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Julia Vern 10 526 1

The progenitor of the famous company NESTLE was a successful pharmacist from Switzerland, Henry Nestlé, who was fascinated by the creation of a product for artificial feeding of children, he officially founded his brainchild in 1867, probably not even implying that his brand after a few decades would become synonymous with quality and the best traditions in the field of production food. The familiar logo of the company in the form of birds sitting in a nest is nothing more than the Nestlé family coat of arms, which he did not want to change even for a trademark in the form of a white cross present on the flag of his homeland.

Henry Nestle began research on infant feeding back in the 60s of the 19th century, when there was a high infant mortality due to malnutrition. Looking for the perfect alternative to breastfeeding, he experimented with milk, sugar and wheat flour, eventually developing a new product called Henry Nestlé Milk Flour. The resulting mixture was a real breakthrough, and thanks to its unique characteristics immediately won the trust of consumers. A premature baby, whose body rejected mother's milk and all products replacing it, helped to make sure of the quality and nutritional value of the product. When even the help of doctors was ineffective, the NESTLE milk formula performed a miracle and saved the life of the baby, after which it received great trust in society and after a few years became in demand in most European countries.

How to stay ahead of the competition?

In the mid-70s of the 19th century, Nestle, led by the new owner Jules Monner, began to produce condensed milk under its own brand. This decision was prompted by the desire of the Anglo-Swiss Condensed Milk Company to expand its range of breast milk substitutes. Meanwhile, new interesting solutions appear on the food market, one of which was milk chocolate, invented by Daniel Peter. Later he created his own company, which became a leading player in the production of chocolate, and later part of the NESTLE corporation.

At the beginning of the 20th century, these two competing companies merged under the name "Nestle and the Anglo-Swiss Condensed Milk Company", and after some time, factories in the USA and some European countries operated in the possession of the new corporation. In 1907, thanks to large-scale production in Australia, output doubled. At the same time, warehouses were being built in Singapore, Bombay and other Asian countries.

How to increase sales despite the hard times?

During the First World War, which created a detrimental environment for the production and marketing activities of the company, NESTLE sells almost all of its stocks to make up for the shortage of fresh milk in Europe. However, in the meantime, government orders are being received for the production of dry and condensed milk. To meet this demand, Nestle acquires several more factories in the US and thereby doubles production.

The post-war period brought with it a deep crisis associated with the rise in prices for raw materials and the fall of the currency, all these consequences did not bypass the Nestle company. At this time, the management makes a major reorganization decision and begins to expand its traditional activities with the launch of new products, such as milk with malt, instant drinks and powdered baby buttermilk. A revolutionary creation and one of the main discoveries of NESTLE was the instant powder NESCAFE, which appeared in 1938 and continues to be in demand among coffee lovers to this day. And even during the Second World War, which affected NESTLE with a significant reduction in profits, the unique drink enjoyed incredible popularity and was duly accepted by American soldiers and officers. Thanks to this trend, NESCAFE sales reached a million boxes by 1943, making NESTLE the leader in the coffee business, and the company's profit by the end of World War II was more than two hundred and twenty million dollars, which was twice the profit of 1938.

The post-war period was marked for NESTLE by a period of diversification and a new alliance with Alimentana S.A. and "Maggi and Company", which was largest enterprise for the production of instant soups, seasonings and bouillon cubes. The result of the merger was the creation of the NESTLE Alimentana Company holding, whose composition was replenished already in 1950 by the British canned food manufacturer Crosse & Blackwell, and a little later by Findus, a manufacturer of frozen fish products. From the mid-60s to the early 70s, Libby and Stouffer were added to the holding, producing fruit juices and frozen foods, respectively.

During all this time, the popularity of NESCAFE instant coffee steadily gained momentum, the technology of drying using low-temperature vacuum was developed, thanks to which a new brand of coffee called TASTER'S CHOICE was born.

Get out of the familiar zone to stay afloat

In the mid-70s, in connection with the beginning of the deterioration of the economic situation, due to high prices for " black gold”and the depreciation of currencies around the world, the prices of coffee and cocoa have increased significantly. NESTLE is forced to adapt to changing realities and expand beyond its usual food business. In 1974, the company acquires shares in L'Oreal, and a little later becomes the owner of Alcon Laboratories, Inc., engaged in ophthalmic and pharmaceutical production.

A sure way to the podium

In the 1990s, favorable conditions came for the development of NESTLE, barriers to trade were abolished, new sales lines were opened in China, Central and Eastern Europe. Starting in 1996, the company's management decided to sell some brands, such as Findus, and buy new ones, such as San Pellegrino and Spillers Petfoods.

Throughout the 20th century, NESTLE changed the direction of its activities, expanded the geographical boundaries of its activities, surprised people with new inventions and developments in the food industry. It can be confidently said that NESTLE has already entered the new 21st century as the undisputed leader in the field of food production, the company has about five hundred operating factories, and the annual sales income exceeds 90 billion Swiss francs.

2007 was marked by a symbolic return to the roots for the company thanks to the purchase trademark Gerber, known worldwide as the world's leading manufacturer of baby food. Thus, NESTLE gets the opportunity to fully continue the work of its founder, as well as to develop the concept of proper and healthy nutrition.

How did Nestlé come to Russia?

At the end of the 19th century, Alexander Wenzel and Henry Nestle, a trader from St. Petersburg, signed an agreement for the supply of milk products to Russian Empire, from that very moment, the development of partnerships between NESTLE and Russia began.

In the 90s, Nestlé created a Russian distribution network, developing large-scale sales of the most popular products, such as Nescafe and Nesquik. After that, he opens a representative office, which in 1996 became an independent company called Nestle Food LLC, which ten years later, as a result of mergers, was renamed Nestle Russia.

Popular representatives of Nestlé, such as Nescafe, Rossiya-Generous Soul, Maggi, Nats, have been repeatedly awarded various awards in the field of national recognition, which is an indisputable fact of the love of Russian consumers for the company's products.

Favorite coffee from Nestlé

From 1938 to the present day, the NESCAFE brand is perhaps the most popular among all Nestle products, on this moment it has seven produced coffee lines. Let's talk in more detail about each of them.

NESCAFE Classic. Granulated instant coffee, produced in soft packaging and a glass jar, has a tart classic coffee taste and rich aroma. Such a drink will be appreciated by fans of the morning traditions of drinking coffee, charging with vivacity and energy.

NESCAFE Gold. Sublimated instant coffee, which has absorbed different varieties of roasted coffee beans, balanced and harmoniously combined in one drink. In the Nescafe Gold line, you can choose soft, strong, rich coffee, or made from roasted and unroasted green beans. Supplied in a glass jar or soft zippered packaging.
NESCAFE Montego. Freeze-dried instant coffee of medium roast beans. Thanks to specially selected varieties, a unique blend of the drink is created, which has an original refined taste.
NESCAFE Gold Barista. The so-called trend in coffee production, made according to the innovative development of creating ground coffee in instant, and in no way inferior to a drink from a coffee shop. This effect is achieved by adding Arabica beans to ground coffee before crystallization. During the brewing of the product, all the shades and flavors of superfine ground grains are released.

NESCAFE Espresso. Instant coffee of premium class, when brewed, an air foam appears on the surface. To create a delicate blend filled with fruity shades, Arabica varieties are carefully selected and dark roasted.
NESCAFE Dolce Gusto. Capsules for a coffee machine that allow you to prepare high-quality and tasty drinks at home, like in a coffee shop, while the choice of taste in this line is striking in its diversity:

  • classic black coffee;
  • hot chocolate;
  • espresso;
  • cappuccino and latte;
  • cocoa etc.

NESCAFE "3 in 1". A small stick - a lifesaver for those who want to get a boost of energy immediately, perfectly combines the taste of coffee and cream. Available in various variations: strong, soft, classic and caramel flavored.

Coffee is an indispensable drink for people leading a busy lifestyle, it is rich in antioxidants that actively prevent the aging process and many diseases of the nervous system. A variety of NESCAFE lines allows you to choose a refreshing drink to your liking and taste even the most sophisticated coffee connoisseur.

Wonder drink Nesquik

Instant chocolate drink Nesquik was developed in 1948 and it was then called Nestle Quik, the second part of the name translated from English means “quick”, thus the manufacturers symbolized the speed of dissolving cocoa powder in milk. In 1999, the brand received its current more sonorous name. mascot trademark throughout its existence, there was and remains the Kviki rabbit, which, along with the name of the product, sometimes changed its image.

Delicious and fragrant cocoa Nesquik is ideal for a growing body, it contains a lot of vitamins and minerals necessary for the skeletal system and brain activity of the child. This amazing drink is available in a classic version and with a strawberry flavor.

Chocolates from Nestle - a pleasure for all occasions

Chocolate bar "NUTS". Ideal for those times when you need to quickly stimulate brain activity, and, as you know, hazelnuts in combination with chocolate do the job perfectly. In addition, the bar contains caramel and nougat.

Bar "Nesquik". Mini-chocolate, produced in different variations: with a crispy wafer or with puffed rice, nougat and milk filling. This delicacy is especially popular among children.

"KIT KAT". A bar based on crispy wafers and milk chocolate perfectly satisfies the feeling of hunger and maintains a feeling of satiety for a long time. This chocolate bar first appeared in 1935 in London, since then the names and design of the wrapper have changed several times, but the quality and originality of taste have remained at the same level.

Chocolate tiles "Russia - Generous Soul". Decently represents Nestlé in the bar chocolate category, it is available in a variety of variations, each of which has an original composition that combines only the highest quality ingredients: dark and milk chocolate, marmalade, cookies, nuts and raisins.

Leading manufacturers of baby food

Henry Nestle began the development of his activity, taking as a basis the goal - to find a unique formula formula that would be a full-fledged analogue of breast milk and help solve the problem of lack and incorrectness of baby food. Having achieved the goal, the founder of NESTLE proved by his own example that you can achieve a lot in your endeavors if you have a strong desire to benefit people.

The business of the Swiss pharmacist has been successfully going on for more than 140 years. The company produces baby formulas, purees, cereals and other baby food products of famous brands, which are rightly highly valued all over the world due to the unsurpassed quality of their products.

NESTLE products are designed to provide a proper and healthy diet, bring maximum benefit to the baby, improve digestion, normalize microflora, reduce the risk of intestinal infections and strengthen the immune system. All mixtures intended for infants are as close as possible in their characteristics to natural mother's milk.

The concept of NESTLE: both in life and in the profession

The main principle of Nestlé's activities is the desire to create common values ​​and attitudes in both corporate and private life. Executive Director Nestle S.A. Paul Bulke believes that the key to the success of any company is the desire to have a beneficial impact on society, that is, there must be a corporate Social responsibility for people.

The Nestlé company, producing high-quality and healthy food products, aims to stimulate in society the desire for healthy lifestyle life, proper and wholesome nutrition, as well as to minimize the negative impact on the environment.

As part of its concept, Nestlé has successfully implemented several activities:

  • Improving product quality standards. Since 2010, the Nestle Cocoa Plan program has been implemented, aimed at achieving ideal parameters for the quality and taste of the products produced. The essence of the program is to take care of environment, in which cocoa trees grow, as well as to the people who grow them. To do this, Nestlé is involved in the development farms, improving the social conditions of farmers and maintaining the quality of the natural environment. In Russia, the Cocoa Plan program began with the presentation of new KIT ​​KAT bars, made in accordance with new standards.
  • Creation of innovative divisions within the company, the primary task of which is to develop unique food products for the prevention and treatment of certain diseases.
  • Establishment of partnership relations with the Association of Free Labor, which allows timely suppression of the facts of illegal exploitation of the labor of children.
  • Acquisition of Pamlab, a medical nutrition company.

Brand: Nestle

Tagline: Product quality. Quality of life (English Good food, good life)

Industry: food production

Products: Food

Owner company: Nestlé S.A.

Year of foundation: 1866

Headquarters: Switzerland

In the mid-1960s, experienced pharmacist Henry Nestlé began experimenting with various combinations of milk, wheat flour and sugar in an attempt to create an alternative food source for infants who could not be breastfed. Its main goal was to help solve the problem of child mortality caused by insufficient and malnutrition. The new product was named Farine Lacte Henry Nestle (Nestlé Milk Flour).

After the new breast milk replacer formula Nestle saved the life of a premature baby, whose body did not perceive either mother's milk or its substitutes that existed at that time, this product received well-deserved recognition, and after a few years Farine Lactee Nestle was actively sold in most European countries.

The Anglo-Swiss Condensed Milk Company, founded in 1866 by the Americans Charles and George Page, became the company's main competitor. Nestle, expanded its range to include cheese and breast-milk substitutes in the mid-1970s. Company Nestle, which Henry Nestle sold to Jules Monner in 1874, responded by launching its own brand of condensed milk on the market.

In 1875, a resident of the city of Vevey (Switzerland) Daniel Peter came up with a method for obtaining milk chocolate by combining milk and cocoa powder. Peter, a friend and neighbor of Henry Nestle, founded a company that quickly became the world leader in chocolate production and later became part of the corporation. Nestle.

A distinctive feature of the development of the corporation at present is the development and creation of Vehicle the third millennium based on the use of environmentally friendly technologies and the use of engines with increased fuel efficiency.

Corporation "Ford Motors Company" in 2003 celebrated the 200th anniversary of its creation.

HISTORY OF NESTLE COMPANY

ORIGIN OF THE COMPANY
The basis for the emergence of the enterprise, which later grew into the well-known company Nestlé, was the research of the Swiss pharmacist Henry Nestlé, who was trying to create a breast milk substitute for feeding babies. Using milk, wheat flour and sugar, Henry Nestlé developed a product called Farine Lactee Henry Nestlé - "Henry Nestlé Milk Flour". The company for the production and sale of this product was established in 1867.
His goal was to create nutrition for babies who, for one reason or another, could not be fed with mother's milk, thereby partially solving the problem of infant mortality from insufficient or malnutrition.
The first consumer of the new product was a premature baby, whose body did not accept either mother's milk or existing substitutes, and doctors were powerless to help the baby. After the life of a child was actually saved thanks to the new product, Nestlé Milk Flour received wide recognition and within a few years was successfully sold in most European countries.
Meanwhile, the Anglo-Swiss Condensed Milk Company, founded in 1886 by Americans Charles and George Page, expanded its product range and began producing breast milk substitutes in the mid-1970s. Nestlé, owned by Jules Monner since 1874, took the step back and launched its own brand of condensed milk on the market. The companies remained the main competitors in this area until they merged in 1905.

HISTORY OF THE LOGO
Henry Nestle decided to use his family coat of arms - a nest with birds - as a trademark. in Swiss dialect German language Nestlé means "little nest". One of sales agents offered to replace the nest with the white cross of the Swiss flag, but Nestlé abandoned the idea: "I'm sorry, but I cannot afford to replace the nest with the Swiss cross, I cannot have different trademarks for each country - anyone can use the cross, but no one can use my family crest."

ENTRY TO THE WORLD MARKET
In 1905, a merger took place, which resulted in the formation of a company called Nestlé and Anglo-Swiss Milk Company. Already at the beginning of the 20th century, the company owned factories in the United States, Britain, Germany and Spain.
In 1907, the company began to conquer the Australian market, which allowed it to double its production volume. At the same time, warehouses were opened in Singapore, Hong Kong and Bombay to meet the demand for these products in the rapidly growing Asian market.
However, the main production capacity were still located in Europe, and the outbreak of the First World War dealt a serious blow to the company's activities. It became increasingly difficult to obtain raw materials and distribute finished products. A shortage of fresh milk across Europe has forced factories to sell off almost all stocks to meet the needs of the population.
But, despite the difficulties, the war created an unprecedented demand for powdered and condensed milk, mainly due to government orders. To deal with them, Nestlé acquired several factories in the United States. By the end of the war, the company owned 40 factories, and the volume of production compared to 1914 had almost doubled.

THE APPEARANCE OF NESCAFE
The post-war period brought with it a crisis for Nestlé. Government orders stopped coming in, and people, accustomed during the war to dry and condensed milk, preferred to return to fresh as soon as it became available again. In 1921, the company suffered a loss for the first time. Rising commodity prices, the post-war lull in the world economy and depreciation of currencies exacerbated the situation.
Nestlé management reacted quickly to the situation and brought in Swiss banking expert Louis Daples to reorganize the company. By balancing production and sales levels and reducing outstanding debt, he got the company running.
In the 1920s, Nestlé expanded beyond its traditional range for the first time. Chocolate production has become the second most important activity of the company. New products appeared: malted milk, Milo instant drink, powdered buttermilk for children and, in 1938, Nescafé. This instant powder has revolutionized the world of coffee consumption and is rapidly gaining popularity.

GLOBAL SHOCKS
The outbreak of World War II had a negative impact on Nestlé's operations. The company's profits dwindled from $20 million in 1938 to $6 million in 1939. Neutral Switzerland became increasingly isolated from war-torn Europe, and the company relocated much of its workforce to Stamford, Connecticut.
Ironically, World War II helped speed up the advance latest product companies - Nescafé. After the United States entered the war, Nescafé became the staple drink of American soldiers and officers serving in Europe and Asia. By 1943, annual production reached a million boxes.
As during the First World War, the level of production and sales in the conditions of the war economy increased significantly: total sales jumped from $100 million in 1938 to $225 million in 1945. By the end of the war, Nestlé executives suddenly found themselves in charge of a leading concern in in the global coffee business, as well as in other traditional Nestlé production areas.

PRODUCTION GROWTH AND RANGE EXPANSION
The post-war years were the most dynamic phase in Nestlé's history. During this period, the growth of the company was based on the expansion of the range of food products produced by the company. Alimentana S.A. has joined Nestlé. - manufacturer of soups and condiments Maggi. The name changed to Nestlé Alimentana Company. This was followed by the acquisition in 1950 of Crosse & Blackwell, a British manufacturer canned food, as well as Findus in 1963 (frozen foods), Libby in 1971 (fruit juices), and Stouffer in 1973 (frozen foods).
Meanwhile, Nescafé's popularity continued to rise. Instant coffee sales almost tripled between 1950 and 1959, and quadrupled between 1960 and 1974. The company's sales have quadrupled in the 15 years since the end of World War II. Development new technology low-temperature drying led to the emergence in 1966 new brand instant coffee - Taster's Choice.
Finally, Nestlé's management decided to go beyond the food industry for the first time. In 1974, the company became the largest shareholder in the world's leading cosmetics company, L'Oreal.

CHANGE OF POSITION
In 1974, Nestlé's position began to change. For the first time since 1920, the company's economic situation worsened due to rising oil prices and a slowdown in the economic growth of industrialized countries. In addition, world currencies fell against the Swiss franc. As a result, between 1975 and 1977, coffee prices quadrupled and cocoa prices tripled. As in 1921, the company had to react quickly to a radically changed market situation.
Increasing sales in developing countries partly mitigated the effects of the downturn in Nestlé's traditional markets, but at the same time contained the risk associated with the unstable political and economic situation in these countries. To maintain balance, Nestlé acquired Alcon Laboratories, Inc., a non-food company - American manufacturer pharmaceutical and ophthalmic products.

NESTLE TODAY AND TOMORROW
The first half of the nineties was a favorable period for Nestlé: trade barriers were eliminated, and integration processes continued on the world market. The opening up of Central and Eastern Europe, as well as China, provided Nestlé with new ways to market its products.
Nestlé began the 20th century by merging with the "Anglo-Swiss Condensed Milk Company" to expand its product range and geographic reach. The company enters the new millennium as a confident leader in the food industry, with more than 500 factories in 70 countries and annual sales of over 71 billion Swiss francs.
Since 1996, the consolidation processes have been reflected in the acquisition of the Italian concern for the production of mineral water San Pellegrino (in 1997), the purchase English company Spiller Petfoods (in 1998) and the decision to sell the Findus brand (in 1999) to focus on making more profitable frozen foods. The acquisition of Spiller Petfoods strengthened Nestlé's position in Europe in the pet food market, which the company entered back in 1985 with the acquisition of Carnation and its Friskies brand. Carnation was acquired at auction for US$3 billion. At that time, it had a lot of weight among American food companies. The merger was one of the largest in the history of the food industry.
Nestlé's recent decision to close ground coffee operations in the US (Hill Bros, MJB, Chase & Sanborn) will allow the company to focus on the new high-end Nescafé line, which began production in September 1999.
Maintaining a leading position in a volatile market requires sufficient mobility from the company. The existing range of products is supplemented, the geography of activities is expanding

The basis for the emergence of the enterprise, which later grew into a well-known company, was the research of the Swiss pharmacist Henry Nestle, who was trying to create a breast milk substitute for feeding babies. Using milk, wheat flour and sugar, Henry Nestle developed a product called Farine Lactee Henry Nestle - "Henry Nestle Milk Flour".

The company for the production and sale of this product was established in 1867. His goal was to create nutrition for babies who, for one reason or another, could not be fed with mother's milk, thereby partially solving the problem of infant mortality from insufficient or malnutrition.

The first consumer of the new product was a premature baby, whose body did not accept either mother's milk or existing substitutes, and doctors were powerless to help the baby. After the life of a child was actually saved thanks to the new product, Nestlé Milk Flour received wide recognition and within a few years was successfully sold in most European countries.

Meanwhile, the Anglo-Swiss Condensed Milk Company, founded in 1886 by Americans Charles and George Page, expanded its product range and began producing breast milk substitutes in the mid-1970s. The Nestle company, owned by Jules Monner since 1874, took a retaliatory step and launched its own brand of condensed milk on the market. The companies remained the main competitors in this area until they merged in 1905.

The history of the logo.

Henry Nestle decided to use his family coat of arms - a nest with birds - as a trademark. Nestle means "little nest" in Swiss German. One of the sales agents suggested replacing the nest with the white cross of the Swiss flag, but Nestlé abandoned this idea: “ I'm sorry, but I can't afford to replace the nest with a Swiss cross, I can't have different trademarks for each country - anyone can use the cross, but no one can use my family crest».

Entry into the world market.

In 1905, a merger took place, which resulted in the formation of a company called Nestle and Anglo-Swiss Milk Company. Already at the beginning of the 20th century, the company owned factories in the United States, Britain, Germany and Spain.

In 1907, the company began to conquer the Australian market, which allowed it to double its production volume. At the same time, warehouses were opened in Singapore, Hong Kong and Bombay to meet the demand for these products in the rapidly growing Asian market.

However, the main production facilities were still located in Europe, and the outbreak of the First World War dealt a serious blow to the company's activities. It became increasingly difficult to obtain raw materials and distribute finished products. A shortage of fresh milk across Europe has forced factories to sell off almost all stocks to meet the needs of the population.

But, despite the difficulties, the war created an unprecedented demand for powdered and condensed milk, mainly due to government orders. To deal with them, Nestle acquired several factories in the United States. By the end of the war, the company owned 40 factories, and the volume of production compared to 1914 had almost doubled.

The emergence of Nescafe.

The post-war period brought with it a crisis for Nestle. Government orders stopped coming in, and people, accustomed during the war to dry and condensed milk, preferred to return to fresh as soon as it became available again. In 1921, the company suffered a loss for the first time. Rising commodity prices, the post-war lull in the world economy and depreciation of currencies exacerbated the situation.

Nestle management quickly reacted to the situation and invited the Swiss banking expert Louis Daples to reorganize the company. By balancing production and sales levels and reducing outstanding debt, he got the company running.

In the 1920s, Nestle went beyond its traditional range for the first time. Chocolate production has become the second most important activity of the company. New products appeared: malted milk, Milo instant drink, powdered buttermilk for children and, in 1938, Nescafe. This instant powder has revolutionized the world of coffee consumption and is rapidly gaining popularity.

Global turmoil.

The beginning of the Second World War had a negative impact on the activities of Nestle. The company's profits dwindled from $20 million in 1938 to $6 million in 1939. Neutral Switzerland became increasingly isolated from war-torn Europe, and the company relocated much of its workforce to Stamford, Connecticut.

Ironically, World War II helped speed up the advancement of the company's newest product, Nescafe. After the United States entered the war, Nescafe became the staple drink of American soldiers and officers serving in Europe and Asia. By 1943, annual production reached a million boxes.

As during the First World War, the level of production and sales in the conditions of the war economy increased significantly: total sales jumped from 100 million dollars in 1938 to 225 million in 1945. By the end of the war, Nestle executives suddenly found themselves heading the concern leading in in the global coffee business, as well as in other areas of production traditional for Nestle.

Growth of production and expansion of the range.

The post-war years were the most dynamic phase in Nestle's history. During this period, the growth of the company was based on the expansion of the range of food products produced by the company. Alimentana S.A. joined Nestle. - manufacturer of soups and condiments Maggi. The name changed to Nestle Alimentana Company. This was followed by the acquisition in 1950 of Crosse & Blackwell, a British manufacturer of canned foods, as well as Findus in 1963 (frozen foods), Libby in 1971 (fruit juices) and Stouffer in 1973 (frozen foods).

Meanwhile, Nescafe continued to grow in popularity. Instant coffee sales almost tripled between 1950 and 1959, and quadrupled between 1960 and 1974. The company's sales have quadrupled in the 15 years since the end of World War II. The development of a new technology for low-temperature drying led to the emergence in 1966 of a new brand of instant coffee - Taster's Choice.

Finally, Nestle's management decided to go beyond the food industry for the first time. In 1974, the company became the largest shareholder in the world's leading cosmetics company, L'Oreal.

Changing positions.


In 1974, Nestlé's position began to change. For the first time since 1920, the company's economic situation worsened due to rising oil prices and a slowdown in the economic growth of industrialized countries. In addition, world currencies fell against the Swiss franc. As a result, between 1975 and 1977, coffee prices quadrupled and cocoa prices tripled. As in 1921, the company had to react quickly to a radically changed market situation.

Increasing sales in developing countries partially cushioned the impact of the downturn in Nestlé's traditional markets, but at the same time carried the risk of political and economic instability in those countries. To maintain balance, Nestlé acquired Alcon Laboratories, Inc., a non-food US manufacturer of pharmaceutical and ophthalmic products.

Nestlé today and tomorrow.

The first half of the nineties was a favorable period for Nestlé: trade barriers were eliminated, and integration processes continued on the world market. The opening up of Central and Eastern Europe, as well as China, provided Nestlé with new ways to market its products.

Nestlé began the 20th century by merging with the "Anglo-Swiss Condensed Milk Company" to expand its product range and geographic reach. The company enters the new millennium as a confident leader in the food industry, with more than 500 factories in 70 countries and annual sales of over 71 billion Swiss francs.

Since 1996, consolidation processes have been reflected in the acquisition of the Italian mineral water concern San Pellegrino (in 1997), the purchase of the English company Spiller Petfoods (in 1998), as well as in the decision to sell the Findus trademark (in 1999) in order to concentrate efforts on the production of more profitable frozen foods. The acquisition of Spiller Petfoods strengthened Nestlé's position in Europe in the pet food market, which the company entered back in 1985 with the acquisition of Carnation and its Friskies brand. Carnation was acquired at auction for US$3 billion. At that time, it had a lot of weight among American food companies. The merger was one of the largest in the history of the food industry.

Nestlé's recent decision to close ground coffee operations in the US (Hill Bros, MJB, Chase & Sanborn) will allow the company to focus on the new high-end Nescafé line, which began production in September 1999.

Maintaining a leading position in a volatile market requires sufficient mobility from the company. The existing range of products is supplemented, the geography of activities is expanding.

It is difficult to find a person in the modern world who would not be familiar with Nestle products and would not pay attention to its logo - a nest on a branch with a bird that brought food for two chicks, stretching out their small beaks towards it.

But few people know that the history of this company goes back 150 years, and the first product it launched was infant formula - a breast milk substitute.

Today, Nestle is a huge food, pet food, cosmetics and pharmaceuticals corporation headquartered in the Swiss city of Vevey.

origins

The founder of the company is the Swiss entrepreneur Henri (Henry) Nestlé, who, after graduating as a pharmacist, borrowed money from a wealthy relative, bought small production and engaged in the manufacture of liqueurs, absinthe, vinegar, oil for lamps, etc. Marriage and the birth of a child prompted him to experiment with the creation of baby food by different combinations of cow's milk, sugar and wheat flour.

His efforts were rewarded: infant formula saved the life of a neighbor's newborn child, whose body did not accept either mother's, cow's or goat's milk. This served as a motivation to continue working in this direction, especially since at that time - in the second half of the 19th century - many newborns died due to insufficient or malnutrition.

So in 1866, the innovative product Farine Lactee Henri Nestle, or Henri Nestle's Milk Flour, was created, and then the company for its production, bearing the name of the creator of baby food. The unique formula provided the body of newborns with all the necessary vitamins and minerals. As a trademark, which is now well known to everyone, the family coat of arms was chosen - a nest with birds ("nestle" in the Swiss dialect of German means "small nest").

Within a few years, Nestle baby formulas literally conquered Europe, saving babies or simply making life easier for their mothers.

First merger of two companies

At the same time, two American brothers, Charles and George Page, founded a company called the Anglo-Swiss Condensed Milk Company and opened the first factory in the Swiss town of Cham: Switzerland is famous for its mountain pastures, where cows graze, giving the famous Swiss milk. The brothers began to supply their product under the Milkmaid brand to European stores. They positioned it as a great alternative to fresh milk, especially since condensed milk had the big advantage of a long shelf life.

Nestle perceived this company as their competitors and, in order not to lose their positions in the market, they took a retaliatory move - they brought condensed milk to the market under their own brand.

The two companies begin to compete with each other in the production of infant formula and condensed milk, increasing production and sales. Nestle's competitors enter the American market, but one of the brothers dies, and the second decides to merge with Nestle, which happened in 1905. New company became Nestle and Anglo-Swiss Milk Company ("Nestle and the Anglo-Swiss Milk Company").

New markets and war

But before that, several other important events happened at Nestle. In 1875, Henry Nestlé sold the company to three businessmen, a move that enabled them to hire more skilled workers and increase sales. In the same year, Henry Nestle's friend Daniel Peter developed a milk chocolate recipe by mixing cocoa powder with condensed milk supplied by Henry, and founded Peter & Kohler. Nestle also acquired the right to export its chocolate products, which conquered the world market. Later, Peter & Kohler will also become part of Nestle.

At the beginning of the 20th century, Nestle factories opened in Great Britain, Germany, Italy, Spain and the USA, and in 1907 in Australia. To supply the Asian market with its products, Nestle is building warehouses in Bombay, Hong Kong and Singapore.

The First World War made significant adjustments to the company's plans, the main production facilities of which were located in Europe. As the population's need for powdered and condensed milk increased during the war and, in addition, government orders began to arrive in large volumes, there was a shortage of fresh milk in Europe. To remedy the situation, management decides to buy several factories in America.

By the end of the war, Nestle had 40 factories, and sales had doubled.

Crisis and expansion of the range

The war ended, and the company began an economic crisis - it began to suffer losses. The market no longer needed such an amount of condensed and powdered milk. In addition, commodity prices rose and the exchange rate fell sharply.

To get out of a difficult situation, the management invited a well-known banking expert, Louis Daples, who steered the situation. One of his decisions was to expand the range of products: in the 20s, it was chocolate, which became as popular as condensed milk and children food Nestle, and in 1934 the company began producing a signature drink with malt under the brand name Milo, powdered spread for children, and milk with malt.

In 1938, Nestle launched a product that became truly revolutionary - the world's first instant coffee Nescafe.

Its background is as follows: in the 30s of the 19th century, the Coffee Institute in Brazil was trying to solve the problem of creating new products from surplus coffee stocks and turned to Nestle for help. For eight years, the company's employees have been working on the formula of instant coffee and developing the technology for its production, as a result of which the famous drink appeared, which quickly gained popularity.

A significant role in this was played by the fact that the drink is easy to prepare - you just need to dissolve it in hot or cold water. It has a long shelf life and for its preparation you do not need to purchase a coffee grinder, a coffee maker, or a Turk.

War again...

In the late 1930s, hard times began again in Europe - the Second World War began. Like many other companies, Nestle is again suffering losses: in the 39th year alone, its profit has more than tripled - from 20 to 6 million dollars. Its management is taking the same steps to save the business as during the First World War - opening new factories in developing countries.

And again, like condensed milk, the situation is saved by instant coffee - it is bought in large quantities for the American army, thanks to which production and sales volumes increase, and the company becomes the leader in the world coffee business.

New strategies

The post-war years were marked by the rapid development of the company. This is facilitated by a significant expansion of the product range, including through mergers with other companies. For example, in 1947, with the company Alimentana S.A., which produces Maggi dry soups and food seasonings.

In 1950, Nestle acquired the British canned food company Grosse & Blackwell, in 1963 the Findus frozen food company, in 1971 the Libby fruit juice company, and in 1973 it bought controlling stake in Stouffer, a manufacturer and distributor of frozen foods.

Earlier, in 1948, Nestle started producing Nestea bottled iced tea. And in 1966, its employees developed a technology for low-temperature drying of coffee beans and launched the production of instant coffee under the brand name Taster's Choice.

Thus, Nestle's product diversification policy contributed to the fact that its sales in 1974 increased by 4 times.

But Nestle management was not going to rest on its laurels: it decides to explore other markets and buys shares in L'Oreal, the leader in the cosmetics market.

However, despite the success of domestic policy, Nestle's economic situation is deteriorating. It is affected by the price of oil and the depreciation of currencies against the Swiss franc. Nestle's management reacts quickly to new conditions and takes risks, increasing sales in the markets of China, Central and Eastern Europe and in developing countries, where at that time there was a rather unstable political and economic situation. In addition, Nestle acquires a controlling stake American company Alcon Laboratories, Inc is a manufacturer of pharmaceutical and ophthalmic products.

Company strategy in 1980–1984 consisted mainly in getting rid of unprofitable enterprises, and when its economic situation stabilized, it began to acquire strategically advantageous ones. So, in 1985, an agreement was signed to buy the largest American food company Carnation and its Friskies trademark for $3 billion.

In 1988, the British company Rowntree Mackintosh, specializing in confectionery. In 1997, San Pellegrino, an Italian mineral water company; in 1998, Spiller Petfoods, a British pet food company; and Ralston Purina, an American pet food company, in 1998. The Findus trademark was sold in 1999. At the same time, Nestle is shutting down a number of ground coffee businesses in the US, and is focusing on producing the Nescafe elite line.

Thanks to the purchase in 2005 of the Greek Delta Ice Cream, and in 2006 - American Dreyer's Nestle becomes the world leader in the production of ice cream, controlling almost 20% of the market for this product.

The following year, the company buys from a multinational pharmaceutical company Novartis International, Medical Nutricia's infant formula division, and in 2007, Gerber's infant formula.

Company today

To date, Nestle products have won 1.5% of the world market. It has more than 2,000 trademarks in its assortment. These are dairy products and baby food, instant coffee and chocolate, broths, mineral water and animal feed, pharmaceuticals and cosmetics. It is hardly possible to find a person who would not at least once buy any product under the trademark Nesquik, Maggi, KitKat, Nescafe, etc., owned by Nestle.

The company owns more than 400 factories in almost a hundred countries around the world, and annual sales in 2014 amounted to more than 90 billion Swiss francs. The capitalization of the company is 230 billion Swiss francs, and net profit- almost 15 billion. The number of employees is approaching 350 thousand.

On the Russian market Nestle was released in 1995, and, in addition to international brands, it is represented by local ones: Golden Mark chocolate, Russia is a generous soul, Bystrov cereals, 48 ​​kopeck ice cream, Holy Spring water, etc.

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