Swot Nespresso
Executive Summary
INDEX
NESPRESSO COMPANY INTRODUCTION
Internal and External Analyses
Introduction of the model
The methodogy used to analyse Nespresso Business Model is ‘Business Model Generation’ by Osterwater and Pigneur 2009.
The methodology uses a model named Canvas, which divides the business model into 9 segments. The concept is simple, relevant, and understandable to analyse a company. This concept has been applied and tested around the world and is already used in organizations such as IBM, Ericsson and Deloitte.
The nine basic building blocks are shown in the logic of how a company intends to make money. The nine blocks cover the four main areas of a business: customers, offer, infrastructure, and financial viability.
The business model environment of the company is analyzed in the external analyses using a mythology designed by Osterwater eg.
The four main area of the environment are; Industry forces, key trends, market forces and macroeconomical forces.
External analyses
In this section the external environment influences on a company such as Nespresso are analysed into a treat or an opportunity depending on the implication on the E-business strategy of Nespresso.
1.Market forces
1.1.Global coffee consumption is growing
World consumption has been growing at an average of 2.5% annually since 2000. This development indicates an opportunity for Nespresso as consumers will purchase more coffee.
1.2.Sustainability in the coffee market is a must
An article on podia, food industry trends, stated that the current buzz words in the coffee industry are ‘organic’, ‘shade grown’, ‘sustainable and fair-trade certified’. According to the Organic Trade association, the organic coffee market is now a billion dollar industry. Research of UTZ certified indicated an increase in the first quarter 2010 of 35% in fair trade coffee consumption compared to the same period last year.
The below figures show that growth started
INDEX
NESPRESSO COMPANY INTRODUCTION
Internal and External Analyses
Introduction of the model
The methodogy used to analyse Nespresso Business Model is ‘Business Model Generation’ by Osterwater and Pigneur 2009.
The methodology uses a model named Canvas, which divides the business model into 9 segments. The concept is simple, relevant, and understandable to analyse a company. This concept has been applied and tested around the world and is already used in organizations such as IBM, Ericsson and Deloitte.
The nine basic building blocks are shown in the logic of how a company intends to make money. The nine blocks cover the four main areas of a business: customers, offer, infrastructure, and financial viability.
The business model environment of the company is analyzed in the external analyses using a mythology designed by Osterwater eg.
The four main area of the environment are; Industry forces, key trends, market forces and macroeconomical forces.
External analyses
In this section the external environment influences on a company such as Nespresso are analysed into a treat or an opportunity depending on the implication on the E-business strategy of Nespresso.
1.Market forces
1.1.Global coffee consumption is growing
World consumption has been growing at an average of 2.5% annually since 2000. This development indicates an opportunity for Nespresso as consumers will purchase more coffee.
1.2.Sustainability in the coffee market is a must
An article on podia, food industry trends, stated that the current buzz words in the coffee industry are ‘organic’, ‘shade grown’, ‘sustainable and fair-trade certified’. According to the Organic Trade association, the organic coffee market is now a billion dollar industry. Research of UTZ certified indicated an increase in the first quarter 2010 of 35% in fair trade coffee consumption compared to the same period last year.
The below figures show that growth started