The Search And Capture Of Customer Value

1551 Words Oct 5th, 2014 7 Pages
The Search and Capture of Customer Value
For Procter & Gamble to enter into a region that would, arguably, produce very limited profits and growth in the immediate foreseeable future is an action that would raise eyebrows. Given the aspects of the specific characteristics of the target market in terms of income, cultures and their tastes and preferences, the entry by Procter & Gamble can only be summed up as visionary and strategic. There are better markets in the West where the company could have spent the over one billion US dollars in R&D but rather, the company sought a far off village in inner China. This entry into the Chinese market is a strategy referred to as customer value capture. The focus that is used by Procter & Gamble is one aimed at putting the specific needs of the target market before the immediate needs of the company. In specific terms, according to Baker (2013) the strategy applied here is to forego profits today for the sake of future growth and profitability.
The Adopted Marketing Strategy
In seeking expansion and growth for the company, Procter & Gamble have applied various marketing strategies. One very visible method had been a development and adoption of a very well managed strategic planning. By creating developmental based projects that are in line with the organizational policy, the company has managed to incorporate a long term plan to create customer base in new territories/ market. Since the expansion was conducted on a corporate level,…

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