Clorox Case Analysis Essay

53% of consumers expressed desire to switch to eco-friendly products as of 2007. In today’s more environmentally conscious culture, that number has probably increased.

assuage any guilt they might feel about consuming mass quantities of unnecessary, disposable goods by dutifully tossing these items into their recycling bins and hauling them out to the curb each week”. (Westervelt, Amy. "Can Recycling Be Bad for the Environment?" Forbes. Forbes Magazine, 25 Apr. 2012. Web. 5 Dec. 2015). So why is the reason that companies are starting to “Go Green”? Its clearly obvious that the change in America from an industrial country to a environmental country has taught big business how to market environmentalism in mass quantities of their product. The strategy of the consumption-environment mindset are increasing rapidly. If this trend of buying without thinking does not slow down, with problems like not shifting priority from consumption to being environmentally aware, things will certainly worsen. On the topic of green marketing, people often see that green marketing refers to the advertising of objects or products with environmental characteristics to them (Like the Nestle bottle, for example). Terms like “Environmentally Friendly”, “Refillable”, and “Recyclable”, are some of the things people associate with green marketing. In reality

In order to gain market shares through the low-income segment of the Brazilian market, Unilever should launch a new Detergent Powder brand at an affordable price, which could replace in the long-run Campeiro, its cheapest brand. However this strategy is not without any risks, since it can lead to the cannibalization of Minerva.

Many firms are learning that being environmentally friendly and sustainable has numerous benefits. (O.C Ferrell, Fraedrich, Ferrell, 2015). This could enable them to increase goodwill from various stakeholders and also save money in the long term. This will mean that they are being more efficient and less wasteful of resources, which will enable them to be more competitive by satisfying stakeholders. The CEO of

Green washing is a trend that is on the rise according to a Mintel organization report and that the number of green consumers has tripled in the last few years according to Makower 2007. The main objective of green washing is make consumers feel that the organization is taking steps to responsibly manage its environmental impact. As the pace of changes increases more organizations will feel the need to be more socially responsible and

interests and the company performance as a whole. Brands like Green Works have not turned profitable yet and are decreasing the bottom line. It is important that Clorox determine a balance between growth and profitability. Since Clorox made the shift toward a socially responsible brand image it needs to sustain the momentum it created with its initial marketing efforts and continue to increase awareness among the public about its environmental, social and financial contributions.

Over Tennant Company’s (Tennant) 141 year history, they have consistently remained a producer of floor-cleaning equipment and technologies focusing their efforts in producing products for non-residential use. Since the new CEO Chris Killingstad has come to the company however, he has been dramatically changing Tennant’s value proposition with a broader emphasis encompassing “chemical-free cleaning and other technologies.” This case shows Tennant’s move beyond traditional green efforts to centralizing environmentally-friendly performance at the heart of the company’s focus, and whether this new focus provides enough benefit as a competitive advantage.

The Clorox company faces a difficult road as they enter the "green product" segment. Competitors are aggressively entering the market segment by developing new product lines and purchasing brands. In order to enter the market, Clorox must overcome the negative associations their products have within the green community. The company needs to incorporate similar practices of newly acquired Burt's Bees. Clorox must adhere to the NPA standards of natural products as whole, follow Burt's Bees pledge of social responsibility and a marketing campaign to change their brand image from questionable to environmentally friendly.

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•The Clorox Company: Clorox was founded in 1913 as the Electro-Alkaline Company by five Oakland. Although best known for the household bleach that bears the firm's name, The Clorox Company is a diversified

In recent years Clorox’s primary products have reached maturity & it has spent heavily on acquiring, R&D, manufacturing, marketing of sustainable but not too profitable products. The growth rate of green products has slowed down lately however potential for such products stays strong. To expand and survive in the marketplace the company needs to reinvent and look at building a long-term competitive position by focusing on consumer megatrends of health, wellness and environmental sustainability, which is also the aim of its centennial strategy. The main issue is whether Clorox should continue to leverage growth around it sustainable products or focus on just lowering costs and increasing profitability in the short term.

The Clorox Company has been in the cleaning product business for 100 years but the modern consumers are bringing a new challenge. Clorox identified their target audience as the modern parents between 25 to 40 years old with a dual income and on-the-go lifestyle. These parents are increasingly busy and wouldn’t likely be spending their free time cleaning. Moreover, they aren’t familiar with Clorox’s cleaning products. Knowing this, the company sought to start a motivational and informative campaign for families to spend more time together and laugh about the mess in their daily life.

The main issue of the P&G Korea case is centered around the question of market share. P&G and Unilever are the two major market shareholders in the Korean detergent industry holding 80-85% of the total market share. The remaining 15-20% of the market is held by low-priced local Korean brands. There are no new markets either company can tap for further market share since most Korean households already use laundry detergent, making the market saturated. Other than peripheral chemical changes claimed to be “improvements”, there are no major innovations to be explored for product development or diversification. Per Ansoff’s strategic opportunities matrix, P&G and Unilever are both focused on Market Penetration,

Unilever is assessing whether to enter the low-income NE market. Our analysis shows that there is a profitable opportunity to offer detergent powder to low-income customers living in Northeast Brazil and capture market share in a high-margin, high-growth market. We recommend that the firm keeps the existing brands but deploy a horizontal extension of the Campeiro brand - adding better scent / softness and utilizing specialty distribution network, thereby marginalizing Invicto, an inferior but better-known competitor.

This market study was based on the well-established Clorox Company which had originally started in 1913. In 2006, after the placement of the new CEO, the company had developed a strategic plan to position them for their 100th anniversary in 2013. The plan was titled “The Centennial Strategy” which focused on long-term accelerated growth and developed metrics to measure the success of the plan. The plan focused on accelerated sales growth which would come from extending existing brands to adjacent categories, entering new sales channels with its existing brands and increasing penetration in countries where Clorox already did business. The Clorox Company developed a “3D” structure consisting of desire, decide and delight. This