P&G - Fighting Competition*

            


Details


Mini Case Code : CLIM026
Publication date : 2005
Subject : International Marketing
Industry : FMCG
Length : 03 Pages
Price : Rs. 100

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Key words:

Procter & Gamble Company (P&G), FMCG products, consumer goods companies, regional retailers, unbranded products, private label, retail brands, price range, competition, price cuts, value-based company, volume-based company

Note

* This caselet is intended for use only in class discussions.
** More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.

 


Abstract:
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P&G, a brand to reckon with in the FMCG sector, suddenly found its sales dropping in Germany and India in the year 2000.The caselet explores the reason for this drop in sales and examines the measures that need to be taken to boost sales. It also discusses the marketing strategies that the company adopted to deal with the competition.

Issues:

Impact of price related to the competition in the FMCG industry
Can private brands pose a threat to the survival of multinational companies?
Does resorting to price cuts put an end to competition?
How competitors' moves can pressure and influence the strategies of a company

Introduction

Procter & Gamble Company (P&G), established in 1837 in Cincinnati, USA, was founded by William Procter and James Gamble. The company initially sold soaps and candles...

Questions for Discussion:

1. Is Procter & Gamble right in resorting to price cuts to revive its flagging sales? Discuss.

2. Comment on Procter & Gamble's shift to a 'volume-based' company from a 'value-based' company.





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