Free Essay

Estrategia Competitiva P&G

In: Business and Management

Submitted By mercaderalbert
Words 1166
Pages 5
BREVE HISTORIA
Comenzó su actividad en 1948 y hoy en día se encuentra como la empresa líder en la fabricación de productos de consumo con más de 90 millones de consumidores y posicionamiento de liderazgo en la mayoría de sus marcas.
Cuenta con más de 7000 personas trabajando con ellos de forma directa.
Es una empresa internacional de bienes de consumo. Actualmente está considerada una de las mayores empresas del mundo según la capitalización de mercado. Su presencia en más de 160 países, la convierte en líder mundial. Produce y distribuye más de 300 marcas de productos de consumo.

MERCADOTECNIA
Los factores que han desempeñado un papel importante en el éxito internacional de P&G son tres:
• Su personal: en la compañía no reclutan gente de afuera, todos empiezan en el primer nivel lo cual produce una cultura única dentro de la compañía.
• La innovación y tecnología de sus marcas, muy alineadas con satisfacer las necesidades actuales y futuras de los consumidores.
• El equity de cada marca estrechamente relacionado con los estudios que hacen los consumidores.

Para asegurar el valor de sus marcas, P&G invierte por encima de 1.2$ billones al año en investigación y desarrollo. Uno de los retos que ha traído consigo la globalización es dl tener que lanzar productos más rápidamente sin sacrificar todo el proceso de investigación y mercados de prueba que ha caracterizado a la empresa.

VALORES GENERALES
- Liderazgo
- Integridad
- Confianza
- Propiedad
- Pasión por ganar

FORTALEZAS
- Entendimiento del consumidor
- Innovación
- Construción de marcas
- Capacidad de distribución
- Escala

MARCA
Al ser una marca paraguas de alrededor de 300 que forman parte su portafolio general, P&G se afianza en una estrategia de mercadeo.

MARCAS DE P&G
- Desodorantes: Old Spice, Secret, MUM, Gillette Series.
- Productos para bebé: Baby Fresh. Kid fresh, Luvs, Pampers, Wash a bye baby, Dodot.
- Perfumes: D&G, Avril Lavigne, Britney Spears, Christina Aguilera, Giorgio, Hugo Boss, Laura Biagiotti, Old spice, Red, Venezia, Wings, Lacoste, Gucci, Escada, Dunhil, Mont Blanc, Rochas, Bruno Banani.
- Cuidado del cabello y Tintes: Wella, Pantene, Herbal Essences, Head & Shoulders (H&S), Pert, Vidal Sassoon, Miss Clairol, Koleston, Wellaton, Motif, Soft Color, Infusium23.
- Afeitado: Gillette,Perma sharp, Astra.
- Higiene femenina: Always, Tampax, Attends, Tess, Naturella, Ladysan
- Lavandería y limpieza: Biz, Bold (antes Bold 3), Bounce, Cascade, Cheer, Cinch, Comet, Dash, Dawn, Downy, Gain, Era, Ivory, Joy, Don Limpio (Mr Clean en Estados Unidos, Maestro Limpio en México), Tide (Ace en Latinoamérica), Ariel, Salvo, Rápido, Magia Blanca, Rindex, Lavan San. Fairy (Dawn en Latinoamérica, Magistral en Argentina y Chile), Cierto y Vencedor
- Medicinas: DayQuil, Metamucil, Clear Blue, NyQuil, Pepto Bismol, Percogesic, Therma Care, Vick (VapoRub, jarabe y triangulitos).
- Medicamentos con receta médica: Actisite, Brontex, Dantrium, Didronel, Macrodantin, Ultradol, Zebete, Ziac (vendidos en agosto 2009)
- Cuidado dental: Cloraseptic, Crest, Oral-B, Pro, Fluocaril y Parogencil, fixodent.
- Papel higiénico: Banner, Bounty, Charmin, Puffs, Royale, Summit, Bess, Tempo, Lirio.
- Servilletas: Buffette, Charmin, Lunch, Chef.
- Jabones: Camay, Coast, Ivory, Escudo (Safeguard en Estados Unidos), Zest, Fairy, Moncler.
- Productos de belleza: Wella, Max Factor, Cover Girl, Olay , SK-II
- Alimento para mascotas: Iams y Eukanuba
- Pilas: Duracell

(*) Fuente de marcas de P&G: Wikipedia

MISIÓN
Somos gente entusiasta que hacemos de tu necesidad nuestra razón de ser.
VISIÓN
Ser reconocida como la farmacia de mayor confianza y mejor calidad de servicio.

ESTRATEGIA GENÉRICA
P&G podemos considerarla como estrategia de diferenciación y bajos costes, en que se basa en la calidad e innovación de sus productos. La mayoría de sus productos tienen una muy buena calidad percibida a nivel de consumidor/usuario. Gracias, en parte, a su ancho catálogo de productos la marca P&G tiene un reconocimiento mundial a su trabajo bien hecho y es capaz de diferenciarse del resto de competidores.
En la actualidad, P&G quiere mantenerse líder en el mercado en costes que permita alejarse de la competencia.
Recientemente un negocio alternativo que ha desarrollado P&G ha sido el de vender las licencias de muchas patentes, marcas y derechos, intensificando así los esfuerzos en innovación.
Es por esto que considero que la estrategia principal que utiliza P6G es la de liderazgo en costos, ya que al producir a bajo costo, tiene un mercado más grande.
P&G lo complementa con una estrategia de alcance sin segmentación lo que consigue mayor penetración en el mercado, a través de las licencias que está vendiendo a empresas más pequeñas, éstas están produciendo productos de alta calidad y P&G gana de todos modos porque continúan obteniendo ganancias a través de conseguir el más bajo costo de producción, refrendando los contratos de las patentes de las marcas que les genera ganancias y toman la patente de la marca que se había dado en contrato para trabajarla la propia empresa.

ESTRAGEGIAS DE MKT
SEGMENTACIÓN
La segmentación de P&G es muy extensa, por lo que se puede decir que no tiene una segmentación definida por los estándares habituales. Aun así, puedo considerar que P&G divide el mercado en grupos de individuos con comportamientos, necesidades y características comunes que podrían requerir productos específicos.
- Demográficos: sexo (tanto a hombres como mujeres)
- Socioeconómicos: clases sociales, nivel de renta
- Estilo de vida, personas jóvenes o adultas que buscan un producto específico y de calidad para su consumo personal.
- Cantidad consumida, temporalidad del envase en función del uso.
- Uso y fidelidad de la marca.
- Tipo de compra, es un factor común en todas las gamas de productos, el comprador tiene que quedar satisfecho con la primera compra para poder repetir.
- Lugar de compra, gran consumo.

POSICIONAMIENTO
P&G se posiciona como una empresa fuerte, con amplia variedad de productos de calidad y con una gran carga de innovación.

Ventaja competitiva:
- Hecho: la mayoría de productos parecen iguales, sino idénticos.
- Insight: Quiero un producto adecuado y específico para mis necesidades.

Beneficio:
- Market drivers: compra adecuada
- Brand benefit: comprar innovación y específico.
- Consumer benefit: me facilita la vida del día a día.
- End benefit: me soluciona la higiene/vida.

Estrategia de posicionamiento de valor:
P&G está usando una estrategia de más por más, ya que como hemos dicho su estrategia genérica es por diferenciación. El consumidor final está dispuesto a pagar el precio superior ya que percibe la calidad y la innovación del producto, por lo que genera un valor extra.

Posicionamiento:
Cualquier persona que necesito un producto de higiene personal puede encontrar y comprar fácilmente nuestro producto.

MARCA
Recientemente P&G ha rediseñado su logotipo. Se quiere plasmar que la idea es en regresar a los orígenes del logo, con una luna, aunque en este nuevo diseño parece que se desvanece en lugar de estar en crecimiento. Al volver al diseño de los inicios se quiere dar énfasis a que es una marca global, que tiene multitud de productos que le pertenecen, por eso el uso de la tipografía dentro de la esfera. El color azul, mantenido de las últimas versiones da el énfasis y se relaciona con la higiene y la salud.
El logotipo conserva sus serif de las últimas versiones.…...

Similar Documents

Premium Essay

P&G Case

...Australia, New Zealand, India, Pakistan, Philippines, Indonesia, Taiwan, Japan, Thailand, Singapore and Malaysia are all managed by P&G’s Asia-Pacific Regional Headquarters in Hongkong. P&G-Asia’s major brands include Pampers, Always, Head and Shoulders, Rejoice, Oil of Ulan, Clearasil, Camay, Zest and Vicks. One of the P&G subsidiaries in Asia is in Singapore. P&G-Singapore which has 70 staff is headed by a managing director which is also responsible for Malaysian operations. Feminine pads/napkins are one of the products that are being produced by P&G. Always, a brand of feminine pad that was introduced in three lead markets (i.e. U.S., Saudi Arabia & Singapore) in 1983 was an initial success. When introduced in Japan, P&G was blocked from using Always because of trademark reasons. Because of this, the name Whisper was used instead and luckily it was successful. In 1988, competition in the feminine pad market is composed of three major competitors: Kimberly Clark’s Kotex (35% market share) , P&G’s Always (25%) and Kau Laurier (20%). Eight other brands competed for the remaining market share. P&G was the largest market spender in 1989 where it outspent Kotex and Kao five and four times respectively. They spent two thirds of their media budgets in television, one third in print. The three are evenly matched in product line breadth. However, P&G believed that Always was superior in absorption capability, protection and comfort. Other comparisons were as......

Words: 1418 - Pages: 6

Premium Essay

P&G Supply Chain

...CASE STUDY December 2002 Procter & Gamble: Building A Smarter Supply Chain Issue/Solution To remain profitable, consumer products manufacturers must find ways to optimize the performance of their supply chains. They need to support marketing promotions better and avoid frustrating consumers with out-of-stock situations in the store. Situation • Procter & Gamble realized it needed a “consumer-driven supply network” to stay ahead in the consumer packaged goods industry. Retailing’s “first moment of truth” is a key focus area for P&G. When the shopper reaches the shelf, is the product there? • Discoveries • • Links between supply chain and CRM processes are critical. Business leads, technology follows. But the technology must be proven, practical and scalable. Even with immature solutions, it is possible to get rapid payback on streamlined demand and fulfillment processes for critical products. A harmonized ERP applications backbone is a basic requirement. • • Recommendations • Secure management support before you start redesigning your supply network. Don’t let politics condemn the initiative to failure. Leverage the value IT can bring in connecting demand and supply side business processes. Simplify your applications architecture to allow collaborative business processes and cope with changes in network alliances. • • Dig Deeper • • • Related Research from GartnerG2 Gartner Core Research Methodology Maria Jimenez with Derek......

Words: 3062 - Pages: 13

Premium Essay

P&G Case Study

...Summary Statement/Abstract P&G is a global company that is involved in many different markets including beauty and grooming and household care. The company has been through a lot of change due to the O2005 project that was undertaken in 1999 and saw a complete overhaul of the company during those years. One product that also was involved a lot during that time was the SK-II skin care product which was popular in Japan and a man named de Cesare wanted to take the product global to either the Chinese or European market. However, in order to do this there was a lot of analysis and research which had to be done to determine which market was the best to move the product to and de Cesare had to make a recommendation to the GLT knowing that he must do everything possible to make sure he made the best decision possible. As Paolo DeCesare, what factors do you need to consider before deciding what to recommend in your SK-II presentation to the global leadership team (GLT)? What kind of analysis will you need to do in preparing for that meeting? As Paolo DeCesare there are a lot of factors to consider before deciding what to recommend in the SK-II presentation to the GLT. The biggest factor of course to consider is the profitability of the market or markets that would be chosen to enter in an effort to have SK-II become a global brand within P&G. In order to determine this there is a lot of analysis that goes into determining whether a market will be profitable and could......

Words: 2406 - Pages: 10

Premium Essay

P&G Case

...P&G Case Executive Summary This case study analysis is on the Proctor & Gamble Company (also referred to as “P&G”). Procter & Gamble is the world's largest producer of household and personal products by revenue, with its products reaching 4 billion people worldwide. The Case Study includes an Introduction, Company Overview, Company Mandate, Internal Analysis, and External Analysis, followed by various Strategic Options (see below). The author then makes a Final Strategy Option Recommendation. Strategic Option #1: Market to Lower-Income Consumers in both Developed and Emerging Markets (Expand and Build Beauty Segment strictly aimed at Low-Income Consumers). Industry Consolidator. Strategic Option #2: Given the maturity of the North American/Western European market, combined with the emerging popularity and demand for Natural/Organic ingredient products, P&G should look to create New Natural Products and Products tailored to the Male market - Multiple Segments, not just Skin Care (Expand and Build Beauty Segment). Industry Consolidator. Strategic Option #3: Related Diversification through Acquisition. Strategic Option #4: Joint Ventures in Emerging Markets such as China and India. Final Strategy Recommendation: The Recommendation is to go for a combined Low-Income segment and New Natural Product strategy as this facilitates P&G’s need to capture a greater slice of the Low-Income consumer market both in Mature and Developing markets, which also capturing a......

Words: 3683 - Pages: 15

Premium Essay

P&G Corparate

...Statement (Actual) 4 Mission Statement (Proposed) 4 Vision Statement (Proposed) 5 Slogan (Proposed) 5 The CPM Matrix of P&G Company 6 External Factor Evaluation (EFE) Matrix for Procter and Gamble (P&G) 9 The I/E matrix for Procter and Gamble (P&G) 14 Internal Factor Evaluation (IFE) Matrix for Procter and Gamble (P&G) 16 A SWOT Matrix of P&G Company 21 Strengths 23 Weaknesses 23 Opportunities 24 Threats 24 The FOUR strategies 25 The SPACE Matrix 26 Calculation 27 The SPACE Matrix chart 28 The BCG Matrix 29 The BCG Matrix chart 29 The Recommended Long-Term Planning 30 Income Statement and Balance Sheet for Procter and Gamble (P&G) 32 The Recommended Annual Objectives & Policies 35 The Recommended procedures for strategy review and evaluations 35 References: 37 Case Abstraction The Procter & Gamble Co., also known as P&G, is based in the United State of America. Mr. William Procter and Mr. James Gamble are the founders of the company in 1837, and this tell the story behind the company’s name. The P&G company is born when Mr. William, a candle maker from England and Mr. James, a soup maker from Ireland in Ohio. They are met eventually when they married sisters. The company is headquartered in downtown Cincinnati, Ohio, United States. Mr. Bob McDonald is the current CEO of P&G Company. He has a philosophy of focusing on lower-end products. Whereas, Mr. A.G. Lafley, who focus more on the......

Words: 10320 - Pages: 42

Premium Essay

P and G Swot

...:( P & G) Strengths • The large scale, on which the P & G operates, is one of its strengths. It is a global leader for different product categories like fabric, home, baby, beauty, health and personal care in many countries. Its three hundred products are sold in over one hundred and eighty countries. • The strong branding of P & G makes it one of the most successful brands in the world. • The company has a vast experience in oral and personal hygiene products as they are working since…. • Also, it has an extensive experience in marketing in different market segments and is one of the best marketers in the world. • P & G is tightly integrated with some of the largest retailers in United States of America as well as world around. and around the world Distribution channels all over the world • Gross profit margin of the company is 15 times the industry average • P & G is known for its diverse brand portfolio. The company is able to customize its global products and brands according to the local preferences. • P & G invests greatly in its research and development to. About $2 billion are invested every year by P & G for improving and introducing new products. The end-consumer understanding of P & G and its large database of consumers make its research and development strong. Weaknesses • Many of the top brands of P & G are losing their market share rapidly. In online media leadership and presence P & G is lagging behind. • The beauty and health products by P & G are...

Words: 588 - Pages: 3

Premium Essay

P&G Strategy

...essay will focus on the business running of Procter & Gamble in Singapore from 2005 to 2012. In 2005, P&G announced an acquisition of Gillette Company. (P&G annual report, 2005) After the acquisition, P&G acquired several new products from Gillette Company such as razors and blades and it obtained several new production lines from Gillette without the expenses on research and development. As a result of acquisition, the growth rate of net earnings of P&G in personal beauty area in 2005 was much higher than previous year. (P&G Annual Report, 2005) In this case, P&G used a related diversification strategy to increase its economics of scope. Meanwhile, since the Gillette Company is also one the most well-known company in personal beauty area, the market power of P&G had an obviously increasing in that year. According to Johnson, Scholes and Whittington (2008), synergy means that the activities or asset are more effective together than apart. Based on this acquisition, because of both P&G and Gillette had similar product in one area; so that the impact of acquisition to market was much stronger than the impact of sum them up separately. In additional, due to the acquisition of Gillette Company the distribution channel of P&G have to be operated more efficiently to meet the increasing demand. It means the diversification of help the P&G improve the efficiency of distribution channel at same time. Even though diversification strategy......

Words: 1302 - Pages: 6

Premium Essay

P&G: Sk-Ii

...CASE STUDY ANALYSIS OF P&G: SK-II GLOBALIZATION PROJECT FOR: Professor Howard Kupferman Written by: Andres Torres Procter and Gamble Case Study Analysis Actors: 1. Alan Lafley: Head of P&G Beauty Care GBU 2. Paolo de Cesare: President of Max Factor Japan 3. Durk Jager: P&G CEO 4. GLT: Global Leadership Team (made up of business GM’s of crucial MDO’s, people from R&D, consumer research, product supply, HR, and finance). Chaired by Lafley. INTRO: In this case study we are introduced to P&G as an organization and their changes in structure overtime. More specifically, after the acquisition of Max Factor Japan and success in its SK-II line, questions are raised about whether global expansion is feasible and profitable as a franchise. De Cesare ran this skin-care line in Japan, but he reported directly to Lafley. This is crucial because global expansion would require Lafley’s approval in budgeting and organizational support. P&G recently went through major organizational changes over a period of six years known as O2005. This created huge questions in the strategy that would be put together in the case of a global expansion for SK-II. Within the U.S. Procter & Gamble originally followed an organizational structure consisting of seven different divisions that were furthermore shattered into 26 distinct categories. Each category had its own R&D, supply management and marketing. In addition, the international......

Words: 2346 - Pages: 10

Premium Essay

P&G Case Study

...Outsourcing Award www.IAOP.org P&G: Taking Innovation to New Levels of Value through Partnership INTRODUCTION Many people believe innovation springs serendipitously from some kind of “aha” moment – literally a bolt out of the blue. P&G knows differently. Innovation has been the corporate lifeblood since P&G’s humble beginning in 1837 when William Procter and James Gamble signed a partnership agreement formalizing The Procter & Gamble Company. Today, P&G’s products touch and improve the lives of over 4.8 billion consumers in 180 countries. Fifty “Leadership Brands” include some of the world’s most well-known household names with 25 of these 50 brands each generating more than $1 billion in annual sales. Simply put, this degree of corporate growth could not be achieved without significant innovation across all aspects of the business even extending to our relationships with suppliers and partners. In 2001, P&G radically changed its approach to Research & Development (R&D). Instead of relying solely on its own, highly capable R&D resources, P&G welcomed ideas from individual entrepreneurs and scientists from other companies, and universities, the concept came to be known as Connect & Develop; the goal was to gain half the ideas from inside and half from outside the company. Connect and Develop brought many great ideas, but the question remained. How does a company like P&G drive innovation in its outsourcing efforts? After all, P&G’s outsourced service providers are......

Words: 4003 - Pages: 17

Premium Essay

P&G Market Analysis

...PROCTOR AND GAMBLE COMPANY DECISION SHEET The LDL market segmentation for Procter & Gamble is based on three main product attributes. Performance describes the product’s primary cleaning benefit, mildness describes the gentleness on hands, and price provides the benefit of low cost. P&G positioned its three LDL brands very differently. Ivory is positioned to appeal to females, primarily middle-class mothers, who enjoy the benefit of younger looking hands. Advertisements depict a mother/daughter comparison to illustrate this youthful appeal. Its creamy-white color and light scent relates this LDL to the Ivory bar soap, which consumers recognize for its mildness. Dawn is positioned purely as a performance LDL for those who seek superior grease-cutting abilities. By allocating most of the marketing budget towards coupons, this brand seeks early-adoption by new customers in hopes of promoting brand loyalty among households. Joy is the original LDL manufactured by P&G, and is positioned as a reliable and recognizable option due to its unique yellow color and fresh lemon scent. Procter & Gamble should implement product improvements on an existing brand. As a successful, established performance brand primarily recognized for its grease-cutting abilities, Dawn is the preferred brand for performance improvements. The improvement of an existing brand will require roughly $20 million in capital costs, similar to those required to introduce a new brand. However...

Words: 610 - Pages: 3

Premium Essay

P&G Decision Cockpits

...Decision Cockpits Proctor and Gamble's (P&G) innovation and willingness to invest in new technology allowed the company to streamline how it views, interprets, and gathers information. Implementing the use of technology such as Business Sufficiency, Business Spheres, and Decision Cockpits allows employees at all levels to view and make real-time decisions in the company. Executives use the Business Sufficiency software to make 6-12 month predictions about P&G's performance statistics. The goal of this software is to make leaders within the company aware of what is going on and help them to determine what actions are required to solve any issues. The software provides real-time data on issues and allows leaders to focus on these issues rather than on gathering data. P&G has seven business sufficiency models that provide information on a specific problem set. These sets identify specific variables about the problem and are key to determining how to correct the problem. Business Sufficiency is extremely effective. The most important item required in making a decision is data. If managers spend too much time searching for data they may miss the opportunity to correct an issue. Business Sufficiency ensure that executives have access to data immediately and that everyone is using the same data. Business Spheres (figure 1) are specially designed meeting rooms that have visual information displays in a spherical shape around the room. P&G has 50 areas that are......

Words: 570 - Pages: 3

Premium Essay

P&G Analysis

...functional value. 1.2 The sales people concerned that if they launched a product without enough difference from other products, retailers would replacing units within the existing line. The sale of Scope may decline, or P&G may pay 50000 per stock-keeping unit in listing fees to add the new brand. Either way was costly. 1.3 The Market Research people concerned that Adding reassurances to a product often takes time before consumer accepts the idea. 1.4 The Market Research people concerned that if they launched new products, the new one might cannibalize a large amount of Scope’s sales.(Like warner-lambert, they launched listermint but listermint’s market share "primarily at the expense of listerine and smaller brands") 1.5 The Finance people concerned that launching a line extension would cost a large amount of money. 1.6 The Purchasing people concerned that when P&G launched new product the price of ingredients would increased by 50% and the packaging costs would increase by 0.3 USD per unit. 2 High risk 2.1 The PDD people though it was not easy to replicate Plax’s clinical results with P&G’s stringent test methodology. 2.2 Market Research people concerned that the launch of new product might not increase competitive users’ desire to purchase Scope. 2.3 If P&g launched new product, other companies would also do the same thing.(Game Theory)...

Words: 296 - Pages: 2

Free Essay

P&G Sk-Ii Globalization Project

...¿Tiene el producto SK-II el potencial suficiente para convertirse en una marca global de las operaciones internacionales de P&G? Para poder valorar si la marca SK-II tiene el potencial de internacionalización suficiente he estructurado mi argumentación empleando una matriz DAFO, en la que el objeto del análisis interno será la propia marca SK-II; y el análisis externo englobará tanto las capacidades y limitaciones de P&G como los drivers y barriers que definen el sector del cuidado de la piel y los cosméticos. Fortalezas [de la marca]  Producto con un alto margen de beneficio  Producto de alta calidad y gran innovación, que es percibido por el cliente (confirmado por las mujeres japonesas que son, probablemente, las consumidoras más exigentes del mundo en este sector)  La marca cubre una necesidad potencial de los consumidores  Éxito previo de la marca en diferentes mercados asiáticos: Japón, Taiwán y Hong-Kong  P&G puede explotar ese éxito en el resto del mundo  Oportunidad para ampliar la línea de producto (extensión de la marca) y para innovar en el servicio (los Beauty Innovation Systems-BIS) ofreciendo un valor añadido para los clientes Debilidades [de la marca]  Producto de lujo con un precio muy elevado  lo que puede suponer un ennichamiento de la marca en segmentos pequeños de mercado  Producto difícil de usar (6-8 pasos) que requiere de un entrenamiento previo del consumidor  Bajo “Brand awareness” a nivel mundial (exceptuando......

Words: 833 - Pages: 4

Premium Essay

P&G Strategy

...in the 1990’s? • P&G’s costs were too high because of extensive duplication of manufacturing, marketing, and administrative facilities in different national subisidiaries. The duplication of assets made sense when national markets were segmented from each other by barriers to cross-border trade. (Products produced in one country could not be economically sold in another due to high tariff duties levied on imports to Germany for example). First, the changing global market created a better market for companies to expand and compete with less restrictive policies from host nations and more openness to foreign direct investment have all aligned to make the older strategy almost doomed to be defeated. Second, a combination of cheaper more efficient transportation of goods and markets more free for the import and export of materials aided to P&G losing some market share and profitability. c. What strategy does P&G appear to be moving to ward? What are the benefits of this strategy? What are the potential risks associated with it? P&G initially expanded internationally when it earned Canada in 1915. However, even after expanding into Western Europe and Asia in 1960s and 1970s, the company still maintained all product development at its headquarters location in Cincinmatim, Ohio. Subsidiary units were responsible for manufacturing, marketing, and distributing the products in their local markets. However, by the 1990s several factors caused P&G to reconsider......

Words: 698 - Pages: 3

Premium Essay

P&G Case Study

...What Lafley brought to the table wasn’t exactly a change in the business processes of P&G, it was more of a change of lifestyle and personality. Jager had come in trying to rip apart the current culture and rebuild it from the ground up in his eyes. What happened was that P&G pushed back at him, and caused an instant revolt that almost tore the company apart. In comes Lafley, who was the complete opposite of Jager’s gruffness. Lafley was more soothing and built his personality around persuading others to buy into his image. He didn’t try to force himself onto the employees, but reassured them that they still had values. Lafley knew that he had to put himself onto the ground level and get people to agree with him on the images that the company needed. He ingeniously did this by sending out memos stressing the core values of P&G and what it stood for. He stressed that the emphasis of P&G was still “ to improve the everyday lives of people around the world with P&G brands and products that deliver better performance, quality, and value. The value system-integrity, trust, ownership, leadership, and a passion for winning: not going to change. The six guiding principles, respect for the individual, all not going to change.” Once he had the people around him accepting him, he began to incorporate his vision. He made it known that his view of “any business doesn’t have a strategy is going to develop one: any business that has a strategy is either going to change it, or improve its......

Words: 1401 - Pages: 6