EXECUTIVE SUMMARY

This report deals with the entry of Coca Cola in Brazil. It will cover all the marketing aspects of Coca Cola in Brazil with regards to the 4Ps of marketing i.e. product, price, promotion and place. The entry Coca Cola in Brazil is important for us to assess because it is a foreign product in an unknown land. The customers in Brazil are not familiar with the concept of Coca Cola as a soft drink. Thus the company had to strategize careful so that the Brazilians are aware of the product and gradually starts accepting it. As the population mainly consists of teenagers and young adults the company first thought of targeting them. They are the most vulnerable lot who like to try different types of product. The climate of Brazil is conducive too to launch a product like Coca Cola. So if this company plans out a proper launch of the product through attractive promotional strategies, it can get response which the company hadn’t thought of. But not only the promotion, even the product and the price should be such that entices people from a dying economy to purchase something for relaxation, elation and satisfaction. The taste should also be palatable for Brazilians to enjoy the drink. Thus, if Coca Cola wants to enter into a foreign market like Brazil, it has to well equip itself so that there is no pitfall in the launch of the product. But in reality, the entry of the company in this South American country was not as easy as it was thought. Coca Cola faced innumerable challenges to affirm itself in this foreign land. It was almost a war with Tubainas and Coca Cola when the latter wanted an entry into Brazil and the former stood as a hindrance as they too sold sweetened beverage drink in Brazil.

 

 

 

TABLE OF CONTENT

TOPIC	PAGE NO
EXECUTIVE SUMMARY	2
INTRODUCTION	4
TARGET MARKET	4
POSITIONING STRATEGY	5
PRODUCT STRATEGY	6
PRICE STRATEGY	7
PLACE STRATEGY	8
PROMOTIONAL STRATEGY	9
THREE YEARS FORECASTED SALES AND MARKETING EXPENSES	12
CONCLUSION	12

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

INTRODUCTION

The history of Coca Cola dates back to 1886 when it was launched in United States. Invented by John Pimperton, it was regarded as a medicine in the 19^th century. But later, in the 20^th century it was launched as a world drink by Asa Griggs Candler. Thereafter it was no turning back for this company. It went into many international markets and succeeded in most of them. Coca Cola’s third largest operation was Brazil after Mexico. But the steady growth of Tubainas (supplier of carbonated drink in Brazil) during mid-1990 posed a threat to Coca Cola’s profitability. Thus the consistent war between Tubainas and Coca Cola started.

TARGET MARKET

Any carbonated, sweet and inexpensive drink is normally targeted to the young adults and teenagers. Coca Cola’s target market too was the young lot of Brazil. In general it targeted the middle class population of the market who wished to experience something new but had to exercise constraint due to their affordability factor. After 1990 the chronic stagnating and dying economy of Brazil was recovering. With the new introduced plan called “Plano Real” made easy for the middle class to spend on luxury goods and especially food items. They had enough disposable income in their hand to purchase cookies, yogurt, snacks and sodas now. Quite impressively the sales of soda rose 60% after 1993. This served as good news to the company as their chances of selling in Brazil grew. In Rio de Janeiro, Coca Cola Company launched an interesting concept of “Happiness Refill” which they mainly targeted to the middle class section of the society.(Parker, 2009) This project was combined with sales of Coke and adding credit points to the purchaser’s mobile. This worked wonders as the middle class loved their mobile phones but failed to credit it generously and they loved their Coke too. So with 20 liters of Coke, they got 20 megabytes refill. This worked wonders as along with the young crowd the middle aged people too started drinking Coke. As the climate of Brazil is tropical in nature, a drink under the scorching sun is welcomed by teenagers, young adults and even the office goers. And most of them are from the Middle class segment of the society.

POSITIONING STRATEGY

An effective positioning strategy is essential for any organization. Considering the fact that Coca Cola has spread its business in more than 200 countries, it surely follows a global positioning strategy. Coca Cola would have been benefitted had it followed a universal positioning strategy globally. But instead, to penetrate every market successfully, Coca Cola adopts the offering of each country specifically. Therefore to position it in the minds of the Brazilians, Coke launched a campaign in the soccer match. In the world cup of 1994 Coca Cola sponsored the game. As Brazilians are very fond of soccer, many of them went for the world cup. Going for the world cup meant going for a visual show of Coke. After this, even in TV commercials Brazilians saw Coke. It was one of the highest paid commercials of that time. “Always Coca Cola” was the tagline given to Coke campaigns. Coke was the only word which came out of every mouth then. Therefore gradually from a teenage drink it became a drink for all. Anyone who was thirsty and yearned for a sweet beverage opted for Coke. The word Coke itself became a brand. Even though Coke faced fierce competition from the Turabian, still it did not budge an inch away to grab the highest position. Coke’s competitive advantage was that it had by then already earned the global name for itself. It was an international brand and doing gaga in all the developed countries. So being an international brand, Brazilians always wanted themselves to get associated with the cool word Coke. It was frizzy and friendly that would be served in a dining table and along with friends. Thirst and taste both could be catered to by Coke. (Ana, 2009)Thus this was the kind of positioning Coke created in the minds of the consumers who thought Coke was a cool drink that is inexpensive and sweet to taste which satiated their thirst.

PRODUCT STRATEGY

To understand the product strategy of Coca Cola better, it is important for us to know what exactly a product strategy consists of. The end and the ultimate product vision is generally called a product strategy.

This is one of the most important parts of business. However strong are the branding and positioning of the product, if the product itself is not good, consumers will not value it. Coca Cola had its advantage there. Coke, as a black colored beverage drink was tasty and loved by the Brazilians. But it too faced a fierce competition there. To curb down the growth of Turabian, Coca Cola thought of doing something for the wellbeing of the society. It launched a school for the poor children in the suburbs of Rio so that people not only start loving the company but also develop a respect for it. Thus we see that in the form of a school they launched a different type of a product in Brazil which worked wonders to stabilize their actual brand Coke. They also introduced a fruit drink in Brazil named Minute Maid Mais. As the climate of Brazil is hot and humid, people love drinking something that soothes their throat. A fruits juice in bright orange pack is the best product that would serve best to the Brazilians. Gladiator, the energy drink from the house of coca cola is another favorite of the people of Brazil. Energy drink is a fairly new concept which had hit the minds of the consumer. The figure conscious people who avoid drinking anything that’s fattening normally thrive on energy drinks. Thus Coca Cola with their various types of products have been successful in Brazil. Kuat, another drink that is served is Brazil is a favorite of Brazilians. Made out of Guarana, a plant mainly found in Brazil is tasty yet nutritious. Thus Brazilians love them.(Mark, 2005) They love it more because it came from the house of Coca Cola which they respect and trust.

PRICE STRATEGY

Price strategy is also a very important part of product development. It can either help to make the product a success or lead to its failure. Pricing is also a factor that helps a consumer to remember the product. Pricing strategy can be divided in two broad categories. They are called market penetration pricing and market skimming pricing. In market penetration pricing, the price of the product is kept low to penetrate every level of the market. On the other hand in the market skimming pricing the price of the products is kept high to only cater to a certain segment of the market. In Brazil, as the population is generally not very affluent, market penetration pricing was adopted. As Coca Cola was new and had to fight against the Tubaina, they kept the price of their products low so that the consumer’s at least try their product once. They knew if the consumers once tried it, they will try it again. So was their confidence and quality of product. Pricing strategy is also a part of the positioning decision taken by the management. On the basis of the price a certain image is created in the minds of the consumer. For example, if a customer was searching for a sweet beverage with a low budget, automatically the name Coke will strike his mind. Thus this is how the pricing and the positioning strategy is connected. It has been also seen that Coca Cola also adopts Geographical pricing strategy. Geographical pricing means that the price of a product is fixed on the basis of the location or place. If the economic condition of the place is high then normally the prices of the products there are also very high and vice versa. Coca Cola in Brazil kept the price of the products low as the economic condition of Brazil is not too high. This geographical pricing strategy worked well there as people from all the strata of the society could drink that beverage. It also adopts to promotional pricing strategy. As we discussed earlier, Coca Cola did a project with a mobile phone company in Rio where they sold 20 liters of Coke along with 20 megabytes of refill in the phone.(George, 2009) This promotional offer urged the customers to purchase Coke over anything else. Mainly the middle section of the society was focused for it as they are mobile lovers but can’t refill their phone generously. And to top it all, they loved Coke too. So we see that these types of offers too help to raise the sale of a company.

PLACE STRATEGY

The place strategy is essential too in the product development phase. If the product is not placed in the right location, then the opportunity of selling the product diminishes. Thus it is very important for a product to be located in a right location and position to keep it in the view of the customers. Since Brazil is a hot and a humid place, the launch of Coca Cola beverages there would sell better. This was the vision of the coca cola company.(Circa, 2010)They started the operation Brazil in 1942 and ventured into their Brazilian market. The market entry to Brazil by coca cola was not very easy as they thought of. The local beverage company Tubainas was serving Brazil since more than 50 years before the entry of Coca Cola. They were almost enjoying monopoly in Brazil by distributing sweet and carbonated beverage there. The drinks were small to medium in size and quite inexpensive for the Brazilians to afford it. They were doing extremely well before Coca Cola approached to Brazil. The Tubainas quite obviously did not want to get threatened by this international giant in their business. Thus Coca Cola faced a stiff rebellious war with the Tubainas when entering the Brazil market. But gradually Coca Cola also won the hearts of the Brazilians. Mr. Smith, the then CEO of coca cola only wanted to rise its market share. He thought of Brazil as a lucrative place and even better than Mexico. The entry of Brazil for Coca Cola was a bigger operation surpassing even Mexico. He thought that the population of Brazil is about 80% more than in Mexico and the economic condition too was the same. Thus Coca Cola even had a higher chance of doing well in Brazil as compared to Mexico where it was doing excellently well.

PROMOTION STRATEGY

A correct promotional strategy makes the market aware that a new product has launched. That is how the news of a product percolates in a new market. With the help of advertisements, a new product or a new offering of an existing product is spread through the market. Advertisement works as the primary mode of commination with the customers. Advertisements are created on the basis of their target market so that it is easier for them to connect with the product. It helps to create a positive image in the minds of the consumers. It is important of an ad maker to create an advertisement creatively and with much passion and humor with the important massage short and crisp so that an average consumer does not get lost in its sea of information. To make the work of a consumer easy an advertisement with a positive vibe is created so that the consumer can differentiate one product with another. It becomes easy if more than a brand a saga can be created. An image or a world is enough for a consumer to get that product. In Coca Cola that the bright red color from far can ring a bell in the minds that it has to be Coke campaign. The color red was intentionally used as the color red absorbs the light and helps to reflect better. That is why people can identify the red color from far which neither is nor connected to Coca Cola. For over 100 years now, Coca Cola has created a culture or rather cult of its own. (Arthur, 2008)The coca cola campaigns are not only directed towards their customers but also towards their competitors. The best of Coca Cola campaigns around the world is that they do not bother about the sales of their product much rather they strive to change the world, a better and a positive place to live in. The mission statement of Coke itself induces a feeling of elation and positivity within. The famous taglines like “Always Coca Cola”, to refresh the world, Inspiration etc. automatically help a consumer to go for that product. It is a feeling of refreshment which consumers experience after few sips of Coke.

In Brazil, the most important promotion till date that took place was during the world cup in 1994 in Rio. The whole stadium was illuminated with the bright red coca cola campaigns which automatically led the audience’s eye towards the Coke advertisements. As soccer is one of the most favorite sports of the Brazilians, therefore the stadium roared with the audiences. Coming to the soccer match meant coming for the promotional campaign of Coca Cola. All the coca cola billboards were of eye level so that it is easy for the audiences to see them. The billboards were made attractive by displaying the players on them. This again increased the chances of audiences marveling on the billboards. The audiences were so attracted to the billboards that they took photographs and videos of them. It created a buzz in Brazil as it was one of the sponsors of the world cup. It was a creative approach in marketing the product. As the advertisements were launched at the time of the world cup, many people from in and around Brazil too could get to see a Coca Cola campaign. From the audiences to the players all drank Coke which again increased its popularity. Children loved drinking something which their soccer hero’s drank. Not only in the stadium, but all the subways had these billboards placed for passersby to have a look at them. It helped to spread awareness. This kind of a promotion was never seen before by the Brazilians. As soon as someone saw the advertisement, they immediately posted it on the blogs and shared their comment. This was it also gained worldwide recognition. The posters were also done in 3D for children to get attracted towards it. It helped to create an image of the product better. To record the reaction of the people seeing the advertisements, hidden cameras were fitted on the billboards. The cameras revealed some exceptionally good reactions towards Coke. After the world cup it created a cult for itself. The most spoken word was “Coke” by the young people. The word Coke too gained recognition in this time and spread through word of mouth. Anyone who failed to visit the stadium got to know about Coke through the flow of word’s from people’s mouth. The public said it was different and something out of the box which actually grasped their attention. They say that the advertisement was interactive and helped it to stay in the minds of the consumers for long unlike other advertisements. Apart from this, the project that Coke took up with the mobile phone company was also excellent a promotion. On the beach they fabricated a shaded place with red benches and tables to attract people there. The color however was connected to Coca Cola. It had a big kiosk from where people could get their Coke. There was a promotional offer that with 20 liters of Coke they could refill their mobile phone with 20 megabytes. This was directed towards middle class population who was attracted to this offer more than anyone else. The Colalife concept was Coke also was a new and great concept. For the first time people saw a social product which helped people to connect with one another. This was a project which was created to serve the society. It helped to reduce child mortality, help the mentally challenged people and also gave assistance to fight against Aids. This company also created a school for the poor children in Brazil who could get minimum education from there. Soon Coca Cola became a favorite of the Brazilians. With so much of community welfare, Coca Cola had to gain that positive image in the minds of the people which is the mission of the company. It brought about a better life for all. (Riva, 2009)

 

 

 

 

THREE YEARS FORCASTED SALES AND MARKETING EXPENSES

COLA	2012	2013	2014
SALES IN TRILLION	46.6	47.2	47.8

 

MARKETING EXPENSE	2012	2013	2014
IN BILLION	2.1	2.4	2.7

 

CONCLUSION

After discussing about the entry of Coca Cola in the Brazilian Market it is quite clear to us the actual power of coca cola as a company now. With much hindrance in the foreign land, Coca Cola had to strive hard to have a grip over Brazil. They had to fight with a very strong contender Turaiban which was serving the Brazilians for over 50 years. Coca Cola had to break that trust and build its own. With many community welfare programs they were successful in winning the hearts of the men in the foreign land. They thought only selling the beverage would not create a cult in Brazil. They have to do something different and thus started with the promotions of Coca Cola in World cups and in subways. With attractive campaigns were now able to spread the news of their existence in the foreign land. They had to strive a lot in Brazil to establish their foothold there, but their struggle paid of well. Even after so much of struggle Coca Cola emerged as a winner in Brazil.

REFERENCE

Parker.G. (2009).Definition of Target market.Marketing report. 2. 3-9

Ana. F. (2009).Importance of positioning strategy.Coca Cola Case report. 5. 34-36

Mark. D. (2005).Coca Cola product strategy.Marketing report. 26. 55-60

George. M. (2009).Promotional strategy.Coca Cola case. 10. 23-26

Circa.S. (2010).Basics of placement. Coca Cola case study. 12. 23-24

Arthur. A. (2008).Promotional offerings.Marketing report of Coca Cola. 9. 12-15

Riva.T. (2009).Promotional Strategy of coca cola.Marketing article. 7. 19-25

 

Foreign Market Analysis for Gillette Shaving Cream

 

 

J Alejandro Garcia-Sandoval

ID 22300546

Assignment 1

 

 

Executive Summary

 

This Report deals with the relevant International Market issues which might arise while dealing with the international marketing of Gillette in the international market of India. With the help of this case study we will analyse the challenges faced by Gillette while marketing the razors to the international customers in India, which is completely a ‘foreign market’ for the organisation. We have done an in-depth and extensive environmental analysis of the selected country market that is India to develop an international marketing plan. Further we will deal with the impact of environmental forces like economic, cultural , political and legal on the key areas of the marketing strategy like the markets segmentation, selection of potential target markets, market positioning and strategies on Four P’s.

 

 

Table of Contents

Executive Summary. 2

Introduction. 4

Global markets of Gillette. 4

Economic Environment 5

Market Segmentation of Gillette. 6

Cultural Environment 6

Product positioning. 7

Political and Legal Environment 8

Marketing Mix’s Four P’s. 8

Conclusion. 9

Bibliography. 11

 

 

 

 

 

 

 

 

Introduction

 

The current marketing strategy of Gillette, the global leader in male toiletries products is to stay focussed on the core grooming products like the shaving preparations, deodorants or antiperspirants’ along with providing supporting products to the vital markets at the same time(Pride & Ferrell, 2008). The shaving gel/ foam produced by Gillette are the most technically advanced products and the company produces almost 10 variants in this category, whereas not even single other competitor produces more than 5 variants also. Thus we can very well analyse that the product market portfolio of Gillette is quite diverse and varied.

 

Blades & Razors	Toiletries                                          Braun
Oral-B     Duracell

MARKET

GROWTH

(%)

 

 

 

 

1.0 RMS

Fig 1: Product market Portfolio of Gillette (McNamee & Stewart, 2007)

 

The corporate objective of Gillette is to develop a global focus on the consumer products and it wants to develop global competitive advantage in not just the value added personal care but also in the quality of the products too.

 

Global markets of Gillette

 

The company is already competing in the global triadmarkets which cover the Japan, North and SouthAmerica and Europe. That is why we have chosen a completely foreignturf that is India for its international venture. In these global markets it already enjoys the market leadership in both female and male grooming products.

The marketing managers have to make marketing decisions be it international or national in a dynamic environment and there are many external factors over which as a manager you do not have any control and these are called the environmental Forces and mainly there are five environmental Forces which are described  in the figure below:

 

 

Demographic

Physical

Societal

Marketing System

Political

 

 

 

 

 

 

 

Economic

 

 

 

 

 

 

Fig 2: Marketing Environment(Fundamentals of Marketing)

 

 

 

Economic Environment

The surging cross border Merger and Acquisitions transactions third wave started in 2007 where the M&A deals reached 1081 in 2007 from 467 in 2005 (Thornton, 2007). India was the major potential market due to the external economic environment experiencing major change in widespread industrial restructuring and high economic growth in the country. India being the developing country it started liberalisation of its international trade and investment markets. The trade friendly policies and improved infrastructure of Indian government will certainly prove to be a positive signal for Gillette to enter this steady global investment market which has mainly resulted from the enhanced economic conditions. The Indian market has seen rise in the income levels due to sustained economic boom and increasing employment opportunities which has led to the potential development of the Indian market as the global turf for Gillette.

Thus it can be predicted that due to higher income elasticity of demand there will be sharp rise in the demand for personal grooming products at the rate which is expected to grow at much higherrate thanthe rise in the income levels of the Indians.However it is analysed that that markets are majorly driven by price and quality is not the driving factor in the Indian Market mainly the rural and smaller towns so the consumer will not value the potential benefit of paying higher prices for better and safer products (Anand, Tiwari, jalan, Easwaran, Rizvi, & talasila, 2007).

Market Segmentation of Gillette

Based upon the economic factors that ispricing and demand the Indian Market can be divided into three segments and the major factors influence them are importance of attributes, price sensitivity and influence on customers due to additional features and point of purchase decision makers. The segmentation is begin discussed below , where the differentiated marketing is what needs to be followed and Gillette needs to segments its products and offer different marketing mixes to meet the needs of each of these markets (Marketing Theory: International Marketing, 2012):

• Segment one: Most price sensitive and the additional features are valued least by them. Thustargeting this segment would not be appropriate because Gillette has always been a premium brand and its main focus has been to create differentiated product from its competitors.
• Segment Two:  Not price sensitive and influenced more by the product attributes and Gillette can easily cater to this segment and it is more than one fourth of the target customer.
• Segment three: They are bothered about price, attributes and features as well and Gillette can target this segment also. (Balboul, 2010)

 

 

 

Cultural Environment

 

The cultural environment focuses on the cultural dimensions of Indian culture like the language, behaviour and the customs followed in the country. The target country’s culture should be studied in depth to understand it in better manner.Theculturalenvironment of the target country will help us in finding the target potential markets in the country for Gillette.

It has been analysed that the identified target market for Gillette shaving products in India are the customers who are really bothered about the attributes of the shaving products but do not want to shift from the price band they are buying right now to the higher price for the Gillette shaving products.

The main internal competitors or domestic competition which Gillette will have to face in India is from the competitive brands like Denim, Old Spice and in razor segment like Topaz and Palmolive etc.

Culturally men still shave on  own or go to small time salons for everyday shaving in India so the major factors which influence their choice criterion are:

• Factor 1: Product Attributes like foam formation, ease of usage, fragrance,Antiseptic Attributes and Brand Name.
• Factor 2: Point of Purchase like it should be readily available even in the rural areas and stores in the small towns and the packaging and design of the products should be attractive and stylish as Indian customers do get attracted by the stylish and attractive packaging.
• Factor 3: Price Sensitivity like the prices should be nominal and other offers and discounts attached with it along with it should keep the skin soft too.
• Factor 4: Additional features like the ingredients and the colours of the shaving cream or razor or any other products made by Gillette. Culturally Indian males are specific about the ingredients like they get attracted to traditional ingredients likelime, turmeric etc. (Balboul, 2010)

 

Product positioning

 

The Gillette products have to position themselves above the Old Spice and Colgate –Palmolive in order to attract their target segment. It has been found in survey that the brand recall value for Gillette is found to be above 57%. This clearly indicates that the people recall it in their mind thus giving it an excellent positioning in the men’s groomingscenario and what Gillette needs to do is to leverage this position using bets positioning strategies in their target markets.

This can be best done by following the psychological position by Gillette where it can definitely alter theimportance of attributes in their target segment by enhancing theimportance of the attributes like promoting the brand name, foam formation and aroma etc. and decreasing the importance being given to pricing in India.

 

Political and Legal Environment

 

It covers the environmental protection laws, antitrust enforcement, extents of regulations an deregulations, tax policy changes, state owned industries and the privatisation of the state monopolies in the developing countries like India. Due to deregulation and increased foreign direct investments Gillette India was acquired by Procter and Gamble on June, 2006 which was an extension of global acquisition strategy of Gillette by P&G(Capasso & Meglio, 2007). Due to strict environmental protection laws prevalent in India Gillette needs to focus on developing a product mix which consists of Four P’s specifically for the Indian customer.

 

Marketing Mix’s Four P’s

 

Packaging

The Gillette shaving products being perceived as commodity by major population in India, the packaging plays vital role. The packing has to be eco friendly and should minimise the use of paper based pulp because it will result in cutting of trees. The packing is thus designed with futuristic aspect in mind which conveys that Gillette offers the most technologically and environment friendly products for shaving in India.The foams also comply with the environmental standards and contain least amount of chloro-fluoro carbons in metallic cylinders to minimise the carbon footprints(Iyer, 2008).

 

Price

The 10 product variants manufactured by Gillette shaving creams for Indian markets  fall in the premium category range ranging from INR 53 to INR 210 for the minimum and maximum SKU’s.Thepricing done by Gillette is well above the industry average. This suggests that Gillette is leveraging the brand loyalty of its already existing customers.

 

Place

Therobustand extensive distribution network of Gillette comes from its existing network combine with the P&G’s distribution network in India. The distribution network is formed by the combination of franchisees and own network the company has.The model being followed by Gillette is hub and spoke model where the hubs are the major 20 big towns and spokes are the tier 2 and tier3 cities around these hubs in the country.

 

 

 

Promotion

Gillette has been advertising extensively on global level and has hired big celebrities to promote the brand like Tiger Woods, David Beckham and Roger Federer etc. but there has been no advertising campaignwhich contains Indian celebrities expects for just one in which there was Indian cricketer Irfan Pathan featured.Gillette follows the bundling strategy for promotion because usually the tendency of men is to buy both razor and shaving creams together.

Gillette does not have any product which fulfils the basic or the core needs of the consumer in the Indian market so they need to innovate such product which could be some kind of shaving cream which caters to the basic needs of thecustomer which is shaving every day.Furthermoresince our target segment is the third one so the product should be very string in its attributes to justify its pricing. The additional features should satisfy the basic needs of the consumer like it can have better antiseptic properties and highly aromatic fragrance which is more appreciated by average Indian male should be the best attribute which the new product should have. The lemon and musk fragrance can be the best one to handle the attribute feature in the Indian market.

Conclusion

 

Since Gillette has the widest and deepest product line in men’s shaving market so it can act like a double edged sword because Gillette has wide variety to offer and can result in cannibalisation(McKibben, 1998). So the cities where its products are reaching maturity stage in the product lifecycle there it can think of venturing into the neighbouringglobalmarkets. Like Gillette can aggressively promote its products in markets likeBangladesh, Sri Lanka, andother state like Orissa etc. Thiswill revitalise the product and extend the maturity phase of the Gillette products too in the market.

Moreover it should plan few advanced International strategies for Indian Market like:

• Gillette needs to design products specifically for the Indian consumer which should specifically satisfy the youth aspirations.
• They should be able to match the demand patterns which are increasing in the country.
• Shaving cream market segment is still lying untapped by Gillette and the only shaving cream which was launched and proved to be a big disaster was “ 7O’clock shaving cream’. Thus Gillette needs to develop a shaving care to tap this segment.
• Gillette should plan and keep on launching new and innovative products at very short and regular intervals to enhance and maintain their market presence.
• Another future challenge which Gillette might have to face is thatthe Indian customer will not want to upgrade from conventional shaving cream to gels or shaving foams, so the dominance of Old Spice and HLL will keep on growing.
• The major challenge which still laysahead Gillette in the Indian market is to launch a shaving cream successfully to enter the mass market of men’s shaving products just like it did with the razors.

Thusthe main focus of Gillette should be to indianise the product as much as it can so that it can extend its reach to the larger segment which is highly price sensitive and has not been the loyal segment in the market as yet. The new product cannot be based on the earlier dumping strategy rather a new and innovative product should be developed customised as per Indian male market.

 

 

 

Bibliography

Anand, A., Tiwari, A., jalan, N., Easwaran, N., Rizvi, W., & talasila, V. (2007). Gillette India Ltd. -MAK II Project. Indore: Inidian Instotute for amangement Studies.

Balboul, L. (2010, March 13). Gillette Toiletries – Case Study. Retrieved April 3, 2012, from Articles Base: http://www.articlesbase.com/marketing-articles/gillette-toiletries-case-study-1983249.html

Capasso, A., & Meglio, R. (2007). The evolving role of mergers and acquisitions in competitive strategy research. Social Science Research Network.

Fundamentals of Marketing. American Managemnt Association.

Iyer, P. V. (2008, February). A Law With Flaws, The stealthy arrival of the Competition (Amendment) Act 2007 signals an ominous return of draconian laws. Retrieved April 3, 2012, from Business World: http://businessworld.abp.in/content/view/3602/3698

Marketing Theory: International Marketing. (2012). Retrieved APril 3, 2012, from THE TIMES 100 Business Case Studies: http://businesscasestudies.co.uk/business-theory/marketing/international-marketing.html

McKibben, G. (1998). Cutting edge: Gillette’s journey to global leadership. Harvard business Press.

McNamee, P., & Stewart, K. (2007, November 30). Strategy and Marketing management. Retrieved April 3, 2012, from http://www.slideshare.net/rupakfeb7/gillette-final

Pride, W. M., & Ferrell, O. (2008). Foundations of Marketing (3rd edition ed.). Boston, MA: Cenagage learning.

Thornton, G. (2007). Grant Thornton Report.

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