Question

What does it mean to be a global organization? Why is nestle organization global?

Discuss the main success factors of the global brand(nestle) . What is the marketing strategy, competitors and competitive advantage?

Discuss the concept of globalization vs. customization and the measures taken by the nestle to recognize that offerings and communication should be adapted to local preferences and conditions. Support your answer with solid examples.

Discuss the main challenges faced by the nestle in brand building such as positioning, communication, environmental change, product life cycle, brand equity, market share, consumer behavior, etc ..

Answer 1

Answer(1):

Global organization- It means around the world. Global organization is a company which has its operations in the other country also except its origin country. Companies that operate globally, also called global organization.

Nestle is a global organization because it has presence in many countries of the world. Nestle operates globally. It operates in 189 countries.

Answer(2):

Success factors of Nestle-

Marketing strategies of Nestle- Are as following:

• It has diversified brand portfolio of 6000 brands
• It has strong R&D capabilities
• It has built a strong brand image and brand value that is uses to increase sales.
• Its tag line is "Good food, Good life".
• Its highly sold product is Maggi that it claims to be ready in 2 minutes.

Competitors of Nestle-Are as following:

• ConAgra foods
• General Mills
• Kraft Foods
• Unilever
• Kellog
• Pepsico

Competitive advantage of Nestle- Research and development is the key competitive advantage of Nestle. Its R&D expenditure is $89.772 Billion that is about 1.90% of its revenue. Company has reduced waste, packing material usage to keep the environment clean. It has strong geographic presence with 29% market share in USA, it operates in more than 189 countries.