The Company Background

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Nestlé was founded in Vevey, Switzerland, in 1866. On its website, Nestlé states that they support building a positive future for farmers. "Our purpose is to unlock the power of food to enhance quality of life for everyone, today and for generations to come." The company's website assures customers that they are driven by this purpose, and focuses their energy and resources on their products to make a difference in people's lives, pets, and the environment. Nestlé's values consist of building their brand off respect,  including respect for themselves, others, for diversity, and for generations to come. They strive to always improve their brand and continue to stay passionate about their values. Nestlé has six chapters of corporate business principles, which include consumers, compliance, transparency, value chain, our people, and business integrity.


Each chapter goes into detail explaining how they ensure their policies. Every employee at Nestlé is required to commit to the company's business principles, regardless of location or job description. Their code of business conduct keeps them implementing these principles; the code establishes nonnegotiable standards. The code itself is not meant to cover all possible dilemmas but instead is used as a reference that keeps the company accountable for mistakes. The business conduct code states: avoid any conduct that could damage or risk Nestlé or its reputation; act in good faith, legally and honestly; put the Company's interests ahead of personal or other interests.


As we know, Nestlé was founded in 1866. The company was founded by Henri Nestlé, who created an infant cereal in 1867.

Later, in 1905, the company merged with Anglo-Swiss to form the Nestlé group. After the merger, the company had 20 factories in 1905 and was selling their product all around the world, including Asia, Africa, Latin America, and Australia. They showed great numbers during World War One, known as the "Beautiful Age". The war outbreak in 1914 caused some problems for Nestlé, demand was very high for their products, and the company itself was struggling to get their hands on raw materials to produce the heavy demand. They were trading with countries such as the United States and Australia which slowed down their production. Nestlé addressed the problem by acquiring factories in both of those countries, which led them to 40 factories by the end of the war. Although they did well during the war, after was another story. The military demand for milk declined, causing a crisis for the Nestlé Group in 1921. The company recovered, but not completely due to the Wall Street Crash, which reduced consumer purchasing power. Regardless of all the downfalls during this period, the company was able to pioneer Nescafé. The outbreak of World War II then approached, affecting every market. In 1947, Nestlé added Magggi soups and seasonings to their product line (Nestlé Alimentana). The post-war period (1948-1959) led to the evolution of consumers purchasing machines such as refrigerators and freezers, which created the outburst in convenience meals. This led to the birth of Nesquik and Maggi ready meals. In the 1970's the company attempted to enter the pharmaceutical and cosmetics market segment. This period also led to the alleged unethical marketing of Nestlé's infant food. In the periods of 2000-2016, the launch of Nescafé and the Nestlé Cocoa Plan further developed their supply chains to better them. They also start to steer their focus towards their medical nutrition. Now, onto the present, Nestlé steps up their suitability focuses by enforcing recyclable packaging with zero emissions and acquires businesses containing Zenpep, Vital Proteins, and Aimmune, and a majority stake in Orgain (A leader in plant-based nutrition).  



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