Firm Strategy Highlights Rationale for Strategy Pros/Cons
Unilever -Uses aggregation standardizing products with emphasis on scales
-Keeps brand consistent across borders, also good at adapting brands to local markets.“Think globally, act globally”
-Have many brands that are not under the Unilever name
-Have a strong diversified brand portfolio -Unilever ensures that products are specific to the needs of all customers, while still standardizing and creating an economy of scale
-Because the product is consistent across borders, this creates brand value for customers
-Unilever can distribute the same brands globally while keeping large scale distribution and adapting their products regionally
-By ridding of products that are not doing well, Unilever can focus on products that have potential and are successful Pros: If all products were under the Unilever name and the product is a flop, the Unilever name would suffer. Unilever is able to sell products and create economies of scale. Customers may be more loyal because the brand’s name changes to their specific region.
Cons: Need to ensure that they are not seen as a threat to local culture. Due to the different names for the same product, this could lead to confusion and a decrease in customer loyalty for customers across borders.
Johnson & Johnson -Has a huge reputation to uphold in the medical field
-Advertise safety, do not use soap or alcohol in products
-Focuses on not just brands, but companies -Products are strong and advertise that they are safe and gentle to use
-Top priorities are to make the consumer comfortable when using their products
-Standardize products and create and economy of scale
-By advertising their heavy use of testing and high standards, the consumer believes they are using an extremely safe product, which leads to brand loyalty Pros: Leaders try harder because they are in competition with each other, and there are many opportunities for
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