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Good Food, Good Life

OVERVIEW
Nestlé is the world’s largest, most
diversified food and beverage
company. The company has a unique
global footprint and sells products in
188 countries worldwide.

SWOT
Incomparable skill in terms Disapproval voiced for
of R&D. excessive water use, tainted
Global reach and one of the food sales, anti- unionism,
most diverse income streams forced child labour, and
among similar companies. other unethical actions.
Superior variety of goods and Recalled foods due to
labels. contamination.
Efforts to preserve the
environment.
Holdings in some of the most
famous brands in the world.

The proper and clear Scarcity and low water


labelling of potentially quality.
dangerous goods. Increasing levels of rivalry in
Authenticity of the materials' the food and drink markets.
origins. It's possible that extreme
There are an increasing weather may drive up the
number of food-related firms price of coffee beans
in Silicon Valley. dramatically.
Rising demand for ready-to-
drink(RTD) beverages
including tea and coffee.

NESTLE ENTRY NEW MARKETS

PESTLE ANALYSIS

SOUTH IVORY
SUDAN COAST
During the internal conflict in
Operations and supply chains 2002, Cote d'Ivoire saw periods
may be impacted by of political instability; however,
governmental policies and in the recent past, political
political unrest. stability has significantly
P improved.
P
Currency fluctuations and Production gains in cashew,
inflation are two economic cocoa, cotton, and other food
issues that have an impact on crops (rice, banana, cassava, and
pricing and profitability. corn) are the main drivers of

E agriculture's return.
E
Consumer preferences are
shaped by social dynamics, such Ivory Coast's cultural diversity is
as health consciousness and regarded as remarkable.
demographics.
S S
Operational efficiency is To bolster IT infrastructure, the
affected by infrastructure government is working to install
constraints and technological about 6,500 km of fiber optic
advancements. cables.
T T
Legal factors like intellectual The Ivoirian judiciary is beset by
property rights and regulatory high levels of authority operator
compliance are crucial. intervention and corruption.

L L
Ivory Coast is party to over 15
Production and sourcing are international agreements
impacted by environmental covering a wide range of issues,
factors such as climate change including waste management,
and sustainability initiatives. marine debris, climate change,

E and tropical wood.


E
PORTER’S FIVE FORCES

SOUTH IVORY
SUDAN COAST
Threat of New Entrants: Minimal Threat of New Entrants:
because of obstacles like high There are several obstacles in
startup costs, intricate laws, and the way of new competitors
Nestlé's dominant position in the entering the consumer food
market. market.

Bargaining power of suppliers: Bargaining power of suppliers:


Moderate, affected by things like Delivermeal Ivory Coast
scarce supplier selection and Addressing Headquarters
quality, difficulties with Demands owes the largest share
infrastructure and of market requiring higher
transportation. number of supply chains.

Bargaining power of Buyers:


Bargaining Power of Buyers: Low
Hence, Delivermeal Ivory Coast
to medium, where Nestlé's brand
Addressing Headquarters
reputation, consumers' income
Demands makes sure to keep its
levels, and retailers' limited
clients pleased.
options limit their leverage.

Threat of Substitutes: With some


alternatives available, but Threat of Substitutes: New
lessened by the well-known entrants with the lower cost
brand, superior products, and offer, the Nestlé products are too
wide-ranging distribution high for the population.
system of Nestlé.

Competitive Rivalry within the Competitive Rivalry within the


Industry: Despite competition Industry: Since there are
from domestic and foreign alternatives to some Nestlé
brands, strong market position, products, like pasteurized milk
diverse product portfolio have and boiling water, there is a
influenced the market. serious risk of substitutes.

BEST CHOICE

IVORY COAST

NESTLE ENTRY
IVORY COAST MARKET
JOINT
AVANTAGES ACQUISITION
VENTURES
1. Strong Brand Nestlé may consider Nestlé
Nestlémay
may buy
buyanan
Reputation. forming joint already-existingIvory
already-existing Ivory
2. Product ventures with local Coast
Coastcompany,
company,or oraa
Diversification. companies or related venture
related venture in in the
the
3. Global Experience investors to food
foodandandbeverage
beverage
and Expertise. strengthen its market sector. Nestlé
sector. Nestlé can
can
4. Commitment to position, gain access quickly obtain the
quickly obtain the
Sustainability to distribution assets of of
assets a target
a target
5. Strong Distribution networks, and company
company through an
through an
Network. enhance its acquisition, including
acquisition, including
6. Local Partnerships understanding of the itsits
manufacturing
manufacturing
and Relationships local market sites, distribution
sites, distribution
dynamics. systems,
systems, intellectual
intellectual
property,
property, and and market
market
KEY STEPS share. Using
share. Using
acquisitions,
acquisitions,Nestlé
Nestlé
can can
fortify its
fortify its
1. Market Research and Analysis. standing
standing in in the
the Ivory
Ivory
2. Formulate a Market Entry Strategy. Coast
Coastmarket
market and
and
3. Regulatory Compliance and Legal eradicate
eradicate rivals,
rivals,
Considerations. consequently
consequently
4. Build Local Partnerships. augmenting
augmenting its its
5. Invest in Distribution and Infrastructure. market
market share
share and
and
6. Brand Awareness and Marketing. augmenting its
augmenting its
7. Monitor and Adapt growth opportunities.
growth opportunities.

IN CONCLUSION

Ivory Coast provides strategic access to surrounding markets within


the Economic and Monetary Union region, being one of the biggest
economies in West Africa and a hub for trade and commerce in the
region. Currency of West Africa (WAEMU). By establishing a
presence in Ivory Coast, Nestlé may be able to increase its market
share in larger West Africa. Rich natural resources, such as cocoa,
coffee, and palm oil, are available in Ivory Coast and are vital raw
materials for numerous industries. Nestlé goods. Nestlé can lower
costs, increase supply chain efficiency, and support regional farmers
and communities by sourcing locally. In comparison to more
developed markets, Ivory Coast's consumer goods market is still
comparatively underdeveloped, despite the country's economic
progress. Nestlé's strategic objectives of growing its global footprint,
seizing new growth opportunities, and meeting rising consumer
demand in emerging markets are all aligned with its entry into the
Ivory Coast market.

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