FINAL PROJECTInternational Strategic Management

Team:

Denisse Garza Huerta A00802835

Ana Sofia Canseco A01195003

Maria Fernanda Marrufo A00807360

INDEX

Part 1: Introduction.........................................................................................................3

Objective..................................................................................................................3

Project Management................................................................................................3

Part 2: Theoretical Analysis: International Marketing Management........................................4

History...................................................................................................................... 5

International marketing focusing in Branding, Promotion and Product diversification...........................................................................................................5

Part 3: Case Study: NESTLE............................................................................................7

Company Profile.......................................................................................................7

Part 4: Analysis (Major problems/opportunities facing the company in the area of your interest: International Marketing).................................................................................................10

a. Brand: Image of the brand lessening in power.............................................10

b. Promotion:....................................................................................................10

c. Product Diversification :................................................................................10

d. Causes of the Problems................................................................................10

e. Solutions of each problem............................................................................13

f. Implementation of the solutions...................................................................14

g. Consequences of the solutions.....................................................................16

Part 5: Conclusion........................................................................................................17

References..................................................................................................................17

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Part 1: IntroductionThis paper seeks to understand the concepts learned in the class of International Strategic Management, using a company to apply what we learned. As a team we will try to understand the problems the company we chose is facing. With theory we already know we seek to understand them and provide some solutions as consultants for the company.

For the analysis we will use the NESTLE company, focusing in the problems related to the area of international marketing.

ObjectiveThe objective of this paper is to all we learned on the class of International Strategic Management but focusing on understanding a real life situation, adapting the theories to real actions and trying to demonstrate that we understood the concept and that we are able to used them in a real analysis and real life situation of a company.

For the purpose of this paper, it is important we first recognize, what is project management, since what we will be doing on this paper can be thought of as a project for the company.

Project ManagementBefore defining what project management entails, we first need to define what a project is. A project can be defined as a temporary group activity designed to produce a unique product, service or result. It is temporary because it has a defined beginning and end in time, and hence defined scope and resources. It is also unique because a project is not a routine operation, but rather a specific set of operations that were designed with a specific goal in mind. Project management, then, is the “application of knowledge, skills and techniques to execute projects effectively and efficiently” (Project Management Institute, 2014).

There are a variety of models project managers can use in an organization. But regardless which model is used, project managers must give careful consideration to the overall project objectives, timeline and cost, as well as the roles and responsibilities of all participants and stakeholders.

The traditional model identifies five different stages: (1) the initiation of the project, (2) its planning and design, (3) its execution and construction, (4) its monitoring and controlling systems and (5) its completion. It is possible that a project does not undergo all five different stages, since some projects are never completed and others go through steps 2, 3 and 4 more than once (Project Management Institute, 2014).

In the first stage, the nature and scope of the project is determined. This stage must include a plan that encompasses a review of the current operations, a financial analysis,

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an investigation of the business needs and a stakeholder analysis. The second step is planning the project. Project plans are written documents that detail what is being done, and what is needed to do it. They are useful for detailed task planning, risk analysis, and definition of governance processes. Steps number three and four are execution and control. As a project is executed, inevitably, stuff comes up. Project managers respond to changes in the business, the scope, the audience, or any number of other factors. Project execution simply means that the tasks listed in the plan are accomplished in the way they were conceived. Good project controls ensures that this happens. Finally, all projects should be formally closed by writing a summary of the project. The report should include any notes on successful completion of each milestone, any changes in the scope of work, differences with what was budgeted and what were the actual resources needed, the impact of the project and the lessons learned (Metafuse, Inc., 2014).

In a company, each project management is defined for a certain area or department, looking to establish more focus objectives and to achieve more individualized goals. As an example, here is an image of how a company can divide their organizational structure to manage each project of the company separately.

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Part 2: Theoretical Analysis: International Marketing Management

As a team, we decided that the area in which we are going to analyze and work with NESTLE® is International Marketing. In the general organization chart of NESTLE there is not an International Marketing area by itself but Strategic Business Units, Marketing and Sales which is the one that we are going to work with.

HistoryFrom the early 90's local businesses worldwide had to think in global terms because the time and distance were reduced dramatically with new media (internet, satellite TV, cell phone, etc.); with globalization the products produced in one country became very popular in other countries. It is true that the presence of foreign firms in all countries dates back many decades and they have developed international marketing. Companies like Toshiba, Nestle, Bayer, Shell, McDonalds, Starbucks and many multinationals are known and recognized by the majority of consumers around the world, but with the birth of the "global village" competition intensifies and becomes a fight of strategies, as in many cases national companies that never thought about foreign competitors suddenly find these in their backyard.

Marketing is the discipline through the study of the behavior of markets and consumers, trying to stimulate demand and increase trade. Marketing experts provide various strategies for the commercial management of companies with the intention to build customer loyalty. The international adjective, on the other hand, refers to two or more countries, different nations than your own or what has transcended national boundaries.

The international marketing, therefore, is linked to the application of marketing in different cultures and at the same settings. It's about working with realities that are outside the usual environment and, therefore, require the attention of many factors that may affect the introduction and demand for products.

International marketing: where the marketing activities of an organization include activities, interests or operations in more than one country and where there is some kind of influence or control of marketing activities from outside the country in which the goods or services will actually be sold. Sometimes markets are typically perceived to be independent and a profit center in their own right, in which case the term multinational or multidomestic marketing is often used. (Doole & Lowe, 2008)

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International marketing focusing in Branding, Promotion and Product diversification.

International Marketing is thus the set of tools and activities that combine to facilitate the exchange of tangible and intangible goods between buyers and sellers in an international manner, grouping countries and considering regional economic blocs and international markets needs to satisfy.

Entering a country must be mainly oriented by a strategic decision in principle of the necessary organizational structures to operate international markets such as: The creation of a department of exports and imports, the appointment of agents or representatives abroad, depending on the type of operations of the company, support of foreign trade experts, among others; All this is important to understand the international environment and marketing strategies to be implemented for a successful product positioning. Regardless of the company, the key to success in international marketing is focusing on developing a good product mix.

For Philip Kotler and Gary Armstrong Marketing Mix "is the set of controllable tactical marketing tools that the firm blends to produce a desired response in the target market. This mix includes everything the firm can do to influence the demand for its product” The elements in Marketing Mix are the following:• Product - tastes and habits differ between markets• Price - consumers have different incomes• Place - systems of distribution vary widely• Promotion - Consumers' media habits vary, as do language skills and levels of

literacy.A very important aspect of international marketing is focus in branding. Branding “is the idea or image of a specific product or service that consumers connect with, by identifying the name, logo, slogan, or design of the company who owns the idea or image. Branding is when that idea or image is marketed so that it is recognizable by more and more people, and identified with a certain service or product when there are many other companies offering the same service or product.” (Brick Marketing, 2014)

Branding is fundamental to a business because even though their product is not unique, the brand by itself gives them a special recognition in the customer’s mind.  Branding is a combination between marketing mix elements product, price, promotion and place because all of these characteristics are what makes a brand have their unique style.

Promotion, on the other hand, is an element of the marketing mix by itself. Promotion is the “advertising message, creative presentation, media strategy, personal selling, and

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sales promotion” (Hultman, Katsikeas, & Robson, 2011) of a product and is what communicates a brand to the customer. Promotion is a key element in International Marketing and involves all communication within the company and its clients.

International promotion can be standardized or customized, but many international cases standardization has proven to be more effective in matters of message ads media strategy. This standardization/adaptation decision is particularly relevant to exporting because the deployment of apposite promotion strategies is widely perceived as beneficial for export performance.

Product diversification is another area that marketing focuses a lot, more specifically in order to achieve greater success and more brand power. International organizations need to decide when to initiate involvement to measure the possibilities of success of new products or new countries to enter in the mix.

Part 3: Case Study: NESTLE

Company ProfileNestle S. A. is a Swiss multinational food and beverage company headquartered in Vevey, Switzerland. It is the largest food company in the world measured by revenues.

Nestlé has around 450 factories, operates in 86 countries, and employs around 328,000 people. They have their headquarters in Switzerland and their objective is to “To be the leader in Nutrition Health and Wellness, and the industry reference for financial performance, trusted by all stakeholders.”

They have the Philosophy of value for each individual in the company: “We believe that it is only possible to create long- term sustainable value for our shareholders if our behavior, strategies and operations are also creating value for the communities where we operate, for our business partners and, of course, for our consumers. We call this “Creating Shared Value”” (Strategy-Nestle Roadmap to good food, good life).

The NESTLE company is one of the most powerful known brands in the world and dominates their market easily.

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a. The General Organizational Structure

Illustration 1. Corporate Governance, obtained from Corporate Governance Report 2013.

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b. Products/Services

Nestlé's products include baby food, bottled water, breakfast cereals, coffee, confectionery, dairy products, ice cream, pet foods, and snacks.

Illustration 2. Nestle brands, obtained from Convergence Alimentaire

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c. Competitors

Nestle competes with other packaged foods companies as well as store brands from retailers such as Safeway, Wal-Mart Stores and Walgreen Company (Hoovers, 2014). Nestlé’s major competitors are:

Unilever: a Dutch company that produces packaged foods and products for the home and personal care markets. Unilever is one of Nestlé’s largest international competitors.

Kraft Foods: a U.S. company that produces packaged foods products. Kraft is one of Nestlé’s largest U.S. based competitors. In early 2010, Kraft bought Cadbury Schweppes, creating the largest candy company in the world and strengthening Kraft's international presence. Cadbury Schweppes is a U.K. company that produces products for the confectionery and non-alcoholic beverages markets; they compete with Nestlé’s beverage and confectionery products internationally and in the U.S.

GROUPE DANONE: a French company that produces packaged foods and beverages. Group DANONE competes with Nestle internationally and in the U.S.

Hershey Foods: a U.S. company that produces chocolate and sugar confectionery products. Hershey Foods competes with Nestlé’s confectionery brands mostly in North America.

Part 4: Analysis (Major problems/opportunities facing the company in the area of your interest: International Marketing)

a. Brand: Image of the brand lessening in power.

Nestlé’s brand is a powerful one right now. They are the biggest food company in the world by revenues and everywhere around the globe the brands of their products are well known and respected. The problem starts when different difficulties in products with their quality had started to emerge, making the company an ethical threaten corporation, with their moral question and brand affected.

Morality and Ethics in their products are starting to affect the brand but also competition is affecting the brand. Now a days, there are a lot of companies with the same standards and quality measures as Nestlé which makes the brand lessen their power. Examples come from new products or equally powerful brands attacking Nestlé’s marketing area,

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such examples as Starbucks coffee now selling their product for homemade threatening Nescafe coffee.

Accentuate the brand and maintaining their name as successful and standard for quality has to be a priority.

b. Promotion:

Whether to standardized or localize their promotions is a very good question for the future of Nestlé. In the actual operational concept, Nestlé has made their marketing strategy to localize everything in an aura of a brand that is international which has had many problems.

c. Product Diversification :

Nestlé has a grand quantity of different brands and products, involve in making of different and very diverse food and health products. Now their focus is starting to evolve into cosmetics, acquiring all Galderma which is a market that they don’t understand. In the future, the company will start evolving in that line of products (cosmetics) which is something that the company have to take carefully because that market is very saturated. Also, the possibilities of more products is a possibility which is an opportunity for the company to take.

d. Causes of the Problems

Brand:

Morality and Ethics involved in future appreciation of the brand:

Infant food controversy: Nestlé’s controversy in the involvement of their products in the deaths of third world babies is something that has weaken the brand.

The pamphlet was entitled “Nestlé Kills Babies,” and accused Nestlé of unethical and immoral behavior involving the selling of breast milk substitutes that where contributing to the death of babies. Most of the charges set upon Nestle and other companies that sell this products involved bad advertising: marketing of these products had discourage breast feeding among third world countries leading to poor alimentation of babies, malnutrition and death.

This controversy has made Nestlé not only a criticized company but also has made the brand less trustworthy, which has made many people to stop using not only this product but all products involve in the brand.

Horse Meat Scandal: Another scandal in the products of Nestlé, when there were found more than 1% of horse meat in products sold by the company Nestle has withdrawn products in Italy, Spain and France after tests revealed traces of equine DNA. This condition in the quality of

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their product had made the brand suffer by making people suspicious of what there are eating and making them stop buying the products of the brand.

This two example of morality problems in the brand are threaten to the power of the brand continuing in the future. Nestlé has to foresee their possible problems and start working in eliminating every questionable opportunities to become bad seen by moral standards of customers.

Quality Standardized in the market

In time, food market standard quality has become less and less differentiated. This condition has made the brand loose a little of its power because there is no special distinction in their quality.

Promotion:

Moral and Ethically promoting advertising:

As in the causes of brand lessen power, and example of morally question promotion that have consequences in the marketing of products of Nestlé is the Infant food controversy; bad advertising marketing of these products had discourage breast feeding among third world countries leading to poor alimentation of babies, malnutrition and death.

This is just an example of bad promotion that can affect the products their trying to sell and Nestlé has to be careful to stop from happening.

Local promotion problems:

The marketing mix of Nestlé differs from country to country, making Nestlé a company with local marketing adaptations. Products like the Kit Kat are produced in flavors specially designed for a country making their economies of scale lose their power.

Customization is the key to Nestlé’s global brand identity rather than universalism, which means Nestlé uses global brand identity but, from the internal point of view, it uses local ingredients and other technologies that resonate with the local environment and brand name that is known globally. The problem with these is that not all local ingredients have had the quality needed internationally which has lowered the standards of the brand.

Nestlé gives autonomy to its local branches based in different countries to make pricing decisions, and distribution decisions. The customization of Nestlé’s products causes many hindrances in carrying out its distribution of products from local farmers to factories. Finding the perfect combination between standardized marketing and local marketing has been a difficulty for Nestlé operations. To maintain a well-known global brand but a local emphasized strategy it’s the goal to achieve.

New innovative ways to promote the product :

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As every good company in the world, Nestlé has to innovate in their promotion with their customers. Because the competition is increasing and the advertising and distributional channels are becoming more uniform, the challenge for Nestlé is to find better, more innovative ways to get to their clients.

Product Diversification:

Galderma/New cosmetic approach

Nestle SA paid $3.6 billion yesterday to take full control of Galderma, the dermatology business that revives skin. Galderma will become part of a new division known as Nestle Skin Health SA giving Nestle market development into health care, a sector that promises faster growth and wider profit margins than the Swiss company’s main food business.

New product markets undeveloped:

The actual products develop by Nestle in expertise include food and health with a new spin off in Cosmetic. Taking this into account, there’s a world of possibilities for Nestlé to introduce themselves to a new development of market products. Even more, Nestlé could take advantage of their expertise in these areas to start developing products that accompany the actual ones to get to the same customers with more products.

Constant leadership in their existing industries:

The leadership of Nestle in the areas they are present is unquestionable. It seems evident, after maintaining market leadership they look to the opportunities other industries present for them. When a company is successful with all the products they have, growth can only came from diversifying its portfolio, trying to aim at new potential markets, that result from and strategic analysis of their opportunities.

e. Solutions of each problem

Brand

Evidently, the problems regarding their brand with Nestle are rooted to deeper issues in the company than just single and simple mistakes. In both cases, horse meat and milk, if the company had thought about their customers and the general well being of the community, these problems would not have occurred. Nestle should be extra careful regarding their reputation, since it is a company with a strong market position and with high expectations from its customers. Also, some of the products the company sells, such as food and baby products, are more sensitive and customers are more health concerned about them. This is the reason why Nestle should not sacrifice quality, or in the baby milk example: trust, for more sells and profits.

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In this case, what Nestle can do to avoid future problems and to regain customer trust and confidence, is to implement a rather recent mentality or set of values for the company called “Conscious Capitalism”.

Conscious capitalism is defined as the reorientation of business focused solely on the pursuit of profits to one focused on integrity, higher standards, and serving all stakeholders such as employees, suppliers, customers, investors, the community, and the world at large. Conscious Capitalism embodies the pursuit of a higher purpose than just business as usual. Conscious Capitalism assumes that the fundamentals of capitalism must change if global businesses, communities and governments are going to thrive (Conscious Capitalism, 2014).

Kip Tindell (CEO of the Container Store) and John Mackey (co-CEO of Whole Foods Market) co-founded Conscious Capitalism Alliance in 2007.

Promotion:

Because the mayor problem in promotion is that the message of the products or campaigns gets bad interpreted (whether because of morality problems or local interpretations) the most fitted solution would be standardized their promotion in every country so that they can make sure that the message they want to convene is the same to everyone.

An standardized promotion (with the same advertising, sales force approach, presentation and media strategy) would make not only the message easily to distribute but also easily to produce and it will make sure that what is say is not misunderstood.

The key to this standardization would be make each of these advertising localized in actors.* (To further explanation go to implementation of the solutions, “Promotion”)

Product Diversification:

We see this as an opportunity of growth for the company. A successful product diversification strategy requires proper and accurate targeting of market to be able to increase the overall sales of the company.

Effective product diversification needs accurate target market as well as product differentiation. Brainstorming the potential markets can help obtain the best possible strategy for product diversification. They have to consider the demographic differences like age and gender and features as well as the geographic differences. Then, based on the brainstorming, they can make a research about the viability of the new products. Ensure that the new products are aligning with the different markets. Conduct product trials, focus surveys, and surveys to ensure the success of the product prior its launch.

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Another option to make an efficient product diversification is with an strategic alliance. If Nestle is entering a new market and doesn´t know anything about it, a partnership whit a company that has experience in the field and knows about the client preferences and needs.

f. Implementation of the solutions

Brand

The core principles of a conscious business are:

· Deeper Purpose: every business has a deeper purpose than merely profit maximization.

· Stakeholder Model: focuses on delivering value to all of its stakeholders and works to align and harmonize the interests of customers, employees, suppliers, investors, the community, and the environment to the greatest extent possible.

· Conscious Leadership: management embodies conscious leadership and fosters it throughout the organization. (Conscious Capitalism, 2014).

Managers of Nestle Company must reinforce the company values to the greatest extent:

“We believe in people rather than systems

We are committed to creating value for our shareholders but we won’t favour quick-wins at the expense of long-term business development

We are committed to continuous improvement

Above all, we are pragmatic” (Nestlé, 2014)

These values call for a greater commitment to society as a whole. In the case of horse meat, for example, they were valuing short term gains, which is completely against the company’s philosophy. It must be top priority for managers to reinforce these values through the entire company, in order to make sure that there will not be any more tradeoffs in decision making where customers’ safety or quality of the products are being compromised.

Promotion

Standardized advertising: To make the same production of advertise with the same idea, same or partially same script and same message of the product. This will make the misunderstandings reduce.

It is important to maintain the idea of localize product to include in this advertising local actors to make the idea of the advertising being only for the country or for the region.

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Standardized message: to make sure that the message of the product is for the same kind of customer, same kind of social class and same kind of personality in every country. To brand the product as something of a special class of people. To make sure that the message is universal.

Product Diversification

Before deciding for product diversification is necessary to do an analysis to know the reasons behind it. This analysis will help to understand if the company has the necessary elements to carry out the plan, and deciding on whether or not is a viable option.

Choosing the area of diversification is a tricky process, but the company has to keep in mind the best way to be successful is choosing areas that are related or are supporting industries to the industry of their existing products. Also, target growing markets with a free competition and low level of substitute products is a good strategy because that means there is not a lot of brand loyalty and the clients can be lured if they are offered a different product that offers the same things.

For the strategic alliance part, we think a good way to implement this will be partnering with a relative small-medium company that has had presence in an industry for several years and know the market. In this case, Nestle will put all the capital requirements they need to do it and the other company will put the knowledge and expertise in the industry.

Perhaps doing a strategic alliance with a big company of the industry they plan to enter will not be a good idea, specially because the big companies probably would not be attracted by this.

g. Consequences of the solutions

Brand

By implementing the conscious capitalism philosophy in the daily operations and decision making of the company, Nestlé will be able to avoid future problems in which the quality and name of its brand won’t be compromised.

Some people argue that implementing conscious capitalism may be expensive and may lower profits, and hence it is better to follow the classic philosophy that the main purpose of the company is to increase the value for their stockholders. However, there are other experts that believe that it is better otherwise: according to Nielsen’s “Global Survey on Corporate Social Responsibility,” 43% of global consumers said they are willing to spend more for a product or service that supports a cause (King, 2014).

Promotion

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If the promotion gets standardized most of the localize jokes, the special cultural references and interpretations to the information will be missed. If you see any language or country oriented advertise you would have seen all the varieties of that commercial because every one of them would be the same.

Morally undesired interpretations of the promotion would stop happening. Also, commercials and panoramic would be better think of because of the impact they would have making them. Nestlé could argument that if anything goes bad in a country is because of the culture and not of the message because the other countries did get the message right and that would stop their fault.

Product Diversification

The immediate consequence will be a reduction of capital, because they are going to need it to implement the product trials, surveys, focus groups and everything necessary for the new product to be launch.

A long term consequence wil be an increase in the companies revenues assuming the product is succesful, or on the other hand a decrease in it if the product fails.

A consequence of and strategic alliances will be access to new and different technology, as well as knowledge of the industry they are planning to enter. As well as new channels of distribuiton, all these to final mean of increasing brand awareness as well as having access to a new customer base.

Part 5: ConclusionThis project was an interesting work for us to made, because it involved not only our learning of the class but also our interpretation of how to solve this problems and our creativity to look for future problems and solutions.

We enjoy the challenge of thinking we were managers in International Marketing of Nestlé (or more accurately in the company, Strategic Business Units, Marketing and Sales) and that every decision we took could have consequences for the company, whether good or bad.

We also loved that we got to know more about Nestlé because we are fans of the brand (mostly of Kit Kat) and the area of International Marketing which we have a particular like.

We think that these project make us understand better the theory seen in class and made it more tangible for us, more real. Now we think we understand more what a project for the future means, what it means to be an international manager (or a manager which happens to have international affairs in their area) and to look for solutions of things before the problem occurs. We are better students of international

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project managing because now we understand our capacities to decide and the implications of that decisions in a company.

ReferencesAcerenza, M. A. (2007). Marketing Internacional. Mexico: Editorial Trillas.

Amstrong, G. &. (2008). Fundamentos de Marketing. Mexico: Pearson.

Boyle, M. (12 de february de 2014). Nestle’s Galderma Skin-Care Buy Shows Health Challenge. Obtenido de http://www.bloomberg.com/news/2014-02-12/nestle-s-galderma-skin-care-buy-shows-health-challenge.html

Brick Marketing. (27 de abril de 2014). Obtenido de http://www.brickmarketing.com/define-branding.htm

Business Monitor International. (09 de April de 2014). Global Company Strategy - Nestlé. Recuperado el 18 de April de 2014, de Business Monitor International: www.businessmonitor.com

Convergence Alimentaire (2014).

Une poignée de compagnies contrôle l’industrie alimentaire. Recuperado el 08 de April de 2014, de Convergence Alimentaire: http://convergencealimentaire.info/

Doole, I., & Lowe, R. (2008). International Marketing Startegy. London: Cengage Learning.

Galderma. (s.f.). Obtenido de http://www.galderma.com/News/articleType/ArticleView/articleId/56/Nestle-Skin-Health-Is-Created-Targeting-Global-Skin-Health-Needs

General Organization. (s.f.). Obtenido de Nestle: http://www.nestle.com/asset-library/documents/library/documents/about_us/ebm-december-2013.pdf

Helfand, C. (12 de feb de 2013). Nestlé plans to use its global marketing juju to rev up Galderma. Obtenido de http://www.fiercepharmamarketing.com/story/nestl-plans-use-its-global-marketing-juju-rev-galderma/2014-02-12

Hoovers. (2014). Nestlé S.A. Competition. Recuperado el 17 de April de 2014, de Hoovers A D&B Company: http://www.hoovers.com/company-information/cs/competition.Nestl%C3%A9_SA.6a719827106be6ff.html

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Horsemeat: Nestle Withdraws Products In Scandal. (19 de february de 2013). Obtenido de Sky News: http://news.sky.com/story/1053906/horsemeat-nestle-withdraws-products-in-scandal

Hultman, M., Katsikeas, C., & Robson, M. (2011). Export Promotion Strategy and Performance: The Role of International Experience. American Marketing Association Vol. 19, 24.

Metafuse, Inc. (2014). 5 Basic Phases of Project Management. Recuperado el 08 de April de 2014, de Project Insight: http://www.projectinsight.net/project-management-basics/basic-project-management-phases.aspx

Nestle – International Strategy. (s.f.). Obtenido de https://blsciblogs.baruch.cuny.edu/mgt4880nestle/2013/04/08/nestle-international-strategy/

Nestle Worldwide. (s.f.). Obtenido de Nestle: http://www.nestle.com/aboutus/globalpresence

Nestle Corporate Governance Report. (s.f.). Obtenido de Nestle: http://www.nestle.com/asset-library/documents/library/documents/corporate_governance/corp_governance_report_2013_en.pdf

Nestlé: The Infant Formula Controversy. (s.f.). Obtenido de Case 1-2: http://www.paceth.com/ibus/nestle_case.pdf

Project Management Institute. (2014). What is Project Management? Recuperado el 08 de April de 2014, de PMI: http://www.pmi.org/About-Us/About-Us-What-is-Project-Management.aspx

Strategy - Nestlé Roadmap to Good Food, Good Life. (s.f.). Obtenido de Nestle: http://www.nestle.com/aboutus/strategy

Villanova University. (2014). What is Project Management? Recuperado el 08 de April de 2014, de Villanovau: http://www.villanovau.com/what-is-project-management/

What is creating share value? (s.f.). Obtenido de Nestle: http://www.nestle.com/csv/what-is-csv

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Annex 1 (SWOT)

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StrengthsKey player in the majority of the world's most important markets.In latest financial year, generated 36.4% of its revenues from EMs.

Strong portfolio of brands and well-developed product development

facilities.'Popularly positioned products'

well-placed to benefit from rising affluence among low-income

consumers.Predicted the rise in healthy eating

and functional food categories; Particular hedge on nutritional

health trends from recent acquisitions in the pharma space and increasing R&D spending. Low debt burden will help with

other acquisitions.

WeaknessesBottled water sales have been hit by the downturn and increased concerns about the product's

environmental impact.Nestlé's presence in Asia is

perhaps not as impressive as might be expected.

Spending on advertising and marketing generally below that of

its peers.Revenue growth has been less

dynamic than for several of Nestlé's smaller peers.

OpportunitiesPotential to capitalise on the

ongoing health and wellness trend, through the promotion of nutrition

and pharmaceutical products.Strong opportunity to fill the gap in

consumption seen in some categories (mainly coffee and milk

products) in large EMs. Rising incomes will present greater

opportunity to expand sales through premiumisation across all

categories.Further acquisitions and expansion in frontier markets, such as Sub-

Saharan Africa and Central America.

ThreatsPrivate labels are stealing market share in product categories with

less added value. Divestment from L'Oreal will limit

the company's exposure to personal care products (apart from

Galderma).Exposed to fluctuations in the

price of commodities and currencies, with low incomes in EMs limiting the extent to which

price increases can be passed on. Secondary slowdown in China

and/or US and longer than expected stagnation in

Europe would put pressure on sales in many global markets.