INTRODUCTION

Nestlé India is a subsidiary of Nestlé S.A. of Switzerland. With seven factories and a

largenumber of co-packers, Nestlé India is a vibrant Company that provides consumers in India

withproducts of global standards and is committed to long-term sustainable growth and

shareholdersatisfaction.The Company insists on honesty, integrity and fairness in all aspects of

its business and expectsthe same in its relationships. This has earned it the trust and respect of

every strata of society thatit comes in contact with and is acknowledged amongst India's 'Most

Respected Companies' andamongst the 'Top Wealth Creators of India'.Nestlé's relationship with

India dates back to 1912, when it began trading as The Nestlé Anglo-Swiss Condensed Milk

Company (Export) Limited, importing and selling finished products inthe Indian market.

After India's independence in 1947, the economic policies of the Indian Government

emphasisedthe need for local production. Nestlé responded to India's aspirations by forming a

company inIndia and set up its first factory in 1961 at Moga, Punjab, where the Government

wanted Nestléto develop the milk economy. Progress in Moga required the introduction of

Nestlé'sAgricultural Services to educate, advise and help the farmer in a variety of aspects.

Fromincreasing the milk yield of their cows through improved dairy farming methods, to

irrigation,scientific crop management practices and helping with the procurement of bank

loans.Nestlé set up milk collection centres that would not only ensure prompt collection and pay

fairprices, but also instil amongst the community, a confidence in the dairy business.

Progressinvolved the creation of prosperity on an on-going and sustainable basis that has resulted

in not just the transformation of Moga into a prosperous and vibrant milk district today, but a

thrivinghub of industrial activity, as well. For more on Nestlé Agricultural Services.Nestlé has

been a partner in India's growth for over nine decades now and has built a very

specialrelationship of trust and commitment with the people of India. The Company's activities

in Indiahave facilitated direct and indirect employment and provides livelihood to about one

millionpeople including farmers, suppliers of packaging materials, services and other goods.The

Company continuously focuses its efforts to better understand the changing lifestyles of India

and anticipate consumer needs in order to provide Taste, Nutrition, Health and Wellnessthrough

its product offerings. The culture of innovation and renovation within the Company andaccess to

the Nestlé Group's proprietary technology/Brands expertise and the extensivecentralized

Research and Development facilities gives it a distinct advantage in these efforts. Ithelps the

Company to create value that can be sustained over the long term by offeringconsumers a wide

variety of high quality, safe food products at affordable prices.Nestlé India manufactures

products of truly international quality under internationally famousbrand names such as

NESCAFÉ, MAGGI, MILKYBAR, KIT KAT, BAR-ONE, MILKMAIDand NESTEA and in

recent years the Company has also introduced products of dailyconsumption and use such as

NESTLÉ Milk, NESTLÉ SLIM Milk, NESTLÉ Dahi and NESTLÉJeera Raita.Nestlé India is a

responsible organisation and facilitates initiatives that help to improve thequality of life in the

communities where it operates.

1.1 HISTORY OF NESTLE

Nestle is one of the major food and beverages company in the world. It was established in1867

by Henry Nestle, who was a trained pharmacist. The introduction of the company inthe market

was through the development of an alternative source of infant nutrition for mothers who were

unable to breast feed and named it as Farine Lactee Nestle. He chosehis surname 'Nestle' which

means a 'little nest' for his company's name logo.In 1904 Nestle introduced its chocolates in the

market. But when the availability of rawmaterials reduced during the First World War, Nestle

purchased lot of factories in U.S andincreased their production to twice as their pre-

war production. Immediately, after the end of the war consumers switched back their choice to

fresh milk due to which Nestle recorded itsfirst loss. However they streamlined their operations

and brought production in line withsales and thereby dropping the debts.The 1930's saw Nestle

introducing several new products like Milo and Nescafe. Nestleachieved considerable growth

after the end of Second World War because of diversificationwithin the food sector. The sales of

Nescafe instant coffee quadrupled between 1960 and1974.In 1980's Nestle drew flak from many

organizations on account of promotion of infantformula over breast feeding which allegedly

led to death of infants in less developedcountries. The boycott of Nestle products was suspended

in 1984 after Nestle agreed tocomply with the international code.Nestle had major acquisitions of

the Italian mineral water company San Pellegrino, SpillersPet Foods in UK in the year 1990's,

and Ralston Purina in 2002. Nestle also formed amerger with Anglo-Swiss Condensed Milk

Company with the aim of widening its productrange and merged its ice cream business with

Dreyer's in U.S.Since its entrance in the market, Nestle has prospered in various product

innovations andbusiness achievements due to which it had become the major Food and Nutrition

Companyin the world. In 2010, Nestle was also recognised as the top 4th Innovative

Companyamong the Innovative companies for food for by the Fast Company Magazine.Nestle

has introduced a wide range of products like chocolates, soups, coffee, cereals,frozen products,

yoghurts, mineral water, food products, pet foods, pharmaceutical productsand even cosmetics in

the family of NESTLE. They diversified beyond food industry byacquiring a major share

in L'Oréal cosmetics and acquired an American pharmaceuticalcompany, Alcon Industries. In all

these products one common outcome is the high quality of NESTLE

Nestlé processing units in India

After nearly a century-old association with the country, today, Nestlé India has presence across

Indiawith 7 manufacturing facilities and 4 branch offices spread across the region.

Nestlé India’s first production facility, set up in 1961 at Moga (Punjab), was followed soon after

by its second plant, set up at Choladi (Tamil Nadu), in 1967. Consequently, Nestlé India set up

factories inNanjangud (Karnataka), in 1989, and Samalkha (Haryana), in 1993. This

was succeeded by thecommissioning of two more factories - at Ponda and Bicholim, Goa, in

1995 and 1997 respectively. Theseventh factory was set up at Pantnagar,Uttarakhand,in2006.

The 8th Factory was set up at Tahliwal, Himachal Pradesh, in 2012.The 4 branch offices in

the country help facilitate the sales and marketing of its products. They are inDelhi, Mumbai,

Chennai and Kolkata. The Nestlé India head office is located in Gurgaon, Haryana.

Nestlé S.A. announced the establishment of the first R&D Centre in India in 2010, a part of

theglobal R&D network. The foundation stone for the new Centre was unveiled on 22nd

of September, 2010, in Manesar, Haryana.Mr. Subodh Kant Sahai, Honourable Minister of Food

Processing Industries, Government of India, was the Chief Guest for the ceremony. Also present

at the ceremony were His ExcellencyMr. Philippe Welti, Ambassador of Switzerland, Mr. Ashok

Sinha, Secretary for Ministry of Food Processing Industries, Mr. Klaus E. Zimmermann, Global

Head of R&D Centres, NestléS.A., and Mr. A. Helio Waszyk, Chairman and Managing Director,

Nestlé India Limited. Mr.Zimmermann commented that the event not only marked Ne

stlé‟s continuing long-term commitment to R&D, but also celebrated the building of Nestlé‟s

first R&D Centre in India. He mentioned that the R&D Centre would allow Nestlé to offer

consumers in India and beyond, thechoice of tasty, healthy, and nutritious

 products. Mr. Waszyk emphasized that the Nestlé Board‟sdecision to establish an R&D Centre

in India at the request of Nestlé India, would be an additional competitive advantage. It would

help accelerate the Company‟s growth and at the same time contribute towards reducing

nutritional deficiencies in the country.

 

 

Architects’ impression of the facility, expected to be fully functional in 2012

Better nutrition for India is a perpetual challenge. It's meaning changes with the

country‟s stageof development, the degree of social awareness, and scientific consensus. The

new Nestlé R&Dfacility in India will help develop great tasting food solutions that are relevant

for consumers inIndia, creating products that take the promise of taste and health to a broader

economic and social section than ever before. It will also strengthen Nestlé‟s leadership in

emerging marketsand fortify Nestlé India‟s position as the leader in Nutrition, Health and

Wellness.

 Ms. Shivani Hegde, Chairperson of R&D India and also Head of the Foods Business,

reiteratesthat Nestlé India has always had Research and Development support from the Nestlé

R&Dnetwork across the world, and now, with the foundation being laid for the new R&D Centre

inManesar, theCompany for part of its research, will benefit from a greater „Indian

consumer‟focus. “Having an R&D Centre close to the Nestlé India Head Office will bring

Research andDevelopment closer to Businesses, and reflects the Nestlé spirit of R&D-Business

partnershiptowards developing „Winning‟ concepts, suited to the local consumer. It will help

Nestlé R&D tobring out strong localised concepts that are in accordance with the Nestlé Group

thrust on„affordable Nutrition, Health and Wellness‟. Ultimately, these concepts will not just be

relevantfor emerging markets like India, but could be transferred to Nestlé worldwide.”

 Mr. Simon Robertson, Head of R&D India, sees that the target to complete the building in

2012is a challenging one, but one that the team is set to deliver. “Work on the building is moving

forward and day by day we see the progress on site as we start to create the latest R&D Centre.At

the same time, we are also building bridges with local institutions and government bodies

thatwill give us a deeper understanding of the products needed in India and to support our future

development programmes."* This pictorial representation does not purport to be the political

map of India.

India is a subsidiary of Nestle S.A. of Switzerland. Nestle India manufactures a variety of food

products such as infant food, milk products, beverages, prepared dishes & cooking aids,

andchocolates & confectionary. Some of the famous brands of Nestle are NESCAFE,

MAGGI,MILKYBAR, MILO, KIT KAT, BAR-ONE, MILKMAID, NESTEA, NESTLE Milk,

NESTLESLIM Milk, NESTLE Fresh 'n' Natural Dahi and NESTLE Jeera Raita.Nestle was

founded in 1867 in Geneva, Switzerland by Henri Nestle. Nestle's first product was"Farine

Lactee Nestle", an infant cereal. In 1905, Nestle acquired the Anglo-Swiss CondensedMilk

Company. Nestle's relationship with India started 1912, when it began trading as TheNestle

Anglo-Swiss Condensed Milk Company (Export) Limited, importing and selling

finishedproducts in the Indian market.After independence, in response to the then economic

policies, which emphasized localproduction, Nestle formed a company in India, namely Nestle

India Ltd, and set up its firstfactory in 1961 at Moga, Punjab, where the Government wanted

Nestle to develop the milkeconomy. In Moga, Nestle educated and advised farmers regarding

basic farming and animal husbandry practices such as increasing the milk yield of the cows

through improved dairy farming methods, irrigation, scientific crop management practices etc.

Nestle set up milk collection centres that ensured prompt collection and paid fair prices. Thus,

Nestle transformed Moga into a prosperous and vibrant milk district.In 1967, Nestle set up its

next factory at Choladi (Tamil Nadu) as a pilot plant to process the teagrown in the area into

soluble tea. Nestle opened its third factor in Nanjangud (Karnataka) in1989. Thereafter, Nestle

India opened factories in Samalkha (Haryana), in 1993 and two in Goaat Ponda, and Bicholim in

1995 and 1997 respectively. Nestle India is now putting up the 7thfactory at Pant Nagar in

Uttarakhand.Today, Nestle is the world's largest and most diversified food company. It has

around 2,50,000employees worldwide, operated 500 factories in approximately 100 countries

and offers over8,000 products to millions of consumers universally.

History of Nestlé

Nestlé began in Switzerland in the mid 1860s when founder Henri Nestlé created one of the

firstbaby formulas. Henri realized the need for a healthy and economical product to serve as an

alternative for mothers who could not breastfeed their babies. Mothers who were unable

tobreastfeed often lost their infants to malnutrition. Henri‟s product was a carefully

formulatedmixture of cow‟s milk, flour and sugar. Nestlé‟s first product was called Farine

Lactée(“cornflour gruel” in French) Henri Nestlé. The product was first used on a prema

ture baby who

 could not tolerate his mother‟s milk or other alternative products of that time. Doctors gave

upon treating the infant. Miraculously the baby tolerated Henri‟s new formula and it provided

thenourishment that saved his life. Within a few years the first Nestlé product was marketed

inEurope.In 1874 the Nestlé Company was purchased by Jules Monnerat. Nestlé developed its

owncondensed milk to contend with its competitor, the Anglo-Swiss Condensed Milk Company.

TheAnglo-Swiss Condensed Milk Company made products like cheese and instant formulas.

Thetwo companies merged in 1905, the year after Nestlé added chocolate to its line of foods. The

 newly formed Nestlé and Anglo-Swiss Milk Company had factories in the United States,

Britain,Spain and Germany. Soon the company was full-scale manufacturing in Australia

withwarehouses in Singapore, Hong Kong and Bombay. Most production still took place in

Europe.The start of World War I made it difficult for Nestlé to buy raw ingredients and

distributeproducts. Fresh milk was scarce in Europe, and factories had to sell milk for the public

needinstead of using it as an ingredient in foods. Nestlé purchased several factories in the U.S.

tokeep up with the increasing demand for condensed milk and dairy products via government

contracts. The company‟s production doubled by the end of the war. When fresh milk became

 

available again after the war, Nestlé suffered and slipped into debt. The price of ingredients

wasincreasing, the economy has slowed and exchange rates deteriorated because of the war.An

expert banker helped Nestlé find ways to reduce its debt. By the 1920s Nestlé was creatingnew

chocolate and powdered beverage products. Adding to the product line once again, Nestlé

 developed Nescafé in the 1930s and Nestea followed. Nescafé, a soluble powder,

revolutionizedcoffee drinking and became an instant hit.With the onset of the Second World

War, profits plummeted. Switzerland was neutral in the warand became increasingly isolated in

Europe. Many of Nestlé‟s executive officers weretransferred to offices in the U.S. Because of

distribution problems in Europe and Asia, Nestléopened factories in developing countries in

Latin America. Production increased dramaticallyafter America entered the war. Nescafé became

a main beverage for the American servicemen inEurope and Asia. Total sales increased by $125

million from 1938 to 1945.Nestlé continued to prosper, merging with Alimentana S.A., a

company that manufactured soupsand seasonings, in 1947. In the coming years, Nestlé acquired

Crosse & Blackwell, Findusfrozen foods, Libby‟s fruit juices, and Stouffer‟s frozen foods.

Nescafé instant coffee salesquadrupled from 1960 to 1974, and the new technology of freeze-

drying allowed the company tocreate a new kind of instant coffee, which they named Taster‟s

Choice.

 Expanding its product line outside of the food market, Nestlé became a major stockholder in

L‟Oréal cosmetics in 1974. Soon after the company suffered with increasing oil prices and the

slowing growth in industrialized countries. Foreign exchange rates decreased, in turn reducingthe

value of sterling, the pound, dollar and franc. Prices of coffee beans and cocoa rose

radically,presenting further problems for Nestlé. The company decided to venture into the

pharmaceuticalindustry by acquiring Alcon Laboratories, Inc. While trying to deal with unstable

economicconditions and exploring its new ventures, Nestlé faced the crisis of an international

boycott.

Many organized groups began boycotting allof Nestlé‟s products because they disapproved of 

Nestlé marketing its baby formula in developing countries. Problems like illiteracy and

povertycaused some mothers to use less formula than recommended. In a watered down formula,

vitalnutrients are lessoned. Contaminated water presented another problem, since the formulas

had tobe mixed with water. The organizations argued that the misuse of formula resulted in

themalnutrition or death of many infants in developing countries.According to Nestlé the World

Health Organization never made statements tying infant death ormalnutrition with baby

formulas. The company didn‟t deny the superiority of breastfeeding andagreed that substituting

breast milk for other substances could be very dangerous. Nestléexplained that breastfeeding and

non-breastfeeding mothers in developing countries often gavetheir babies whole cow‟s milk, tea,

cornstarch, rice water or a mix of flour and water. Thesealternatives were very unhealthy and a

nutritional baby formula was a better choice. Nestlé says

 that it has never discouraged breastfeeding when it was possible. Nestlé agreed to follow

theInternational Code in developing countries in 1984, and the boycott was suspended. It

resumedseveral years later when the organizations believed Nestlé was sending free or low cost

babyformulas to developing countries. Nestlé said it only sent formula to countries that

allowdonations for orphans, multiple births, and babies with no access to breast milk. The

companyhas stopped all public advertising for formula in developing countries for almost 20

years. The boycott continues to some extent to this day without satisfactory resolution.By the

1980s Nestlé had a new Chief Executive Officer. The company focused on improving

itsfinancial situation and continuing to expand. In the one of the largest takeovers at that

time,Nestlé bought Carnation for $3 billion and parted with any unprofitable businesses.

Internationaltrade barriers diminished in the 1990s, opening trade with parts of Europe and

China. In the1990s Nestlé acquired San Pellegrino, and Spillers Petfoods of the UK. With the

acquisition of Ralston Purina in 2002, the Nestlé-owned pet care businesses joined to form the

industry leaderNestlé Purina PetCare. The leading in the food industry, Nestlé brings in $81

billion in overallsales and has 470 factories around the world. Nestlé will continue to grow,

introduce newproducts and renovate existing ones. The company‟s mission is to focus on long

-term potentialover short-term performance.

Nestlé’s Main Brands

 Nestlé expands across many different markets including beverages, ice cream, baby

foods/formulas, soups, frozen foods, snacks, pet care and of course candy. Some of Nestlé‟s

main brands include:· Kit Kat, Butterfinger, Smarties, Crunch, Quality Street, Milkybar/Galak,

TollhouseNestea, Nescafé, Taster‟s Choice, Nesquick, Carnation, Libby‟s

 

 

OPERATIONS

Nestlé has been a partner in India's growth for over nine decades now and has built avery special

relationship of trust and commitment with the people of India. TheCompany's activities in India

have facilitated direct and indirect employment andprovides livelihood to about one million

people including farmers, suppliers of packaging materials, services and other goods.

 

The Company continuously focuses its efforts to better understand the changinglifestyles of India and anticipate

consumer needs in order to provide Taste, Nutrition,Health and Wellness through its product offerings. The culture

of innovation andrenovation within the Company and access to the Nestlé Group's proprietarytechnology/Brands

expertise and the extensive centralized Research andDevelopment facilities gives it a distinct advantage in these

efforts. It helps theCompany to create value that can be sustained over the long term by offeringconsumers a wide

variety of high quality, safe food products at affordable prices.

 

Nestlé India manufactures products of truly international quality under internationally famous

brand names such as

NESCAFÉ, MAGGI, MILKYBAR, MILO, KIT KAT,BAR-ONE, MILKMAID

and

NESTEA 

and in recent years the Company has alsointroduced products of daily consumption and use such as

NESTLÉ Milk 

,

NESTLÉSLIM Milk 

,

NESTLÉ Fresh 'n' Natural Dahi

and

NESTLÉ Jeera Raita

.

Nestlé

ndia is a responsible organization and facilitates initiatives that help to improve thequality of life in the

communities where it operates.

PRESENCE IN INDIA

Beginning with its first investment in Moga in 1961, Nestlé‟s regular and substantial

investments established that it was here to stay. In 1967, Nestlé set up its next factoryat Choladi

(Tamil Nadu) as a pilot plant to process the tea grown in the area intosoluble tea. The Nanjangud

factory (Karnataka), became operational in 1989, theSamalkha factory (Haryana), in 1993 and in

1995 and 1997, Nestlé commissioned twofactories in Goa at Ponda and Bicholim respectively.

Nestlé India has commissioned in2006 its 7th factory at Pant Nagar in Uttarakhand.

 

BRANDS

MILK PRODUCTS AND NUTRITION

EVERYDAY DAIRY WHITENER 

EVERYDAY GHEE

MILK 

SLIM MILK 

SILM MILK 

NEVISTA PRO-HEART MILK 

FRESH „n‟ NATURAL DAHI

FREAH „n‟ NATURAL SLIM DAHI

JEERA RAITA

NESVITA DAHI

MILKMAID FRUIT YOGHURT

MILKMAID

MILKMAID FUNSHAKES

NIDO

BEVERAGES

NESCAFE CLASSIC

SUNRISE PREMIUM

SUNRISE SPECIAL

CAPPUCCINO

MILO SMART PLUS READY 

TO- DRINK 

CED TEA WITH GREEN TEA

NESTEA ICED TEA

PREPARED DISHES AND COOKING AIDS

MAGGI 2 MINUTE NOODLES

VEG ATTA NOODLES

RICE NOODLES MANIA

CUPPA MANIA

SAUCES

PICHKOO

PIZZA MAZZA

MAGIC CUBES

BHUNA MASALA

COCONUT MILK POWDER 

HEALTHY SOUPS

HEALTHY SOUP-SANJEEVNI

CHOCOLATES AND CONFECTIONERY =·

KIT-KAT

KIT-KAT CHUNKY 

MUNCH

MUNCH POP CHOC

MILKYBAR 

MILKYBAR CHOO

BAR-ONE

MILK CHOCOLATE

POLO

ECLAIRS

MILKYBAR ECLAIRS

 

NESTLE & COMMUNITY 

 

Nestlé India has always focused on long term, sustainable and profitable growth andhelped

communities around its factories to improve their quality of life in a similar

 manner. Nestlé Agricultural Services has used the experience gained by Nestlé acrossthe world to set up a system

of direct and efficient contact with the farmers. Company  veterinarians and agronomists supervise the

milk routes and advise farmers on variousissues including proper feed for the herds. Milk storage

facilities have been set up closeto the farmers. Veterinary services are provided free, and

medicines provided

at wholesale cost. The company assists farmers in artificial insemination programs for

OBJECTIVE

Evaluating company‟s performance relating to distribution channel.

To identify the strengths and weakness of the company.

To find out selection criteria of channel of company.

To find out how company manage their product and distribution.

From the analysis of distribution channel management, knowing how to

managedistribution for day to day requirement.

To identify how they satisfying their customer

 

 CHAPTER-6 RESEARCH METHODOLOGYRESEARCH METHODOLOGY

 

Research is a systematic and objective analysis and record of controlled observation thet

maylead to development of knowledge, principle and theory.Research is the method of studying,

analyzing and conceptualizing social life in order toverifying, modifying, and correcting

knowledge, weather that knowledge is for practices ortheory.Research is systematic and

objective way of finding answer to question or solution of theproblem. The marketing research is

a process involve number of interrelated activities, whichoverlap and do rigidly follow particular

sequence. It consist of the following step:-

Formulating the objective of the study.

Designing the method of data collection.

Selecting the sample plan.

Collection of data.

Data analyzing.

RESEARCH DESIGN

Research design is the method and process of analyzing information needed. It is frame workof

the project that analyze what information is to be collected from what source and

whatprocedure.Research design is the plan structure and strategy of investigating conceived so as

to obtainanswer to research question and to control variance. The research design constitutes the

blueprint for the collection, measurement and analysis of data.I have chosen the descriptive

research design.

DESCRIPTIVE RESEARCH DESIGN:-

Descriptive research also known as statistical research, describes data and characteristicsabout

the population or phenomenon being studied. Descriptive research answers thequestions who,

what,where, when and how...In descriptive research, researcher must able to define clearly, what

he want to measure andmust find adequate method for measuring it along with a clear cut

definition of population hewant to study. The descriptive study may be concerned with the

attitude or views of

apeopletoward any thongs e.g. attitude toward presidential form of government, right to strike,ca

pital punishment, collage autonomy e.t.c

Collection of data is preliminary step in enquiry. There are two type of data through whichwe

collect the information and execute the result afterward.

•

 

Primary data,

•

 

Secondary data.

PRIMARY DATA

It is the information which has never been discovered or found out or available in written

format.This data or information is totally new and help very efficiently to solve the

unansweredquestion. such data are original in character and are generated in large number of

surveysconducted mostly by government or by individuals, institution and

research bodies.Following are the method of collecting primary data:-

Interview

Questionnaire

Observation

Group discussion

SECONDARY DATA

Secondary data is the information which has been already found out by someone or availablein

written format. As the data is already published and known in general is called secondary

data.We use secondary data for collection of information in project.We get secondary data from:-

Internet

Books

Magazines

Newspaper

And many more.Here we done analysis on the basis of secondary data, which includes:-

industry profile

•

Company profile

•

Information about Product and services

•

Distribution channel of the company e.t.c.

Suggestions

•

NESTLE should improve its customer service. As it plays an important role in

attractingcustomers. Employees should be trained to handle customers.

•

The company should come forward with meaningful advertisements and

awarenesscampaigns to create awareness among customers regarding services and to

make thepopular amount the entire age and income groups.

•

Proper communication channel should be there between customer and the

company,especially in NESTLE. Product information has to be communicated to the

customer.There are many product of HINDUSTAN UNILIVER which are normal

customer isunaware off.

•

Company like HINDUSTAN UNILIVER should improve there network of

branches.They should enter the rural area which is a major part of Indian market.

•

The company as to improve the distribution channel of product and services so as

tosatisfying customer.

•

Company has to launch the new product of low range so that low income people can

alsobuy.

System should be simple to used, fast and user friendly. Service should we

standardizedso that wherever it is used the customer is familiar with the procedure

followed.Customer should have ready sources of advise, weather this is to call centers,

throughpublicity or through physical presence.

Conclusion

Most of the people are aware of the services given by the company either

NESTLEorHINDUSTAN UNILIVER. New generation people mostly prefer NESTLE services.

Here,advertisement plays advertisement plays a major role in making people aware of the

servicesoffered by the different company. New company and foreign company have entered the

market,which has made the competition intense. Innovative ways of marketing has to be use.

Theservice plays a very important role in attracting customers. Special care has to be taken

incustomer service. As we know that NESTLE is a private company so its brand image is

muchhigher than other company, and under this analysis also the NESTLE has very strong

marketingstrategy in comparison to HINDUSTAN UNILIVER. So from the above information I

analyzedthat nestle have more chance of success then HINDUSTAN UNILIVER. The

satisfaction level isalso more in NESTLE, from the research we conclude that normal person that

have low incomenot able to invest in NESTLE products. By Studying the recent developments

we can see thatboth company are contracting on a rural and urban area for business.So we can

conclude that both company are taking special marketing initiative to capture theRural market of

India. From this research we can conclude that NESTLE also has to take care ofthe weaker

section of the society, so there marketing strategies are restricted. From the researchwe also see

that distribution channel of the company are still not good so as to fulfill need of customer.

Websites:-

•

 

www.nestle.com

. 

•

 

WWW.hindustanuniliver.com

•

 

www.distributionchannelofnestle.com 

•

 

www.distributionchannelofhindustanuniliver.com 

Growth potential 

Nestlé recorded sales of CHF 1.4 billion in India in 2010. Its most popular brands are

 Maggi

, the country‟s

leader in instant noodles, and

 Nescafé 

instant coffee.

 Nandu Nandkishore, Nestlé‟s Executive Vice President and Zone Director for Asia, Oceania,

Africa and the

Middle East thinks there is much potential for further growth.

“India is a success story in the making,” he said. “It has a large, progressive populat

ion.

“Consumers trust our products for their high quality. Opportunities will continue to grow as

more and more people want to buy nutritious, branded food and beverages.”

 

Investment 

Nestlé India has invested USD 500 million to increase its capacities over the last two years.This

includes CHF 70 million in a  new manufacturing site   in Nanjangud to produce

 Maggi

products.

The construction of Nestlé‟s eighth factor 

y in Tahliwal, Himachal Pradesh, is progressing rapidly. Existingfactory sites in Moga,

Samalkha, Ponda and Bicholim are also being expanded.Nestlé S.A. is investing CHF 50 million

in a newresearch and development centre   in Manesar, Haryana, whichwill become operational

towards the end of 2012.

Scientific expertise

India faces significant nutritional challenges.The majority of Indian women and children suffer

from basic micronutrient deficiencies such as vitamin A, iron,iodine and zinc.At the same time a

large proportion of the population also suffers from non-communicable diseases such asobesity

and diabetes.Mr Nandkishore believes that tackling the double burden of under and over

nutrition will make a positive impact

on India‟s productivity and that Nestlé has a role to play in this.

 

“Nestlé is an integral part of India,” he continued. “Our unmatched research and developme

nt capabilities haveenabled us to create products which offer improved, affordable nutrition to

consumers in all segments of Indian

society.”

 

“With our expertise in science based nutrition, we can contribute significantly to

improving Indian consumers‟

health and wellbeing, as well as creating value for the economy.”

 

 Addressing micronutrient deficiency 

Nestlé is helping to address micronutrient deficiency among lower income consumers in India

and otheremerging markets with its affordable, fortified 

„Popularly Positioned Products ‟

(PPP).

 Nestlé‟s PPPs are smaller or „daily

-

 portion‟ packs designed to be boug

ht on a regular basis. They aremanufactured locally, using local raw materials to minimise value

chain costs.PPP products in India include the iron-, iodine- and vitamin A-fortified 

  Maggi Masala-ae-Magic

spice mix   and 

  Maggi 2-Minute Noodles

 with added calcium and protein.Nestlé India has a factory in Uttarakhand dedicated to PPP

production.The new Nestlé S.A. R&D centre in Manesar will also work predominately on PPPs.

Rural development 

Nestlé built its first Indian factory in Moga in 1961, developing milk production in the region.

The companynow has seven factories in the country.Over the years, Nestlé has helped to develop

the area around that first factory, setting up milk collection pointsand training farmers to improve

productivity and quality.

The company‟s agronomists provide farmers with technical support to impr 

ove  sustainable water management ,  including help with irrigation and rainwater

harvesting.Nestlé India has built more than 160 drinking water fountains in schools near its

factory in Moga, providingabout 65,000 students with access to clean water.The company has

also  improved the sanitation facilities  

in girls‟ schools close to the factory to encourage young

women to continue with their education.

These efforts are part of what Nestlé calls „Creating Shared Value‟, an approach to business that

aims to create

value for shareholders at the same time as for those communities where the company operates.

Latest Brand

NESCAFÉ GOLDOne whiff of NESCAFÉ GOLD'S intensely rich, captivating aromaand you know its coffee all others will be measured against.Rising above all to the highest standards set by coffee connoisseurs.Come indulge your senses with a truly precious coffee experience.BrandsNestlé India has many brands mostly in the food and beverages segment –many of itsbrands are household names in India. The several brands of Nestlé India can be dividedinto four categories. Please find below a list of main Nestlé India brands under corresponding categories.1 )   M I L K   P R O D U C T S   &   N U T R I T I O N NESTLÉ EVERYDAY NESTLÉ Milk NESTLÉ NESVITA  NESTLÉ Fresh „n‟ Natural  NESTLÉ CEREVITA NESTLÉ MILKMAID NESTLÉ NIDO2 )   C O F F E E   A N D   B E V E R A G E S NESCAFÉ NESTLÉ MILO NESTEA

3 )   P R E P A R E D   D I S H E S   &   C O O K I N G   A I D S MAGGI4 )   C H O C O L A T E S   &   C O N F E C T I O N E R Y NESTLÉ KIT KAT NESTLÉ MUNCH NESTLÉ MILKYBAR NESTLÉ BAR-ONE NESTLÉ Milk Chocolate POLO NESTLÉ EclairsNestlé has two popular brands –Cerelac and Lactogen –in infant food category butadvertisement for them is banned in India as per law. An important thing to note isNestlé follows anumbrella brandingstrategy where most of its brands have the name‘Nestlé’ associated with it and the same is true with its sub-brands as well.