Preview

Procter and Gamble Strategic Analysis

Powerful Essays
Open Document
Open Document
3380 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Procter and Gamble Strategic Analysis
Procter & Gamble is a company with more than 100 years on business, and is a clear example of a successful company. Procter and Gamble was founded in 1837 and incorporated in Ohio on May 5, 1905. It began as a small family operated soap and candle company, and now provides products and services of greater quality and value to consumers in over 180 countries. Procter and Gamble, in conjunction with its subsidiaries provides branded consumer goods products.
Procter and Gamble also makes pet food, water filters, snacks and beverages. More than 20 of Procter & Gamble's brands are billion-dollar sellers. These include Actonel, Always/Whisper, Braun, Bounty, Charmin, Crest, Downy/Lenor, Folgers, Gillette, Iams, Olay, Pampers, Pantene, Pringles, Tide, and Wella, among others. In 2001 Procter & Gamble bought Clairol and in 2003 also bought the majority of Wella. Its purchase of Gillette in late 2005 was its biggest buy in company history.
Procter and Gamble’s structure or operation matrix is divided in three main global business units:
1. Beauty
2. Health & well being
3. Household Care

Procter & Gamble has seven reportable segments:
1. Beauty: Includes cosmetics, deodorants, fine fragrances, hair care, personal cleansing and skin care products, primarily under Head & Shoulders, Olay, Pantene, CoverGirl and Wella brands.
2. Health Care: Includes oral care, personal health care and pharmaceuticals.

3. Fabric Care and Home Care: Includes laundry detergents, fabric enhancers, dish care, surface care, air care and commercial products.
4. Snacks, Coffee and Pet care: Includes snacks, coffee and pet food.
5. Baby Care and Family Care: Includes diapers, baby wipes, bath tissue, and kitchen towels.
6. Blades and Razors: Includes men’s and women’s blades and razors.
7. Duracell and Braun: Includes batteries, electric razors and small appliances.
The household care segment accounts for twenty seven percent of Procter & Gamble’s net earnings, the greatest contribution from any of

You May Also Find These Documents Helpful

  • Good Essays

    Proctor and Gamble

    • 831 Words
    • 4 Pages

    The company chosen to demonstrate the marketing mix has been a leader in the industry for many years as well as an innovator in product advertising design. Starting out as a soap and candle manufacturer, more than earned their place in the market place. The company is Proctor and Gamble (P&R) and their earliest beginnings are rooted in strong family tradition and humility from the early 1800s. The Proctor and Gamble of today is far different than the founding company operating in a global marketplace, in 140 countries, distributing their products and services to consumers two billion times a day.…

    • 831 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Procter & Gamble (P&G) is a leading manufacturer of personal and home care products. P&G is an international company that operates in 40 different countries.…

    • 1566 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Phase 5 Ip Procter & Gamble

    • 2299 Words
    • 10 Pages

    Procter & Gamble is a Fortune 500 company. Their views of combining their business ethics and what is best for their communities is what makes this company a success. The executives that run this company and the products they develop and manufacture make for a winning team. Their mission statement says “We will provide branded products and services of superior quality and value that improve the lives of the world’s consumers, now and for generations to come. As a result, consumers will reward us with leadership sales, profit and value creation, allowing our people, our shareholders and the communities in which we live and work to prosper.” Procter & Gamble is in over 180 countries and is hoping have one billion new customers by 2015; going into countries that have a higher poverty level is one way they are planning to achieve this goal They are already going into the back country of China to sell their products to the poorest of poor customers. Their CEO Robert McDonald has big plans and aims high since becoming the CEO of Procter & Gamble and is well on his way to making all this plans move along effectively. In this final essay I will be digging deeper into Procter & Gamble and giving an Executive summary about the current state of Procter & Gamble, discussing technological opportunities, marketing opportunities, the recruitment presentation and future opportunities.…

    • 2299 Words
    • 10 Pages
    Good Essays
  • Better Essays

    Proctor & Gamble is a fortune 500 company. William Procter, a candlemaker, founded the company and James Gamble a soap maker, formed the company known as Procter & Gamble (P & G) in 1837. The two men emigrated from England and Ireland and settled early in Cincinnati. They might never have met had they not married sisters: Olivia and Elisabeth Norris. (Britannica Encyclopedia, 2007) The business decision was made by their father-in-law to make the two men business partners. The company prospered during the 19th century. In 1859 sales reached one million dollars. By this point, approximately eighty employees worked for Proctor & Gamble. During the Civil War the company won contracts to supply the Army with soap and candles. (www.pg.com) The products of the company were in such demand that it increased the profit of Proctor & Gamble.…

    • 3253 Words
    • 14 Pages
    Better Essays
  • Powerful Essays

    Proctor and Gamble (P&G) over its journey of about 175 years has become one of the world’s largest consumer goods Company with sales of nearly $80 billion and a net profit of about $10 billion. P&G has a presence in more than 180 countries with brands that accumulate to in excess of $25 billion.…

    • 4008 Words
    • 17 Pages
    Powerful Essays
  • Good Essays

    that they are doing something right. A company doesn't last as long as P&G if they are not producing quality products. This history also plays a major role in one of P&G's other strengths, their brand awareness. Although outside of the business world Proctor & Gamble may not be that familiar of a name, the products they produce, such as Pampers, Tide, and Crest are relatively well known across the nation. It is not question that when a consumer recognizes a brand it relates some sense of quality to that consumer. The third major strength from the list is P&G's diverse product line. Proctor & Gamble have a strong presence in several product segments in the consumer goods market,, such as fabric and home care, beauty care, baby & family care, healthcare, and snack & beverages. With so many different successful products in their arsenal, it is no wonder why Proctor…

    • 699 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Proctor & Gamble

    • 1977 Words
    • 8 Pages

    Founded in 1837, Procter & Gamble is the #1 U.S. makers of household products and a recognized leader in the development, manufacturing, and marketing of a broad range of products including Crest toothpaste, Tide laundry detergent, Ivory soap, Pampers diapers, and Dawn liquid detergent. Procter & Gamble has operations in over 70 countries and employs over 100,000 people worldwide and markets to nearly five billion customers in over 140 countries.…

    • 1977 Words
    • 8 Pages
    Powerful Essays
  • Good Essays

    P&G focuses on its core businesses and leading billion-dollar brands for growth. Nearly 80% of sales and growth this decade has come from 10 businesses, including baby care, blades and razors, fabric care, family care, feminine care, home care, oral care, prestige fragrances, retail and skin care. P&G has shifted the business portfolio to more beauty and personal care products. During this time, the percentage of sales in these higher-margin businesses has increased from 18% to 33%. In the past eight years, beauty, personal care, and health care products have accounted for 60% of sales and growth. At the end of FY 09, Proctor and Gamble had expected net sales growth of between 5-7% for 2010 with free cash flow equaling to 90% or more of net earnings. Now, it expects sales to be roughly flat over 2009. P&G also had just 32% of sales coming from developing markets, compared to almost 45% for its global competitors. Consequently, P&G should have a lot of room for global sales growth, as it catches up to its competitors global sales figures. Proctor and Gamble’s strategies to win include its extensive expenditures in consumer and product research, product innovation, brand-building, go-to-market capabilities and economies of scale advantages.…

    • 1967 Words
    • 8 Pages
    Good Essays
  • Good Essays

    Proctor and Gamble is a leading consumer company in the world, operating in more than 140 countries. Their primary focus is on valuing customers by providing them with quality and branded products which adds values to customer needs. There are five operating divisions which are organized by the product category. These categories are named as…

    • 993 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Procter and Gamble

    • 5902 Words
    • 24 Pages

    Procter & Gamble SA (P&G) is a chemical company. It is one of the newest P&G subsidiaries. The company offers services in the areas of beauty and grooming, health and well-being, and household care. It markets different brands like Head & Shoulders, Pantene, Pampers, Always, Tampax, Oil of Olay, Vicks, Pringles, Old Spice and Hugo Boss. Procter & Gamble in South Africa principally into production of cleaning products and beauty care products. P&G uses its South African base to export to neighboring SADC countries. The company has offices in Johannesburg and Cape Town. P& G has its Headquarters in Ohio, US.…

    • 5902 Words
    • 24 Pages
    Better Essays
  • Good Essays

    Procter and Gamble (P&G) is a corporation committed to the simple idea of improving the lives of the world’s consumers every day. P&G grows by touching and improving more consumers’ lives in more parts of the world. The company’s products extend and distribute to 180 countries around the world.…

    • 1402 Words
    • 6 Pages
    Good Essays
  • Powerful Essays

    Proctor and Gamble was established in 1837 and was one of the largest manufacturers of customer products. It has operations in 80 countries and employs 100,000 people globally. It established its first foreign plant in 1915 in Canada and the company’s first subsidiary was established in 1930s in Britain. The business expanded to many countries by 50s and 60s. By the late 1970s, P&G had a decentralized market with the production units in many countries, which served as a profitable strategy to the company until 1990s. The company had to reorganize their strategy with the goal of transforming P&G into a truly global company.…

    • 989 Words
    • 3 Pages
    Powerful Essays
  • Good Essays

    The Company that began as a small Midwestern partnership had grown into one of America’s largest multinational corporations. The company emerged as an important new player in health care and in cosmetics and fragrances. Today, P&G offers more products than just soap. Their product line consists of personal and beauty (cosmetics, oral care, hair care), house and home (laundry care, dish soap, snacks and coffee), pet care and nutrition products.…

    • 651 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    P&G Strategic Plan

    • 8319 Words
    • 34 Pages

    Our Procter & Gamble Strategic Plan makes available an investigation and assessment of the current and prospective opportunities for the company based on in-depth market and company research. Analyses are based on standard business strategy analysis tools, which are: Strengths, Weaknesses, Opportunities & Threats (SWOT) analysis, External and Internal Factors Evaluation (EFE/IFE) Matrices, and standard financial analyses including competitive comparison with Procter & Gamble’s industry. Strategic alternatives were evaluated with the use of the Internal-External (IE) Matrix and the Grand Strategy Matrix which fed into the Quantitative Strategic Planning Matrix…

    • 8319 Words
    • 34 Pages
    Powerful Essays
  • Good Essays

    Procter & gamble (P&G) is a leading global consumer products company founded in 1837 with $76.7 billion in sales in 180 countries. P&G is famous for their brand names like Tide, Gillette, Pantene and many others. It competes in 26 distinct product-category markets such as hair care, cosmetics, paper towels, skin care, oral care, blades and razors, diapers and fabric care.…

    • 796 Words
    • 3 Pages
    Good Essays

Related Topics