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Procter & Gamble (SWOT Analysis)

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“SWOT is an acronym for the internal Strengths and Weaknesses of a firm and the environmental Opportunities and Threats facing that firm. SWOT analysis is a widely used technique through which managers create a quick overview of a company’s strategic situation. The technique is based on the assumption that an effective strategy derives from a sound “fit” between a firm’s internal resources (strengths and weaknesses) and its external situation (opportunities and threats). A good fit maximizes a firm’s strengths and opportunities and minimizes its weaknesses and threats. Accurately applied, this simple assumption has powerful implications for the design of a successful strategy.”

Procter & Gamble 

P&G is the world's largest consumer goods company that markets more than 300 brands in over180 countries. The company is engaged in producing beauty, health, fabric, home, baby, family and personal care products. The company's product portfolio also includes pet health products and snacks. The company's leading market position along with its strong brand portfolio provides it with a significant competitive advantage. However, slowdown in global economic condition is making it increasingly difficult for branded product manufacturers like P&G to maintain their sales volume and revenue growth.

Strengths, Weaknesses, Opportunities and Threats (SWOT)

Location of Factor

TYPE OF FACTOR

Favorable

Unfavorable

Internal

Strengths

  • Strong focus on Research and development
  • Leading market position
  • Diversified product portfolio
  • Strong brand portfolio

Weaknesses

  • Increasing instances of product recalls
  • Dependent on Wal-Mart Stores for majority of its revenue

External

Opportunities

  • Expansion in developing markets
  • Future growth plans
  • Growing Indian FMCG market

Threats

  • Regulatory Environment
  • Global Economic Conditions
  • Counterfeit goods
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"Procter & Gamble (SWOT Analysis)";