Email memo to the CEO of Procter and Gamble outlining a plan to create economic, social, and environmental value. include the following items:
An executive summary of the memo
A summary of the organization’s strengths and weaknesses, and recommendations for converting weaknesses into strengths
A summary of findings on Porter’s Five Forces
A summary of findings on the Diamond of National Advantage
A summary of the analysis of the firm as a learning organization
Strategic recommendations based on your previous work in this course. Include the opportunity identified in Week 2, the move into the Zimbabwe, and any recommended moves toward being a learning organization. Provide rationale for each recommendation.
Please use all attachments as this information is needed.
MGT/576 v1
Porter’s Five Forces
Complete the table below. For the company you’ve decided to assess in week 1, determine the strength of
each of Porter’s Five Forces and of the complementors.
Justify your determination with examples.
Industry force
Strength Provide a justifying your determination
with examplesHigh Medium Low
Example x This is why I believe it is medium.
Threat of new entrants X P&G is an established organization with
several brands, so new entrants pose no
competition to their revenue and customer
base.
Power of buyers X Consumers spend billions of dollars on this
brand each year, so they help maintain
P&G as a leader in the industry.
Power of suppliers X The delivery of products to consumers is
based on suppliers being able to fulfill their
demand. If there were a supply issue, this
could have high potential to negatively
affect revenue.
Power of substitutes X There are not many substitutes for P&G
products and the ones that are on the
market, have no bearing on revenue.
Rivalry among competitors X P&G dominates their industry and there is
no rivalry that matches their talent and
revenue base.
Complementors X There are several other smaller companies
that sell products similar to those available
at P&G. However, those complementors
have been around for quite some time and
have not been able to reduce the
dominance of P&G.
References:
Brown, B., & Anthony, S. D. (2011). How P&G tripled its innovation success rate. Harvard Business
Review, 89(6), 64-72.
Copyright 2020 by University of Phoenix. All rights reserved.
Porter’s Five Forces
MGT/576 v1
Page 2 of 2
Copyright 2020 by University of Phoenix. All rights reserved.
Adding Value to Procter and Gamble
Jeannette Stanley
University of Phoenix
March 4, 2022
curtisa.light
Cross-Out
Agenda
• The agenda of this discussion is to shed light on both the internal and
the external environments for Procter and Gamble.
• This discussion evaluates the SWOT analysis for Procter and Gamble
and provides recommendations at the end.
• These are recommendations that can enhance better performance of
the company in the market.
Company Description
• Procter and Gamble is a company that sells consumer products.
• The company operates in the FMCG sector.
• The company uses the slogan “touching lives improving lives.”
Strengths
1. Strong presence in global market.
2. Wide variety of products.
3. High annual revenue (Day & Shea, 2021).
Weaknesses
1. Stiff competition from direct domestic competitors (Hussain,
Qureshi, Mubeen & Asrar, 2020).
2. Fake products that are sold under the brand name of the chain
store.
3. Its online presence is limited in comparison to competitors.
Opportunities in External Environment
1. Merging with competitors.
2. Diversify into more products due to strong, reputable brand name.
3. Increasing consumers’ purchasing power.
Threats in External Environment
1. Ever-increasing local competition.
2. It is affected by the instability of the dollar prices.
3. Competition from foreign brands.
Opportunities of Adding Economic Value
• Increasing diversity for the products.
• Increased marketing to tackle increasing competition (Shi, 2021).
Opportunities to Add Social Value
• Taking care of women going through puberty.
• Raising self-awareness for members of the LGBTQ community.
• Promoting education among racial minority students more so the
back students.
Opportunities to Add Environmental Value
• Providing hygiene to victims who are displaced by natural calamities.
• Observing corporate social responsibility in the protection of the
environment.
Opportunities to Prioritize
• Consider prioritizing the opportunity to add its social value.
• This would imply a better image for the company due to the
protection of society.
• The improved image through social protection translated to increased
firm value through customer loyalty and social acceptance of the
company’s products.
Opportunities to Prioritize
• It is rare to find companies focusing on social well-being through
different social programs.
• Prioritizing this opportunity implies the company is doing what
competitors rarely do.
• It is hard to imitate programs like helping ladies in puberty without
being noticed and accused of imitation in the market.
Conclusion
• Procter and Gamble is a competitive company that has been in
operation since 1850.
• The company operates in the fast-moving sector and is popularly
known as P & G.
• As explained above, the company should learn to capitalize on its
strengths and improve on weaknesses.
• The company should pri
MGT/576 v1
Learning Organizations and Value
Creation
Review the 6 key elements of a learning organization (Ch. 11 of Strategic Management, by Dess).
Complete the table below. Evaluate the extent to which the company you’ve selected to assess in this
course epitomizes each of the 6 elements.
Justify your determination with examples.
Learning Organization
Element
Extent to which the
company epitomizes
this element
Provide a sentence justifying your
determination
High Medium Low
Example x [This] is why I believe it is medium.
Inspiring and motivating
people with a mission or
purpose
X P&G provided millions of liters of safe
drinking water to Zimbabwe amid a cholera
outbreak (Procter & Gamble, 2009).
Developing leaders X P&G is committed to creating gender
equality by spending more than $200
million in businesses owned by women in
Asia, Africa, and the Middle East
(Zimbabwe Online News, 2021).
Empowering employees X P&G offers discounted child care programs
for employees to allow them to work.
Accumulating and sharing
internal knowledge
X P&G maintains newsletters and publish
information publicly on their website.
Gathering and integrating
external information
X P&G is involved with monitoring what is
happening in the world as they have
suspended operations in Ukraine to focus
on humanitarian efforts.
Challenging the status quo
and enabling creativity
X P&G offers stem programs to help grow
interest in needed careers among diverse
populations.
Copyright 2020 by University of Phoenix. All rights reserved.
Learning Organizations
MGT/576 v1
Page 2 of 2
Learning Organization
Element
Extent to which the
company epitomizes
this element
Provide a sentence justifying your
determination
Recommend at least 1 step the organization’s leaders could take to enhance 1 of the elements and
explain how that could help the organization create more value.
References:
Procter & Gamble. (2009). Procter & Gamble and World Vision Equip and Empower Zimbabweans in
Fight Against Cholera. Retrieved from: https://news.pg.com/news-releases/news-details/2009/Procter–
Gamble-and-World-Vision-Equip-and-Empower-Zimbabweans-in-Fight-Against-Cholera/default.aspx
Zimbabwe Online News. (2021). Procter & Gamble commits to bold action to drive Gender Equality
across Asia Pacific, Middle-East and Africa. Retrieved from:
https://www.zimbabweonlinenews.com/procter-gamble-commits-to-bold-action-to-drive-gender-equality-
across-asia-pacific-middle-east-and-africa/
Copyright 2019 by University of Phoenix. All rights reserved.
https://news.pg.com/news-releases/news-details/2009/Procter–Gamble-and-World-Vision-Equip-and-Empower-Zimbabweans-in-Fight-Against-Cholera/default.aspx
https://news.pg.com/news-releases/news-details/2009/Procter–Gamble-and-World-Vision-Equip-and-Empower-Zimbabweans-in-Fight-Against-Cholera/default.aspx
https://www.zimbabweonlinenews.com/procter-gamble-commits-to-bold-action-to-dr
EXPANDING P&G
Jeannette Stanley
curtisa.light
Cross-Out
Agenda
■ Chosen Country
■ Diamond of National Advantage Analysis
■ Success Analysis Forces
■ Hindrance Analysis Forces
■ Leadership Actions
■ Recommendation
■ Conclusion
■ References
P&G in Zimbabwe
■ There is no P&G location in
Zimbabwe
■ P&G has a presence in the
country
■ Low start up costs
■ Large earning potential
Diamond of National Advantage
Industry Rivalry
■ Multinational companies are eyeing
the same market.
■ Locals companies pose a significant
threat for Procter and Gamble.
■ Convenient small scale sellers do
dominate a significant share of
consumer goods in Zimbabwe .
Demand Conditions
■ There is an increase in consumer
goods like groceries.
■ People prefer to buy from retailers
who are sensitive to their prices.
■ People demand to consume healthy
consumer goods and are cautious
about being exploited.
Diamond of National Advantage
Supporting Industries
■ The logistic industry is not as
reliable as Procter and Gamble
could wish.
■ The is banking industry that would
support transaction purposes.
■ There is a private security firm that
would offer good security to the
premises of Procter and Gamble.
Factors Endowment
■ Affordable labour is available from
Zimbabwe people.
■ Procter and Gamble have a strong
capital base and thus can finance
its operations.
■ It is not as hard to set a strategic
location to set up stores in
Zimbabwe.
Success Analysis Forces
1. Increasing growth of the economy
■ The economy of Zimbabwe is growing
faster than that of its neighbours.
■ This increase supports the
consumption of more consumer
goods for locals.
■ The higher consumption of consumer
goods would facilitate the success of
Procter and Gamble in Zimbabwe.
2. Increasing purchasing power
■ With increasing economic actions,
people’s ability to buy is increasing
(Bonga & Mugayi, 2018).
■ This implies that people would not
mind paying higher prices for goods
from Procter and Gamble.
■ Furthermore, they can buy more units
per person.
■ This is a basic success factor for
Procter and Gamble.
Success Analysis Forces
3. Improving political climate
■ The political climate is stabilizing in
the country.
■ For the number of years that Procter
and Gamble have operated there, it
has operated a steady political
climate.
■ This stable climate facilitates a
suitable environment to do
business from.
Hindrance Analysis Forces
1. Limited online footprint
■ Zimbabwe is growing in terms of
digital migration, just like other
countries.
■ This limits the ability of Procter and
Gamble to reach customers over
the digital space.
2. Limited diversity
■ The company has not invested in so
many products.
■ This implies it only attars a limited
number of customers.
■ This also limits the profitability of
the company.
Hindrance Analysis Forces
3. Uncertainty of regulations on foreign
companies
■ Th
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