Scope Case Analysis

1.3. In order to estimate the peso discount rate, assume that the International Fisher Effect (IFE) holds. Groupe Ariel's Euro hurdle rate for a project of this type was 8%. Assume that inflation rates are expected to be 7% in Mexico and 3% in France.

Information and surveys showed that 75% of Canadian household use 1 or more mouthwash brands. The company’s market research revealed that users could be segmented to 'heavy' users that comprised 40 % of all users and to 'medium' users that comprised 45% of all users and to light users that comprise 15%.

1) What significant changes have occurred in the Canadian mouthwash market in the past three years?

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

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.

In the past, the booming economy had allowed for year to year increase in their sales because people had larger discretionary incomes. But due to the recession, smaller independent retailers had to markdown their items in order to stay in business because designer outlet stores are getting more traffic; so will Harry Rosen follow in suit? Or in order to maintain the integrity of the quality products they offer, will they continue their higher pricing and settle for a lower market share?

This mouthwash market was initially developed by Warner-Lambert being pioneered by brand Listerine. In 1977 Warmer-Lambert launched Listermint mouthwash as a direct competitor to Scope. Before 1987 the mouthwash market was continuously growing on average of 3 percent per year, in 1987 the market experienced a 26 percent increase after the introduction of new flavor. In 1976 Scope was the leader in the Canadian market.

According to Brazil basic social characteristics, and several other major competitors’ product, we decided our product types covered by the child toothpaste for the kids, healthy toothpaste for the elder, white toothpaste for young people, economic toothpaste for family. Our team pricing standards are to ensure that company earnings, guaranteed price competitive enough in the market, and guaranteed consumers can afford the price.

The buyers in this sector are individual households. People use toothpaste for their own personal use. “The customer power is magnified when the market has many sellers and fewer customers. The switching cost from one seller to another is another

Many times the assumptions made by the companies need to be either verified or revisited. The Harvard professor Robert Kaplan states that ‘most decisions are based on an underlying assumption. Positions articulated in a debate are based on an assumption. The problem is that, too often, in business, the assumption is never made explicit, or if it is, its accuracy is never questioned’ (qtd. in “Never Make Decisions Based On Assumptions”). Well, the most important estimation that Goodbite did was their claim that white strips are most needed by people from 20 to 29 years old. This perception, though, on the one hand may be true but from the other, I believe that it is not too accurate. The fact that people aged from 20 to 29 want to whiten their teeth is displayed by some routines from their personal activities that probably are yellowing their teeth. Those are likely to be the excessive use of tobacco (smoking cigarettes) and the fact that they often drink coffee or tea. Through this opportunity, they may find an extra way becoming more attractive, beautiful and handsome. One of the things that a man first see to another are the teeth, quite reasonable if anyone thinks that it is the most visible part of our body. So, making a positive first impression to a person seems an important factor for someone to use white strips. Thus, I am convinced that youngsters whiten their teeth not only

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

Culture has progressed with many consumer merchandises that have become necessities and transformed into the day-to-day routines of society without having to think twice about it. CP or Colgate-Palmolive, is an icon for the personal hygiene industry throughout the United States, and as a worldwide company has positioned the brand as a most important home care in multiple foreign countries.The CMF line is CP’s most popular brand. The brand was a huge hit because of its individuality and the value that it crafted for consumers was astonishing. Colgate Max combined a new breath-strip and a mixture of therapeutics’, which added to more

This situational analysis includes industry forces, company statistics and financial information, a list of environmental factors that deal with how the company operates, and competitor information.

A comprehensive project scope analysis serves several benefits that permit a company to guide the dream of a project to a successful completion.  One benefit is transforming the idea of the project into a working concept.  Once the concept is developed, project details can be mapped out.  Scope analysis outlines each step of the project in a detailed manner.  The primary benefit to this is it aligns the project so that the final product will be consisted with the original goals/objectives.  By outlining each step, scope analysis increases the likelihood that the project will stay within budget and time constraints as well as meet predetermined specifications and quality parameters.

Seeing the company records of Canadian Mouthwash Market Shares for past three years, I feel that the performance of scope in market was consistent despite the arrival of new products in market.