Strategy Business Analysis

Table of Contents

TOC \o "1-3 " \h \z \u HYPERLINK \l "_Toc0 " Table of Contents PAGEREF _Toc0 \h 1

HYPERLINK \l "_Toc1 " SWOT Analysis PAGEREF _Toc1 \h 2

HYPERLINK \l "_Toc2 " Organization 2005 Strategy PAGEREF _Toc2 \h 8

HYPERLINK \l "_Toc3 "

G and Gillette Acquisition PAGEREF _Toc3 \h 19

HYPERLINK \l "_Toc4 " References PAGEREF _Toc4 \h 26

SWOT Analysis

The Proctor Gamble Company is a market leader in consumer products for both manufacturing as well as retailing . The company was the first ever company to

make use of the branding phenomenon in to categorize its products and target the market . The Proctor Gamble Company has a vast line of about 400 consumer products which are divide into five strategic business units . These business units pertain to fabric and homecare , healthcare , foods beverages and snacks , family and baby care as well as health care

The company has its headquarters in Cincinnati in the United States and by 2005 it had its operations as well as manufacturing facilities in almost 42 countries with about 98 ,000 employees across the world . The company employs about 98 ,000 people .

G recorded revenues of 56 .8 billion during the fiscal year ended June 2005 , an increase of 10 over fiscal 2004 . This growth was due to effects of acquisitions , foreign exchange and relative growth in developing markets . It recorded net earnings of 7 .3 billion during fiscal 2005 , an increase of 12 over fiscal 2004 (Datamonitor , 2005

At the time of the merger and consolidation takeover of Gillette by Proctor Gamble , the strengths , weaknesses , opportunities and threats faced by the Proctor Gamble Company were as follows

Strengths

One of the strategic benefits that the company has due to its large scale of operations is the achievement of economies of scale and a significantly large target market . The advantages that the company has pertaining to the large scaled size of the enterprise and the organization relate to being a global leader in consumer products with its products being sold in more than 160 countries around the world This provides the company with a very diverse target market which is t is targeting with the same products , albeit with some customizations in the marketing , packaging and promotion of the products . The company also achieved economies of scale through its operations relate to finance marketing , logistics , manufacturing as well as research and technology innovation development . The large scale of the operations has also benefited the company in the form of providing it with a substantially large buying power of commodities as well as the media therefore giving it strategic advantage against the smaller and the lesser organized business in the same sector

The strong branding employed by the Proctor Gamble Company is also the strength for the company in the long term . The company participates in more than 40 product categories with 300 brands in roughly 60 markets Some of its very well-known brands include Tide , Pampers , Bounty Charmin , Cover Girl , Pantene , and Clairol . Moreover...