Business Research of Nestle Australia Ltd
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Running head: BUSINESS RESEARCH
BUSINESS RESEARCH
Name of the Student:
Name of the University:
Author Note:
BUSINESS RESEARCH
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1BUSINESS RESEARCH
Table of Contents
Introduction...................................................................................................................1
Discussion.....................................................................................................................1
Conclusion....................................................................................................................1
References...................................................................................................................1
Table of Contents
Introduction...................................................................................................................1
Discussion.....................................................................................................................1
Conclusion....................................................................................................................1
References...................................................................................................................1
2BUSINESS RESEARCH
Introduction
Nestle Australia Ltd is an unlisted public company and is a foreign-owned
subsidiary of the Switzerland based food and beverage manufacturer Nestle S.A. It
is a wholly owned subsidiary and generate its revenue by manufacturing and
distributing a wide range of food and beverages product. The company head office is
located in Rhodes, New South Wales. The company's primary aim is to enhance the
quality of life and contributes to a healthier future (Nestlé, 2020). Nestle is one of the
leading food and beverage companies all over the world. It has more than 2000
brands that are extremely popular in the countries in which the company is
operating. Nestle is present in almost 189 countries worldwide. The company
inspires individuals to live a healthy life and even contributes towards their healthier
future, thus providing towards the society and ensuring that it can sustain in the
competitive market for an extended period. Nestle Australia engaged in production of
a wide variety of food and beverage products such as processed milk, infant foods;
chocolate, culinary products, drink products, accessories, and many more that are
extremely popular and loved by the customers. Nestle is a conglomerate company
having multiples of business operations that are managed by one corporate group. In
this case, the company is heading towards expansion of its existing business and for
a conglomerate business entity, its required extensive research and development
cost for the expansion project as the company is already having a brand image in the
food sector and it needs to maintain that reputation. The company is entering into a
new market and sell products or services to a new consumer base. One of the
significant reason for the expansion is to save the corporate money by operating
more than one company and by this business expansion the parent company can
diversify its risk to reduce the impact of any type of financial setbacks if exists.
Introduction
Nestle Australia Ltd is an unlisted public company and is a foreign-owned
subsidiary of the Switzerland based food and beverage manufacturer Nestle S.A. It
is a wholly owned subsidiary and generate its revenue by manufacturing and
distributing a wide range of food and beverages product. The company head office is
located in Rhodes, New South Wales. The company's primary aim is to enhance the
quality of life and contributes to a healthier future (Nestlé, 2020). Nestle is one of the
leading food and beverage companies all over the world. It has more than 2000
brands that are extremely popular in the countries in which the company is
operating. Nestle is present in almost 189 countries worldwide. The company
inspires individuals to live a healthy life and even contributes towards their healthier
future, thus providing towards the society and ensuring that it can sustain in the
competitive market for an extended period. Nestle Australia engaged in production of
a wide variety of food and beverage products such as processed milk, infant foods;
chocolate, culinary products, drink products, accessories, and many more that are
extremely popular and loved by the customers. Nestle is a conglomerate company
having multiples of business operations that are managed by one corporate group. In
this case, the company is heading towards expansion of its existing business and for
a conglomerate business entity, its required extensive research and development
cost for the expansion project as the company is already having a brand image in the
food sector and it needs to maintain that reputation. The company is entering into a
new market and sell products or services to a new consumer base. One of the
significant reason for the expansion is to save the corporate money by operating
more than one company and by this business expansion the parent company can
diversify its risk to reduce the impact of any type of financial setbacks if exists.
3BUSINESS RESEARCH
Perth is the fourth largest city in Australia located in the southwestern region
and is one of the metropolitan cities of Australia. It is one of the most expensive
cities in southern hemisphere, and various sectors operate in this region as it
includes utilities, transport, and groceries. The population is almost 2 million people
and people consumed wide range of fruits and vegetables however, most of the
population love to enjoy wide variety of snacks and this will proves to be beneficial
for the company as it offers delicious snacks and beverages of high quality. Perth is
the capital of Western Australia, and it is famous for manufacturing and exporting a
wide range of raw materials. At present, Western Australia is acquiring a position
that can be used to capitalize on the increasing demand for food. In this report, we
are selecting the Perth city for further expansion of the business as it will be
profitable for the company. Western Australia is already an emerging value-added
sector in food and beverage industry; however, it is small and could be more
effective form targeted development. Nestle can expand its food and beverage
company by conducting its operational activities in Perth, and it will be beneficial for
the business.
Discussion
It is always required to do adequate research before heading towards any
implementation of a business expansion project (Hair 2015). All the relevant
secondary data must be acquired so that innovative and profitable strategies can be
framed to obtain valuable results. Nestle Australia is already an established and
renowned brand in the food and beverage sector all over the world. Thus for further
expansion and growth of the operating activities of the business, it needs to form
innovative and advanced strategies by which it can maintain its current profitability
and can attract more brand recognition. Nestle brand is categorized by target market
Perth is the fourth largest city in Australia located in the southwestern region
and is one of the metropolitan cities of Australia. It is one of the most expensive
cities in southern hemisphere, and various sectors operate in this region as it
includes utilities, transport, and groceries. The population is almost 2 million people
and people consumed wide range of fruits and vegetables however, most of the
population love to enjoy wide variety of snacks and this will proves to be beneficial
for the company as it offers delicious snacks and beverages of high quality. Perth is
the capital of Western Australia, and it is famous for manufacturing and exporting a
wide range of raw materials. At present, Western Australia is acquiring a position
that can be used to capitalize on the increasing demand for food. In this report, we
are selecting the Perth city for further expansion of the business as it will be
profitable for the company. Western Australia is already an emerging value-added
sector in food and beverage industry; however, it is small and could be more
effective form targeted development. Nestle can expand its food and beverage
company by conducting its operational activities in Perth, and it will be beneficial for
the business.
Discussion
It is always required to do adequate research before heading towards any
implementation of a business expansion project (Hair 2015). All the relevant
secondary data must be acquired so that innovative and profitable strategies can be
framed to obtain valuable results. Nestle Australia is already an established and
renowned brand in the food and beverage sector all over the world. Thus for further
expansion and growth of the operating activities of the business, it needs to form
innovative and advanced strategies by which it can maintain its current profitability
and can attract more brand recognition. Nestle brand is categorized by target market
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4BUSINESS RESEARCH
and it includes cereals, coffee, beverages, infant food, and many more other food
that are loved by consumers. These brands are present almost everywhere in the
world and has strong connection in the competitive market. Nestle brands has create
multiple food products that can be domestically used by people. The food and
beverage sector plays a significant role in the economic development of the country
and provides more than 247,000 job opportunities, thus contributing to the economic
development of Australia. The food industry offers various opportunities for the
producers and regional communities; it is one of the driving forces for jobs. In this
report, Perth city is chosen for the further expansion of business as it comes under
Western Australia, and this region has ample resources that can contribute to the
maximum profitability of the business. The management of the company must
conduct secondary research on various areas that will be helpful and beneficial for
the expansion of the business (Bell, Bryman and Harley 2018). It entirely depends on
the company to take opportunity of the growing global demand by taking advantage
of the sustainable competitive strengths that is available in the Western Australian
region. The environment of the area is hugely favourable for producing high-quality
food and beverage for both domestic and international consumption. The range of
climatic conditions is exceptionally beneficial for the business that can put the
company in a unique position to maintain its profitability level. The city has a sheer
land size, and the entire operational activities take place in isolation area. This is one
of the significant advantages for the company as the production process can be
saved from any type of exotic pests and diseases. Quality and safety are most
important aspects of any business concern and must be given top priority by the
management. The manufacturing process carried out in an isolation area will be
beneficial for the company, as an excellent biosecurity practice will protect the
and it includes cereals, coffee, beverages, infant food, and many more other food
that are loved by consumers. These brands are present almost everywhere in the
world and has strong connection in the competitive market. Nestle brands has create
multiple food products that can be domestically used by people. The food and
beverage sector plays a significant role in the economic development of the country
and provides more than 247,000 job opportunities, thus contributing to the economic
development of Australia. The food industry offers various opportunities for the
producers and regional communities; it is one of the driving forces for jobs. In this
report, Perth city is chosen for the further expansion of business as it comes under
Western Australia, and this region has ample resources that can contribute to the
maximum profitability of the business. The management of the company must
conduct secondary research on various areas that will be helpful and beneficial for
the expansion of the business (Bell, Bryman and Harley 2018). It entirely depends on
the company to take opportunity of the growing global demand by taking advantage
of the sustainable competitive strengths that is available in the Western Australian
region. The environment of the area is hugely favourable for producing high-quality
food and beverage for both domestic and international consumption. The range of
climatic conditions is exceptionally beneficial for the business that can put the
company in a unique position to maintain its profitability level. The city has a sheer
land size, and the entire operational activities take place in isolation area. This is one
of the significant advantages for the company as the production process can be
saved from any type of exotic pests and diseases. Quality and safety are most
important aspects of any business concern and must be given top priority by the
management. The manufacturing process carried out in an isolation area will be
beneficial for the company, as an excellent biosecurity practice will protect the
5BUSINESS RESEARCH
operational activities from any type of environmental issue. Perth city gives ample of
market capitalization opportunities that can be used by the business. By increasing
in population, demand and buying power of the individual are rapidly growing. In this
present situation, if Nestle is expanding its business in this region, it can easily
acquire an opportunity for effective branding of its product and can attain profitability.
The company must try to evaluate the market demand and frame strategies that can
attract more customer's satisfaction. The company can even take benefits from the
latest innovative techniques and modern infrastructure in Perth. It can also apply a
sophisticated supply chain approach for maximizing its revenue and profit (Vojtovic,
Navickas and Gruzauskas 2016). Perth is one of the most popular cities in Australia
and assumes to be one of the best tourism places. Western Australia is full of natural
beauty and has a winning culture that can result in extraordinary tourism experience.
The Department of Primary Industries and Regional Development carry on various
projects that will help in strengthening the Western Australia position to become an
internationally recognized destination.
Perth assumes to be a gourmet traveler destination. The region is already
famous for its delicious seafood, boutique beverages, premium wines, and many
more products that are loved by customers all over the world. The company can
adequately evaluate all the advantages before establishing its business in the
Western Australian region. Nestle Australia is choosing this particular city as it is
famous for demonstrating excellent culinary destination. In the present scenario,
researchers have propounded that there will be an increase in global demand for
food and fiber, approximately up to 70% by 2050. Even Nestle can carry on its
production activities in the Western Australian region as it has a specific climatic
condition to improve the quality of the product by implementing better management
operational activities from any type of environmental issue. Perth city gives ample of
market capitalization opportunities that can be used by the business. By increasing
in population, demand and buying power of the individual are rapidly growing. In this
present situation, if Nestle is expanding its business in this region, it can easily
acquire an opportunity for effective branding of its product and can attain profitability.
The company must try to evaluate the market demand and frame strategies that can
attract more customer's satisfaction. The company can even take benefits from the
latest innovative techniques and modern infrastructure in Perth. It can also apply a
sophisticated supply chain approach for maximizing its revenue and profit (Vojtovic,
Navickas and Gruzauskas 2016). Perth is one of the most popular cities in Australia
and assumes to be one of the best tourism places. Western Australia is full of natural
beauty and has a winning culture that can result in extraordinary tourism experience.
The Department of Primary Industries and Regional Development carry on various
projects that will help in strengthening the Western Australia position to become an
internationally recognized destination.
Perth assumes to be a gourmet traveler destination. The region is already
famous for its delicious seafood, boutique beverages, premium wines, and many
more products that are loved by customers all over the world. The company can
adequately evaluate all the advantages before establishing its business in the
Western Australian region. Nestle Australia is choosing this particular city as it is
famous for demonstrating excellent culinary destination. In the present scenario,
researchers have propounded that there will be an increase in global demand for
food and fiber, approximately up to 70% by 2050. Even Nestle can carry on its
production activities in the Western Australian region as it has a specific climatic
condition to improve the quality of the product by implementing better management
6BUSINESS RESEARCH
practices (Singh and Trivedi 2017). The company will get a better scope for
efficiently using the natural resources of the region and can produce a high quality of
food containing less chemical contamination and allergens (Andersson et al. 2016).
The company aims to provide a healthier life for all the individuals and can produce
better quality products that will maintain a diet comprising fewer animal and more
plant-derived foods delivering both health and ecological benefits (Friel, Barosh, and
Lawrence 2014). It is evident that nestle popular and most selling brand is the
nutrition food products. In this case, also, the company needs to focus more on the
nutrition products and needs to conduct survey on these products to analyze
customer’s opinion about the need of nutrition products in their daily life. As nutrition
food are important for the well-being of people and nutritious food has the ability to
fight against illness. The Nestle Company can evaluate the customer demands and
needs regarding the nutritious food products and can make innovation in the nutrition
food to gain more customer base in the new market.
Even the company needs to conduct secondary research on business
collaboration opportunities, resources related to market analysis, and various other
aspects of a business that are essential for expansion of a business. The population
is extremely high in Perth city, even the cost of living is high, and this can prove to be
profitable for the business to generate greater revenues and obtain a high level of
profitability. Secondary research is significant for each organization before heading
towards any expansion and growth project as the company’s reputation and
profitability are dependent on the expansion project. The management must ensure
that all the relevant information is taken into consideration so that the expansion
project proves to be a great success for the company.
practices (Singh and Trivedi 2017). The company will get a better scope for
efficiently using the natural resources of the region and can produce a high quality of
food containing less chemical contamination and allergens (Andersson et al. 2016).
The company aims to provide a healthier life for all the individuals and can produce
better quality products that will maintain a diet comprising fewer animal and more
plant-derived foods delivering both health and ecological benefits (Friel, Barosh, and
Lawrence 2014). It is evident that nestle popular and most selling brand is the
nutrition food products. In this case, also, the company needs to focus more on the
nutrition products and needs to conduct survey on these products to analyze
customer’s opinion about the need of nutrition products in their daily life. As nutrition
food are important for the well-being of people and nutritious food has the ability to
fight against illness. The Nestle Company can evaluate the customer demands and
needs regarding the nutritious food products and can make innovation in the nutrition
food to gain more customer base in the new market.
Even the company needs to conduct secondary research on business
collaboration opportunities, resources related to market analysis, and various other
aspects of a business that are essential for expansion of a business. The population
is extremely high in Perth city, even the cost of living is high, and this can prove to be
profitable for the business to generate greater revenues and obtain a high level of
profitability. Secondary research is significant for each organization before heading
towards any expansion and growth project as the company’s reputation and
profitability are dependent on the expansion project. The management must ensure
that all the relevant information is taken into consideration so that the expansion
project proves to be a great success for the company.
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7BUSINESS RESEARCH
Conclusion
Even though adequate secondary research has been done for expansion of
the business in Perth, the management must try to conduct some primary research
by which it can decide that what extra innovative strategies must be implemented so
that this expansion proves to be beneficial for the company (Sekaran and Bougie
2016). The Perth city located in Western Australia that has the Mediterranean
climate and low population density; all these proves to be beneficial for the town and
make the Perth city quite safe. The management must conduct market research on
customers, competitors, products or services, business location, and local area by
which it can ensure that what extra efforts the company needs to put into attaining
profitability. Specific surveys and observations can be done for a better
understanding of the existing market in Perth (Hancock and Algozzine 2017). Nestle
Australia can take reference from government statistics and trade, market reports,
and industry association publications. Customers are the best option on which
primary research can be conducted, as the outcomes obtained by customers are
incredibly relevant and beneficial for the company for making expansion decisions
(So et al. 2016). Nestle can face competition from some of the established brands
such as Canon foods, Piggy food, and many more; however, it can successfully
establish its brand reputation by providing excellent products and services. Piggy
food serves fresh eats for the people of Perth and are most loved by the beer lovers
who comes to enjoy good food and to drink delicious beer. The company ethics is to
support locally and sustainably, and promote origin awareness in food and beverage
industry. The food in piggy is prepared from the scratch by using fresh raw materials,
processed seafood, and locally grown produce. This company can proves to be
competitor for the Nestle as it has a well-developed brand reputation in the Perth and
Conclusion
Even though adequate secondary research has been done for expansion of
the business in Perth, the management must try to conduct some primary research
by which it can decide that what extra innovative strategies must be implemented so
that this expansion proves to be beneficial for the company (Sekaran and Bougie
2016). The Perth city located in Western Australia that has the Mediterranean
climate and low population density; all these proves to be beneficial for the town and
make the Perth city quite safe. The management must conduct market research on
customers, competitors, products or services, business location, and local area by
which it can ensure that what extra efforts the company needs to put into attaining
profitability. Specific surveys and observations can be done for a better
understanding of the existing market in Perth (Hancock and Algozzine 2017). Nestle
Australia can take reference from government statistics and trade, market reports,
and industry association publications. Customers are the best option on which
primary research can be conducted, as the outcomes obtained by customers are
incredibly relevant and beneficial for the company for making expansion decisions
(So et al. 2016). Nestle can face competition from some of the established brands
such as Canon foods, Piggy food, and many more; however, it can successfully
establish its brand reputation by providing excellent products and services. Piggy
food serves fresh eats for the people of Perth and are most loved by the beer lovers
who comes to enjoy good food and to drink delicious beer. The company ethics is to
support locally and sustainably, and promote origin awareness in food and beverage
industry. The food in piggy is prepared from the scratch by using fresh raw materials,
processed seafood, and locally grown produce. This company can proves to be
competitor for the Nestle as it has a well-developed brand reputation in the Perth and
8BUSINESS RESEARCH
even has impressive customer base. Nestle can conduct a survey and ask the
customers various questions such as what their needs are, what the anticipated
demand for the Nestle products, what is the price they are expecting for multiple
products, and more questions related to the brand can be asked from people in
Perth. Nestle is an established brand, and it must be having customer relationship
management, and for expansion of the business, it can be an efficient tool to make
innovative strategies. Nestle can use some of the competitor data such as
networking, trade magazines, websites, blogs, and many more can help the
management for a better understanding of the market place. By conducting primary
research, the company can get to know if the business can cater to the needs of the
customers of Perth and can attract brand reputation for the company (Grønholdt et
al. 2015). Nestle can use its competitor information and data for conducting its
SWOT analysis for developing its marketing plan (Phadermrod, Crowder and Wills
2019). Lastly, it can be concluded that for making any strategies related to expansion
of business, one needs to analyze both secondary and primary data. Thus receiving
relevant outcomes for expansion projects and attaining profitability in future.
even has impressive customer base. Nestle can conduct a survey and ask the
customers various questions such as what their needs are, what the anticipated
demand for the Nestle products, what is the price they are expecting for multiple
products, and more questions related to the brand can be asked from people in
Perth. Nestle is an established brand, and it must be having customer relationship
management, and for expansion of the business, it can be an efficient tool to make
innovative strategies. Nestle can use some of the competitor data such as
networking, trade magazines, websites, blogs, and many more can help the
management for a better understanding of the market place. By conducting primary
research, the company can get to know if the business can cater to the needs of the
customers of Perth and can attract brand reputation for the company (Grønholdt et
al. 2015). Nestle can use its competitor information and data for conducting its
SWOT analysis for developing its marketing plan (Phadermrod, Crowder and Wills
2019). Lastly, it can be concluded that for making any strategies related to expansion
of business, one needs to analyze both secondary and primary data. Thus receiving
relevant outcomes for expansion projects and attaining profitability in future.
9BUSINESS RESEARCH
References
Andersson, U., Dasí, Á., Mudambi, R. and Pedersen, T., 2016. Technology,
innovation and knowledge: The importance of ideas and international
connectivity. Journal of World Business, 51(1), pp.153-162.
Bell, E., Bryman, A. and Harley, B., 2018. Business research methods. Oxford
university press.
Friel, S., Barosh, L.J. and Lawrence, M., 2014. Towards healthy and sustainable
food consumption: an Australian case study. Public health nutrition, 17(5), pp.1156-
1166.
Grønholdt, L., Martensen, A., Jørgensen, S. and Jensen, P., 2015. Customer
experience management and business performance. International journal of quality
and service sciences.
Hair, J.F., 2015. Essentials of business research methods. ME Sharpe.
Hancock, D.R. and Algozzine, B., 2017. Doing case study research: A practical
guide for beginning researchers. Teachers College Press.
Nestlé, 2020. Home. [online] Nestlé. Available at: <https://www.nestle.com.au/en>
[Accessed 21 March 2020].
Phadermrod, B., Crowder, R.M. and Wills, G.B., 2019. Importance-performance
analysis based SWOT analysis. International Journal of Information
Management, 44, pp.194-203.
Sekaran, U. and Bougie, R., 2016. Research methods for business: A skill building
approach. John Wiley & Sons.
References
Andersson, U., Dasí, Á., Mudambi, R. and Pedersen, T., 2016. Technology,
innovation and knowledge: The importance of ideas and international
connectivity. Journal of World Business, 51(1), pp.153-162.
Bell, E., Bryman, A. and Harley, B., 2018. Business research methods. Oxford
university press.
Friel, S., Barosh, L.J. and Lawrence, M., 2014. Towards healthy and sustainable
food consumption: an Australian case study. Public health nutrition, 17(5), pp.1156-
1166.
Grønholdt, L., Martensen, A., Jørgensen, S. and Jensen, P., 2015. Customer
experience management and business performance. International journal of quality
and service sciences.
Hair, J.F., 2015. Essentials of business research methods. ME Sharpe.
Hancock, D.R. and Algozzine, B., 2017. Doing case study research: A practical
guide for beginning researchers. Teachers College Press.
Nestlé, 2020. Home. [online] Nestlé. Available at: <https://www.nestle.com.au/en>
[Accessed 21 March 2020].
Phadermrod, B., Crowder, R.M. and Wills, G.B., 2019. Importance-performance
analysis based SWOT analysis. International Journal of Information
Management, 44, pp.194-203.
Sekaran, U. and Bougie, R., 2016. Research methods for business: A skill building
approach. John Wiley & Sons.
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10BUSINESS RESEARCH
Singh, B.K. and Trivedi, P., 2017. Microbiome and the future for food and nutrient
security. Microbial biotechnology, 10(1), pp.50-53.
So, K.K.F., King, C., Sparks, B.A. and Wang, Y., 2016. Enhancing customer
relationships with retail service brands: The role of customer engagement. Journal of
Service Management, 27(2), pp.170-193.
Vojtovic, S., Navickas, V. and Gruzauskas, V., 2016. Sustainable business
development process: the case of the food and beverage industry. Zeszyty Naukowe
Politechniki Poznańskiej. Organizacja i Zarządzanie.
Singh, B.K. and Trivedi, P., 2017. Microbiome and the future for food and nutrient
security. Microbial biotechnology, 10(1), pp.50-53.
So, K.K.F., King, C., Sparks, B.A. and Wang, Y., 2016. Enhancing customer
relationships with retail service brands: The role of customer engagement. Journal of
Service Management, 27(2), pp.170-193.
Vojtovic, S., Navickas, V. and Gruzauskas, V., 2016. Sustainable business
development process: the case of the food and beverage industry. Zeszyty Naukowe
Politechniki Poznańskiej. Organizacja i Zarządzanie.
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