PG vs Colgate - 1091 Words

Introduced in September 2002, Colgate’s ‘Simply White’ posed a threat to PG’s dominant market share in the over- the-counter teeth whitening product category. Colgate emphasized that its product bleached teeth as effectively as PG’s Crest Whitestrips and priced it at a significant 65% lower than Whitestrips which allowed it to gain almost 50% market share. Although concept tests done by PG indicated that consumers perceived both products to be equal in terms of whitening levels, PG’s internal scientific data suggested that the whitening level for Whitestrips was 5 times higher than Simply White. Thus PG is faced with the core issue - Whether Simply White works as well as Whitestrips and how can PG regain its market share by†¦show more content†¦If PG’s claim is substantiated by the ADA it could influence the outcome of the issue in contention. As both NAD and ADA, the key interest groups in the arena, prefer to provide accurate data to the consumer, the support of these two possible can further influence the resolution of this issue in PG’s favor. This is further supported by PG’s previous knowledge of NAD’s workings and PG can leverage its market power to access key decision makers on the NAD’s panel such as advertisers, academics and public sector officials. PG can also use NAD’s ruling against Den-Mart, which based its argument on ADA’s scientific report on correct whitening levels, to lobby with ADA, influencing ADA to accept PGs own method of documenting tooth color changes. In order to regain its market share PG needs to respond using a combination of non-market and market responses. PG needs to lobby with both the NAD council and the ADA in order to create a pool of allies and also get scientific acceptability of its method of documenting tooth color changes. At the same time it can fund independent research and publication in order to increase awareness amongst consumers. Once PG has scientific basis for its argument it should immediately file a claim against Colgate. Although, since such non market strategies may take time, which would further increaseShow MoreRelatedIndividual Case Analysis Colgate vs. PG796 Words   |  4 PagesBrighter Smiles for the Masses----Colgate vs. PG [pic] [pic] BY: ZHUANG Lingzhi ( Erin ) 52373176 Individual Case Analysis The Procter Gamble Company (PG) was the first one to launch the over-the-counter tooth-whitening product, Crest Whitestrips, which is able to be used at home to the market. After two years, Colgate followed to launch the rival product, Simply White, and snatched big part of the market share from PG. The market share of WhitestripsRead MoreSwot Analysis : Procter Gamble Essay1001 Words   |  5 PagesIntroduction Procter Gamble (PG), a leader in the personal products industry relies on branding, product innovation, and delivering value and quality products to consumers worldwide. However, PG has seen stagnant growth in profits. PG is a position to reevaluate and restructure its strategy by identifying external threats and weakness which is a key step to solidifying a corporate strategy for long-term growth. This is an PEST and Five Forces external analysis of PG’s threats and weaknesses,Read MoreColgate Case Analysis1497 Words   |  6 Pagesmarketing strategy for the launch of the new Colgate Precision. The issue can be divided into the following four major areas: 1. Positioning: Which market should be targeted? 2. Branding: Should Colgate make the most of the company’s brand? 3. Communication Promotion: How does Colgate distribute its advisement expenditures among products? How much should Colgate invest in advertising Colgate Precision? 4. Channel: Which distribution channel should Colgate use? Our team must analyze the two differingRead MoreMkts Strategy1292 Words   |  6 Pagescannot be passive in the face of continued attack - price cut, - promo blitz, - product improvement, - sales-territory invasion options: †¢ â€Å"wait and see† -- take time to understand motives -- ST vs LT -- identify areas of weakness of competitor †¢ strong response: -- detailed all-out offensive Eg: BMW Mercedes vs Lexus Infinity -- action when MS erosion was serious †¢ price cuts †¢ low end defense -- new models for under $45K segment Mobile defense: - more than aggressively defend -- stretches domainRead MoreProctor Gamble Scope Case Analysis1229 Words   |  5 Pageswith a very important decision, they need to prepare a marketing plan for PG’s mouthwash business for the next three years. They want to know how they are going to be able to capitalize on the emerging market segment within the rinse category that focused more on â€Å"health-related benefi ts† than the traditional breath strategy of Scope. If the company does pursue this there are several concerns that they have. How should PG respond to the newest competitor in the mouthwash market? What strategyRead MoreThe Rise of Battery-Powered Toothbrushes Essay4501 Words   |  19 Pagessegment. Between August 2001 and 2002, sales of power dental accessories in U.S. food, drug and mass outlets grew by 21.8% (Neff, 2002). There are many competitors in this industry including Colgate-Palmolive and Procter Gamble. In May 2000, Colgate-Palmolive introduced the Colgate Actibrush with a retail price of $19.99 (Young, 2002). Procter Gamble was quick to follow suit and introduced the Crest SpinBrush in mid 2001 and priced it at $5.99 (Young, 2002). With 50% ofRead MoreDomestic Marketing vs International Marketing2276 Words   |  10 PagesDomestic marketing vs International marketing Domestic marketing and International marketing are same when it comes to the fundamental principle of marketing. Marketing is an integral part of any business that refers to plans and policies adopted by any individual or organization to reach out to its potential customers. A web definition defines marketing as a process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods and services to create exchanges thatRead MorePG Swot Analysis10435 Words   |  42 Pagesincluding cosmetics, fragrances and over the counter medications; and diapers and feminine hygiene products. Other items range from cat litter to automotive additives. The top worldwide producers include Procter and Gamble, Kimberly Clark, Unilever, Colgate-Palmolive, Church and Dwight, Clorox, and Ecolab. Industry Trends and How It Operates Given the low growth rates of population and household formations in the developed nations, it has become more difficult for consumer product manufacturersRead MoreJudo Stategy754 Words   |  4 PagesSoftsoap entered to the market as the first mover, gain a competitive advantage and become to the market leader. However, competitive advantage of Softsoap is not able to preserve the market share when it is attacked by big players in the market as PG and Armour-Dial which are produce the liquid soap after. Red Bull Red Bull has a competitive advantage in term of focusing on the specific market and distribution strategy. It focus on the energy drink segment which has a small percentage from softRead MoreProcter Gamble Vs. Gillette Essay1672 Words   |  7 PagesProctor Gamble 1. What is Proctor Gamble’s corporate strategy? Do the company’s businesses seem to be related or unrelated? Are Gillette’s businesses closely related to PG’s businesses? How will a merger with Gillette provide a 1 + 1 = 3 effect for PG? Proctor and Gamble recently completed large restructuring, put new management in place, and cut capital spending needs. Since then they are now focused on increasing top and bottom line results after shifting business mix toward higher margin

Ielt Task 2 Free Essays

Advertising encourages consumers to buy in quantity rather than promoting quality. To what extent do you agree or disagree? Words: 281/ Time: 45’ Whether or not customers are encouraged by advertisers to purchase products in quantity without promoting quality is a controversial question. Some people would say â€Å"yes† with that idea. We will write a custom essay sample on Ielt Task 2 or any similar topic only for you Order Now However, as far as I am concerned, I strongly oppose that perception. First and foremost, although nowadays consumers are bombarded with information of products and services, viewers are still decisions-makers. Some people concern about quality, others have interest in quantity. But, they generally buy products according to their own interests, tastes, income and other factors. Moreover, customers are now increasingly cautious about advertised products, they thus ask for advice from their friends and families, instead of buying them impulsively. In simple terms, it is customers rather than advertisers who decide to purchase a certain product. It is also noted that the main function of advertising is to provide customers with adequate information about a lot of aspects of a product including quality, package, functions, warrantee, and promotion, not only price. In fact, advertising is usually criticized on the ground that it leads customers to follow the advertisers’ desire. However, according to marketing principles, that advertising merely satisfies consumers’ information needs. Unarguably, price is an important factor that marketers use to boost sales. Nevertheless, it is more important to remember that the role of advertising is to offer specific information on a product and service. Therefore, advertising simply conveys the message relating to price, rather than use it to attract consumers. To sum up, I believe that consumers have different attitudes toward advertisements because they are influenced by various factors, not only price. The general perception of advertising as a stimulus for purchasing in quantity rather than promoting quality is in fact a bias. How to cite Ielt Task 2, Essay examples

Dell Computer Essay Example For Students

Dell Computer Essay DELL COMPUTERCompany SummeryDell Computer Corporation was established in 1984 and today ranks among the worlds largest computer systems companies. Dell pioneered the concepts of selling personal computer systems directly to customers; offering build-to-order computer systems; and providing direct, toll-free technical support and next-day, on-site service. The company designs and customizes products and services to end-user requirements, and offers an extensive selection of peripherals and software. Dells complete range of high-performance computer systems include: Dell Dimension and OptiPlex desktop computers, Latitude notebook computers, and PowerEdge network servers. The companys products and services are sold in more than 140 countries and territories to customers extending from major corporations, government agencies and medical and educational institutions to small businesses and individuals. The company employs approximately 11,000 people. Headquarters are located in Round Rock, Texas, with manufacturing facilities in Austin, Texas; Limerick, Ireland; and Penang, Malaysia. Dell Computers business strategy is centered around its direct business model and customer-focused initiative aimed at delivering the best customer experience through direct, customer relationships, cooperative research and development with technology partners, custom-built computer systems and service and support programs tailored to customer needs. Dell believes that this approach provides it with several competitive advantages. The approach eliminates the need to support an extensive network of wholesale and retail dealers, thereby avoiding typical dealer mark-ups; avoids the higher inventory costs associated with the wholesale/retail channel and the competition for retail shelf space; and reduces the obsolescence risk associated with products in a rapidly changing technological market. In addition, direct customer contact allows the Dell Computer to maintain, monitor and update a database of information about customers and their current and future products and service needs, whic h can be used to shape future product offerings and post-sale service and support programs. This direct approach, combined with the companys efficient procurement, manufacturing and distribution processes, allows the company to bring relevant technology to its customers faster and more competitively priced than many of its competitors. Company HistoryThe company was plagued by management changes during the mid-1980s. Renamed Dell Computer, it added international sales offices in 1987. A year later it started selling to government agencies and added a sales-force to serve larger customers. That year Dell went public in a $34.2 million offering. Dell tripped in 1990, reporting a 64% drop in profits. Sales were growing, but so were costs, mostly because of Dells efforts to design a PC using proprietary components and RISC chips. Also, the companys warehouses were oversupplied. Within a year Dell turned itself around by cutting inventories and coming out with eight new products. Dell entered the retail arena by letting Soft Warehouse Superstores (now CompUSA) in 1990 and office supply chain Staples in 1991 sell its PCs at mail-order prices. Also in 1991 Dell opened a plant in Limerick, Ireland. In 1992 Xerox agreed to sell Dell machines in 19 Latin American countries. That year Dell sold a new line of PCs through Price Club (now Price/Costco). Dell opened subsidiaries in Japan and Austria in 1993 and began selling PCs through Best Buy stores in 16 US states. The computer maker abandoned retail stores in 1994 to refocus on its mail-order origins. The company took a $40 million charge to retool its troubled notebook computer line and later that year released its Latitude notebook to general acclaim. The company also introduced a line of servers. In 1995 the firm offered Pentium-based notebooks, and hastened the interest in its desktops by cutting prices and releasing a dual-processor PC. The following year Dell ramped up its efforts in the Asian computer market with new mail-order service in Hong Kong, Japan, and Singapore; a new Asia/Pacific Customer Center in Malaysia; and direct-sales operations in South Korea and Taiwan. In 1997 Dell and Toronto-based Newcourt Credit Group formed Dell Financial Services, a joint venture that will provide financing for Dell customers. That year Dell also announced plans to enter the market for engineering, analysis, and design computers called workstations. Dell built up its consumer business in 1997 by separating that operation from its small-business unit and beginning a leasing program for individuals. What Should Be Included In A Prohibition EssayTHE POWER OF VIRTUAL INTEGRATION: AN INTERVIEW WITH DELL COMPUTERS MICHAEL DELL; by Magretta, Joan; Harvard Business Review edition March-April 1998. Dell shows that Web-based business isnt just a dream; by Tebbe, Mark; Infoworld. Dell hopes to up channel business by going after regional resellers; by Zarley, Craig; Computer Reseller. Dell Computer Corporation; Hoovers Company Profiles; WWW.HOOVERS.COMCompaq Computer Corporation; Hoovers Company Profiles; WWW.HOOVERS.COMIBM Corporation; Hoovers Company Profiles; WWW.HOOVERS.COMGateway 2000 Corporation; Hoovers Company Profiles; WWW.HOOVERS.COMMaking the right choices for the new consumer; by Dell, Michael S; Managing Service Quality. 1997 Warp-Up and 1998 Predictions; by Creative Consumer MarketingService sells; by Dell, Michael S; Executive Excellence magazines