1,683
18
Essay, 12 pages (3000 words)

Sdda higher essay

Nestle Enemies Introduction Nestle is one of many well known food and beverage company for over century. It started in 1989 since then spread throughout the world until today include Nestle Enemies which is a nutrition product. This essay will talk about how Nestle Enemies product make a good business in Vietnam include macro and micro environment, SOOT and marketing strategies. Situation Analysis Vietnam is a traditional country where agriculture’s resources are rich and cacheable. It is a good place for Nestle Enemies Company to cooperate with.

Moreover, the culture of Vietnam is suitable with the product because Vietnamese people are used to gift each other nutrition products such as Enemies for elders or family with babies. Vietnam is an opening and developing country and it becomes more and more westernizes so that it is a good choice for the Company to invest its product in Vietnam. Micromanagement Company: According to Nestle (2006), Nestle invests approximately CHEF 1. 5 billion in R; D annually, it is higher than other food organization in sale rate and other terms.

Nestle also try to approach hi-tech to produce high quality food with good taste and high nutrition benefits. However, Nestle never stop innovate and always innovate ewe products that have more nutrition and higher level of taste to satisfy their customers. Nestle have 500 factories in over 80 countries in all around the world and have their own laboratories to evaluate raw materials from suppliers and ingredients. In fact, Nestle Research Center in Lausanne will examine materials that provide nutrition, safety and other characteristic that will satisfy the consumers.

Nestle (2006) states that “ Nestle is a Swiss company and Nestle will provide the best service for not only the share-holders but also for the society with their hard-working, reliable and effective. Nestle have a long term exists within 100 years with experience employees and multi-cultural nature of the company. Nestle is using Corporate Business Principle which is recognize by Harvard that Corporate Business Principle will bring advantages for the organization and the society(Nestle 2006).

Nestle sales increase slightly in almost countries between 0. 1% to 10% conclude Italy, Spain, Canada and Australia decrease slightly. China is improve significantly when reach a peak of 91. 4% in 2012 (Financial Annual Report 2012). It also showed that the business is running fluently when the earning moneys raise slightly between 2011 ND 2012 about CHEF 0, 36 mil from CHEF 2, 97 mil to CHEF 3, 33 mat. Nestle have 250000 shareholders from many countries. For example, Swiss hold the major part with , US antis ( and so on. Appliers: According to Nestle (2006), Nestle corporate with many countries that will provide raw materials for Nestle such as Indonesia, Thailand, China, Mongolia, Columbia, etc. These countries will provide agriculture products to Nestle and using technologies, human resources that Nestle support for the farmers to improve their products quality. For instance, “ coffee farmers in the Yuan Province of China are improving oiled and quality as a direct result of our advisors’ expertise, as are farmers in Indonesia, Mexico, the Philippines and Thailand”.

Nestle organize also require suppliers have to meet their standard with strict regulations to deserve and suitable to corporate with their company most. Competitors: Nestle have about 100 years old experience and have many sub-company in others regions with long term understanding and learning people’s demand, cultural , religion , origin and so on. It is lead to Nestle have more advantages than others food company. It is lead to Nestle products have experience with better taste and better durational than other competitors.

Nestle also have a solid brand with the high level of trust from their consumers. Therefore, Nestle is ruling food production industry. For example, Nestle sell more than 1 billion products per day, there are more than 75 million cube of seasoning magi has been purchased each day in Africa, more than 5 million cup of Unsafe drunk everyday (Herman 2011). Although Nestle is a popular brand but the price strategy always aim to affordable, sometime is cheapest but still provide balance nutrition and good taste.

For instance, Herman (2011) examines that The new product of Nestle have the lowest priced on the market compared to competitors’ baby formulas and is about 40% less than Nestle© AL 110″. Marketing Intermediaries: According to Nestle (2006), Nestle cover in 4 corners of the world with millions of different point of sale. In fact, Nestles products appear in many super markets, retail superstores, chain stores, grocery stalls, small market, vending machines and mobile machines.

Furthermore, Nestle also sell their products on specific places such as fitness center, hotel, air plane, train and schools. Nestle have their own Research Center near Lausanne, Switzerland. Therefore, Nestle less depend on other companies and Nestle innovate by themselves. Nestle© Institute of Health Sciences focus on biomedical research and find out science based nutrition. Nestle have huge human resources to investigate consumer’s need and evaluate their products in all around the world.

Micromanagement Nestle company divides the world’s market into many session depend on the consumer’s demand, culture and areas. It is leads to Nestle separate the market into many segments such as demographic, economic, natural, technological, political and cultural. Demographic: Nestles target is everyone and at any age. Nestle provide variety of products for their customers that suitable for their age, Jobs, gender, family, etc. People can have a lot of choices when consider on purchasing Nestles products.

It is prove that Nestle interested to every-ages group and try to satisfy everyone. Nestle focus on the relationship between the customer’s demands on what product attract them a lot and what age are customer belongs to. For example: According to Nestle USA, Nestle provide Infant Formula and baby cereal is for infancy, Nestle Baby & Me and Nestle Mom & Me is formula for pregnancy women, Unsafe from nestle is for adult people, Purina is products for pet from Nestles organization Magi soy sauce for family and Nestle health care Nutrition is for elderly people.

Economic: Nestle always try to explore all classes of society’s demand and make the price that are suitable for every classes. To elaborate, Herman (2011 ) states that ‘ there are many cases that effect on purchasing power of customers such as steady growth of local economies or food price inflation and Nestle always try to do research on this cases to make the price become more affordable on basic products of Nestle. ” Nestle now’s that affordable price will make their sale improve and get more profit so Nestle evaluate the situation in the economy and chart the price right.

Herman (2011) emphasizes that “ Nestle try to research their customer’s income situation and their demand on what products, it is lead to affordability is the main achievement of Nestle. ” According to Nestle (2006), Nestle provide a lot of product that have not only affordable prices but also good quality with good taste and good nutrition for low- income classes. For example, Unsafe, Mill and Kitty are the products that have cheap price and contain good quality of nutrition and taste.

Natural: Nestles goal also about protect the environment by invest money, do research to make the solutions for reduce emissions, CO to prevent the World from global warming during production process. Customers always care about the natural environment of a company and it effect sale of the company. So Nestle invest money and using material to protect the environment is a way to approach the customer and improve their trust on Nestle company. It is leads to Nestle receive a gold medal award for its commitment to environmental sustainability from the 27th World Environment Center (Nestle 2011).

For instance, Nestle (2006) asserts that “ Nestle invest 100 million and agree with the Clean Development Mechanism which is part of Kyoto Protocol to control CO. Nestle have a factory in Chile that using natural gas for air heaters and boilers rather than coal or fossil fuels, it is leads to 19000 tones of CO was reduced. Nestle aim to recycling the waste, materials and using materials easy to biodegrade that can help decrease pollution problems. To demonstrate, Nestle (2006) states that “ Nestle was the first company in Europe to use a new biodegradable alternative to plastic for manufactured food products.

This biodegrade alternative to plastic create from renewable resources, it decomposition when in water environment, and vanish within three months. ” Technological: Nestle organization always try to research as well as developing the technological system to provide the best service and giving either healthier or more nutrition foods for the customers. Nestle also try to create high-tech machines exclusive to help the company’s customers have more choices in the use for busy daily life. Consequently, customers can change their taste, have new experience and want to wait for more new research of the company.

For example, Nestle sell their products in many vending machines in some countries that help consumers more convenience on purchasing Nestles products. Another example is that Nestle innovate coffee making machine such as Nestle Special. T that help consumer have an quick coffee with good taste with multiple choice for hot, cold beverage or teas with many flavored with premium taste (Nestle 2011). Nestle also development their products with healthier fast that can make the customer ease when using their products. Political: Nestle believes that their company will protect both their customers and their brand with their best service.

Nestle (2010) claims that “ building the trust of customers with high quality or assurance and relationship with customers is a way to protect the customers. ” In fact, Nestle always set a higher challenge to find out the best level of quality for consumers. According to Nestle (2010), “ Nestle Our Code of Business Conduct specifies certain non-negotiable minimum standards in key areas of employee behavior, including compliance with laws, conflicts of interests, anti-trust and fair dealing, bribery, corruption (UNC Principle 10), discrimination and harassment, and integrity. It is show that Nestles business is always legal and Nestle focus on political environment. Cultural: Nestle against the racist or discrimination on nationality, religion, age or gender and do not have any political involvement. Nestle always try to understand and learn the culture of many countries with 250, 000 people spread out with many local companies in 130 countries (Nestle 2006). Nestle (2006) states that “ different cultures and different geographies engages with different needs, tastes, flavors and habits all influence what our consumers eat and drink. It is mean that Nestle will provide the products that suitable for many regions and avoid products that conflict in certain areas. To illustrate, Nestle sell Magi’s soy sauce in many Asia countries but in some Western countries do not exist Magi include England, it meaner that the different about the taste and flavors of people. In contrary, Nestle sell pet food in England but do not have any pet products in Vietnam because the demand for pet food in Vietnam is low and people do not care about pet as well as England.

SOOT I Strengths * Higher quality products * Brand awareness and image * Easy to find natural materials * Had more than 17-year experience and gained trust from customer * A consistent and high technology I Weakness * New product will be official to approach customers * Lack of information about Nestle Enemies in the web I Opportunities * Technology development and innovation * Vietnam Joined in WTFO and ASIAN this would more easy to export the products I SO Strategies: * Attract more potential customers by using high quality and good design * Further develop brand image to create demand I WOO strategies: * Open Nestle©’s website by Vietnamese style to introduce the product for customer and diminish distance between the products and customers. It leads to; customers understand more clearly the products. I Threats * Most Vietnam woman prefer to buy cheap products * The increasing of Inflation in Vietnam I SST strategies: * Create close relationship with suppliers, which provide cheap raw material. * To escape adverse impacts in the supply of goods caused by a poor transport system, Nestle development of stock chain management to deliver high-quality goods across the country.

I WET strategies: * Reduce production costs of goods sold * Development of new products at cheaper prices * The increased attention of acquisitions to avoid the bad problems out on raw materials I STEP: Segmentation: First of all, method of segmentation which include geographic, demographic, cryptographic and behavioral. In the Demographic part: Nestle©’s Enemies is used for all the users in higher upper or middle class , for moderate income earners also. With a fairly tight timescale, women are always busy finding yourself a simple breakfast, lightweight but still have adequate nutrition to maintain body balance while providing energy for a day of real work effective. Next, cryptographic include personality and lifestyle. Nestles Enemies milk know that milk is one of essential drink in life, therefore, they have to ensuring the good quality of the product.

For behavioral, the advertising of Nestle show that the women who want o be successful, want to get more high goals, they have to look after their children, their themselves and their family. Nestle Enemies want to help these users have more energy to take care of their family. Targeting: Target market of Nestles Enemies milk: Nestles Enemies milk have specially targeted the women who is a working women. Enemies believes that all the women should be strong to take care of all the members in their family. They are the ones who need to consume the height calcium low fat of this product the most. The women who easy to lost the calcium in their bones which is one of the most important cause to make hem become weak, leading to bone fractures, spinal clue, difficulty walking. Hereford to protect the women from these disease, consumption of Nestle Enemies is necessary. Differentiation: Enemies is known as the most healthy and nutritious beverage brand of Nestle. Nestle Enemies brings spectacular experiences for Vietnamese instant cereal consumers. There are two major differences, which could gain competitive benefits for the brand. According to Van (2013) in Ingoing Ala Dong news, Enemies was first introduced for Vietnam market in 2013 that meaner this type of product comes later than other similar type of products. However, Enemies still have innovative formula that contains whole grains while other product such as Slaloms and Notified Just include cereal freaks.

According to Hit (2007) in CBS News, people who eat whole grains for their daily meal can decrease cholesterol rate. Moreover, people who eat no whole grains in long term will have more chance in infected heart disease. Amnesia’s ingredients contain 32% of cereal while Notified and Slaloms cereal Just include 25%. As the consequence, Enemies serves nearly double dietary fiber rate compared with Slaloms and Intuition cereal milk. Secondly, Enemies gains a new way of healthy diet. Enemies is introduced as the product contains low fat, which fit for who in diet. Their product offers extremely lower fat (around 1. G per sachet) compared with g of fat per sachet of Slaloms and 3. G of fat per Intuition cereal sachet.

In the other hand, Enemies offers all of necessary nutritious such as Vitamins and Calcium. Enemies provides all 6 differences type of vitamin in one product while Notified Just offer 2 of them and none provided vitamin in Slaloms cereal. Nestle is one of the most prestige corporation in Vietnam. They have over 100 years story of operation in this market and the trust of Vietnamese consumers for each brand of Nestle is undoubted (Nestle 2013). Moreover, Enemies is produced in the largest instant coffee factory in Vietnam. Nestle invested nearly $270 million in their Nestle factory located in Been Ho Province. As the consequence, their production line will be modernized.

This meaner the quality of product will be increased significantly. Positioning: According to Van (2013) in Ingoing Ala Dong News, the price of Nestle Enemies is much higher than other competitors such as Intuition and Slaloms cereal. Nestle Enemies s sold for Vietnamese costumers at around 70, VEND higher around 20, VEND compared with Intuition and Slaloms cereal. As the consequence, the price of Enemies is an element that needs to take in place to compare. The Nutritious of Nestle Enemies is richer and has more contained elements than others, which could be the reason effects the price of product. Intuition and Slaloms cereals offer a lower quality of product.

Less The same More Price Enemies I I I Intuition I Slaloms I Nutritious As seen on the table, Enemies offers more nutritious product leads the price of Enemies higher than two others. Enemies Product will follow the more for more consisting. Nestle is the prestige and trusted corporation which have over 100 years experiences operating in Vietnam market. The research teams of Nestle is well trained and specialized in their Job with high technology support them to create the best product such as Enemies. As the consequence, domestic consumers will still choose Enemies because they believe in the quality of Nestle product. Moreover, one brand of cereal drink was report as exaggerated their Nutritious fact and intent to lie consumers.

Therefore, customers will have more reason to choose one of the best products available in domestic market. To provide a healthiest diet way, Nestle try to bring more product to Vietnam market for Vietnam consumers. With a positioning mission statement “ to provide consumer with the best tasting, most nutritious choices in a wide range of food and beverage categories and eating occasion, from morning to night. “, Nestle research teams with high technologies will generate more product, Enemies for example, that could help the demand of stay healthy and eat healthy for every consumers who choose product of Nestle. Conclusion: In conclusion, Nestle Enemies is a successful brand of Nestle in international market.

The product comes to Vietnam with high nutrition compared with other existing product in Vietnam market. However, the price that approach to Vietnam market is still much higher than these products. For the next one year, the marketing team needs to generate more commercial and promotion campaigns because the product is flirt introduced in march 2013. The price of product might be accepted if they can gain more buyer behavior in buying the product. Moreover, the product needs to be examined and take feedback from customer about the taste of product. As the consequence, the product will be much fit the want and satisfy domestic consumer demand.

Thank's for Your Vote!
Sdda higher essay. Page 1
Sdda higher essay. Page 2
Sdda higher essay. Page 3
Sdda higher essay. Page 4
Sdda higher essay. Page 5
Sdda higher essay. Page 6
Sdda higher essay. Page 7
Sdda higher essay. Page 8
Sdda higher essay. Page 9

This work, titled "Sdda higher essay" was written and willingly shared by a fellow student. This sample can be utilized as a research and reference resource to aid in the writing of your own work. Any use of the work that does not include an appropriate citation is banned.

If you are the owner of this work and don’t want it to be published on AssignBuster, request its removal.

Request Removal
Cite this Essay

References

AssignBuster. (2021) 'Sdda higher essay'. 30 December.

Reference

AssignBuster. (2021, December 30). Sdda higher essay. Retrieved from https://assignbuster.com/sdda-higher-essay/

References

AssignBuster. 2021. "Sdda higher essay." December 30, 2021. https://assignbuster.com/sdda-higher-essay/.

1. AssignBuster. "Sdda higher essay." December 30, 2021. https://assignbuster.com/sdda-higher-essay/.


Bibliography


AssignBuster. "Sdda higher essay." December 30, 2021. https://assignbuster.com/sdda-higher-essay/.

Work Cited

"Sdda higher essay." AssignBuster, 30 Dec. 2021, assignbuster.com/sdda-higher-essay/.

Get in Touch

Please, let us know if you have any ideas on improving Sdda higher essay, or our service. We will be happy to hear what you think: [email protected]