Business Strategy
INTRODUCTION
Nestle Nutritional Foods is a leading food brand in the world with criteria bring nutritional food source for the best health and happy life for everyone. Nestlé’s products are always towards to the best quality and to meet the demand for consumers in every age, gender, work situation.... Although Nestle is taking part in the global competitive market fiercely as well as the pressure of aptitude products, but companies need to examine the factors inside and outside as well as the current business situation with the aim of assessing the ability of these strategies through identifying the strengths and weaknesses of the company. From there, it can help Nestle understand more about how to put Nestlé’s products into new markets, especially Vietnam, and meet the elements of the economy.
3.1 Analyze possible alternative strategies relating to substantive growth, limited growth or retrenchment.
There are three types of alternative strategies can be applied to business are substantive growth, limited growth and retrenchment strategies. Nestle can learn and use appropriate strategies to maintain the best ranking in the nutritional food industry as well as support the development of Nestle in the future. Thus, before making a suitable strategy for Nestle, I will analyze more clearly on three alternative strategies for Nestle plans in the future.
Substantive growth strategies
The understanding of the importance of business growth is a necessity for businesses. Businesses need have to identify development opportunities to become a famous brand and unique as well as to ensure the sustainable development of enterprises in the future. Substantive growth can be accomplished through the acquisition of operations, mergers, self-development with the available resources. They depend on the market, technology, and financial capability. Substantive growth is implemented through the options following:
Horizontal integration: It is a merger between two companies produce
Nestle Nutritional Foods is a leading food brand in the world with criteria bring nutritional food source for the best health and happy life for everyone. Nestlé’s products are always towards to the best quality and to meet the demand for consumers in every age, gender, work situation.... Although Nestle is taking part in the global competitive market fiercely as well as the pressure of aptitude products, but companies need to examine the factors inside and outside as well as the current business situation with the aim of assessing the ability of these strategies through identifying the strengths and weaknesses of the company. From there, it can help Nestle understand more about how to put Nestlé’s products into new markets, especially Vietnam, and meet the elements of the economy.
3.1 Analyze possible alternative strategies relating to substantive growth, limited growth or retrenchment.
There are three types of alternative strategies can be applied to business are substantive growth, limited growth and retrenchment strategies. Nestle can learn and use appropriate strategies to maintain the best ranking in the nutritional food industry as well as support the development of Nestle in the future. Thus, before making a suitable strategy for Nestle, I will analyze more clearly on three alternative strategies for Nestle plans in the future.
Substantive growth strategies
The understanding of the importance of business growth is a necessity for businesses. Businesses need have to identify development opportunities to become a famous brand and unique as well as to ensure the sustainable development of enterprises in the future. Substantive growth can be accomplished through the acquisition of operations, mergers, self-development with the available resources. They depend on the market, technology, and financial capability. Substantive growth is implemented through the options following:
Horizontal integration: It is a merger between two companies produce