Case Study Of Unilever Company

Established in 1837, Proctor and Gamble (P&G) had developed a holy grail of principles and practices. Its philosophy is focused on individual talents, abilities and how best to make use of them. P&G source this talent from within the organization attracting people willing to spend their entire career with the company. Proctor & Gamble has developed a reputation of caution in the industry of household 's sundries and personal care products. It 's marketing strategies and judgements towards different markets stand out to the competition. Extensive marketing research and testing are "trademarks" that distinguish P&G in the industry. "Internal operations at P&G are described as thorough, creative, and aggressive by some, and slow, risk

Proctor and Gamble-Scope is faced with a very important decision, they need to prepare a marketing plan for P&G’s mouthwash business for the next three years. They want to know how they are going to be able to

How did unilever organize to do product category and brand management in unilever before 2000? What was the corresponding structure after 2000? How was brand meaning controlled before 2000 and how is it controlled at the time of this case?

Procter & Gamble is an extremely large manufacturer of consumer goods that currently consists of about 170 brands, with plans to exit 90 to 100 of them in order to, “become a simpler, more focused Company,” (Annual Report). Their different business segments include beauty; grooming; health care; fabric care and home care; and baby, feminine, and family care. Almost all of their products are every-day items aimed to improve the lives of their consumers. P&G’s key customers include, “mass merchandisers, grocery stores, membership club stores, drug stores, department stores, salons, distributors, e-commerce and high-frequency stores,” (Annual Report).

In 2000, Unilever decided to reduce 1,600 brands down to 400 and then select a small number of them to serve as “Masterbrands”. One of the reasons to have fewer brands is to decrease control issues. It is harder to manage so many brands, especially when each one has its own particularities. As Deighton pointed, Unilever’s brand portfolio had grown in a relatively laissez-faire manner. In other words, the company’s brands were created without large interference.

Procter & Gamble’s mission and vision statement is profoundly stated within what the company refers to as their statement of purpose. The statement defines the company’s current and future direction, including their shared image in producing quality products that commit to the well-being of all individuals and communities alike. For nearly the last two decades, P&G has been establishing themselves in various marketplaces around the world, and expanding their product mix in accordance to consumer tastes. However, as the consumer goods industry continues to evolve, so do changes within P&G’s organizational structure, including the need to divest or cease many of the company’s brands to reduce costs and improve operational efficiency.

Unilever has a loan fee administration strategy planned at upgrading net intrigue cost and diminishing unsteadiness. This is proficient by modifying the loan fee investigation of obligation and money puts over the act of financing cost switches.

Social Influence like social class and culture will also affect the consumer decisionmaking process.  Social Class: As per Exhibit 2 in Case Study, 53% of population in the Northeast region lives on less than two minimum wages when compare to 21% in the Southeast. This shows that more than half of the population was implicated by low wages in the Northeast region. This leads people to think on buying detergent based on their affordable price or living class. So, the social class plays a significant

Procter & Gamble (P&G) is a world-leading producer of consumer goods. Today, it consists of over 20 million dollar brands (like Gillette) and operates in 42 countries

A SWOT analysis is an effective tool for acquiring insight toward a company’s internal strengths and weakness, and external opportunities and threats. P&G’s greatest strengths are their aggressiveness toward understanding consumer needs, strong research and development, and a diversification strategy. The company’s weaknesses are substantial competition in the consumer goods industry, and too much confidence placed in developed markets. On the other hand, there is opportunity in markets where countries are developing and experiencing industrialization, especially in countries where barriers to entry are low, and the company has a better chance of establishing brand identity. Although, the company continues to sustain themselves in markets where there is a possibility of eroding their market share, as they rely heavily on the revenues they capitalize upon within these mature markets.

Unilever being a global manufacturer of packaged consumer goods, caused a high number of brands under its control. A problem they faced was the brands portfolio growing into a laissez faire manner.. For example, Unilever was one of the largest producers of ice cream, distributing across many countries including the UK, most parts of Asia, the Algida brand in Italy, Germany, Brazil, Netherlands, and the United States. With such a high production of ice cream in all these countries and with many other products distributed globally, these product categories had “checkered Identities.” With this said, the company introduced ia new strategic initiative called “Path to Growth”. The initiatives main goal was to reduce more than 1600 brands down to 400. With the main surviving brands of the 400 they wanted some brands to be their “Masterbrands” and mandated these brands to serve as umbrella identities over the range of product forms. With the use of the new initiative, Unilever can have brand managers in specific countries allowing direction for each of their products. Global brand units have the responsibility for creating a global vision and charged with inspiring cooperation from all geographic markets, including connections between brand managers in different countries.

A mission statement specifies the present direction a firm is going, while a vision statement advocates the future course in mind. P&G defines their mission and vision statement with a statement of purpose to reflect upon building products that provide a benefit, and grant prosperity for all. Almost two decades the company has progressively grown; whereas, recently, the company has developed a strategy to alleviate inefficiencies within its organizational structure, which makes them more convoluted compared to its leading competitor. Furthermore, the company is planning to eliminate specific product brands in order to invest more in products that are cost-effective. Diversity is sighted throughout the organization’s operations, and has played a role in creativity. The company’s leadership has also provided the means to propagate diversification through mentorship and proper training programs. Revisiting organizational strategies have effectively shifted the company’s plan of action towards a more meaningful direction.

Procter & Gamble (P&G) is a Fortune 500 American multinational company, and a world 's leading consumer goods company. P&G’s work is driven by a Purpose of providing branded products and services of superior quality and value to improve the lives of the world’s consumers now and for generations to come. P&G now has 50 Leadership Brands, which are among the world 's best known and which account for more than 90% of P&G sales. P&G entered the Chinese market through a joint venture in 1988. Now, P&G is the most successful foreign marketer in China as measured by market share.

The Procter & Gamble business strategy is to focus on creating new brands and categories so the company can focus on being the best in branding, innovation and scale. This is what sets this company apart from many of its competitors. The Proctor and Gamble are the global leader in all of their core businesses within the company which consists of laundry, baby care, hair care and feminine protection. This report is designed to understand the company’s business model and strategies, and analysis how the P&G has formulated its business-level strategies to pursue its business model.

Hindustan Unilever Limited (HUL) is one of the strongest FMCG Company having a long standing in India with the motto that what is good for India will be good for HUL. HUL is a household name in most of the categories of the products. With right vision statement which includes the environmental vision the company is growing as sustainable company. The brands are manufactured in 29 owned factories across the country having more than 18,000 employees. The company has over 1800 suppliers and associates, 3500 stockists and coverage of 7 million outlets which includes direct coverage of 3 million outlets through their distribution partners Project Shakti. The turnover of the company in the fiscal year 2014-15 was 30,170 crores. HUL has products in categories of personal care products, cleaning products, food category and water purifier and most of their brands are market leader in their category.