Assessment Brief
- NESPRESSO CASE STUDY – BACKGROUND READING: AVAILABLE IN THE CORE TEXTBOOK (Page 617) VIA THE HUB AND OPEN SOURCED (PUBLICLY ACCESSIBLE) ON THE INTERNET.
- De Wit, B (2020), Strategy, An International Perspective; 7th edition, Cengage Learning EMEA, Andover, Hampshire
- IN ADDITION TO THE BACKGROUND READING ABOVE, STUDENTS ARE EXPECTED TO CONDUCT THEIR OWN INDEPENDENT RESEARCH FOR THIS COMPANY.
- This webpage will also help: https://nestle-nespresso.com/
- Johnson, G., Scholes, K, Whittington, R., Angwin, D. and Regner, P. (2017). Exploring strategy: Text and cases (Eleventh edition). Harlow: England, Pearson.
NESPRESSO MANAGEMENT CONSULTANCY REPORT
Business Report
In the role of a Management Consultant, you are invited by the CEO of Nespresso (a Strategic Business Unit of Nestle) to their headquarters. They have secured permission from the Board of Directors (BoD) to review and upgrade their global strategies in Europe, Africa, the Middle East and Asia. In view of this background, you are required to undertake a strategy upgrade of Nespresso’s operations and provide a business REPORT to the CEO on further growth opportunities and sustainability of this growth into Europe, Africa, the Middle East, and Asia using the techniques and concepts covered in the module.
Task 1. You are required to conduct an internal and external environmental analysis, and then identify two sustainable competitive advantages to develop and support Nespresso’s global strategy. (LO1)
Task 2. Based on your analysis in Task 1, suggest either possible entry strategies for new markets or ways to improve existing strategies.
Guidelines
Guidelines for Task 1.
- For a pass, at least the MACRO Environment, the Industry Environment, and the internal Environment should be analysed. For the industry environment, a few sentences can be used to explore the forces so far as they are referenced using journals and other credible platforms like Statista, Mckinsey’s and Mintel.
- Some threats and opportunities can be identified in the analysis of the MACRO environmental analysis.
- At most 2 competitive advantages should be identified from the internal analysis and an application of how they can be developed and maintained (sustained) will be rewarded. • Note that you cannot use SWOT analysis as the CEO needs a detailed and thorough understanding of each part of the business environment. One model can be used for each part of the environment analysis identified above.
- Support your arguments with academic literature and references to other similar real companies.
To achieve a merit or distinction, you will be expected to demonstrate some critical evaluation of the environmental issues found in the research.
Guidelines for Task 2
- An analysis of the motives of globalisation in relation to the organisation using a Model like YIP’s industry globalisation drivers is important.
- Analyse 2 strategic option(s) for Internationalisation as a theoretical foundation to assist in deciding which 3 Entry Strategies will support the organisation.
- Evaluate the 3 Entry Strategies the organisation can use in entering the Global Environment using appropriate models and based on the Strategic Options you have identified. The application of these theories to the global environment and the organisation will attract high marks.
- The application and originality shown in exploring the Strategic Option(s) and Entry Strategies logically and in detail is needed to attain a merit or distinction.
- Support your arguments with academic literature and references to other similar real companies.
Presentation and Structure
- Word count: 1000 words
- Your report structure should include the following sections:
- Cover page (University cover sheet)
- Table of Contents
- List of Abbreviations (if appropriate)
- Introduction
- Task 1– The External and Internal Environment
- Task 2 – Strategy in the Global Environment
- Concluding remarks
- References
- Appendix
Word count – only applies to the main body (shown in bold); i.e., cover page, table of content, list of abbreviations, references, assessment self-evaluation and appendix are not part of the 1000-word count
