Nescafe
Name: Class: Roll Num: Date: 19th April, 2015
EXECUT!E "U##AR$ Nescafe’s is a big brand extension of Nestle operating with 72% of 73% total market share of instant coffee in the world. Currently it has its product operating in !! countries and in each country the brand is positioned according to the local needs and psychological wants of consumers. "t has four ma#or international competitors $axwell $occona a&a''a and (i&a but out of all (i&a is the one with strong potential to compete with increasing its market share. Nescafe is a powerful brand with a lot of strengths some weaknesses and threats but still are many opportunities a&ailable to them. )olitical economic social and technological conditions are supporti&e due to its strong roots in the countries and terms with go&ernments. "t attracts people from all *+Cs with different different price ranges for products. ,urther Nescaf- plays a great deal with positioning massi&e ad&ertisement and huge distribution networks. he new product that " will launch is fla&oured milk /*ips0. "t will be launched in four different fla&ours $ango Chocolate Caramel and *trawberry in a bottle of 2!1 ml. "t links directly to the people who want to drink #uices or fla&oured milks to become healthy and en#oy at the same time. "t will go great in the market as it will create its awareness through the massi&e ad&ertisements and after creating the hype it will launch with four different fla&ours to meet the taste of target market. *egmentation would be on the basis of age mainly and then gender and positioning and market strategy with promotions will help to acuire the interest of targeted audience.
Table of Contents Contents "ntroduction...................................................................................................................................... )+*+ 4nalysis............................................................................................................................3 )olitical5.......................................................................................................................................3 +conomic5....................................................................................................................................3 *ocial5..........................................................................................................................................3 echnology5.................................................................................................................................6 +n&ironmental5............................................................................................................................6 egal5...........................................................................................................................................6 *wot 4nalysis..................................................................................................................................6 *trengths5.....................................................................................................................................6 eaknesses5.................................................................................................................................! 8pportunities5..............................................................................................................................! hreats5........................................................................................................................................9 *egmentation and )ositioning *trategy...........................................................................................9 *egmentation5..............................................................................................................................9 )ositioning *trategies5.................................................................................................................9 4ustralia5......................................................................................................................................9 $alaysia5......................................................................................................................................7 :nited *tates of 4merica5............................................................................................................7
"ndustry 4nalysis hrough )orter ,i&e ,orces................................................................................7 4ustralia5......................................................................................................................................7 hreat of ;uyers5.....................................................................................................................7 hreat of *uppliers5.................................................................................................................7 (i&alry5....................................................................................................................................< hreat of New +ntrants5...........................................................................................................< hreat of *ubstitutes5...............................................................................................................< $alaysia5......................................................................................................................................< hreat of ;uyers5.....................................................................................................................< hreat of *uppliers5.................................................................................................................= (i&alry5....................................................................................................................................= hreat of New +ntrants5...........................................................................................................= hreat of *ubstitutes5...............................................................................................................= :nited *tates of 4merica5............................................................................................................= hreat of ;uyers5.....................................................................................................................= hreat of *uppliers5...............................................................................................................1 (i&alry5..................................................................................................................................1 hreat of New +ntrants5.........................................................................................................1 hreat of *ubstitutes5.............................................................................................................1 >alue Chain of Nescafe.................................................................................................................1
Consumer Needs5.......................................................................................................................1 Nutrition (esearch5........................................................................... ......................................... ?e&elopment5............................................................................................................................. @uality and *afety5.................................................................................................................... Consumption5............................................................................................................................. )orter’s >alue Chain......................................................................................................................2 "nfrastructure5............................................................................................................................2 Auman (esource $anagement..................................................................................................2 " ?epartment............................................................................................................................2 )rocurement...............................................................................................................................2 "nbound ogistics......................................................................................................................2 8perations..................................................................................................................................3 8utbound ogistics....................................................................................................................3 *ales and $arketing..................................................................................................................3 *er&ices......................................................................................................................................3 Current $arket *trategy................................................................................................................3 $ission and Boals.........................................................................................................................3 $arketing $ix...............................................................................................................................6 )roduct5......................................................................................................................................6 )ricing5.......................................................................................................................................6
Cost eadership5....................................................................................................................6 )lace5..........................................................................................................................................6 )romotion5.................................................................................................................................! Conclusion.....................................................................................................................................! New )roduct......................................................... ................................................. ........................ 9 )roduct5......................................................................................................................................9 )rice...........................................................................................................................................9 )lace5..........................................................................................................................................9 )romotions5................................................................................................................................9 $arket *trategy and )ositioning5..............................................................................................7 4nsoff $atrix............................................................................................................................7 *egmentation5............................................................................................................................7 arget $arket.............................................................................................................................7 C8NC:*"8N..............................................................................................................................7 (eferences......................................................................................................................................= 4ppendix........................................................................................................................................23 ?iagram No )+*+ 4nalysis............................................................................................23 *ummary able )+*+ 4nalysis5........................................................................................23 ?iagram No 2 *8 4nalysis5.............................................................................................26 *ummary able *8 4nalysis5...........................................................................................26
?iagram No 3 )orter’s ,i&e ,orces $odel5............................................................................2! *ummary able )orter ,i&e ,orces $odel.............................................................................2! ?iagram No 6 >alue Chain5....................................................................................................29 ?iagram No 6DaE >alue Chain5...............................................................................................29 ?iagram No ! )roduct ife Cycle5.........................................................................................27 ?iagram No 9 ;CB $atrix5...................................................................................................27 ?iagram No 7 4nsoff $atrix5.................................................................................................2<
<
NTR%DUCT%N Nescafe is a product of the known multinational ,$CB Company Nestle that has been efficacious in attaining the market share for instant coffee. he word Nescafe has been deri&ed from the two words Nestle and Caf- and was launched in =31’s for the first time. 4t present Nescafe is the market leader and a highly consumed drink after CocaFCola )epsi and ;udweiser. 4 wide range of Nescafe coffees are a&ailable for its consumers with &arious tastes. he regular product range of Nescaf- includes5 Nescaf- Classic Nescaf- 3in Nescaf- Cold (ange and Nescaf- +spresso whereas the premium range includes5 Nescaf- 4lta (ica Nescaf- Cap Columbie Nescaf- ?ecaf Nescaf- *pecialties (ange Nescaf- ?olce Busto and Nescaf- Breen ;lend DNescafe.com 21!E. Nescafe coffees are a&ailable in !! different counties DNescafe.com 21!E. Nescafe penetrates into its targeted market by focusing on the people that are brand oriented rather than system oriented. he products are launched in accord ing with the needs and lifestyles of people with the focus on their regular li&es and as well the occasions they indulge themsel&es into. Nescafe always attempts to look for the loyal customers and to capture new and retain old it keeps it focuses on reno&ation and inno&ation of the instant coffee extensions. 8ut of total 73% coffee market Nestle has occupied a market share of 72% D*ri&asta&a 216E. $a#or competitors of the Nescaf- include $axwell $occona (i&a and a&a''a. $axwell sells its coffee now in the #oint &enture with )epsiCo and it focuses on mature coffee drinkers with high class lifestyle. $occona as well is an expensi&e coffee targeting people between ages 2! to 91 years with high disposable income. a&a''a targets the young females with its international campaigns. (i&a focuses on younger lot of people that mostly includes
2 students and amongst all the competitors (i&a has highest threat to Nescafe as its target market is becoming loyal to it and is extending on an ongoing basis. he pricing structure of (i&a is also uite similar to Nescafe and it is enhancing its market share as the younger brand DCoroflot 216E.
3
&E"TE' ANA'$"" &olitical:
"n U"A it works with go&ernment to control diabetes and obesity in Australia it impro&es uality of life for its consumers through focusing on economic de&elopments and in #ala(sia it works for health and nourishment with the &ision of nourishing $alaysia DCakir
216E.
Eco)omic:
"n U"A, it works for farmers and communities ensuring that the econom y in which it operates is strong. "n Australia this mega giant is one of the high tax payers to the go&ernment ser&ing as the strong support and in #ala(sia it’s one of the big #ob pro&iders leading to the decrease in rate of unemployment so economic conditions are always fa&ourable for it DCakir 216E.
"ocial:
"n U"A it works for the rural areas educational facilities for the children of farmers with some literacy and numeracy courses for rural people. "n Australia it is one of the good #ob pro&iders and in #ala(sia &arious initiati&es are taken out for the peop le with bad or poor health to bring them back to life. ,urther in all the countries it has implemented a strategy of Breenwash in its factories leading towards lesser carbon omissions and water withdrawal bringing it fa&ours from the social sector DCakir 216E.
6 Tech)olo*(:
Nescafe has a strong financial position and therefore it’s always able to cope up with technological ad&ancements. "n all the countries U"A, Australia and #ala(sia, all of its products pass through extensi&e research and de&elopment and uality tests before getting launched in to the market DCakir 216E.
E)+iro)me)tal:
+n&ironmental conditions in U"A and Australia are fa&ourable for the Nescafe whereas #ala(sia is a tropical place coffee is more seasonal there DCakir 216E.
'e*al:
Nescafe being a top coffee manufacturer always employs the correct food ingredients and also follows the ,ood *tandards 4gency D,*4E guidelines in all the countries DCakir 216E.
"%T ANA'$"" his section elaborates strengths weaknesses opportunities and threats for the brand in U"A, #ala(sia and Australia. 4s the brand has common *8 in all the countries so they are
all mentioned together.
"tre)*ths:
he strengths of the brand include5
•
Nestle 4 strong globally established parent brand.
!
•
• • •
+xcellent market presence with &isibility and a&ailability to the customers with strong distribution networks. $assi&e ad&ertisements of the brands. Aigh control on the uality of products. 4 large number of products a&ailable for consumers with &arious tastes and prices DGure&icius 213E.
ea-)esses:
• • • •
Nescafe has a price point system of portfolio. 4s a distribution network is huge a lot of money is paid to the sales team. ;eing a market giant it has to pay a big amount of tax. Aealth conscious people a&oid drinking coffee as it includes a strong dosage of caffeine DGure&icius 213E.
%pportu)ities:
•
ith strong and established brand name they can establish tieFups with other
•
corporations. 4s they focus on the local needs and they ha&e acuired the ma#or market share they can
•
play with the price to meet the demands. ith strong roots in to economy they can establish their outlets anywhere reuired D4rif 213E.
Threats:
• • • •
$a#or threats are the people conscious towards coffee and caffeine. 4nother threat could be its growing global competitors. :sage rate is low in the countries with high preference towards the tea. )rice inflation leading to the o&erall increase in prices D4rif 213E.
9
"E.#ENTAT%N AND &%"T%NN. "TRATE.$ "e*me)tatio):
Nescafe segments its consumers on the basis of demographics and psychographics. "n U"A, segmentation is done on the basis of age gender tastes and income le&el. "n Australia,
consumers are segmented on the basis of psychographics such as keeping their needs for relations and connections in mind and in #ala(sia, again psychographic segmentation is done keeping in mind the disco&ering nature of customers.
&ositio)i)* "trate*ies:
Australia:
"n 4ustralia Nescaf- is positioned as the drink that helps the people to connect with each other. "t focuses on the emotional appeal by emphasi'ing the coffee with relationships DNescafe.com.au 21!E.
#ala(sia:
"n $alaysia Nescaf- is positioned as the drink that wo uld lead to the re&olution. hey position Nescaf- as a drink that could be en#oyed with family or friends anyone but the drink would lead to disco&ering something important and special. hey emphasis through positioning on drinking it and disco&ering what special comes out or de&elops DNescafe.com.my 21!E.
7 U)ite/ "tates of America:
"n :nited *tates of 4merica it is positioned as the brand that meets the taste of all the people with its wide range in the coffee fla&ours. "t is positioned as the perfect toast and no matter what the taste of consumer it Nescaf- has a product for it Dasterschoice.com 21!E.
NDU"TR$ ANA'$"" TR%U. &%RTER !E %RCE" Australia:
Threat of Buyers:
Nescafe is the leading brand in 4ustralia with low threat of buyers. >ery few local and international competitors are a&ailable to the consumers to switch with such a wide &ariety that is offered by Nescaf- products.
Threat of Suppliers:
hreat of suppliers is moderate. he uality of coffee depends upon the uality of raw materials pro&ided by the farmers so Nescaf- focuses on b uilding strong relations with its farmers Dangley 213E.
Rivalry:
(i&alry within the industry is faced by a large number of local coffee ,$CB companies and the international competitors. (i&alry is high but Nescafe maintains to keep its position in the market.
< Threat of New Entrants:
hreat of new entrants is low as it includes high fixed costs and barriers to exit are uite high as well. herefore a company can only enter on a small le&el and for a broader scale a strong distribution with a massi&e in&estment is reuired. ,urther as Nescaf- has settled itself in the market it is not easy for the companies to enter and acuire the customers.
Threat of Substitutes:
hreat of substitutes is moderate. here is a good number of local and international substitutes a&ailable but through the Nescafe’s strong positioning and massi&e a&ailability substitutes are not able to compete at this le&el Dang ley 213E.
#ala(sia:
Threat of Buyers:
hreat of buyers is high in $alaysia. hough it acu ires !3% of the market share but as there are many substitutes a&ailable to the consumers.
Threat of Suppliers:
hreat of suppliers is high as suppliers ha&e good sources to sell raw materials too so to retain the market share it is must for the brand to keep good relations with suppliers and farmers DestCoast )ublic (elations *dn. ;hd. 213E.
= Rivalry:
(i&alry within the industry is high with tough competition. here is a presence of lot of international and local competitors.
Threat of New Entrants:
hreat of new entrants is low as there the fixed costs of entering the business and barriers to exit are high.
Threat of Substitutes:
hreat of substitutes is high. 4 big number of competitors with 67% market share are operating within the national industry DestCoast )ublic (elations *dn. ;hd. 213E.
U)ite/ "tates of America:
Threat of Buyers:
hreat of buyers is high. hough Nescafe stays the market leader still a lot of substitutes are a&ailable to the consumers.
Threat of Suppliers:
hreat of suppliers is moderate. Nestle focuses on establishing strong economic fa&ours for its suppliers for all of its brand extensions.
1 Rivalry:
(i&alry within the industry is high due to the presence of strong competitors in the market.
Threat of New Entrants:
hreat of new entrants is low. +ntering the market of instant coffee reuires high uality massi&e distribution huge marketing budgets and wide a&ailability therefore making it difficult for the brands to enter and compete on a large scale.
Threat of Substitutes:
"t is moderate as Nescafe stays the market leader b y capturing loyal customers and its massi&e marketing campaigns DNisen 216E.
!A'UE CAN % NE"CAE his &alue chain of Nescaf- is followed globally. DNestle 21!E.
Co)sumer Nee/s:
"dentifying and understanding the needs and wants of consumer through research sur&eys and keeping the health and nutrition priority those products are produced that could completely satisfy the today’s consumer DNestle 21!E.
Nutritio) Research:
4fter e&aluating the consumer needs nutrition research is conducted to scientifically analyse the right nutrients are used in the right amount so that the produced product can meet the nutritional needs of consumers DNestle 21!E.
De+elopme)t:
his method includes con&ersion of scientific disco&eries in to real p roducts. echnological reuirements and standards as per Nestl-’s (H? department are e&aluated DNestle 21!E.
ualit( a)/ "afet(:
"n this step methods are de&eloped to test ingredients and products throughout the process of production in all stages from raw material to finished product. @uality managers ensure that superior uality and safety standards are met DNestle 21 !E.
Co)sumptio):
4fter the completion of production product is launched in to the market. hen once a product is launched an initiati&e is launched for rigorous consumer tasting to guarantee that consumers are happy with the uality and taste of product. 4fter the feedback products are reno&ated to the satisfaction DNestle 21!E.
2
&%RTER3" !A'UE CAN "t is same for all the countries U"A, #ala(sia and Australia4 he process of &alue chain is below5
)frastructure:
Nescafe’s infrastructure is designed in a way that its factories lead to rural de&elopment in all the countries U"A, #ala(sia and Australia . hey ha&e modern and highly euipped factories with automated systems DNestle 216E.
uma) Resource #a)a*eme)t
Auman resource management is one of the success keys for Nescafe. alented and efficient workforce is hired keeping in mind the need of the company.
T Departme)t
he processes are systems are automated through " and softwares in all states.
&rocureme)t
Aigh uality raw materials are incorporated to manufacture high uality food products.
)ou)/ 'o*istics
here are &arious factors that come under this category include pricing transportation fuel deli&ery time production material.
3 %peratio)s
"n this process coffees are processed and packed DNestle 21!E.
%utou)/ 'o*istics
hen the finished products are mo&ed to the shops retailers and wholesalers.
"ales a)/ #ar-eti)*
*ales teams work shop to shop to sell Nescafe products on daily basis and massi&e ad&ertisements are done to attract consumers from all the areas DNestle 21!E.
"er+ices
8&erall a great ser&ice is pro&ided to the customers and country.
CURRENT #AR6ET "TRATE.$ Nescafe is a consumer focused brand with ma#or emphasis on the needs of consumers and this is how it targets them specifically according to their needs. ,or exa mple in Australia it focuses on relationships "n #ala(sia the emphasis is on disco&ering special things and bringing re&olutions and in U"A it focuses on satisfying tastes D4rena 216E.
#""%N AND .%A'" he ma#or &ision and mission of all Nestle products is to become a leader in nutrition and create good food and good life for the people. hough missions in &arious co untries differ but the ma#or goals of Nescaf- include brining high uality products to the people that meet the highest
6 standards of nutrition and satisfy their psychological needs. 4nother goal includes the use of ingredients that bring taste and pleasure DNestle 21!E.
#AR6ETN. #X &ro/uct:
Nescafe offers a big range in the coffees and in each country the range is specified as per the needs of consumers. hether it’s 4ustralia :*4 or $alaysia Nescaf- is the market leader though it differentiates in its product range. 4ccording to the ;CB matrix it falls under the category of *tar in these countries with high market share and high market growth. "f we compare it to the globa l market still it could be considered as the *tar brand for Nestle with high market and growth rate. "ts products are at the initial stages of maturity D>e&ey 216E.
&rici)*:
Cost Leadership:
Nescafe focuses on being the cost leader by offering all range of products for people from &arious social economic classes. 4 good number of products are a&ailable for the people from younger age group *+C ; and *+C 4I D$arketing = 216E.
&lace:
Nescafe has its products in !! countries of the world. "n all the countries Nescaf- is the market leader with massi&e distribution network and sales team so that the products are a&ailable to e&eryone at e&ery retail outlet h ypermarket and store D$arketing = 216E.
! &romotio):
)romotions are designed depending on the target market and positioning. "n 4ustralia the focus in on connections in $alaysia it is on (e&olution and in :*4 the ad&ertisements emphasis on taste DNa&eed 216E.
C%NC'U"%N 4fter the complete analysis on Nescafe’s marketing structure it could be concluded that it is big brand extension operating with 72% of 73% total market share of instant coffee in the world. Currently it has its product operating in !! countries and in each country the brand is positioned according to the local needs and psyche of consumers. "t has four ma#or international competitors but out of all (i&a is the one with strong potential to compete with increasing its market share. Nescafe is a powerful brand with a lot of strengths and few weaknesses and still are many opportunities a&ailable to them. )olitical econo mic social and technological conditions are supporti&e due to its strong roots in the countries and terms with go&ernments. "t is focused on consumers with all types of products with different prices that attract people to it from all *+Cs. ,urther Nescaf- plays a great deal with positioning massi&e ad&ertisement and huge distribution networks.
9
NE &R%DUCT &ro/uct:
he new product that " will launch is fla&oured milk /*ips0. "t will be launched in four different fla&ours $ango Chocolate Caramel and *trawberry in a bottle of 2!1 ml.
&rice
he pricing strategy that will be used is market skimming. "t w ill be launched with a higher price and its price will decrease with the increase in market share.
&lace:
"t will be a&ailable at all mega retail outlets and hyper markets.
&romotio)s:
> ad&ertisements along with billboards and print maga'ine ads will be used for its promotions. ,irstly hype will be created before its launch through sampling and awareness campaigns and then after the launch promotional campaigns will be designed and launched to bring more people to the product.
7 #ar-et "trate*( a)/ &ositio)i)*:
$arket strategy is that it will position itself as a drink for people who p refer healthy lifestyle as it is all made of milk and fresh fruits. ,urther through the market skimming it will target the *+C 4 of its economy.
A)soff #atri7
he strategy that is used is ?i&ersification as it includes a launch of new product in to the new market.
"e*me)tatio):
arget market will be segmented on the basis of gend er and age mainly.
Tar*et #ar-et
he target market for this product is children youngsters and old age people who prefer to drink healthy drinks. he ma#or chunk of the target market is youngsters as it a product that will pro&ide them energy and all the healthy nutrients they need.
C%NC'U"%N /?rink that brings to you #oy and health0 his tagline is proposed by my own self. "t links directly to the people who want to drink #uices or fla&oured milks to become healthy and en#oy at the same time. 8&erall it could be concluded that the product will go great in the market as it will create its awareness through the massi&e ad&ertisements and after creating the hype it will launch with four different fla&ours to
< meet the taste of target market. *egmentation would be on the basis of age mainly and then gender and positioning and market strategy with promotions will help to acuire the interest of targeted audience.
=
REERENCE"
4rena N. 216. Nescafe's International Advertising Strategy, s.l.5 s.n. 4rif *. 213. SWOT ANALYSIS OF NESCAFE, s.l.5 s.n. Cakir $. 216. PEST Analysis J8nlineK 4&ailable at5 https5LLmehmetcakir=.wordpress.comLpestFanalysisL J4ccessed < 4pril 21!K. Coroflot 216. !A"T#$% & Coroflot J8nlineK 4&ailable at5 http5LLs3images.coroflot.comLuserMfilesLindi&idualMfilesL3273M
SWOT analysis of Nestle J8nlineK
4&ailable at5 http5LLwww.strategicmanagementinsight.comLswotFanalysesLnestleFswotFanalysis.html J4ccessed < 4pril 21!K. angley *. 213. Nescafe still n()er one in instant coffee J8nlineK 4&ailable at5 http5LLausfoodnews.com.auL213L17L1
21 %2,www.geocities.ws %2,na&eeddear66%2,Nescafe.docHeiPha'QNo3gat79gR4"HusgP4,@#CNBu&hM2i"Cyal#wi )N)G,Me@4Hb&mPb&.=171=d.R: J4ccessed = 4pril 21!K. Nescafe.com.au 21!. Welco(e to te World of Nescafe J8nlineK 4&ailable at5 https5LLwww.nescafe.com.auL J4ccessed < 4pril 21!K. Nescafe.com.my 21!. -oin te Coffee "evoltion J8nlineK 4&ailable at5 http5LLwww.nescafe.com.myL J4ccessed < 4pril 21!K. Nescafe.com 21!. All yo .ant to *no. a)ot coffee J8nlineK 4&ailable at5 https5LLwww.nescafe.comLnescafeMenMcom.axcms J4ccessed < 4pril 21!K. Nescafe.com 21!. Nescafe in Yor Contry J8nlineK 4&ailable at5 https5LLwww.nescafe.comLcountryMselectorMenMcom.axcms J4ccessed < 4pril 21!K. Nestle 216. Nestl/ re0ort reveals rral develo0(ent i(0act of its factories J8nlineK 4&ailable at5 http5LLwww.nestle.comLmediaLnewsandfeaturesLnestleFreportFre&ealsFruralFde&elopmentF impactFofFitsFfactories J4ccessed 27 4pril 21!K. Nestle 21!. Cons(er Needs J8nlineK 4&ailable at5 http5LLwww.research.nestle.comLresearchandinno&ationL&aluechainLconsumerneeds J4ccessed = 4pril 21!K.
2 Nestle 21!. Cons(0tion J8nlineK 4&ailable at5 http5LLwww.research.nestle.comLresearchandinno&ationL&aluechainLconsumption J4ccessed = 4pril 21!K. Nestle 21!. 1evelo0(ent J8nlineK 4&ailable at5 http5LLwww.research.nestle.comLresearchandinno&ationL&aluechainLde&elopment J4ccessed = 4pril 21!K. Nestle 21!. Nestl/ "oad(a0 to 2ood Food, 2ood Life J8nlineK 4&ailable at5 http5LLwww.nestle.comLaboutusLstrategy J4ccessed = 4pril 21!K. Nestle 21!. Ntrition "esearc J8nlineK 4&ailable at5 http5LLwww.research.nestle.comLresearchandinno&ationL&aluechainLnutritionresearch J4ccessed = 4pril 21!K. Nestle 21!. 3ality and Safety J8nlineK 4&ailable at5 http5LLwww.research.nestle.comLresearchandinno&ationL&aluechainLualityandsafety J4ccessed = 4pril 21!K. Nestle 21!. 4ale Cain J8nlineK 4&ailable at5 http5LLwww.research.nestle.comLresearchandinno&ationL&aluechainLhome J4ccessed = 4pril 21!K. Nisen $. 216. A(erica loves 5&c0s, )t instant coffee rles te .orld J8nlineK 4&ailable at5 http5LL'.comL2173!6LamericaFlo&esFkFcupsFbutFinstantFcoffeeFrulesFtheFworldL J4ccessed < 4pril 21!K. *ri&asta&a ". 216.
Te !ar*s(an, s.l.5 s.n.
22 asterschoice.com 21!. Find Yor Perfect "oast J8nlineK 4&ailable at5 http5LLwww.tasterschoice.comL J4ccessed < 4pril 21!K. >e&ey 216. Fll&Year #$%67 89: Organic 2ro.t, Trading O0erating Profit !argin 0 #$ )asis
0oints, 0 8$ )asis 0oints in constant crrencies J8nlineK 4&ailable at5 http5LLwww.nestle.comLmediaLpressreleasesLallpressreleasesLfullFyearFresultsF213 J4ccessed = 4pril 21!K. estCoast )ublic (elations *dn. ;hd. 213. NESCAF; still fres and strong after <= years J8nlineK 4&ailable at5 http5LLwww.nestle.com.myLmediaLpressreleasesLallpressreleasesL213MnescafeM7!yearMmediaMlaunch J4ccessed < 4pril 21!K.
23
A&&ENDX Dia*ram No 1 8 &E"TE' A)al(sis
"ummar( Tale 8 &E"TE' A)al(sis:
Cou)tries
&E"TE' )olitical +conomical *ocial echnological +n&ironmental egal
U"A
Australia
#ala(sia
Aighly ,a&ourable ,a&ourable ,a&ourable Aighly ,a&ourable $oderate $oderate
,a&ourable ,a&ourable ,a&ourable ,a&ourable $oderate $oderate
Aighly ,a&ourable ,a&ourable ,a&ourable Aighly ,a&ourable ess ,a&ourable ,a&ourable
26 Dia*ram No 2 8 "%T A)al(sis:
"ummar( Tale 8 "%T A)al(sis:
"tre)*ths Nestle 4 strong globally established parent brand
+xcellent market presence with &isibility and a&ailability to the customers with strong distribution networks
$assi&e ad&ertisements of the brands.
Aigh control on the uality of products
4 large number of products a&ailable for consumers with &arious tastes and prices
ea-)esses Nescafe has a price point system of portfolio
%pportu)ities Threats ith strong and $a#or threats are the established brand people conscious name they can towards coffee and establish tieFups with caffeine other corporations 4s a distribution 4s they focus on the 4nother threat could network is huge a lot local needs and they be its growing global of money is paid to the ha&e acuired the competitors sales team ma#or market share they can play with the price to meet the demands ;eing a market giant it ith strong roots in to :sage rate is low in has to pay a big economy they can the countries with high amount of tax establish their outlets preference towards the anywhere reuired tea Aealth conscious )rice inflation leading people a&oid drinking to the o&erall increase coffee as it includes a in prices strong dosage of caffeine
2! Dia*ram No 8 &orter3s i+e orces #o/el:
"ummar( Tale 8 &orter i+e orces #o/el
Cou)tries
U"A
Australia
#ala(sia
Aigh $oderate Aigh $oderate ow
ow $oderate Aigh $oderate ow
Aigh Aigh Aigh Aigh ow
&orter i+e orces hreats of ;uyers hreat of *uppliers (i&alry hreat of *ubstitutes hreat of +ntrants
29 Dia*ram No 8 !alue Chai):
Dia*ram No ;a< 8 !alue Chai):
27 Dia*ram No 5 8 &ro/uct 'ife C(cle:
Dia*ram No = 8 >C. #atri7: