Procter & Gamble (P&G) PEST Analysis

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PESTL of P&G | Porter’s Five Forces Analysis of P&G | Internal Analysis of P&G | Performance Summary of P&G | Future Recommendations for P&G .. Procter & Gamble (P&G) is America’s biggest maker of household products, with at least 250 brands in six main categories: laundry and cleaning , paper goods, beauty care, food and beverages, feminine care and health care. P&G’s famous brands include Ariel, Pantene, Head & Shoulders, Fabreze, Sunny Delight, and Oil of Olaz. About half of P&G’s sales come from its top ten brands. This report will show a picture of and explain for these successful results by focusing on the external and internal analysis of PG, assessment of performance in terms of efficiency, effectiveness, and return on investors, a review of options available and recommendations for structures, systems, and policies.

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This percentage of total revenue gives Wal-Mart the ability to bargain with the Company for lower prices, which would result in lower earnings. The current credit crisis will not have a significant impact on P&G because of the diversity and “recession-proof” status of its products. Theproducts that P&G offers can sustain a slowdown or recession in the US economy because of the their product types. Consumers will continue to purchase these goods through an economic correction. While P&G had disappointing 2nd quarter earnings due to higher commodity costs, analysts reported strong sales forecasts and growth opportunities.

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It is useful because it enable PG to understand both the strength of the current competitive position and the strength of a position that PG suppose to be. Moreover, it also helps PG to improve a situation of weakness and prevent taking wrong ways. As a consequence, Porter’s Five Forces is an important tool for assessing the potential for profitability of PG company. The usefulness of SWOT analysis is not limited to profit-seeking organizations. SWOT analysis may be used in any d .

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