Procter and Gamble
This is an essay that is going to address the strategies adopted by the global organization, Procter and Gamble (P&G), to enter the Chinese market and the challenges P&G faced in going global and how they were overcome.
Started by William Procter and James Gamble, a small candlemaker and soapmaker, in 1837, the company has grown up to $79 billion annual sales , long history of earning respect in the society and in the consumer market (A Company History n.d.).
After centuries of research, development and expansion, P&G consists of more than 300 products for the general public. The company not only provides the good to the US but also internationally and therefore is known as the world's largest consumer-products company. In 2011, P&G ranks 5th on the list of "World's Most Admired Companies" for the Fortune Magazine. (WORLD'S MOST ADMIRED COMPANIES n.d.)
Procter and Gamble have seen large potential in Asia as it is considered to be one of the fastest growing economies in the world.
Asia is the home to over three billion consumers which is the major growth determinant. P&G has increased the number of brands which contributes to over a billion dollars in annual sales. P&G focuses on investment in research and development activities so as to compete at the top of the field (Asia n.d.).
Meeting people personally, conducting awareness programmes added value and trust for P&G in people's mind. Over the past years, Procter and Gamble has accomplished outstanding achievements in China such as building leading brands, recording a healthy business growth, boosting best-in-class organization, committing towards being a good corporate citizen (P&G Greater China n.d.).
P&G made the biggest venture by trying to penetrate into the Chinese market in the 1980s. P&G started to concentrate on China as the government...