P&G Case

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1980: Tailor the products to meet customer demands in each nation Multi domestic strategy(a strategy by which companies try to achieve maximum local responsiveness by customizing both their product offering and marketing strategy to match different national conditions. Production, marketing and R&D activities tend to be established in each major national market where business is done). Mix of subsidiaries (run by country general managers) expertise of local markets and P&G’s structure, policies and practices. 2 problems: 1. Running all local product development- and manufacturing plants was limiting profits; 2. Ferocious autonomy of national subsidiaries preventing global rollout of new products & technology improvements.  GM’s resisted initiatives, because negative impact on profits (GM is responsible for it). 1986 Multi domestic strategy(, however still innovative products still developed very slowly and taking years to roll out worldwide. Structure seemed an impediment to entrepreneurship and flexibility 1. Does O2005 support or impede SK-II's transfer worldwide? Shits to a transnational, or even global strategy (high pressure for cost reduction and low pressure for local responsiveness and The plans developed by an organization to target growth on a global level for sales of products or services). P&G’s global organization was in the midst of the bold but disruptive O2005 restructuring program.  GBU (Global Business Units) took over profit responsibility historically held by P&G’s country-based organizations (negotiations on the new relationships were still going on). With O2005 P&G’s growth depend on developing new products and roll them out rapidly worldwide. O2005 in 1998 planned and 1999 started the most dramatic change to P&G’s structure, processes and culture in the company’s history. Emphasize for greater risk taking trough the

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