NESTLÉ CONFECTIONARY — INTERNSHIP REPORT BACKGROUND OF HOST ORGANIZATION EXECUTIVE SUMMARY This is an internship report regarding the Confectionary Products of Nestlé including Kit Kat, Polo and fox Candies. It starts with an introduction about Nestlé followed by the history of Nestlé. It gives a briefing about all the brands of Nestlé. This report also includes the market mix of the product. All the 4P’s of marketing mix for the product has been discussed and explained to reveal the significance of its pricing, product, placing and promotional activities along with the strength and weaknesses of the organization. The report shows an internal architecture of the working of the Nestlé confectionary business. It gives a detail about the supporting department that has helped the business in their daily working. Also it discusses the objectives, policies of the organization along with their competitors at national level. There are also some suggestions/recommendations for the business. BCG matrix has also been included in this report to know about the current standing of brand in Pakistani culture. In the end, there is a briefing about the internship project that was assigned during the required internship to me. 1
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NESTLÉ CONFECTIONARY — INTERNSHIP REPORT
BACKGROUND OF HOST ORGANIZATION
EXECUTIVE SUMMARY
This is an internship report regarding the Confectionary Products of Nestlé including Kit Kat,
Polo and fox Candies. It starts with an introduction about Nestlé followed by the history of Nestlé. It
gives a briefing about all the brands of Nestlé.
This report also includes the market mix of the product. All the 4P’s of marketing mix for the
product has been discussed and explained to reveal the significance of its pricing, product, placing
and promotional activities along with the strength and weaknesses of the organization.
The report shows an internal architecture of the working of the Nestlé confectionary business.
It gives a detail about the supporting department that has helped the business in their daily working.
Also it discusses the objectives, policies of the organization along with their competitors at
national level. There are also some suggestions/recommendations for the business.
BCG matrix has also been included in this report to know about the current standing of brand in
Pakistani culture.
In the end, there is a briefing about the internship project that was assigned during the
required internship to me.
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INTRODUCTION
Chocolates and candies are one of the best-loved foods everywhere in the world. These are
one of life's little pleasures. The attractive tastes and textures of chocolate and candies delight the
senses of all ages.
As far as Nestle chocolate Kit Kat is concerned, the product developed as Wafer Crisp, was
initially launched in London, UK in September 1935 as Rowntree's Chocolate Crisp. It became 'Kit
Kat' in 1937, two years before the Second World War.
Within two years of launch Kit Kat was established as Rowntree's leading product, a position
that it has maintained ever since. During the Second World War Rowntree Kit Kat was seen as a
valuable wartime food and advertising described the brand as 'What active people need'.
For most of its life Rowntree Kit Kat has appeared in the well-known red and white wrapper.
It did, however, change to a blue wrapper in 1945, when it was produced with a plain chocolate
covering due to a shortage of milk following the war. This blue packaging was withdrawn in 1947
when the standard milk chocolate Kit Kat was reintroduced.
Polo and Fox candies are also well known and favorite products for refreshment. In Pakistan,
Polo is now being imported from china after one year gap. Nestle Pakistan is producing Polo in china
with lighter weight than before. Fox candies are available in six different flavors, from which Nestle
fruit Fox is the most saleable and demanding candy.
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HISTORY
Henri Nestlé founded Nestlé in 1866 in Switzerland. Nestlé means ‘little nest’ in Swiss
German. Nestlé first customer was a premature infant who could tolerate neither his mother’s milk
nor any other conventional substitute. Thus, Henri’s ultimate goal was to help fight the problem of
infant mortality due to malnutrition for which he developed a product combining various cow’s milk,
wheat flour and sugar and name it Farine Lactee Nestlé, which was the first product of Nestlé being
marketed in Europe.
In 1974, Jules Monnerat purchased Nestlé and collectively they launched a condensed milk
product of its own. In 1905, Nestlé got merged with Anglo-Swiss condensed milk.
After some time, when Nestlé got fully established and all its operation were properly
functioning in Europe and was gaining fame around Europe, then Nestlé decided to set up production
plants around the globe to ensure the growth of the organization and to become multinational.
The decision to set up industrial operation in new market needs a lot of research, as there are
various factors that effect the growth of the organization and turns out to be a loss for the company.
Such factors are as follows
The availability of raw material
Cost factor
Economic climate
Consumer purchasing power
Consumer tastes
The decision to become multinational turned fruitful for Nestlé and today Nestlé has its own
operations and products in America, England, India, Brazil, Australia, Pakistan, Hungary, France,
Belgium, Italy, Spain and various other countries around the globe.
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DYNAMIC EXPANSION
The history of Nestle includes the development of many different products as well as
acquisitions, mergers and the purchasing of shares in companies, mainly abroad. Over the course of
the years, this enabled it to broaden its range of products and diversify its operations, while at the
same time strengthening the economic foundations of the company. Amongst the most important
acquisitions were Carnation in Los Angeles (milk, culinary products and pet foods) and more
recently Rowntree Mackintosh in York (chocolate and confectionery), Buitoni in Perugia (pasta) as
well as Perrier in France(mineral water). Nestle, which does 98% of its business outside Switzerland,
also has interests in non-food sectors, in cosmetics (a large share holding in L'Oreal) and ophthalmic
products (acquisition of Alcon Laboratories Inc.) while continuing to give priority to food products.
NESTLE TODAY
Nestle is now the world's largest food company. It is present on all five continents, has an
annual turnover of 74.7 billion Swiss francs, runs 509 factories in 83 countries and employs about
231,000 people the world over.
The Company owes its current status to the pioneering spirit inherited from its founders
which continues to inspire it, to its concern with quality and to its constant search for new ways of
satisfying man's nutritional needs.
Wherever possible, it sets up factories locally, employs personnel from the country concerned
and relies on indigenous raw materials. Its agricultural services provide assistance to improve the
quality and yield of the raw materials it uses. Much attention is devoted to professional training and
to the integration of the Company in its economic and social environment.
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RESEARCH & DEVELOPMENT
Nestle, the world's biggest food Group, is also the global leader in the industry with regard to
Research and Development (R&D), No other food company matches the R&D presence of Nestle,
with a worldwide network of centers in 17 locations on four continents. No other food company
dedicates so many human and financial resources to R&D: an international staff of 3500 engaged in
the search for innovative new products and the renovation of existing ones. Year after year, Nestle
invests some 800 million Swiss francs into R&D as a major driving force of its double strategy: to
strengthen the Company's brands worldwide and to continue to support future long- term growth and
competitiveness through innovation and renovation.
At the threshold of this new millennium, Nestlé’s objective is to consolidate and strengthen
its leading position at the cutting edge of innovation in the food area, in order to meet the needs and
desires of consumers around the world, for pleasure, convenience, health and well being.
BUSINESS REVIEW
MILK COLLECTION
The core raw material of Nestle Milkpak is milk. Over the last twelve years, the Company's
prime concern has been to improve the quality and volume of milk for UHT processing and for other
milk based products. Driven by its commitment to quality and having realized that only self
collection could eliminate its dependence on poor quality milk available from outside sources, the
Company successfully established its own collection system and expanded its operations over a very
large milk shed area in Punjab. Owing to this tremendous growth in the volume of an extremely high
quality raw milk, Nestle Milkpak now produces a superior quality and better tasting UHT milk, with
longer shelf life.
Today, Nestle Milkpak can boast of the largest milk collection network in the country,
unmatched in size, productivity and efficiency. Milk is collected through a vast network of village
milk centers (VMCs), sub-centers and centers. At these centers, chillers have been installed to lower
milk temperature to 4°C for preventing bacteria development during long hauls to the factories,
which are undertaken by a large fleet of specially insulated tankers.
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In terms of quality, the milk collected by Nestle Milkpak is low in sodium, high in fat and
solid-non fats (SNF) and very low in Total Plate Count (TPC) which, stated simply, means the
bacteria count. This was achieved through a comprehensive strategy and sustained efforts to overhaul
the milk collection process, intensive education program for the farmers and the milk collection staff,
up gradation of milk loading and transportation system, increase in the chilling capacity and above
all, adherence to the highest acceptance standards at all milk collection points, including the
factories.
As a service to farmers, Nestle Milkpak has established an Extension Service, staffed by
qualified veterinary doctors, who assist them in vaccination and treatment of livestock, improved
breeding, good animal husbandry practices, provision of high yield fodder seed etc. By taking
professional help and guidance to their doorsteps, which they otherwise find difficult to access,
coupled with incentives and a good and prompt return for their milk, Nestle Milkpak has created a
mutually beneficial relationship with the farmers, which translates into opportunities of economic
uplift for the rural population.
To promote milk production, Nestle Milkpak is successfully promoting the use of molasses to
enrich the fodder and has arranged its distribution to farmers at cost.
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PRODUCTION
As a consequence of joint venture arrangement between Nestle S.A. of Switzerland and
Milkpak Ltd. in 1988, the existing production facility of Milkpak in Sheikhupura became a part of
Nestle Milkpak.
The Milkpak Sheikhupura factory commenced operations in 1981 as a producer of UHT
milk. By 1988, it had expanded its operation and was also producing butter, cream, desi ghee - all
under the brand name of MILKPAK and juice drinks under the brand name FROST.
To meet the demands of the large food market that Pakistan offered, Nestle Milkpak
reorganized and reinforced the production of existing brands and gave shape to new production lines.
The first to come was a milk powder plant, which not only began producing NIDO in 1990 but was
also critical to the production of several milk-based products in the future. With the installation of the
roller dryer in 1990, the first such product to come was CERELAC - an internationally recognized
brand of infant cereal. This was followed by LACTOGEN 1 & 2 in 1991.
The year 1992 saw the introduction of tea whitener EVERYDAY and milk powder in bulk
packing named GLORIA. MILO and NESLAC came under production in 1994 and MILO RTD in
1995. Local packing of imported coffee under the name of NESCAFE 3 in 1 commenced the same
year. In 1996, Nestle Milkpak's first confectionery plant of POLO Mint was installed and the
production of NESTLE PURE ORANGE JUICE commenced. Packaging of coffee under the brand
name of NESCAFE CLASSIC was undertaken the same year.
In 1997 NESTLE WHEAT and two variants of POLO viz. Strawberry and Orange were
introduced. In 1998 a substantial capital investment was made to launch several products and install
two new state-of-the-art technologies. SWEET TREETS were launched in early 1998. The addition
of two flavors of POLO: Blackcurrant and Strong Mint, increased the number of POLO variants to
five. A new variant Lemony was added to the range of popular FROST fruit drink flavors and a new
1-liter packing of FROST was introduced. Flavored milks under the brand FRESH & FRUITY came
under production on the new Tetra Filling Machine equipped with the modern "slim" format. MILO
RTD and UHT Cream were also shifted over to this new format.
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A new flexible confectionery line enabled the manufacture of a wide range of high and low
boiled sweets and toffees, including TOFFO and two variants of SOOTH- ERS' Menthol Eucalyptus
and Honey Lemon. Nestle Milkpak also contracted to supply dairy mixes to McDonald's, for its
popular soft serves and milk shakes. And to top it all, the most prestigious project, NESTLE PURE
LIFE was also commissioned in December. Based on the latest water treatment and bottling
technology, this marked the entry of Nestle Milkpak in the Pakistan water market and that of Nestle
in the world water market.
The expansion of high boiled sweet line continued in 1999 with the introduction of Fruit
Drops and BUTTERSCOTCH.
The year 2000 saw the production of some exciting products. First came NESCAFE Frothed
Original, followed by its two other flavors: Mocha and French Vanilla. NESCAFE Frappe RTD was
to come next. The fruit juice range was expanded by the production of Mango and Orange- Mango
Mix. On the confectionery side, Tutti Fruiti was added under the umbrella of POLO and Wild Cherry
was added to the SOOTHERS range. The success of NESTLE PURE LIFE in PET bottles
encouraged the commissioning of 5-gallon bottles production line for home and office in June. And
the last product line of the year to be commissioned in November was that of NESTLE Plain Yogurt,
a high quality product with special Stay-Fresh Seal.
To meet the needs of safe and quality storage for the ever expanding product range and their
volumes, a National Distribution Center (NDC) was completed and became functional in June, 2000.
Spread over 6614 square meters, it has the capacity to store up to 8300 pallets (approximately 8000
tons).
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HISTORICAL DEVELOPMENT
1866 Company’s foundation.1905 Merger between Nestlé & Anglo-Swiss Condensed Milk.
1929 Merger with Peter-Cailler-Kohler Chocolates Suissee S.A.
1947 Merger with Alimentana S.A. (Maggi).
1971 Merger with Ursina-Franck (Switzerland).
1985 Acquisition of Carnation (USA).
1988 Acquisition of Buitoni-Perugina (Italy).
1988 Acquisition of Rowntree (GB).
1992 Acquisition of Perrier (France).
1995 Nestlé acquires Victor Schmidt & Sohne, Austria’s oldest confectionary, including the famous “Mozartkugeln”.
1997 Nestlé, through the Perrier Vittel Group, expands its min activities with the outright acquisition of San Pellegrino.
1998
1998
Nestlé acquires Spillers Petfoods of the UK and strengthen in the petfood business which began in 1985 with the Carnation Friskies brand & introduced Nestlé Pure Life.
Nestlé Pure Life 1.5 - liter bottle was introduced in Pakistan.
1999
2000
Divestiture of Findus brand (except in Switzerland and its parts of Nestlé’s frozen food business in Europe.
Divestiture of Hills Bros., MJB and Chase & Sanborn roast ground coffee brands (USA).
Nesle Pure Life Jumbo Service (5 Gallon) was introduced.
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CURRENT STATUS
Today, Nestlé produces in over 81 countries and achieves 98% of its turnover outside Europe.
Nestlé is the world’s largest food company, which does 98% of its business. It has an annual
turnover of 70 billion Swiss francs, 522 new factories in 81 countries, 200 operating companies, 1
basic research outer and 20 technological development groups, has more than 231,000 employees
and more than 8000 products around the globe.
There are three companies co-ordinate the activities of some 200 operating companies around
the globe. Their functions and details are as follows:
The first, Nestlé, holds the financial shares in the allied companies. It also check the
profitability of these companies and to ensure the profitability of the group as whole.
The second, Nestlé, has two areas of activities that are as follows:
Research and technological development
Technical assistance
Beside this, it provides know-how in engineering, marketing, production, organization,
management and personnel training on a continuous basis.
The third company is Nestlé World Trade Corporation that oversees the import and export of
merchandise worldwide.
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NESTLE BRANDS
Quality is an essential ingredient in all the Nestlé brands and also Nestlé brands maintain
nutritional balance in a fast pace world, that is why people around the globe choose. The detail of the
Nestlé is a customer and profit oriented organization rather than system and strategy oriented.
The mechanics of generating profit are low-cost production and high-price sales.
Nestlé has different division. There are four departments in the Nestlé confectionary that are
as follows:
CCST Department
Marketing Department
Sales Department
Distributor
Now, let us discuss each of the departments separately.
CCST DEPARTMENT
The CCST department is a supporting department for both Sales and Marketing departments.
It provides a linkage to both departments by connecting them in case of any demand from other
department.
MARKETING DEPARTMENT
The Marketing Department is responsible for all sort of activities including the promotion,
advertising and tools used for generating demand.
The Marketing department is also responsible for arranging stalls and functions for the
promotional and official reasons respectively. These stalls are conducted in different public places so
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that more of the people become aware of the importance of products that ensure quality. These stall
activities remain active for around 4-5 days. Thus, in a month 4-5 such stalls are managed.
After a stall activity finishes, the person who conducted the stall activity has to report to their
seniors about the response they received from the public and the number of new customers they have
been able to attract during their stall activity.
SALES DEPARTMENT
The Sales Department is responsible for carrying out the sales of Nestlé confectionary
covering the whole of Lahore. To conduct the sales efficiently and effectively, there are some
territories that have been assigned some area of Lahore. The area managers administer these
territories.
Monthly, the Area Sales Managers are assigned with the targets by the upper management.
This helps in creating competition among the territories
Like some territories covers these areas respectively.
Interior Lahore, upper Mall
Gulberg, Cantt, Cavalary
Defense
Model Town, Township, Garden Town, Johar Town, Rehmanpura and Thokar Niaz
baig
These four territories are further covered with a total of 20 routes, each covering a specified
area of Lahore on daily basis.
Everyday, the Nestlé delivery van drop confectionary products. There are three people who go for sales. They are:
Driver DSR Loader
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For carrying out the transaction easily, the DSR are provided with a handbook. The handbook
keeps records of the data of the retailers. All this data is stored in the system thus, keeping the system
updated.
At the start of the month, the target for the sale of the confectionary is set and all the
distributions have to achieve that target by the end of the month that helps in increasing the
productivity. The sales target varies with the season. For example, in winters, the sales of
Confectionary products are more as it is in summers. Also, the monsoon season affects the sales of
the candies and chocolates.
When it is the end of the month, all the distributions submit in their report to the Sales and
Distribution Manager that contains the percentage of the target achieved including the quantity sold
by each route.
DISTRIBUTOR
For carrying out the daily working, some internally hired or external sources are acting as a
distributor for Nestlé in Lahore. The distributor has various responsibilities/duties that are as follows:
ELEET MANAGEMENT
Procurement of Vehicle. Installation of Hood on Distribution vehicles. Paint of Hood & its maintenance. Maintenance of vehicles in good condition.
DELIVERY TEAM
Short listing of DSR’s for hiring.
Supervise DSR orientation & Training.
Daily supervision of DSR performance.
Ensure DSR’s working as per company direction.
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CUSTOMER SERVICES
Delivery at customer premises on schedule day & routing time.
Ensuring delivery on special request forwarded by customer services.
Attending all delivery related complaints in time.
WAREHOUSING
Procure a warehouse as per Nestlé Standard.
Ensure all Nestlé Quality Standard (FIFO, NQS, and QSM etc).
Maintain a clean environment.
Minimize store losses.
ACCOUNTING
Maintain audited accounts of the business.
Provide in time reports to Nestlé Management.
Make claims as per company guidelines & verify data.
Ensure efficient operation.
GENERAL
Adhere & act on all policies/decisions by Nestlé Management.
Close liaison with Sales Management for Target Achievement.
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STYLE OF WORKING
Nestlé is profit and customer oriented organization rather than system and strategy oriented. The products are manufactured at low-cost and sales are made at high price.
All the departments of Nestlé are related to each other along with their independent working.
In order, to improve their working and their level of service they provide to their customer, weekly
and monthly meetings are held. These meetings discuss the following things:
Performance level of employees
Progress at territory level and as a whole
Sales of the organization
Where an improvement is required
The working/activities of division include the following features:
Selling through proper transportation
Area storming for creating awareness
Stall activities
Rewards offering scheme
Taking feedback from the customers
Providing service for chiller maintenance and technical problems
This activities/working of the organization involve the basic principles of marketing, client service, public relation, planning, organizing, leadership and communication whose brief description are as follows:
The basic principle of Nestlé in marketing is to provide its customers with quality product at reasonable price.
For communication at national and international level there are various ways to communicate that are as follows: Universal and direct telephone lines
Fax Email Letters
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Territory In-charge
System
Loaders
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ORGANIZATION STRUCTURE
National Sales Manager
Zonal Sales Manager
Regional Sales Manager
Customer Area Managers System Support Event
Service Manager Executive Management
Customer
Service Officers Support Officers
Sales Associates Event Chiller
Management Technician
DSR Officers
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Loaders
MAIN STRATEGY OF NESTLE CONFECTIONARY
Every organization has forms some strategy to follow. Therefore, strategies adopted by Nestlé
that have proved fruitful are as follows:
Consumer communication
Product availability and development
CONSUMER COMMUNICATION
With the help of electronic media, advertisements boards, banners, advertising on
newspapers, pamphlets, brochures, handouts and by the stall activity of marketing department; taste
of the customer is developed and awareness is brought among people about the healthy living that
can be achieved by healthy and delightful eating.
PRODUCT AVAILABILITY
From time to time activities such as area storming, discovering new places or areas are being
done. Thus, making the distribution equally available everywhere.
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COMPETITORS OF NESTLE CONFECTIONARY
Every organization or we can say that every business run by any company faces competition
in a competitive market. Nestlé is a multinational company. It has competitors in a global market and
in a local market. Now lets see the competitors of one of the brands of Nestlé that is Nestlé
confectionary in a local market. The competitors that Nestlé confectionary in Pakistan are as follows:
Cadbury
IBL
Mitchell’s
Candy land
Even though there are competitors in the market but still Nestlé confectionary does not face a
very tough competition. There has been great competition faced by Nestlé confectionary as local
companies try to compete with the multinational brand.
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SWOT ANALYSIS OF NESTLE CONFECTIONARY
STRENGHTS
The strengths of Nestlé confectionary products including Kit Kat, Polo & Fox are as follows:
Company’s name Nestlé” signifies the quality image high standard and quality product.
Loyalty from customers is also the major strength for the company.
Employees are also loyal due to the decentralized culture of company.
People trust on products due to the proper health and safety measures.
The strength of Nestlé confectionary is its imported chocolates and candies, which
strengthens its image.
Being a multinational company it has the capability to attract more customer than the local
companies.
Company has the ability to compete in a dynamic environment.
Company always adapts the new technology.
WEAKNESSES
The weaknesses are as follows:
There is not much margins for retailers to prefer it’s sales.
They need to improve the facilities like chillers.
The distribution cost is high as compared to the competition in the local market.
Company mostly advertises its milk products, advertisement of confectionary products is not
so better.
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OPPORTUNITIES
They have an opportunity to expand or capture the market by adding its product line.
They have the opportunity to offer snacks.
They can also capture the market of home appliances.
Company can open separate stores to eliminate retailers.
Recently, they have created an opportunity for themselves by introducing chillers in the
market.
Company is trying to open stores in universities.
They can provide incentives to retailers to increase sales volume.
Company can enter in ice cream products/
THREATS
Existing companies are increasing their product lines that can prove to be a threat in the
coming years.
Company like Cadbury is giving more discounts to retailers as compared to distributors due
to which retailers prefer its products for sale.
As compared to the local competitors, our distributor cost is very high. As Nestlé
confectionary Products has to maintain and obey the Nestlé standards.
Some companies are competing on the basis of cost.
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BCG MATRIX
STARS
The stars are the high relative market share and high market
growth. Nestle beverages i.e. are somewhat the stars in their business,
because with the high quality and new designs which comes every now and
then makes them more popular among the customers, because customer with
upper class wants the quality and nestle offers the best quality food items.
CASH COWS
The cash cows are their baby food items i.e. nestle cerelace and other baby food products.
Company has to take measures to make these products as stars.
Star
Question Marks
Cash Cows Dogs
Rel
ativ
e M
ark
et G
row
th
Low
Hig
h
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DOGS
The pharmaceutical products are nestle Dog, because it has low-share business with low
growth market especially when we talk about Pakistani market. The company has to think on what it
can do by improving the low share and growth market.
QUESTION MARKS
The question marks are the breakfast cereals. They have high market growth but low
market share. The company has to decide about which question mark they should try to build into
the stars and which one of these should be phased out.
COMPETITIVE STRATEGY “WHAT MAKES COMPETITIVE”
The hallmark of the nestle′ is the quality of the products which the company offers.
COMPETITIVE EDGE OF NESTLE
The companies all over the world get some competitive edge based on some features
which other companies don’t have. For example, as the Dell has the competitive edge over other
computer manufacturer companies, because they use Built-to-order Strategy while no other company
in computer industry use this strategy. Similarly in Pakistan nestle has their Competitive edge based
on these Strategies:
Product Differentiation
Customer Oriented
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PRODUCT DIFFERENTIATION STRATEGY
Nestle is using the product differentiation strategy by providing the superior quality
products. Their main focus is to keep the customers loyal. They bought shelve space in different
departmental stores to attract the customers. They tried to reach each group of people in which they
have succeeded.
CUSTOMER ORIENTED
Customer satisfaction is the focal point for the company. They provide hygienic products
to their customers. Products are also verified by health and safety measures and international quality
standards.
MARKETING MIX
Marketing Mix is defined as a set of controllable tactical marketing tools that firm blends to
produce the response it wants in the target market. The marketing mix consists of every thing the
firm can do to influence the demand for its products. The many possibilities can be collected into
four groups of variables known as the four P's that are as follows:
1. Product
2. Price
3. Place
4. Promotion
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1-PRODUCT
Product stands for goods and services that the company offers to target market.
Nestlé kit Kat is in four sizes including K.K Chunky, while Polo is in three sizes. The shape
and the color of the Kit Kat and Polo are quite attractive for the customers. The labeling, packaging
of the Kit Kat and Polo includes the Nestlé brand and logo. The packaging includes an expiry date
and time along with a manufacture date. Second part of labeling includes the quantity of product in
grams along with ingredients and contents of chocolates and candies.
2- PRICE
The amount of money charged for a product or service, or sums of the values that consumers
exchange for the benefits of having or using the product or services.
The price of Nestlé Kit Kat and Polo varies increases with the increase in its size.
3- PLACING
Placing stands for company's activities that make the product available to the target consumer.
Nestlé' distribution is using the direct distribution channel to supply confectionary products weekly to the retailers.
4- PROMOTION
Producing a quality product, pricing it attractively and making it available for the target
consumer is not the only problem companies need to solve. Modern era is the era of communication
with customer, assuring customer satisfaction, demands for personal and non-personal
communication with the target customer to build a relationship with them. In an area-storming
activity, giving out products free, gift hampers, attracts new customers; kites depending on the
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season (for existing and potential customers) are given. The basic purpose is to explore the area that
is being unexposed and to bring awareness in the people.
TRAINING PROGRAM
The training programs are conducted time to time according to the need of the organization.
Thus, there are different training programs held for the employees. The training programs are
conducted every month whereas the training programs for the employees are conducted from time to
time according to the standard of the company. They are also providing technical training to their
employees. They made cross functional teams for training and the development of their employees.
TRAINING PROGRAM FOR DSR
An organization conducts a training program to provide better service to its customer. Thus,
for this reason Nestlé conducts training program every month to train its DSR in various areas
because DSR are the delivery person and it is they who through their behavior and appearance
develop the image of their company.
The training program for the DSR emphasize on the following features:
How to behave when they are dealing with the customers
What is expected from them
What are there duties
How to handle the situation if any problem arises.
How to dress themselves
How to handle the retailer
Their personal attire
TRAINING PROGRAMS FOR THE EMPLOYEES
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The training program for the employees involves different programs, which gives them
chances to improve themselves where they lack and to handle the situation more confidently, and
efficiently.
According to the need, the employees are given a chance to visit the Institute of Sales &
Marketing in Lahore for one day training. These training programs are offered to the employees once
in a year to keep up the new building standards of the organization and to make them competitive.
CAREER DEVELOPMENT
Nestlé does give their employees a chance to discuss their career development for future
accomplishments. They send their efficient workers and employees abroad for the improvement in
their career. They also conduct workshops and seminars for this purpose.
When employees are given specific training program, they tend to learn new things and
therefore show improvement in their performance. This betterment in their performance enable them
attain promotion for themselves which gives them more experience and motivates them to do well in
future and develops their career as they go along.
COMPENSATION SYSTEM
Nestle has established a separate compensation department for its employees. They offer
incentive pay and special bonuses to employees. They have developed the performance appraisal
system. They also provide disability benefits to their employees. Company has hired human resource
professionals to develop a competitive compensation system.
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WHAT I HAVE LEARNED AT INTERNSHIP
PERSONAL LEARNING
Personal learning is a moral and ethical obligation set by a person to move in a mellow way to excel
in present and future.
During the internship I realized following duties.
• Cohesiveness
• Ever Ready For Challenges
• Broad vision
• Learning From Cradle To Grave
• Always Create Opportunities
• Open Communication With The Boss
• Appearance
COHESIVENESS
A team player can achieve more than an individual. Good coordination and cooperation with
peers and other staff members can impulse a person to perform better in difficult situations. During
my internship I noticed that the degree of cohesiveness among the nestle employees is high, that is
why nestle is achieving its target quite efficiently.
EVER READY FOR CHALLENGES
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If a person can handle problems and challenge adequately, he can grow especially in
marketing field where every thing is presently dynamic.
BROAD VISION
“THINK BIG”
Think positively to avoid any kind of discrepancy and hurdle in your task. Positive thinking
and broad vision helps you to achieve some thing different and new.
LEARNING FORM CRADLE TO GRAVE
Latest researches and journals can be very helpful in order to generate new ideas.
At nestle, Sales department offers many new courses to the employees to upgrade their knowledge.
ALWAYS CREATE OPPORTUNITIES
“Don’t wait for opportunities always create opportunities”
“Time & Tide Waite for None”
If you are able to create opportunities, success is yours. Now the question is how?
The answer is very simple, by generating new and useful ideas for the organization.
OPEN COMMUNICATION WITH YOUR BOSS
To avoid any kind of misunderstanding with your boss, communicate freely with him.
During my internship I analyzed that;
“People don’t leave the organizations they leave their bosses”
So be friendly with your staff and boss and communicate freely to avoid organizational
switching.
APPEARANCE
“Treat your self as a product”
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Attractive appearance can be very useful to impress others. A professional should be dressed
up properly to influence others.
RECOMMENDATION
There are few recommendations that are recommended if the project is to be conducted again in future.
Employees should be trained according to the changing standards of the organization.
Company should conduct survey from time to time to according to which changes can be
introduced in the organization to stay updated in the market.
They should introduce creativity into the work, so that the employees can do their work
active mindedly.
Employees should be given compensation in order to keep them loyal.
Employees should be more involved in decision making to become more differentiated.
Company should provide incentives to shop keepers.
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REFERENCES
I have collected all the data from the following sources,