expand internationaly, the strategic vision of the company plays content and key role. The main objective of Nesto can be appropriately Summed up by the phrase 'Creating Shared Value(Neste 2012) This pencipta Nestle can be described as having a conviction to build long term beneficiationshos win the stakeholders, comply with all legal requirements and ensure activities that the business undertakes are sustainable and result in a creation for both the company and the only a large A strategy that the company has developed to mark the chievements that they would love to become the moustry benchmark of (Neste 2012 1. Nution Health and Wellness Sustainable Financial Performance Truet by a stakeholders In order to achieve the benchmarks Nestle underwent heavy expenditure in search and Development and relies greatly on now research and movation, both in terms of food production and proses Ne has around 468 factores operates in 0 countries around the world, and employs wound 350,000 people. The mission of Net nowadays - "Good Food Good Life is to provide consumers with the bet tasting mot nutritious choosin a wide range of food and Beverage categories and eating in and to put a strong mphasize ondership is not just about it is about behavior and trust and over a long period of time by consistently delivering on promises Many of their brand names are amar to almost everyone: NESCAFE NIDO, MAGGI, POLO MILO, KITKAT, KOKO KRUNCH Some of the products have broken records: 3.000 cups of Nescafe me consumed every acond And Kit Kat merited an entry in the Guinness Book of World Records as the world's best-selling chocolate bar with 418 Kit Kat fingers to every second around the world Major Strategic Issues Faced by Nestle Nestle boycott A boycott was launched in the United States on July 7. 1977. against the Swissbased corporation it spread in the www 7. 1977 against the Swissbased Nesti corporation. It spread in the United States, and expanded into Europe in the early 1980s. It was prompted by concern about Nestle's aggressivo marketing of breast milik Substitutes particularly in less economically developed countries LEDC), largely among the poor. Organizers of the boycott claim that use of the substitutes represent a health risk for infants and encourage the practice of new born nutrition via natural breast milk Palm Oil Controversy: Nestl is fighting a PR battle with Greenpeace over claims that it is continuing to source palm oil from Sinar Mas, the Indonesian company accused of illegal deforestation and peatland clearance. Nestle maker of KitKat, uses palm oil from companies that are trashing Indonesian rainforests, threatening the hoods or loc people and pushing orangutans towards extinction Raw Materials Problem: Nestle is facing an unexpected customer demand for their products which lead to increased comand for raw materials. But suppliers fail to deliver the raw materials timely due to bad weather natural disaster political instability and for many other Toons Inaccuracy of orders received in inventory or stocks in hands also contribute to problem Child Labour Issue: A significant number of children work in the cocoa production sector in Nestle. This act violates the child labour law Human rights organizations are continually protesting against the use of child labour by Neste Restructuring the organizations Nestle identified significant problems with the pyramidal model and coveloped the 'Nose on the Move orogram Nostlo had to change the way managers seek out contribution from the staff and change the way managers to the people INSTRUCTIONS Imagine yourself working as a region manager of Nestle for MENA Middle East and North Africa region. As a manager answer the following questions 1 What do you conclude are the growih divors that have made the company the pioneer of its roupective sectors? Discuss two (2) strategic stops (based on the drivers of globaation that do the overall growth of the business and explain why this was a significant contributor to that success. mars 2 Do you think as Nestle's regional manager for the MENA (Middle East and North Africa) region, Nestle sillas an unloped or underdeveloped demand in this region? What countries in the field and which Nestle goods do you think have markets that are underperforming? Discuss how you can enhance the success of the business in the market (maks) 3 Which of the above mentioned problems/strategic challenges do you think is the most important one food by Nestle's global operations (choose just one? 10 solve this important dilemma, cuss your own dua (marks demand for their products which lead to increased demand for now FARVER