Gillette

STATEMENT OF THE PROBLEM

How should the company handle their product categories, particularly focusing on two main products – the disposable razors versus the system razors, to sustain profitability and growth amidst stiff competition in the wet - shaving market?

II. OBJECTIVES

• To determine new marketing strategies for their products

• To determine the best strategy that would help the company maintain its current

position as a market leader

• To capture the women wet-shavers market

• To continue producing innovative products to increase competitiveness in the global market

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The Gillette company marketing group for shavings and personal care group isfacing a strategic challenge. In1988 the competition in the“mens wet-shave market” was dominated by Gillette, but with competitors pressing on several fronts. The market in the razor industry ( both disposable, andsystems ) is tightening, and Gillette feel they are losing makretshares to their competitors, especially to BIC and Shick

The product lines aren’t selling as they should, with brands 1like Atra razors stagnating, and Trac II blades declining. The Gillette marketing group has debated the background of the irtuation,where it seems Gillette have created a situationof where they havegeneralized the market, and focused less on marketing than on product. Therefore an analysis on the status and a strategic marketing plan for thecoming year(s) ahead must be prepared.

2. Statement of the problem.

With the history of the industry, the situation as it is and the chellengesahead, how should gillette position and market itself to gain bothmarketshares and customer shares.?

3.3 Porters 5 forcesmodel

3.3.1 Supliers Powers :

Gilette being larger than all of its competitors combined, represent strategic accounts for most of its suppliers. This give power more in Gilette’s hands than suppliers,thereby reducing threathsfrom...