Strategic Management in Australian Agribusiness Sector: A Case Study of Nestle Australia Limited

Running head: STRATEGIC MANAGEMENT
Strategic Management
Name of the Student:
Name of the University:
Author Note:

1STRATEGIC MANAGEMENT
Executive Summary:
The aim of the report is to provide an overview of strategic management in the purview of
Australian agribusiness sector. The chosen company is Nestle Australia Limited. The report
provides a description of the company and mentions the external environment analysis and
Porter’s five forces. There is also discussion of the international opportunities of the chosen
business along with a discussion of the strategies international strategies. The report also puts
forward a discussion on the appropriate and the inappropriate modes of market entry. There is
also a recommendation on the future strategic direction of the agribusiness in the international
market.

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Table of Contents
Introduction:....................................................................................................................................4
Discussion about Australian Food Focused Agribusiness Sector....................................................4
Identify International Opportunities for Food focused Agribusiness..............................................7
Discussion of Different International Strategies suitable for Chosen Agribusiness........................8
Appropriate and Inappropriate Mode of Entry to the International Market....................................9
Recommendations of Future Strategic Direction of Agribusiness in Chosen International Market
.......................................................................................................................................................10
Conclusion:....................................................................................................................................11
References......................................................................................................................................13

3STRATEGIC MANAGEMENT
Introduction:
The report provides an insight into strategic management in context of Australian
agribusiness sector. The company chosen here is Nestle Australia Limited. It was found in the
year 1908 with its headquarters located in Rhodes, Australia (nestle.com.au 2018). The
company markets and manufactures range of beverage and food products in Australia. The
products of the company includes coffees, drinks, culinary product, confectionary and chocolate
products, sauces and recipe bases, muesli bars and snacks, baking ingredients, breakfast cereals,
noodles, cooking milks, toddler and baby nutrition products and pet accessories and
foods(nestle.com.au 2018). The company also undertakes export of its products. Nestle Australia
Ltd operates as the subsidiary of the Nestle S.A. The report starts with an introduction of the
food focused agribusiness sector of Australia with a special focus on the external, internal and
the porter’s five forces analysis. The report then discusses about the international opportunities
of the Nestle Australia Limited. The international strategies suitable for the agribusiness sector
also find a mention in this report. There are various foreign entry modes for entering into the
international market. The report puts for ward a discussion about the most appropriate and the
non-appropriate entry modes of the agribusiness sector. The report further draws in
recommendations for determining the future strategic direction of the agribusiness in the arena of
chosen international market.
Discussion about Australian Food Focused Agribusiness Sector
Nestle Australia Ltd represents a public company ranked at a position of 198 amongst the
topmost 2000 companies across Australia. In the year 2017, the company had a total revenue