Few brands dominate their industry with a more than 50 percent global market share. Gillette did that for decades, long the razor market leader, with veteran brands Schick and Bic running a distant second and third. Gillette achieved its market dominance by selling the highest quality razors at a premium price. For more than 100 years, by launching more razor innovations than any other company, Gillette stood out as the brand in relentless pursuit of the closest, most-irritation-free shave.

Gillette's competitor Schick has worked around Gillette's patents and launched a razor and blade that incorporates almost all of Gillette's differentiators-a vibrating razor, a razor head with five blades and a precision trimmer, a proprietary soothing gel, an exfoliating strip, and even a heated shaving surface. Schick has positioned its product against-but priced it at a 40 percent discount below-Gillette's corresponding top-end product.

Assume the role of a consulting team and advise Gillette's CEO on the various steps that Gillette should take in response.