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Supporting video
Reference no. IMD-5-0543-V
Subject category: Marketing
Published by:
IMD (2003)
29 minutes
Data source:
Field research
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This video is to accompany the case as a complementary vehicle to discuss the issues of radical and incremental innovation in a large company such as Nestle. Part 1 of the video consists of an interview with Nestle's Executive Vice Presedent in charge of Research and Development, Rupert Gasser. In the interview Gasser talks about the challenges of managing an entrepreneurial start-up operation in the context of a well established and highly structured organisation. He openly talks about the conflict between an established risk-averse mindset and what is needed to help promote risk taking for new business development. Part 2: is an interview with Henk Kwakman, the Chief Executive Officer of Nespresso and provides an update on the company's strategy after the departure of the company's former head, Yannick Lang. Kwakman talks about the decision not to introduce a lower cost system (a 'B' brand) and the new distribution means of reaching the brand's exclusive target consumers. The new Chief Executive Officer, as shown in the video, represents a departure from his predecessor both in style and substance. The video could be used along or in conjunction with the recorded interview with Hubert Gasser, Executive Vice President of Nestle, on the subjects of innovation and renovation. Part 3: presents three Nespresso advertisements.


Innovation; New product development; Marketing a new concept to upsca; Direct marketing
CHF150 million annual revenue in 1999
Other setting(s):
Autumn 1999

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