Nestle SA: Nutrition, Health and Wellness Strategy
Rebecca M. Henderson
Harvard Business School; NBER
Ryan C. Johnson
Harvard Business School
August 2, 2011
Harvard Business School Strategy Unit Case No. 311-119
In 1997 Nestle committed to a strategic vision of becoming the leading nutrition, health and wellness (NHW) company in the world. Over the next 13 years, the NHW strategy guided strategic decisions and choices at Nestle including merger and acquisition choices, strategies for improving products, and packaging innovations that helped Nestle built credibility with the consumer in NHW, raised profit margins, continued strong growth and differentiated the firm.
Learning Objective: To examine how Nestle used a strategic commitment to guide the firm's investments/divestments, innovation focus, R&D strategy and strategic positioning. Focus is on the commitment and unwavering support for the strategy and also the tough decisions that a large firm comes up against when parts of its business may not be in concert with its strategy.
working papers series
Date posted: March 1, 2012
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