MKT 750 FINAL TERM EXAMINATION ANSWERS PROCTER & GAMBLE INC. SCOPE: CASE STUDY ON PAGES 251 – 262 PREPARED BY: xxxxxxxxxx STUDENT ID: xxxxxxxxxx GROUP: xxxxxxxxx PREPARED FOR: ASSOC. PROF. DR FAIZAH ABD RAHIM This case is about P&G Inc., which is one of the most successful consumer goods companies in the world. The P&G community consists of nearly 98,000 people working in almost 80 countries worldwide. What began as a small, family-operated Soap and Candle Company now provides products and services of superior quality and value to consumers in 140 countries. Scope was introduced in 1967 by Procter & Gamble, which is one of the most successful companies in the world. P&G philosophy is to provide superior quality and value …show more content…
Scope a green, mint-testing mouthwash, was positioned as a great-testing and mouth- refreshing brand that provided bad-breath protection. It was the first brand that offered both effective protection against bad breath and a better taste than other mouthwashes. Protect & Gamble, Inc also launching a line extension because they believed it’s will maximize profitability of the Scope’s brand. They also lowering its prices on Scope for attract the consumer to buy Scope’s product. The uncertainties are consumer perception of the brand images. Non-users currently don’t buy mouthwash because they don’t believe they get bad breath and they believe that brushing their teeth is adequate. The product innovation from other competitors is one of the challenges for Protect & Gamble, Inc like Listerine and Plax. Beside that the influence of the environmental factor such as now consumer more like use gums and mint for refreshing their breath. STEP 3: CONSIDER THE RELEVANT INFORMATIONS SWOT ANALYSIS Scope’s Strengths • Proctor and Gamble is one of the most successful consumer goods companies in the world • Proctor and Gamble known to provide products that fulfill consumer needs at superior quality and value • Leader in Canadian market with 33 percent market share and market expanding • Sales have been increasing for P & G in recent years. Although, the increase in net earnings by $1.3 billion, from $0.3 billion to $1.6 billion, between 1987
Also surveys were conducted of mouthwash user’s image of the major brands based on several attributes such as, reducing bad breath, killing germs, removing plaque and others. The results showed that Plax achieved a strong image on removing plaques and healthier teeth and gums, whereas scope scored a weaker image on those attributes.
Overall, Scope has a strong presence in the market for mouthwash. It has the leading market share in the Canadian market. Consumers that purchase Scope do so because it is better tasting than other mouthwashes that prevent bad breath. Scope excels in food stores, but has room to increase sales in drugstores because that is where most mouthwash purchases occur. With the introduction of Plax, Scope’s market share could potentially be threatened. The market is shifting towards health related benefits of mouthwash and not just fresh breath and good taste.
Hearst and the business team have three options, on one hand a line extension or new product positioned against Plax could be introduced into the market and in the other hand doing nothing and just looking at claims other than “breath” instead of adding a new product. Launching a new product “new pre-brushing rinse,” for example would cannibalize a part of Scope sales, also the delivery, marketing and capital costs of P&G will increase if a new rinse was launched and the user of Scope would be confused since he/she saw in the old scope a breath refreshment, taking into consideration that the new rinse is not any better than Plax in reducing plaque, but at the same time it may increase the market share of P&G and increase its profit. Whereas adding a new claim for Scope would not increase the volume of sales, but it could prevent current users of Scope to switch and it would stabilize the
Procter and Gamble Co. also know as P&G, is an American multinational consumer goods company, founded by William Procter and James Gamble. Its products include cleaning agents and personal care products. It has in its kitty global brands such as Ariel and Tide in the Fabric care segments and Head & Shoulder, Pantene and Rejoice is the Hair care segment. For this case study selects P&G Company as it has an important role in the consumer segment products. As P&G was a popular company, the financials statement shows better performance in the previous year.
Colgate-Palmolive Company (CP) launched a new toothbrush, Colgate Precision, to the market. But having developed for three years, CP was fiercely competing with other companies in the market. In order to have the power to fight in the highly competitive market with substantial product activity, Colgate-Palmolive Co. was in a problem of considering the how to position its new product--Precision, and to define the market strategy in terms of positioning, branding, and communication strategy. It provided some options with details to the reader, hence, for such purpose, this case would be a decision case, finding the optimum to segment the new product to the target and how it should be marketed.
Crest, a toothpaste company, is known to be one of the world’s biggest dental hygiene businesses. They sell many products, including floss, toothpaste, toothbrushes, teeth whitening, and mouthwash. Their advertisements are in magazines, on television, and heard on the radio. The most common place one hears promotional Crest advertising is at your local dentist and orthodontist office. These Crest products may even be advertised in one’s own bathroom near the faucet. Crest’s main purpose of this advertisement is to lets its audience know the severity of oral hygiene. Crest’s uses efficient advertising to get its main message across by persuading its audience into buying its product by, explaining necessary precautions, targeting the appropriate audience, introducing credible information, playing on emotions, using strategic devices, and using creative weasel words.
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.
So her specific task was to prepare a marketing plan for P&G mouthwash business for the next 3 years. In preparing the 3 year plan for Scope, a team has been formed within P&G to examine various options, the team included individuals from product development, manufacturing, sales, finance, market research and advertising operations. The team was faced by two options that are: 1- Launching a new line extension positioned against Plax as a recent entry into the market. 2- Looking at claims other than “breath” that might be used by scope such as plaque reduction.
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
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.
In the United States, research was done and new bottling was designed to optimize the appearance of the new toothpaste. The advertising was also focused on the freshness that result from the
product segments – Oral, Personal and Home Care; and Pet Nutrition. The company operates in more than 200 countries and this geographic diversity and balance help to reduce the Company’s exposure to businesses and other risks in any one country or part of the world. The company’s main competitors are Proctor & Gamble (PG), Johnson & Johnson (JNJ), Church Dwight & Company (CHD) and Clorox & Company (CLX).
P&G is a multinational Organization of consumer goods situated in United States. It sells products like personal care, cleaning agents, pet foods. The P&G Company is well known for its unique strategy which cares about the need of human. It not only makes its product available to its consumers but also tries to improve the life of its consumers. This strategy is more focus on its consumers wants and that is why it has an appeal to the heart of the consumer. The company has diversified its product line and also acquired other companies which have significantly contributed in the growth of their profitability.
Procter & Gamble is one of the most successful consumer goods companies in the world. There are many brand names found under the name of P&G INC . Scope, a mouth-wash brand, is a part of P&G. Scope was introduced as part of oral hygiene industry in the year 1967, in Canada. Scope had the highest market growth in Canada.
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