More than five years into a turnaround, Procter & Gamble (NYSE: PG) executives have bet the company’s future on a plan to sell off a bunch of small brands to refocus the business on its 65 top-selling labels. Besides focusing on its biggest, most successful brands, Procter & Gamble is also focusing on growth in its biggest markets. USA Today recently noted:
P&G has also been working to fix its business in China, its second-largest market after the U.S. where it does more than $5 billion in business. In recent years, the company botched its product lineup there offering too many cheap products. While the Chinese economy has cooled, the company miscalculated the still strong demand for upscale products.
To address that, P&G executives have high hopes for a new premium diaper being launched in China in August.
However, it was also noted that:
Worldwide economic woes and sagging currencies from the Brazilian real to the Japanese yen have effectively wiped out $9 billion in total sales in the past two years. With nearly 60% of its sales outside the U.S., P&G is one of the 20 most vulnerable Fortune 500 companies to foreign exchange.
To read the whole article, Could Procter & Gamble be the next Kodak?, go to the website of USA Today.
Similar Posts:
- US-Chinese Business Partnerships Are Thriving (Kraneshares)
- Wal-mart Goes Native in China (AP)
- Meat Scandal Sees McDonald’s Sales Drop 7.2% in Emerging Markets (SCMP)
- Huawei Says U.S. Ban Hurting More Than Expected, to Wipe $30 Billion Off Revenue (Reuters)
- M&G Investments’ Vaight: “Chinese Firms Can Become Globally Competitive” (FE Trustnet)
- How Big of a Threat is China’s Xiaomi to Apple? (Bloomberg)
- MINISO Group Holding (NYSE: MNSO): Asia’s Notorious Copycat Retailer
- Tech Sector Can Power Emerging Market Portfolios (FE Trustnet)
- Pinduoduo Research Report (Hayden Capital)
- Macro Tailwinds That Could Propel China’s Internet Sector (KraneShares)
- China Internet Update (KraneShares)
- Aberdeen’s Star Manager Says an Emerging Markets Turnaround is Underway (FTAdviser)
- Unilever: Domestic Emerging Markets Companies Now Our stiffest Competition (FT)
- Sanford Bernstein: Mass Market is Macau Casino Gaming’s Future (GGRAsia)
- Lessons from Autohome Inc’s Battle With Foreign Shareholders (Bloomberg)