Nestlé: Global Strategy

Case 33: “Nestlé: Global Strategy” 1. Does it make sense for Nestlé to focus its growth on emerging markets? Why? Due to saturation and increased competition in the European and North American markets, it makes sense for Nestlé to focus its growth on emerging markets. These markets have a huge potential, as they were closed to foreign companies because of their political system (China, Russia,…). Thus, there are only a few consumer industries in these markets and …

…in different countries means different ethical standards, different business expectations, and different cultural norms. When expanding abroad, Nestlé respects core human values and local traditions. Finally, Nestlé was able to build effective strategic leadership in a global marketplace. This includes a strategic direction when there are suddenly international partners, making the most of human capital across countries and cultures, and putting into place control systems that help a company distinguish cultural right from moral wrong.