Procter and Gamble Corporation
Procter & Gamble (P&G) is a financially stable company that offers a wide variety of high-quality products that range from fitness items to household and hairstyle products. P&G is a renowned brand in the international market, and it ranks highly among the companies offering quality household products.
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P&G Products and Services
Procter & Gamble operates in five international divisions and produces the widest variety of consumer goods. The company also manufactures acerbic reflex drugs, animal feeds, and aquatic sieves. Procter & Gamble is dominant in the household care industry where it sells products such as Pampers, Charmin and Bounty, Dawn, Downy, Duracell, Tide, and Gain. The company also sells items such as Braun, Crest, Fusion, Gillette, Olay, Oral-B, Wella, and Pantene that attract many customers from the grooming and beauty industry. Procter & Gamble offers these products in more than 180 regions in the international market.
Procter & Gamble manufactures essential products that appeal to a wide variety of customers. Procter & Gamble has succeeded in capturing a wide consumer base by offering basic and indispensable household items such as baby care products, beauty and grooming items (Dyer and Olegario, 87).
Procter & Gamble receives competition from many companies because it operates in a lucrative segment. Consumers spend a lot of money on baby care and beauty products, and this market attracts competition from Walmart, Nestle, and Unilever. Other companies competing against P&G include Colgate-Palmolive Company, Avon Products Inc., Pfizer Inc., Johnson & Johnson, Bath & Body Works LLC, Alticor Inc., Kimberly-Clark Corporation, and Bristol-Myers Squibb Company among others.
P&G generates 40% of its revenue from operating in the United States and Canadian markets. Sixty percent of the company’s revenue comes from its operations in the Western Europe, Asia, Latin America, Central and Eastern Europe/Middle East/African (CEEMEA) markets. Procter and Gamble recorded increased profit margins between 2010 and 2013 although the company realized a 1% decrease in profitability in 2014. The company attributes the profitability decline to low sales volume in its beauty division and diversification of its Pet Care operations.
P&G invests significantly into its human resources and collaborates with major multinational companies to improve its service delivery. Procter & Gamble also offers internship programs to improve students’ understanding of the company.
P&G operates in more than 70 countries in all the continents, and the company selectively markets its products in the different regions based on the preferences of consumers.
Unilever is a unique company that has two headquarters in London and Rotterdam. The company is a major manufacturer of consumer products and started in 1929 after the merger of Butter Unies and Lever Colleagues.
Products and Services
Unilever operates in four major segments that include appetizers, home-based maintenance, individual care, and foodstuffs and drinks. The company is renowned for selling products such as Omo/Surf, Lux/Radox, Knorr, Hellmann’s, Ben & Jerry’s, Magnum, and Dove among other products to the international market.
Unilever receives commendable customer loyalty in its global market due to the high quality of its products. Some of Unilever’s leading products by sales volume include Oxo, Royco, and Batchelors, and the company attracts consumers who like mustard and affiliated products. The company appeals to its customers by offering customary-milled mustard products such as Radox, Badedas, and Duschdas.
Unilever receives competition from local and multinational companies who use environmental issues to gain competitive edge. Previously, Unilever received poor reviews on its Corporate Social Responsibility (CSR) activities and slow response to environmental concerns. However, Unilever introduced an environmental footprint program that will allow the company to assist approximately one billion individuals in each decade it conducts its operations (Lopes and Duguid, 1). The company’s competitors argue that Unilever has a poor record in the conservation of the environment and blame the company for deforestation.
Unilever is among the largest companies producing consumer goods, and the company has significant operations in the American and European markets. Unilever’s revenue during the 2012 financial year was $65,992 million, and this represented a significant increase from the 2011 financial year. Unilever’s financial records suggest that the company is operating at profit margins that exceed $8,986.5 million, and this represents an 8.6% increase in the company’s profitability.
Unilever’s long-term commitment is to enhance its operations in the international market. Consequently, the company implements a culture and structure that allows its employees to adapt to dynamic environments. Unilever ensures that it follows stringent recruitment processes to ensure that it has talented and qualified employees capable of meeting the company’s objectives. Successful recruits at Unilever undergo company orientation to ensure that they understand the company’s activities before receiving their assignments. Unilever offers attractive rewards to the employees who perform their duties according to the company’s expectations.
Unilever is a renowned brand, and the company ensures that its products and services are accessible to its customers in all major international markets. The company distributes its products to Asia, the Latin America, Africa, Europe, and Canada. However, Unilever sold some its businesses to several companies such as Wilmar International, Olam International, SIFCA, Palmci, and PHCI. Unilever continues to invest in enhancing the quality of its services and products to meet the consumers’ demands in different international markets.
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Nestlé is an internationally recognized company that has its headquarters in Vevey, Switzerland. The company is the largest food distributor based on its sales volume and revenue generation (Thompson, 2).
Products and Services
Nestlé manufactures and sells products such as baby foods, bottled water, beverages, dairy products, breakfast cereals, ice cream, confectionery, snacks, frozen foods, and pet foods among others.
Since its inception, Nestlé continues to target a wide diversity of customers of all ages. The company focuses on customers in the middle- and low-income classes and the company offers its products at prices affordable to such individuals. Nestlé also targets middle-aged consumers who have young children by offering a wide diversity of baby foods. Infants and children represent a significant portion of the Nestlé’s consumer base, and the company responds by offering numerous products that needed by this consumer base.
Nestlé manages to operate with a big financial budget due to its financial endowment. The company received more than $65,992 million during the 2012 financial year, and this represented an increase of 10.5% from the 2011 financial results.
Nestlé considers its employees essential to all its operations, and the company focuses on attracting dedicated employees. The company ensures that its recruitment process is transparent and fair to all applicants regardless of their ages, gender, race, or skills. Nestle encourages its employees to develop long-term attachments with the company, and this eases the company’s ability to open new outlets in the international markets.
Nestle has retail outlets in all the major international markets, and the company operates more than 450 factories. Nestlé sells its products in almost 200 countries across the globe. Nestlé’s pricing strategy enables the country to operate in many countries regardless of the socioeconomic statuses of the citizens.
Dyer, Davis, and R. Olegario. Rising Tide: Lessons from 165 Years of Brand Building at Procter & Gamble. Boston, Massachusetts: Harvard Business Press, 2004. Print.
Lopes, Teresa and P. Duguid. Trademarks, Brands, and Competitiveness. Abingdon, UK: Routledge, 2010. Print.
Thompson, Stephanie. “Nestlé Warns Stores: Prove It or Lose It.” Advertising Age, 13.2 (2004): 1-21. Print.