Submitted by: Submitted by jglenn2
Views: 435
Words: 288
Pages: 2
Category: Business and Industry
Date Submitted: 11/05/2013 03:32 PM
1 .Which of the five methods for entering foreign markets did P&G and Unilever use for reaching the $2-a-day consumer, and how did they do so?
Purchasing foreign assets is the method the company chose to move ahead with. They figured out that the people are more important. They discovered the things that people need are more important than they things they could only afford at the moment. Lifestyle research and product development are more difficult and time consuming for this demographic and new customers require more direct and intensive marketing efforts. Many companies, rather than launching an entirely new venture in a foreign market, will simply purchase or invest in a foreign company. While often more expensive, direct investment provides allows the investing company to reap the profits of a business that is already well integrated into the local market.
2. Discuss P&G's global marketing mix. What type(s) of product and promotion strategies has it used? What about distribution and price?
P&G’s took a very smart route on moving their business to higher grounds. They've open and invested about 70million research and development factory across the country to make more money. The investments have led to several changes in existing products, as well as new products designed specifically for poor, rural customer's needs. P&G developed Tide Naturals without chemical irritants for people who must wash their clothes by hand. P&G also increased package size while keeping the existing price the same. Unilever's India division developed Pureit, a $43 battery-powered water purification system. Pureit is now in over three million Indian homes, many of which are in poorer, hard-to-reach rural areas.