Tuesday, February 19, 2013

Gilette

THE SWOT ANALYSIS OF GILLETTE COMPANY

Strengths

Invests highly in Advertising
Advertising is burning(prenominal) for them to expand their commercialise share and advertise their unique business line model.


Strong Brand equity, Strives to expand its product line
Gillettes portfolio contains long-familiar brands as Brown, Oral-B, Duracell etc. The strength and quality of these brands allows Gillette to change higher(prenominal) prices. Also they never stop to introduce a freshly product.


Well-diversified portfolio
They are well-diversified in terms of product diversification and market diversification. This avoid risk of overdependence on one source. ( personal circumspection products, razor&blades, dental-care products, batteries etc... )


Highly Globalized
Anyone can have the exactly very(prenominal) Gillette product anywhere in the world, they are not customized.


creativeness and strong R&D investments
They make considerable amountsof investments to R&D and develop new products.


Weaknesses

Profitability highly hooked on core business
Gillettes profitability is highly drug-addicted on Razor & Blades business. Any downturn in the heavens or in Gillette?s competitory position within it could have a serious negative effect on the company.


High General and Administrative costs relative to peer companies.

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Opportunities

Under Procter & Gamble Co.s umbrella
Refer to positioning afterwards merging with P&G


The Metro sexual trend.
Men, more practically using Gillettes products.


The new fast growing jejune market.





Threats

Competitive environment.
Gillette compete with well-known and advertised brands, and also with mystical labels which are sold at lower prices. The companys survival depends upon its ability to
adopt itself in this kind of competitive environment.


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