Nestle's Marketing Strategies: A Comprehensive Analysis

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MARKETING ESSENTIALS
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Table of Contents
INTRODUCTION........................................................................................................................3
TASK 1...................................................................................................................................... 4
EXPLANATION OF THE MAIN RESPONSIBILITIES AND ROLES OF THE FUNCTION OF
MARKETING..........................................................................................................................4
EXPLAINING HOW ROLES, AS WELL AS RESPONSIBILITIES OF THE MARKETING, ARE
RELATED TO THE WIDER CONTEXT OF ORGANIZATION.......................................................6
ANALYSING THE RESPONSIBILITIES AND ROLES OF MARKETING IN THE MARKETING
ENVIRONMENT CONTEXT.....................................................................................................8
ANALYSING THE IMPORTANCE OF INTERRELATION OF THE MARKETING WITH OTHER
ORGANIZATIONAL FUNCTIONS...........................................................................................10
TASK 2.................................................................................................................................... 12
COMPARING THE WAYS IN WHICH VARIOUS ORGANIZATIONS APPLY THE STRATEGIES OF
THE MARKETING MIX TO THE PROCESS OF MARKETING FOR ATTAINING OBJECTIVES OF
THE BUSINESS.....................................................................................................................12
EVALUATION OF THE VARIOUS TECHNIQUES OF ORGANIZATION TO SHOW THAT HOW
ORGANIZATIONAL BUSINESS OBJECTIVES ARE MEETS OR FULFILLED................................15
CONCLUSION.......................................................................................................................... 16
REFERENCES........................................................................................................................... 17
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INTRODUCTION
The term marketing is the wider concept that is being used in the modern world by almost
all the business bodies to satisfy their wants and needs. The marketing of goods and services
has become an essential part of business activities. In this assignment, the concept of
marketing will be defined clearly that will help in further decision making in the
organization. The company that is chosen in this report is Nestle, which is the multinational
company, which offers food and drinks to its customers. The headquarters of the company
is situated in VEVEY, VAUD, and Switzerland. The company Nestle comes under the food
processing company and it serves the areas of the whole world. The assignment report will
focus on explaining various marketing roles and the interrelation of the function of
marketing along with various other functions. The other part of the assignment will explain
the various elements of the marketing mix strategies with detail, i.e. 7ps and comparing
those different elements with the other organizations.
The overall assignment will be discussed to discuss the importance of marketing and its role
in any business. The marketing manager in the company Nestle will be able to take further
decisions effectively and the company will also be able to achieve the objectives of the
company.
FIGURE 1: NESTLE LOGO
[ Source: Galalae and George, 2017]
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TASK 1
EXPLANATION OF THE MAIN RESPONSIBILITIES AND ROLES OF THE
FUNCTION OF MARKETING
MARKETING DEFINITION
The term marketing can be explained in the wider term, it is the method of planning and
executing the various activities essential for marketing (Huotari and Hamari, 2017). The
activities can be a promotion, executing conceptions, ideas distribution, pricing etc. of the
services & goods that will help in exchanging to achieve the goals of the organization as well
as to satisfy the needs of the individuals.
Diverse types of marketing in the various business forms
B2B MARKETING
The concept of B2B marketing can be discussed as the activities undertaken from one
business to the other business with the purpose of achieving the goals of the organization.
In this type of marketing the company, Nestle will be outsourcing their goods to the other
companies and the small retailers and wholesalers to sell their products (Cortez and
Johnston, 2017). Thus in this manner, the company's products will be highlighted among the
consumers and this will helps the company in increasing the profitability and customer
satisfaction (Cortez and Johnston, 2017).
B2C MARKETING
This B2C marketing means the sharing of the goods and services from the business to the
customers to directly consume and fulfil their needs (Iankova et al., 2018). In this type of the
marketing strategy the goods, as well as services, are offered to the customers with the help
of various tactics and strategies that will help in providing satisfaction, the marketing
manager of the company Nestle will focus on planning various promotional and pricing
strategies to retain their customers and to improve the marketing through B2C marketing
(Iankova et al., 2018).
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Company Nestle will be paying attention to team members of the marketing department in
the company that will help in fulfilling the role of the marketing department effectively. In
this section of the assignment, various marketing roles of the marketing department and
their responsibilities in marketing function will be explained that will help in achieving the
organizational objectives and improving the overall organizational performance.
Different roles as well as responsibilities of the Nestlé’s function of marketing:
The marketing manager in the organization Nestle has the responsibility to maintain the
sales and promotional activities that help in increasing the customer’s base of the
organization (Peltier, 2016). It is the main role of the company’s marketing department to
use the resources in the marketing activities optimally and efficiently that supports in
maintaining the better brand image of the company (Peltier, 2016). The marketing role at
Nestle also includes that they maintain their inventory so that the production process of the
organization runs smoothly and helps to offer various promotions and discounts on special
occasions. The marketing manager in the company Nestle also has the responsibility to
motivate the employees and recognize their better performance to boost their morale and
to improve their performance that will result in increased work efficiency and also help in
achieving the marketing objectives. The marketing manager at Nestle is also responsible to
conduct the continuous market survey for analysing the marketing activities that are
adopted by their competitors that will result and help in the effective planning of the
marketing of Nestlé’s goods and services (Peltier, 2016). It is a very important role of the
marketing manager is to create and maintain a better customer relationship to get
feedbacks for improvement in their activities.
Marketing development concept
The marketing development concept is an important factor in the operations of the
company; it helps in fulfilling the human needs and wants by providing differing goods to
the customers. The company Nestle has achieved various goals and objectives by focusing
on the improvements of various different factors. The main motive of the marketing
development id to deliver goods to the customer's effectively that helps in satisfying their
needs and wants. The company has to pay attention to their marketing activities that help in
achieving the targets. Thus the marketing development concept is essential as it lays down
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the development and helps in analysing the market as well as the customers' needs to
improve the overall efficiency and this concept not only focus on the development of the
activities in the marketing department but it also pays attention to the overall profitability of
the firm.
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EXPLAINING HOW ROLES, AS WELL AS RESPONSIBILITIES OF THE
MARKETING, ARE RELATED TO THE WIDER CONTEXT OF ORGANIZATION
To explain the wider concept of marketing, it is very essential to discuss the relationship
between the various other organizations' functions with the function of marketing at Nestle.
Marketing function interrelates with the finance function
The marketing function at Nestle shares an interrelationship with the finance function and
all the activities that are conducted in the marketing are related to the finance function. This
is because the marketing head is responsible for providing knowledge and information
regarding the use of finance in marketing activities (Johnson et al., 2017). Along with this
reason the marketing department needs funds to undertake any operation and in that
situation, the marketing department head at nestle take the guidance and help of the
finance department for the effective functioning of the various operations.
Marketing function interrelates with the Human Resource function
The human resource is a very essential part of the marketing activities that are conducted in
the company Nestle. The HR. department help in bringing the skilled and creative people in
the organization, this is required because the attractive marketing strategies will be
formulated by the creative and innovative person and those who have the knowledge about
the market situations and conditions. Thus the marketing department is closely related to
HR. department and helps in achieving the desired objectives (Johnson et al., 2017).
Marketing function interrelates with the Research & development function
The department of the research and development helps the marketing function in many
ways, the most important activity that is done by the R&D department is to provide the
information for the marketing about the market conditions that help the marketing head in
formulating strategies to attract more consumers (Krush et al., 2015). The R&D area is very
essential for the marketing department because without knowing about the recent trends
and the market analysis the company cannot design effective strategies and would not be
able to improve the business marketing activities of the company Nestle (Krush et al., 2015).
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Thus in this manner marketing function concept is clearly explained to the wider
organizational context of the Nestle. The interrelationship between the various
organizational functional is defined that is essential and helps in achieving the desired goals
and objectives of the company by providing satisfaction to the customers.
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ANALYSING THE RESPONSIBILITIES AND ROLES OF MARKETING IN THE
MARKETING ENVIRONMENT CONTEXT
PESTLE ANALYSIS OF NESTLE
POLITICAL
The political factors are many that can affect business activities of the organization, the
organization Nestle offers their products to the wider population in many different regions
and as the area varies the rules and regulations of the particular area differ from each other.
The company Nestle has to ensure the changes that take place in the political factors of the
different countries (Schuetz et al., 2018). The political factors such that tax rates, import-
export duties, barriers in the entry of the market from the government side etc. the nestle
have to focus on these various changes and have to take an essential decision for the better
performance of the company with the objective of satisfying the customers.
ECONOMICAL
As the company’s operations are spread in different countries and the economies of various
countries have a different status. The economic condition of the various countries also
differs and thus the company Nestle has to take the decisions of the pricing of the products
according to the purchasing power of the people in different countries (Schuetz et al., 2018).
The company also has to focus on conducting a regular survey about the market trends and
to analyse about the changes in the rate of inflation. The Company is contributing a lot in
promoting the farmers by paying attention to the marketing and production of their
products at the local level.
SOCIAL
The different social beliefs, culture, and the attitude of the various people in different
countries have an impact on business activities. The company need to serve its customer
according to their cultural and social needs. Nestle is performing well in fulfilling the social
needs and also the company has maintained its brand image globally because by producing
the goods at the local level that helps in building the strong customer relationships and also
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helps in spreading the health and safety motive of the company Nestle (Schuetz et al.,
2018).
TECHNOLOGICAL
The technology plays a very important role in the product development of the existing
product as well as the introduction of the new innovative product in the company's product
line. The company is paying attention to improving its operations of the product with the
help of technological use (Schuetz et al., 2018). The social media has played a very
important role in improving the customer interaction of the Nestle. The company is able to
analyse the trends and market demand with the help of social media. The company is able
to meet the global requirements of the customers with the help of installing contemporary
plants.
ENVIRONMENTAL
The world is becoming more health conscious now, the company has to focus on offering
the products that are environmentally friendly and that promote a social cause. The main
motive of the company Nestle in context to the environmental factors is such that the
company has to provide healthy products to the consumers for their security as well as
safety. Another major concern regarding the environmental issues is that the company has
to focus on the packaging of the products, the manager of the company must plan the
packaging of the goods in such a manner that is healthy and also that should be attractive
and provide consumers with a reason to purchase (Schuetz et al., 2018).
LEGAL
The legal factors for the company will involve all the legal regulations that are operated in
different regions in which the company serves. The legal formalities that company has to
fulfil are such that, for instance, company, Nestle has the responsibility to pay attention to
the safety as well as the security of their employees and to ensure the hygiene factor in
their products (Schuetz et al., 2018). The company has to focus on the activities also in the
process of offering and operations their activities in the various parts of the world.
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ANALYSING THE IMPORTANCE OF INTERRELATION OF THE MARKETING
WITH OTHER ORGANIZATIONAL FUNCTIONS
For analysing the significance of the interrelationship of the various functions in the
organisations, the model of the value chain analysis can be used in context with the
company Nestle.
The model of the value chain analysis is used at the organizations and it helps in ensuring
that all the organizational functions are effectively adopted and operated in the
organization and other the functional departments are dependent on each other for
achieving the objectives of the company (Mitchell et al., 2015).
FIGURE 2: VALUE CHAIN ANALYSIS
[Source: Mitchell et al., 2015]
The company Nestle applies the value chain analysis model in company’s operations so that
work can be done effectively with the help of the value chain, all the activities are
completed and the desired outcomes are taken into account (Mitchell et al., 2015). The use
of this model helps the company in adding the additional value in the goods that are
produced by Nestle and further helps in taking the competitive advantage in the market.
The departments that play the major role in the value chain model are the production, HR.,
R&D, sales etc. all these departments are also the part of the major functions of the
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organization and help in the process of the performance improvement. All the functions are
interrelated and the decision of the one department affects the decision of the other
functional department. The marketing activities that are undertaken by the company are
improved with the help of value chain model and thus the company is able to provide
satisfaction to their customers and able to take the competitive advantage in the market
(Mitchell et al., 2015).
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