Friday, April 17, 2020
Swot analysis of unilever free essay sample
Unilever is a company that serves in almost all the continents and over 190 countries of the world. It has a wide variety of products serving the people of all ages. Based on its core competencies and strategic outlook its strengths are; Strengths Company operates its operations nearly 190 countries and they also have 270 manufacturing sites worldwide à · Strong portfolio of brands and diversified product range à · Company has more than 400 brands known as multinational brands but some of them operate in some countries and company calls it local brands. à · More than 13 international brands have contribution in sales more than 1 billion Euros. And Unilever top 25 brands account for more than 70% of sales Products of the company à · Personal wash: soaps, à · Laundry: Surf, detergants, à · Skin care: Dove, Ponds, à · Hair care: Sunsilk, à · Oral care: CloseUp, Pepsodent, à · Deodorants: AXE, Lynx, à · Food and beverages: Lipton, PG Tips, Research and development à · Company spend huge amount on Research and development worldwide. à · Price, quality and variety à · Unilever has 400 brands available in market with different packaging and quantities. We will write a custom essay sample on Swot analysis of unilever or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page à · Customer rely and believe in the quality of product because of their trust in unilever brands Competitive advantage à · Wide product variety à · Promotion, marketing and advertising à · Effective and attractive packaging à · Research and development à · Economy of scale Unilever operates more than 270 manufacturing sites around the globe to achieve economy of scale easily. It gives competitive advantage to company Opportunity External conditions those are helpful to achieving the objective. à · Health conscious products demand Now a days people like to eat healthy food which contains fewer calories and use those products which will not harm their environment. This gives a good opportunity to Unilever to add more and more products in its product line. à · Changing life styles Now people are more aware about innovations because of the media. Company can use changing life style and increase the demand of the products. à · Emerging new markets Now a days new markets are emerging company can expand their business to cover these markets. Like Russia, Iran, Iraq and Afghanistan. à · Increase production volumes Unilever can concentrate to increase production volumes and they can try to increase their availability in the market. By increasing production volumes and availability it is possible to achieve high demands of products. Move operations to undeveloped countries Company needs to focus to move their production operations in undeveloped countries. Than they can find cheap labor and save money on operations and they can build a supply chain towards expensive markets. Then their profitability will be high. Threat External conditions which could do damage to the businesss performance. Economic downturn Biggest threat now days are recession. \. Company needs to focus on how to become environment friendly. The chances of Global competition are growing. New companies are coming with innovation. If Unilever wants to stay in market they need to focus on innovation to kill competition around the globe. New local products New local products are introducing in the market. As the sizes of local companies are small they have fewer expenses and when they provide cheap product they can grab the market share of Unilever easily. legal effects If the government introduces any sort of law for tax or it introduce new limits for production because the product is harmful for human use or natural environment. It will be very hard to sell out the product in the market.
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