Value Pricing at Procter & Gamble

I assume that our new brand will be well welcome by the low-income consumer and that Unilever will have a 13% margin. We could have also repositioned Campeiro but it is too well known for being a cheap

The key issue for Virgin Mobile USA is to select a pricing strategy that will both attract and retrain subscribers.

Company Q has had a large demand from their customers to provide healthy and organic foods over the last few years. They recently started offering a small variety of health and organic food items, which is a step in the right direction toward being socially responsible. They need to be more attentive to the needs and wants of their customers as it shouldn’t have taken years to bring in these demanded products. When there is a demand for products and the company doesn’t respond to that demand, it’s perceived by the consumers that the company simply doesn’t care about their needs and wants. Bringing in a selection of these products was a good start in satisfying their customers. However, with such a demand for these items, having a small and limited selection is just not enough. Expanding the line of health and organic food items will accomplish two things. First and foremost it will appease the current customers and bring in a new clientele that is health conscious, thus helping to create a healthier community and at the same time increasing sales. The higher margin on the health and organic items coupled with the increase in sales will really boost the overall profit margin of the company. Company Q does need to be sure that they don’t over price these products so as to not push away business due to overpricing.

Unilever will want to regenerate their product so that they will be able to be the market leaders for the product again, this is going to be essential for some products where they rely on the business being a good market leader for most of their products. The shareholders will want to know about the business as they will want to have the business sot be the market leader for the company and they will also want to have the product regenerated as quick so that sales are not hit too effectively. They will also want the product to review and test why it has become a decline in sales to make sure that they are going to stop it from happening to other

The threat of substitutes in the food retail industry can be high among the ‘Big Four’ as switching costs are relatively low and products can be similar. However, most have their own private labels and also target slightly different markets, such as Sainsbury’s having more upmarket positioning and Tesco’s cost leadership. Waitrose offers unique and differentiated products, which are, in the eyes of the consumer, significantly superior. No other supermarket offers such premium quality products with great service and such a large range of organic products as Waitrose, so this makes them extremely difficult to substitute. (Euromonitor, 2008).

Buyer Power: As GCO's products aren't any different from the products sold by other online sellers and local brick-and-mortar stores, it was unable to establish a brand images and to bound buyers to give up other substitutes for their proprietary products. Also, since the majority of buyers are only purchasing to the extent that to satisfy their household demand, their demands in volume are rather small and may be easily satisfied by any normal sized food retail competitors of GCO. These two factors together have provided the buyer a strong power in negotiation with GCO as well as many other food retailers. This fact is further strengthened by the fact that there is literally no switching costs in switching retailers as all the buyers would have to do is to go to another potentially more distant store and incur little additional gas expense.

This seeks to satisfy to some extent Gordon’s idea that a price increase may induce short-term profits, but should not exacerbate Nick Vlahos’ concern that a price increase will have a negative impact on the firm’s desire to drive out the Royal Oak brand.

availability of substitutes 1, and the threat of retaliation from incumbents (by lowering price, for

Operation of Unilever around the world starts fragmenting, but Unilever continues to expand globally and investment made in R&D is increased.

There are many outside influences that affect a company's profitability and bottom line. It is important for companies to set the right price in achieving that profit. Companies are in business to make a profit, but it can be challenging on how to determine how to price products. The grocery industry is a highly competitive market and today's grocery retailers use all kind of strategies to increase their sales and retain customer loyalty. With the fluctuating commodity prices and how online retailers (Amazon) entering in competition with the grocery retail business is becoming fierce. As competition for the food dollar intensifies, establishing essential marketing strategies is a key tool in sustaining business and building competitive advantages. In this paper, three U.S. supermarkets have been chosen to analyze their pricing strategies; Trader Joes, Harris Teeter, and Aldi.

This report aims to analyse the financial position of Unilever PLC within its daily operating activities and it also compares the company’s performance with its key competitor, the Proctor and Gamble Company (P&G). The report also includes background of both the companies and an industry overview. To better understand the performance of both the companies, the segmental analyses have been done for both region and products. Due to the global crisis, Unilever and P&G both are facing price rise and inflation pressures, also instability in the Eurozone. All these factors are strongly impacting their operation activity and long-term growth decision plan. Finally After a careful examination of the financial ratios of both the companies, we recommend Unilever as a good company to invest as compared to P&G .The reasons for the following can be seen in the report below.

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.

The Unilever Group’s report on ice cream stated that they saw volume growth and share gains in most markets. Specifically they saw a strong performance in Western Europe, Mexico, Indonesia and Australia. Much of this growth was due to the Magnum Gold acquisition and the marketing of this product in these markets. Product quality improvements helped their Klondike line achieve strong results in the U.S.A. The Unilever Group maintained a negative price growth in ice cream. The negative price growth reflected slightly lower gross margins, at constant currency, with commodity costs higher.

P&G is an international supplier of consumer goods it is a "global leader in health and beauty care products, detergents, diapers and food . P&G's presence in the hair care market in the U.S has been strengthened by innovative technology BC-18 and the replacement of an old brand 'Pert' with 'Pert Plus'- a mild shampoo with a fully effective conditioner. P"G decided to introduce BC-18 in Europe. Traditionally, the European market is highly competitive the main rivals are Colgate, Unileaver, and L'Oreal. The European market is segmented (i.e. value based) and

There are many pros to this offer. Unilever is the largest ice cream producer in the world and like Dreyer’s, already has an extensive distribution network and extensive knowledge of the market. With an offer of $36 (cash), Unilever had by far the best looking offer on paper. They also have a market capitalization of $18 billion and can provide the financial backing that Ben & Jerry’s needs. On the other hand, there are a large number of cons and a huge amount of risk. B & J would have to give up a great deal and essentially “sell its soul” if it were to accept this offer. Unilever has no intention of keeping with B & J’s corporate vision and practices of social responsibility which made B & J a household name in the first place. Unilever is a much larger and more diversified corporation than the others and simply won’t be able to put in the “t.l.c” into the product that Ben & Jerry’s has built their reputation around. As a result, brand loyalty will drop significantly as will B & J’s value. If Unilever were to adhere to B & J’s social charter this would be a much more attractive offer.