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Colgate-Palmolive Case Study

Essay by   •  July 31, 2011  •  Case Study  •  268 Words (2 Pages)  •  1,810 Views

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ColgateColgate-Palmolive's extensive overseas reach is another main strength. Based on the data in the case study, ColgateColgate-Palmolivehas introduced 275 new products worldwide and setup manufacturing facilities in China and Eastern Europe, breaching the new emerging economies inof the 21st century. On top of that, international sales accounted for 64% of total sales andand profits from international operations account for 67% of the total profits for ColgateColgate-Palmolive.-Palmolive

ColgateColgate-Palmolive hasa very large an extensive Research and Development department with a strength of boasting 170 employees worldwide. Though having a large R&D department does n't not directly contribute to increased necessarily constitute improvements in profits, ColgateColgate-Palmolive's history of innovation in the toothbrush market is linked to its current position as the market leader in the toothbrush industry. Therefore ColgateColgate-Palmolive's-Palmolive's strong commitment to innovation through investment in R&D is amajor prominent strength. factor.

With an energetic and visionary leader like Reuben Mark at the helm of ColgateColgate-Palmolive, the company has transformed itself into a lean and profitable machine, from its inefficient past, leading to increased ing profit margins and volume growth. . Clearly, having a visionary CEO is a strength.

ColgateColgate-Palmolive's-Palmolive's positioning strategyof for its toothbrush line in food stores has aided in capturing a largetheir current dominant market share. Its in-store displays, combining toothbrushes with toothpaste packs and locating the ColgateColgate-Palmolive line of toothbrushes in the middle of the stores' shelves have contributed to this dominance. its increasing market share. This strategy has been successful, asis good because toothbrush sales through food stores, drug Sstores and mass merchandising channels have produced the greatest volume

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