Company: Monde Nissin Corporation

Year: 2022

President: Betty Ang

Short History Background:

Monde Nissin Corporation is a Philippine-based company that is well-known for its

food products, particularly in the areas of biscuits, noodles, and other snack items.

Here’s a brief overview of Monde Nissin’s short history:

Monde Nissin was founded in 1979 by Betty Ang, who started the company as a

small, local manufacturer of biscuits. The company started its operations in the

Philippines. In its early years, Monde Nissin concentrated on producing biscuits, and

the brand quickly gained popularity in the local market.

Over time, Monde Nissin expanded its product line to include noodles. The

introduction of Lucky Me!, a popular instant noodle brand, became a significant

milestone for the company and contributed to its growth.Monde Nissin expanded

further through strategic acquisitions. In 2015, the company acquired Quorn, a

British meat substitute product brand, signaling its entry into the global market.

Monde Nissin’s products are not limited to the Philippines. The company has

successfully expanded its reach internationally, exporting its food products to various

countries.

In 2021, Monde Nissin went public with an initial public offering (IPO). This move

marked a significant development in the company’s history and allowed it to raise

capital for further expansion and development. Monde Nissin has diversified its
product portfolio beyond biscuits and noodles. The company offers a wide range of

food items, including snacks, spreads, and other convenience foods.

The company has shown a commitment to innovation, introducing new products and

adapting to changing consumer preferences, such as the focus on healthier and

plant-based food options. Like many responsible corporations, Monde Nissin is also

involved in corporate social responsibility initiatives, addressing environmental and

social concerns.

Several countries in the European Union have alerted the presence of ethylene

oxide in Lucky Me! Brand Noodle Products. Ethylene oxide is used as treatment

against the microbiological contamination of some spices and dried aromatic herbs

like sesame seeds. According to the international alerts “the contaminated product

does not pose an immediate risk to health.” However, exposure to the substance

should be minimized as “there may be health issues if there is continued

consumption of ethylene oxide over a long period of time.”

On November 10, 2022 MONDE NISSIN CORP. Posted a P1.55-billion core net

income in the third quarter, lower by 46% versus last year, as sales were affected by

a product recall in Europe.

Company Mission:

We aspire to improve the wellbeing of people and the planet, and create sustainable

solutions for food security.

Statement of the Problem:

How will Monde Nissin Inc. Overcome their issues, save its reputation and bring

back their loss in production sales?

Areas of Consideration (SWOT)

Strengths:

Brand Recognition: Monde Nissin has built strong brand recognition, particularly with

popular products such as Lucky Me! Noodles, SkyFlakes biscuits, and others.

Global Expansion: The company has successfully expanded its footprint

internationally, contributing to revenue diversification and exposure to different

consumer markets.

Innovation and Adaptability: Monde Nissin has shown a commitment to innovation by

introducing new products and adapting to changing consumer preferences, including

a focus on healthier and plant-based options.

Weaknesses:

Dependency on Specific Markets: While Monde Nissin has expanded globally, there

may be dependencies on specific markets, exposing the company to risks

associated with economic downturns or regional challenges.

Supply Chain Vulnerabilities: Like many companies, Monde Nissin may face

challenges related to supply chain disruptions, which can impact production and

distribution.

Opportunities:

Growing Health and Wellness Trends: The trend towards healthier lifestyles and

plant-based diets provides an opportunity for Monde Nissin to further expand its

product lines and capitalize on changing consumer preferences.

Emerging Markets: Opportunities exist for further expansion into emerging markets

where there is a growing middle class and increased consumer spending on

packaged food products.

E-commerce Growth: The rise of e-commerce presents opportunities for Monde

Nissin to reach a wider audience and adapt its distribution strategies to changing

consumer purchasing habits.

Threats:

Intense Competition: The food industry is highly competitive, and Monde Nissin

faces competition from both local and international players. Price wars and changing

consumer tastes pose threats.

Regulatory Changes: Changes in regulations related to food safety, labeling, or other

industry-specific standards could impact production processes and compliance

costs.

Economic Challenges: Economic downturns, currency fluctuations, and changes in

consumer spending patterns can pose threats to Monde Nissin’s financial

performance.

Environmental and Sustainability Concerns: Growing concerns about environmental

sustainability could impact consumer perceptions, and companies in the food

industry need to adapt to these evolving expectations.

Alternative Course of Action

ACA #1 “Quality management”

To maintain its quality in any branches and production of its product and maintain its

image in any part of the world

Pros:

To satisfy every customer that you are serving

Improve efficiency in quality processes

Increase productivity

Cons :

More human resource needed

Time consuming

It might me difficult to adjust when in comes in changing customers needs in different

locations

ACA #2 “New customer”

Produce new product for news customers and gain another set of customers

Pros:

New customer might help to increase its loss revenue

More reason of expanding its market in different country

Cons:

Additional cost for the new productions

Finding new market might be difficult after the incident

Recommendation

Prioritize ACA #1 (Quality Management)

Conclusion
Monde Nissin has been committed to providing tasty, high-quality food to our

customers. Our unwavering commitment is reflected in the success of our iconic

brands such as Lucky Me! Noodles, Skyflakes crackers, Fita crackers, Monde baked

goods and Quorn meat-free products.

Furthermore, they understand that the food they create has a big influence on both

the environment and the health of our clients. Our goods always have wonderful

flavor at their heart, but they are also becoming more and more concerned with

providing nutritional value and with the ethical production of food. They take this duty

seriously, which is why they strive to enhance both human and environmental well-

being and develop long-term solutions for food security.

In recent years, due to a product recall in Europe, MONDE NISSIN CORP. Reported

a P1.55 billion core net income for the third quarter, a 46% decrease from the same

period the previous year. “We would want to make it clear that Lucky Me! Does not

contain ethylene oxide. Products. It is a standard procedure to limit the microbial

development that is typical of agricultural goods like spices and seeds. These

ingredients may still contain residues of ethylene oxide after being transformed into

seasonings and sauces, the firm said.

Therefore, we draw the conclusion that ACA #1 (Quality Management) will help

Monde Nissin to its future success. To ensure complete customer satisfaction,

enhance quality control procedures, boost productivity, raise lost income potential,

and provide more justification for market expansion into other nations.