chocolate industry final presentation - nestle

8/2/2019 Chocolate Industry Final Presentation - Nestle

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John J. Ortolano

Henri Nestl


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Company Product Line


3/19

Competitive Breakdown


4/19

Brand Recognition


5/19

Product Line Projections

With the current socio-economic crises effective the Ivory Coast, a majorprojection within the confectionary industry will be involving the decrease

of cocoa production causing the industry to learn towards alternative

ingredients in production and/or changes to the product overall

One of the ways to reduce the overall cost of the production of the

chocolate is to pump air into the products to displace what would be

solid chocolate, and being able to call it lighter.


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Financial Performance

During the current economic times, Nestle has

been faced with a decline averaging 5.88% per

year

2011 2010 2009 2008 2007

Sales (in millions) 83,642 93,015 107,618 109,908 107,552


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Key financial ratios


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Competitive Conclusion

Nestle stands among its competitors quite

strongly through product development and

innovation

Although they have faced declining

profitability over the past few years, industry

wide theyre still remaining profitable and

competitive.

Ranked 3rd largest chocolatier in the world


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Projected revenue and cost changes

Over the next 10years, Nestle has positioned themselves for

many small changes to secure their desire for 5-6% organic

growth per year

Revenue changes emerging market from within the third

world segment

Cost Changes decreasing supply of cocoa beans and labor

restrictions are going to drive up cost


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Value Chain

Although every aspect of the value chain are import to Nestle, the one

that stands out above the rest are the Consumer Needs because theyre

ever evolving, and Nestle stands on the forefront of knowing what

consumers want. Consumer insights and Nutrition, Health and Wellness

benefits are the starting points for their research and innovation pipelines

across all business and product categories.


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Alliances

The Rainforest Alliance - to help protect the

biodiversity of our delicate ecosystem

Girls Scouts of America to release a

collaboration cookie candy bar


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S.W.O.T.


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A $240 Billion Opportunity


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Business Model for Development

Independent businesses, each independently strong and flexible, following

its own rules, with business-specific knowledgeable management and a

specific structure so that it can be competitive and successful.


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Business Model for Development

Specific business models for increased competitiveness

Dynamic, entrepreneurial market teams

Linked R&D and open innovation

Leveraging Group scale manufacturing & Services theefficient support structure

Increased transparency to drive flawless execution


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Strategy


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Strategy


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Thank You!

Any Questions?

chocolate industry final presentation - nestle

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