Question
Procter & Gamble (P&G), established in 1837, is a multinational company and one of the largest consumer packaged goods companies in the world, providing personal
Procter & Gamble (P&G), established in 1837, is a multinational company and one of the largest consumer packaged goods companies in the world, providing personal care products, cleaning agents food and beverage. It operates in 80 countries with 129,000 employees worldwide. In 2014, the company reached revenues of $82.6 billion.
The company has one of the largest and strongest portfolios of trusted brands, including Pampers, Tide, Ariel, Always, Pantene, Charmin, Downy, Lams, Crest and Olay. P&G has two operating divisions called Global Business Units (GBU): Beauty Grooming and Household care. Each GBU is meant to define and drive its strategy through the understanding of the consumer needs.
The P&G market is organized geographically: North America, Western Europe, Central/Eastern Europe, Middle East/Africa, Latin America and Asia.
You work in a Project Team, for the Global Business Services Department, in charge of helping GBUs to better answer consumer needs by providing: retailer knowledge for each market, innovative business plans for each country, technology and processes.
After months of politicalgridlock, at the end of 2014, the Indian government approved the entry of large international supermarket chains into the country's retail sector. But there are some issues to be considered: retailing competitors (Carrefour, Tesco, Wal- Mart,...), and the local retail traders (vigorously opposed to compete with foreign giants, pressing the government to establish entry barriers).
In this scenario the required skills are following: International Strategy; Project Management; Retailing; Emerging markets; International Negotiation and Sales + Marketing. Since this is a strategic market for the company, the P&G Board has assigned your Project Team to organize all the work to be done to deliver: a project plan including scope, milestones, resources, risks and stakeholders involved, toperform areport about aHypermarketChannelStrategyin India.Theinitial P&G Board requirements are:
- Ensure that the Indian regulatory framework allows the entry of P&G products in large international supermarket chains.
- EnsurethatthereisenoughmarketsizefortheentryofP&Gproductsand competitors.
- Ensure the need (or not) for adaptation of P&G products to the Indian market and the buying behavior.
- Ensuredistributionchannelsand locallogisticscenters.
- EnsuretheneedforspecificmarketingprogramsfortheIndianmarket.
- Identifytheresourcesrequiredtolaunchthisinternationalizationstrategy, costs, schedule, potential risks and stakeholders.
AsaProjectManager,answerthenextquestionsforthedevelopmentofan Internationalization Strategy for P&G in India:
What are the most important stakeholders of this project and the critical success factors?
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