Church & Dwight

Church & Dwight:

Time to Rethink the Portfolio

MG 495 Business Policy

Spring II 2012

April 8, 2012

Church & Dwight

I. Introduction

A. Executive Summary

1. Summary Statement of Problem:

Founded in 1846, Church & Dwight Co. Inc., a $2.6 billion company, and is one of the fastest growing Consumer Packaged Goods companies that have outpaced the Standard & Poor's by more than two times over the last 10 years. In spite of this, many consumers are not familiar with the company. Although the company is not well known for its name, consumers are very familiar with their products. The brand name is so ubiquitous and is estimated to be in 95% of household consumer products. Despite having 80-plus brands in the product portfolio, Church & Dwight has eight “power brands” that account for 80% of sales. The top management team is faced with a new challenge: rationalize the firm’s expanded consumer product portfolio while seeking new avenues of growth.

2. Summary Statement of Recommended Solution:

There are many opportunities but the best solution involves finding new ways to use sodium bicarbonate. Church and Dwight controls 85% of the U.S. baking soda market and 75% of sodium bicarbonate production. There’s an enormous opportunity to expand the product to meet demands for environmental safety. The market for sodium bicarbonate also has the potential to grow in significance with additions to the Clean Water Bill.

B. The Situation

Church & Dwight has experienced rapid growth due to the success of their core product: sodium bicarbonate, widely known as baking soda introduced to the market over 146 years ago.

Church & Dwight was founded in 1846 by Austin Church and his brother-in-law John Dwight (Company History). The company has experienced rapid growth due to the success of their core product: sodium bicarbonate, widely known as baking soda introduced to the market in 1878. The company delivers over $1 billion in annual...