A Corporative Analysis for P&G Tide Detergent

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SWOT ANALYSIS
P&G is the world 's largest consumer goods company that markets more than 300 brands in over 180 countries. Many of its products are non-discretionary; however, some are considered premium purchases and their sales suffered during the recession as cheaper, generic purchases rose. P&G has some of the strongest brands in the world that usually provide it a significant competitve advantage. It cut prices up to 10% on a wide swath of products to blunt any potential loss of market share. Below is a summary of the company 's competitive position.

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.

STRENGTH
Leading market position - P&G competes primarily in 22 global product categories and is a market leader in over two-thirds of these categories. In '09,

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