NAME: MEHTA RAJ J.

ROLL NUMBER: 18
SUBJECT: PROJECT MANAGEMENT-1
TY BBA SEM-5
DIVISION: 1
TOPIC: MARKET ANALYSIS OF “NESTLE MAGGI”
ASSIGNMENT 1

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INTRODUCTION ABOUT Nestlé

1) Type of company: Public

2) Traded as : SIX: NESN
3) ISIN : CH0038863350
4) Industry : Food Processing
5) Founded : 1866; 153 years ago (as Anglo-Swiss Condensed Milk
Company) 1867; 152 years ago (as Farine Lactée Henri
Nestlé) 1905; 114 years ago (as Nestlé and Anglo-Swiss
Condensed Milk Company)
6) Founder : Henri Nestle
7) Headquarters : Vevey, Vaud, Switzerland

8) Area Served : Worldwide

9) Key People : Paul Bulcke (Chairman)
UTF Mark Schneider (CEO)
10) Products : Baby Food, Coffee, Dairy Products, Breakfast Cereals,
Confectionery, Bottled Water, Ice cream, Pet Foods Etc.

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 PRODUCT ANALYSIS OF NESTLE MAGGI:

 INTRODUCTION ABOUT MAGGI:

Maggi was the first to bring protein-rich legume meals to the market, and followed up
with a ready-made soup based on legume meals in 1886. After that Julius Maggi
introduced bouillon concentrates, first in capsules, then in cubes. In 1897,
Julius Maggi founded the company Maggi GmbH in Singen, Germany.

 Nestle is a Swiss company, Founded in 1866 by Henri Nestle.

 Nestle market its products in 130 Countries across the world.
 it was founded by the Maggi family In Switzerland in the 19th century.
 Maggi has been Nestlé's flagship culinary brand not only in India, But globally
as well.

 DEMAND OF MAGGI:

“Demand for a commodity increases when its price decreases and falls when its
prices rises, other things remaining constant.”

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  FACTORS AFFECTING THE DEMAND:
 Price of the commodity.
 Income of the consumer.
 Prices of related goods.
 Tastes and preferences.
 Advertisement.

 SUPPLY CHAIN OF MAGGI:

NESTLE INDIA LIMITED

DISTRIBUTORS

WHOLESALE MARKET RETAIL MARKET

CONSUMERS

 MAGGI “SWOT” ANALYSIS:

1) Strengths:

1. Maggi is a market leader in noodles category with high brand loyalty.

2. Excellent advertising of Maggi makes it’s a top of the mind brand.
3. Good product distribution and availability because of Nestle.
4. Maggi offers a lot of flavours and varieties.
5. Strong parent brand of Nestle adds to the strengths of the brand.
6. Apart from instant noodles, Maggi also offers soups, sauces etc. 
7. Easy to cook and ready to eat noodles are extremely popular with students,
Young Couples and youth.
8. Strong visibility of Maggi due to TVCs, print ads, online ads and OOH media

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 2) Weaknesses:

1. Controversy regarding Maggi being unsafe to eat caused a lot of damage to

The brand image.
2. Intense competition means limited market share growth.

3) Opportunities:

1. Maggi can target untapped rural markets by economy packages

2. Can leverage on the Nestle distribution and brand name and become a
global brand
3. New flavours, packaging can help the brand grow with its existing customers
4. Maggi can tie-up with schools, colleges, hotels etc to provide quick ready to
eat snacks

4) Threats:

1. Price wars with other noodle brands can affects its business
2. Increasing competition can reduce Maggi's market share
3. Strict regulations by government and food regulatory authorities can affect
its business

 COMPETITORS OF MAGGI:
1. Nissin top ramen
2. Foodles
3. Tasty treats
4. Patanjali
5. Yippee

 SUGGESTION ABOUT MAGGI:

- To gain maximum leverage in terms of profit the company should pay
emphasis on segments with age groups 25-35 and above. Advertising is the
key to success. Targeting these segments will not only enhance the
company’s profit margins but also it will leverage the brand image of Maggi.

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 - The company should advertise its products by depicting attributes related to
health like Nutrition Values, % of Vitamins, Proteins etc.

 CONCLUSION:

I. Maggi has achieved a great position in market and this position is least

affected by its competitors.

II. Law of Demand “Lower the price higher the quantity demanded and vice

versa “works completely in case of Maggi noodles.

III. MAGGI for last 25 years had managed to remain

unbeaten in the market because it has always given more preference to the

taste of people.

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 ANNUAL REPORT OF Nestlé :

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