Professional Documents
Culture Documents
STRENGHT
Strong Brand Name
Financial position
Diversification of product line
Developing Marketing infrastructure
Production innovation
Weakness
Losing market share in half of its global brand
The beauty & health products of P&G are for women
Lack of effective distribution in same region
Customer concentration
Substitute products
WEIG
HT
0.10
0.07
0.09
0.06
0.12
RATI
NG
4
4
3
3
3
WEIGHTED
SCORE
0.40
0.28
0.27
0.18
0.36
0.10
0.16
0.10
0.08
0.12
2
3
2
3
3
0.20
0.48
0.20
0.24
0.36
2.97
EFE matrix
Opportunities
Increase in demand of beauty & health products of
customers
Increase amount of man who want beauty & health
products
Increase penetration inn urban market trap rural
market
Wide range of demographic
Acquisition
Threats
Increase price of raw material
Cheaper consumer brand competitors in market
Unfavorable business law & political instability
Terrorist activities
New competitors
Total weighted score
CPM Matrix
Weig
ht
0.10
Rati
ng
4
Weighted
Score
0.40
0.10
0.40
0.08
0.32
0.09
0.05
4
3
0.36
0.15
0.10
0.10
0.08
0.10
0.10
2
3
3
2
2
0.20
0.30
0.24
0.20
0.20
2.77
Critical success
factors
Weigh
t
P&G
Price competiveness
0.196
Ratin
g
3
Market share
0.216
Financial position
0.186
Product quality
0.206
Consumer loyalty
0.196
Unilever
Scor
e
0.58
8
0.64
8
0,74
4
0.61
8
0.58
8
3.18
6
Ratin
g
2
4
4
3
3
Scor
e
0.39
2
0.86
9
0.74
4
0.61
8
0.58
8
3.20
6
Johnson &
Johnsons
Rating
Score
2
0.392
0.432
0.558
0.618
0,588
2.588
Matching stage
SWOT
MATRIX
Strength
Opportunities
Increase in
demand of beauty
& health products
of customers
Increase amount
of man who want
beauty & health
products
Increase
penetration inn
urban market trap
SO strategies
Invest to create &
developed a
multifunctional
product that may
satisfy the customer
Focused on the rural
market by product
development with lost
cost & best values
Introduce related or
unrelated product for
Weakness
Losing market
share in half of its
global brand
The beauty &
health products of
P&G are for women
Lack of effective
distribution in
same region
Customer
concentration
Substitute products
WO strategies
Use innovative
channels of
distribution for the
product
Introduce new
product for man
segment to gain
market share
Utilize niche
market rather than
focused on few
rural market
Wide range of
demographic
Acquisition
Threats
Increase price of
raw material
Cheaper
consumer brand
competitors in
market
Unfavorable
business law &
political instability
Terrorist activities
New competitors
wide range of
demography
products
ST strategies
Continue product
diversification to
offset increase chance
of competitors
Go for the backward
integration strategy
Continued
diversification to fulfill
demand of consumer
at low cost
WT strategies
Differentiate from
the competitors
with a precise
target (youngster)
Introduce new
product at cheap
rate as compared
to competitors
Space Matrix
Yaxi
s
Xaxi
s
Financial strength
Financial position
Return on investment
4
6
Leverage
Working capital
Cash flow
Average
5.0
-1
Product quality
-3
Customer loyalty
-2
Technology knowhow
-2
Environmental stability
Rate of inflation
-2
Technology
-2
change
Price elasticity
-2
of demand
Competitive
-4
pressure
Barriers to entry
-3
in new market
Average
-2.6
2.4
Industry strength
Growth
7
potential
Financial
7
stability
Ease of entry
3
into market
Resource
5
utilization
Profit potential
Average
6
5.6
3.6
Graph
This graph shows that the financial position of this firm is strong and it slaso achieve
major competitive strength in growming and stabele industry
Strategies recommended
Background integration
Forward integration
Horizontal integration
Arket penetration
Market development
Product development
Diversification
BCG matrix
Division
Revenues
($millions
)
Percentag
e of
revenue
Profir
($millions
)
Percentag
e of profit
Industry
growth
profit
23
13
16
Relative
market
share
position
0.60
0.20
0.30
Deauty
Grooming
Health
care
Snacks &
pet care
Fabric
care &
home
care
Baby care
& family
care
19491
7631
11493
24
10
14
2712
1477
1860
3135
04
326
03
0.10
23805
30
3339
02
0.80
14736
10
2049
17
0.40
80291
100%
11763
100%
3
3
2
Graph
Market development
Product development
Divestiture
IE matrix
On x-axis we use IEF
On y-axis we use EFE
Portion 1
1
2
4
Division
Deauty
Grooming
Health
care
Snacks &
pet care
Fabric
care &
home
care
Baby care
& family
care
Portion 2
3
5
7
Grow and
build
Hold &
maintain
Portion 3
6
8
9
Defensive /
divestiture
Revenues
($millions
)
19491
7631
11493
Percentag
e of
revenue
24
10
14
Profir
($millions
)
2712
1477
1860
Percentag
e of profit
EFE
IFE
23
13
16
2,8
2.7
2.3
3
2.5
2.6
3135
04
326
03
2.0
2.1
23805
30
3339
02
2.7
2.8
14736
10
2049
17
2.9
80291
100%
11763
100%
Graph
Grand Matrix
Product development
Background integration
Forward integration
Horizontal integration
Related diversification
QSPM