Procter and Gamble - Scope - Case Study

1569 WordsOct 25, 20107 Pages
INTRODUCTION 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 that best fills the needs of the consumers; it was recognized as a leader in the Canadian packaged goods industry. P&G Canada has five operating divisions, organized by product category. The divisions and some of their major brands are: 1- Paper products: Royale, Pampers, Always 2- Food and beverage: Crisco,…show more content…
This option would give Scope the chance to diverse its products and hopefully compete more with Plax with both of its products Scope and the new addition. The final option that Scope could choose would be to stay put with the product it already had. Scope would do nothing directly in response to the potential threat in terms of the two other alternatives. However they will increase promotion and advertising of the product reemphasizing claims of fresh breath and germ killing. FEASIBILITY 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

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