EssayClub.com - Free College Essays and Term Papers

Proctor & Gamble Swot

Situational Analysis
Strengths- Proctor & Gamble Company is one of the largest and most successful U.S. companies. P& G manufacture a wide variety of consumer goods that are known globally.   According to the Nielson List, P&G spend more money on advertising than any other company nationwide. The following strengths have played a part for the industry leader:
• Brand perception- P&G enjoys great customer loyalty due to their established brand name and quality.   Customers are aware of P&G’s three major lines of products which include: Beauty Care, Household care, and health and well-being care.
• Advertising- P&G does a phenomenal job attracting customers from around the globe with superb marketing creativity.   According the Nielson List, P&G spend 2.62 billion advertising dollars last year; more than double the 2nd company on the list.
• Innovation- Constant innovation allows P&G to explore various ways to improve business.   Last year, P&G implemented a new price strategy designed to eliminate high-cost promotions and eliminate binge buying of discounted goods.
• Customer Minded- the new price strategy rewards the loyal consumers that purchase products weekly, regardless of sales prices.
• Profits- P&G recorded sales just under 30 billion dollars for the fiscal year.
Weaknesses- As an industry leader, P&G has enjoyed tremendous achievement, especially with regards to sale numbers, however recently their new pricing strategy has angered retailers and wholesales. The following could be major concerns if they’re not addressed properly:
• Competition- P&G implemented their new pricing system without even asking customers to discuss how to smooth out pricing variations.   As a result, customers make look to major P&G competitors for discounted prices.   If major competitors fail to follow suit, keeping prices as is, than profits could dramatically fall.
• Pruning Shelves- various chains are eliminating P&G products due to the profits they are losing under the...