Accenture-Using-Mergers-And-Acquisitions-To-Achieve-Strategic-Objectives-And-High-Performance
Using Mergers & Acquisitions to
Achieve Strategic Objectives and
High Performance in the Consumer
Goods and Services Industry
By Larry Thomas, Thomas J. Herd, Ken Dickman, Joey Lanius and Natalie Francis
Table of contents
Introduction
3
Key Strengths of Consumer Goods and
Services Leaders
4
Strategic Category Leadership
6
Consumer Focus
9
Flexible and Low-Cost Operations
12
Conclusion
14
2 | Using Mergers & Acquisitions to Achieve Strategic Objectives and High Performance in the Consumers Goods and Services Industry
Introduction
The consumer goods and services (CG&S) industry—whose primary product categories are household, personal care, and food and beverage—constantly evolves to address market and customer trends while positioning itself for future growth and profitability. Historically, it has been a rather fragmented industry, with only a few clear category leaders that dominate on a global scale. Furthermore, CG&S high performers have consistently focused on building number-one or number-two positions in a limited number of innovation-sensitive categories or niches.
However, recent years have brought changes to the dynamics of this landscape.
Most significantly, a US economic recession has strongly impacted all industries. CG&S companies have been forced to reevaluate their product lines, operating models, and target markets, seeking to align their portfolios of businesses and products to recover from recent industry challenges and pursue high performance in the future.
In this paper, Accenture explores how
CG&S companies are turning to merger and acquisition strategies to address key industry challenges and market trends, and pursue market leadership in an increasingly competitive landscape through constant reevaluation and realignment of their product portfolios. Specifically, we review three areas in which high-performance businesses in the CG&S industry excel:
strategic
Achieve Strategic Objectives and
High Performance in the Consumer
Goods and Services Industry
By Larry Thomas, Thomas J. Herd, Ken Dickman, Joey Lanius and Natalie Francis
Table of contents
Introduction
3
Key Strengths of Consumer Goods and
Services Leaders
4
Strategic Category Leadership
6
Consumer Focus
9
Flexible and Low-Cost Operations
12
Conclusion
14
2 | Using Mergers & Acquisitions to Achieve Strategic Objectives and High Performance in the Consumers Goods and Services Industry
Introduction
The consumer goods and services (CG&S) industry—whose primary product categories are household, personal care, and food and beverage—constantly evolves to address market and customer trends while positioning itself for future growth and profitability. Historically, it has been a rather fragmented industry, with only a few clear category leaders that dominate on a global scale. Furthermore, CG&S high performers have consistently focused on building number-one or number-two positions in a limited number of innovation-sensitive categories or niches.
However, recent years have brought changes to the dynamics of this landscape.
Most significantly, a US economic recession has strongly impacted all industries. CG&S companies have been forced to reevaluate their product lines, operating models, and target markets, seeking to align their portfolios of businesses and products to recover from recent industry challenges and pursue high performance in the future.
In this paper, Accenture explores how
CG&S companies are turning to merger and acquisition strategies to address key industry challenges and market trends, and pursue market leadership in an increasingly competitive landscape through constant reevaluation and realignment of their product portfolios. Specifically, we review three areas in which high-performance businesses in the CG&S industry excel:
strategic