Gillette Indonesia

SWOT Analysis for Gillette Indonesia

Strengths

- With a market share of 48%, Gillette is already popular and well known brand in blades and razor sector.

- Differentiation in the products helps Gillette to explore and cover several targeted group of customers.

- As a joint venture with a local brand, the local company provides Gillette with a fully automated and efficiently working plant to help in the operations of manufacturing.

- Local manufacturing helps in the minimal expenditure on the other overhead expenses.

- With an increase in the Gross Domestic Product rate by 7% annually for the past 20 years; has helped Gillette to prosper in the market financially. Weakness

- Gillette’s major drawback is the distribution channel in, out and around Indonesia. There is a limited control over the distribution channel which prohibits the company to expand and explore. Along with the poor traffic controls, there are weak communication factors which prevent Gillette to do well in the market.

- As it is locally manufactured, the capacity to produce more is limited due to the lack of resources as the legal formalities cost them a huge price. The scope to show improvement in the productivity is low and very cons iced.

- The difference in the cultural practices prevents the company to market them freely.

- On a personal point, an Asian beard takes a while to grow to the level of shaving when compared to Caucasian or Latino beards.

- If effective measures are not considered and not taken into consideration, it would be next to impossible to forecast and meet the next year sales.

Opportunities

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