Nestle Audit - Ansoff Product Matrix

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The product development strategy continue with two major acquisitions were made in North America in 2002: in July, the merger of our U.S. ice cream business with Dreyer’s; and in August, a USD 2.6 billion acquisition of Chef America Inc., a leading frozen food product business. In 2003 they acquired Mövenpick Ice Cream, enhancing its position as a market leader in the super premium category.

In 2005 the company began a transformation because they recognised that the eating habits of the world’s population were changing. They began to move away from being a process or of agricultural commodities towards becoming a producer of food with added benefits and ultimately a provider of a wide range of products and services in the areas of nutrition, health and wellness.

In 2006 they acquired Jenny Craig and Uncle Toby's wich was a product development strategy because the company acquired was dedicated to produce nutritional cereals and snacks.

In 2007 they acquired Novartis Medical Nutrition, Gerber and Henniez following a conglomerate diversification strategy moving towards nutrition, health and wellness.

In 2010 they sold their remaining Alcon shares to Novartis and acquired Kraft Foods’ frozen pizza business. This is a market penetration strategy because they have already selling that kind of products (pizzas) with the brand of Buitoni.

Then they do a diversification strategy creating the Nestlé Health Science and the Nestlé Institute of Health Sciences, innovative ventures aimed at the prevention and eventually treatment of chronic medical conditions with science-based personalised nutrition solutions.

In 2011 they carry out a market development strategy when they announced partnerships with the Chinese food companies Yinlu, a manufacturer of ready-to-drink peanut milk and canned rice porridge and with Hsu Fu Chi, a confectionery and snacks manufacturer.

Nestlé Health Science S.A acquired Prometheus Laboratories Inc., a US-based company specialised in diagnostics and in-licensed specialty pharmaceuticals in gastroenterology and oncology. It also acquired a minority stake in Vital Foods, a New Zealand based company that specialises in the development of kiwifruit- based solutions for gastrointestinal conditions. This was a product development strategy because Nestlé was already working in that markets.

They acquired Wyeth Nutrition in a strategic move to enhance their position in global infant nutrition in 2012.

In 2013 Nestlé Health Science acquired Pamlab, a US-based company with an innovative portfolio of medical food products for use under medical supervision in the nutritional management of patients with mild cognitive impairment, depression and diabetic peripheral neuropathy.

They do a market development strategy divesting Jenny Craig businesses in North America and Oceania to North Castle Partners.

Finally, in 2014 they extended their activities with a product development strategy to include the field of specialised, medical skin treatments through the creation of Nestlé Skin Health S.A., a global leader focused on meeting the world’s increasing skin health needs with a broad range of innovative and scientifically-proven products. Nestlé Skin Health S.A. is managed as a wholly-owned Nestlé subsidiary with its own Board of Directors and headquarters located in Lausanne.