Ebook Marketing and the concept of planning and strategy: Part 2
➤ Gửi thông báo lỗi ⚠️ Báo cáo tài liệu vi phạmNội dung chi tiết: Ebook Marketing and the concept of planning and strategy: Part 2
Ebook Marketing and the concept of planning and strategy: Part 2
20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 n in developing this product. The Mach3 was the company's biggest and most important new product since Sensor, and the company hoped it would have a similar effect. Eight years ago, Gillette was losing its grip on the razor market to cheap throwaways and facing the fourth in a succession of hostile Ebook Marketing and the concept of planning and strategy: Part 2 takeover bids. Sensor saved the company on both counts. Today, Gillette is vastly stronger. Its market capitalization jumped from S3 billion in 1986 tEbook Marketing and the concept of planning and strategy: Part 2
o S66.1 billion in 1998, putting it among America's 30 biggest companies. Tire company, however, was concerned about the higher price tag of the Mach320The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 and European market for razors and blades. The company, whose consumer brands included Duracell batteries, Oral-B toothbrushes and Parker and Waterman pens, was beloved by management consultants. However, investors had begun to fret about slowing growth, lackluster sales and an imminent change in to Ebook Marketing and the concept of planning and strategy: Part 2 p management. Growth had slowed in the hugely profitable razors division, partly because Schick, its smaller rival, had recently launched a new razorEbook Marketing and the concept of planning and strategy: Part 2
of its own. In August 1997, the mildest of profit warnings was enough to send the shares tumbling nearly 20 percent, although they had since recovered20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 ion or demand. Gillette launched a new product only when it had made a genuine technical advance. To make the Mach3, Gillette had found a way to bond diamond-hard carbon to slivers of steel. Michael Hawley, the company's chiefoperating officer, boasted that it "will blow the doors off other technolo Ebook Marketing and the concept of planning and strategy: Part 2 gy."Razors, however, were not the only products where the company's researchers beavered away at innovation. Duracell Ultra, due to be launched in MayEbook Marketing and the concept of planning and strategy: Part 2
1998, was an alkaline batter}’ designed to last 50 percent longer than its rivals in devices that needed a lot of power, such as palmtop computers an20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 ng the filaments through the brush head.At heart, Gillette liked to think of itself as a giant research laboratory. It spent 2.2 percent of sales on R&D, twice as much as the average consumerproducts company. "We manage ourselves like a pharmaceutical company," remarked Mr. Zeien, the chairman of th Ebook Marketing and the concept of planning and strategy: Part 2 e company. "The people working on our toothbrushes are PhDs in polymer chemicals." Like a drug company, Gillette had a product pipeline: the successorEbook Marketing and the concept of planning and strategy: Part 2
to the Mach3 was already being developed. It does better than the pharmaceutical industry on another measure: almost half of its $ 10 billion sales i20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 tain that, helped by more Ilian 20 big products launched in 1998 alone.MARKETING STRATEGYGillette's marketing strategy was equally unique. The slower growth that scared Wall Street in 1997 was caused partly by Gillette's decision to run down stocks of its Sensor and Atra shavers ahead of the week's Ebook Marketing and the concept of planning and strategy: Part 2 launch. While most rivals would consider this suicidal, Gillette used the strategy to rampThis case was prepared as a basis for class discussion ratheEbook Marketing and the concept of planning and strategy: Part 2
r than to illustrate either effective or ineffective handling of an administrative situation.563564The Gillette Company (B)up prices of new products. 20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 ost 20 percent more than a conventional batten'. Mr. Zeien insisted that premium prices did not matter: "People never remember what they used to pay, but they do want to feel they are getting value for money." Perhaps, but shavers might nick themselves at the thought of paying a hefty $1.60 a blade Ebook Marketing and the concept of planning and strategy: Part 2 for die Mach3.Gillette's emphasis on refining the manufacturing process was much admired by management gurus. Few companies were as good at combiningEbook Marketing and the concept of planning and strategy: Part 2
new products with new ways of making them. It gave the company a huge advantage over the competition. Three-quarters of the 51 billion spent on the Ma20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 f production. This meant, according to Gillette calculations, the investment would pay for itself within two years. The fact that the company spent more on new production equipment than on new products was one reason why Gillette regularly hit its target of reducing manufacturing costs by 4 percent Ebook Marketing and the concept of planning and strategy: Part 2 a year.Another difference between Gillette and most other consumer-product companies was that it did not tailor its products to local tastes. That gavEbook Marketing and the concept of planning and strategy: Part 2
e it vast economies of scale in manufacturing. Those were mirrored on the distribution side, where it usually broke into new markets with razors and t20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 t men spend <1 few precious morning minutes reluctantly dragging a razor across their skin. Cuts and razor bum are all part of the raw deal as they scrape their faces up to 700 times per shave, chopping away 27 feet (8.2 meters) of hair over a lifetime. Scientists at Gillette's "world shaving headqu Ebook Marketing and the concept of planning and strategy: Part 2 arters" in Boston had spent 15 years and $750m developing their latest response. Unveiled in New York on April 8, 1998, in a presentation worthy of aEbook Marketing and the concept of planning and strategy: Part 2
NASA space launch, complete with images of jet engines shattering sound barriers, the new razor had a name to match: Mach3.Such high-tech allusions we20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 percent thinner at the tip than the two blades of its predecessor. Sensor-Excel. They were toughened with diamond-like carbon from the semiconductor industry and this was bonded on to the steel with niobium, a rare tin alloy normally used in superconducting magnets. John Bush, vice-president of Gill Ebook Marketing and the concept of planning and strategy: Part 2 ette's research and development, likened the reduced drag to cutting down a tree with an ax rather than a wedge. Since irritated skin was the shaver'sEbook Marketing and the concept of planning and strategy: Part 2
main complaint and most men blamed their razors rather thanthemselves for cuts and rashes, this looked like a genuine improvement.There was, boasted 20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 king American males saving one minute a day this way. That could add up to 7 million working days a year—assuming they did not dawdle over breakfast instead.Of course, all this innovation came with a catch. Gillette expected customers to pay almost $7 for a Mach3 with two spare blade cartridges—a 35 Ebook Marketing and the concept of planning and strategy: Part 2 percent premium to SensorExcel, currently the priciest razor on the market. The company had a successful history of persuading shoppers to trade up.Ebook Marketing and the concept of planning and strategy: Part 2
However, it risked arousing the same complaints as Microsoft, whose customers grumbled about the relentless cycle of software upgrades they had to mak20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 nflexible copper wire to the pliability of aluminum. The Mach3 offered a state-of-the-art shave, but for the cost-conscious a hot shower and a plastic disposable might be just the thing.Th® Giiicuc: vzviiijzanyVWon margins was dramatic: the company's operating margin. Currently a fat 23 percent was Ebook Marketing and the concept of planning and strategy: Part 2 rising by a perc entage point a year.Gillette's products obviously had global appeal. In 1997,70 percent of the company's sales were outside America.Ebook Marketing and the concept of planning and strategy: Part 2
More than 1.2 billion people now used at least one of its prcxluc ts every day, compared with 800 million in 1990. lhe company had sliced into develop20The Gillette Company (B)In April 1998, Gillette unveiled a revolutionary advance in shaving: the Mach3. Gillette had spent 15 years and S75Ữ million Ebook Marketing and the concept of planning and strategy: Part 2 oo, but the trouble there was the Chinese beard, or lac k of it. "If they shake their heads, they don't need to shave," commented a Gillette executive. Gillette might, therefore, rely on the Chinese passion for gadgets Such as pagers, and lead its push into that market with Duracell.FUTURE PERSPECTI Ebook Marketing and the concept of planning and strategy: Part 2 VESThe biggest question concerning Gillette's future was not technical but human. Much of the company's recent success must be put down to Mr.Zeien. WEbook Marketing and the concept of planning and strategy: Part 2
hen he look over, Gillette's name was on everything from sunglasses to watches to calculators. He forced a fex-us on a few world-leading products. HowGọi ngay
Chat zalo
Facebook