Cae Analysis of Rb

Strategic Marketing

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Individual assignment on erstwhile reckitt benckiser

Submitted by

David Chakraborty

Roll No : 2015274

Section : DEF

To, The CEO of RB

Sir, I am writing this note to put forth my views on the direction that RB can choose to achieve profitable growth. Firstly the company has exceeded the current year’s profit mainly because of the strong performance in developing countries and developed countries.

However, I would like to suggest that even though markets in Asia especially India which is showing positive and growing sales will likely to grow at a slower pace due to fierce competition. Products like Detol and Veet has captured the urban markets very well, but the rural market is an opportunity that is yet to be taken by any of the competitors, in this regard I would suggest that two important steps needs to be taken, firstly improving the distribution system as it is still weak in the rural areas . Secondly, awareness programs should be launched so that the people are aware of the products of RB.

According to my assessment RB is focusing more on developing countries but it should try to develop infrastructure and improve the delivery and distribution system in developing countries, so as to cater to more number of customers and improve on the unstable demand in these countries.

Another issue that needs your attention is the fact that low cost substitutes are present in the market which is responsible for the slow growth, I would suggest that RB comes with low end products to tackle this issue as it will serve two purpose, the threat of low cost substitutes will be somewhat neutralized and the customers will have more options to choose from resulting in stable demand for both high and low end products....