Procter and gamble
2091 mots
9 pages
P&G case study1- What is P&G’s strategy for success in the marketplace? Does the company rely primarily on a customer intimacy, operational excellence, or product leadership customer value proposition? What evidence supports your conclusion?
P&G has 4 core companies and steel to be competitive thanks to his strategy which is based on different successful points. Indeed, P&G’s strategy for success in the marketplace can be exposed into 5 points. They build existing core businesses into stronger global leader. It means that each of the 4 core companies is important and P&G grew market share in all four core categories P&G is the global leader in all four core categories. Baby Care and Feminine Care both have global shares above 35%. Fabric Care has more than a 30% share globally. Hair Care is over 20% in a large and fragmented category. P&G is growing share in categories that represent more than two-thirds of Company sales. Since 2000, they have grown P&G’s billion-dollar brand lineup from 10 to 17 brands. Moreover, P&G has improved on cost productivity structure in order to be able to make investments and to generate strong free cash flow. As a result of innovation at affordable price, investment, increase in productivity during 4 years (even if we have to understand a long term performance), sales have increased of 7 %, and about the volume growth they have increased of 8% in household care and family health, and 12% for P&G beauty. This strategy is necessary to provide the best consumer value. P&G aspires to be the leading consumer products company in sales, profitability, market capitalization, shareholder return, and in each of our core strengths. They are creating sustainable leadership advantages in branding, innovation, go-to-market capability, and scale. Everything is in line with the strategy, indeed, P&G has the largest lineup of leading brands in the industry, the industry’s largest pools of