Pricing Strategy Of Unilever

Improved Essays
For this paper, the researcher selected the Unilever, one of the world’s largest consumer goods company. The researcher collected the required data from web and books. The researcher will explain the strategy formulation, business model, product portfolio, pricing strategy of the Unilever in this paper.
3. Introduction
Firstly, the researcher would like to explain the background history of Unilever. Unilever was formed by the merger of the two companies Margarine Unie (Netherlands) and Lever Brother (UK). The name of “Unilever” came from the combing of these two company names. Over the next 10 years the company performed significant investment in Latin America, Africa, US and the UK- it could not perform in Europe due to World War Two. Company
…show more content…
Unilever uses market penetration as its primary intensive growth strategy. In this strategy, the company improves its sales volume to increase revenues and business growth. For example, Unilever aggressively sells its product in current homecare makes of the United States and Canada. Bu using the differentiation generic strategy, Unilever successfully applies this intensive strategy by making its products more attractive and competitive than others. A strategic objective for this intensive strategy is to grow the business by making aggressive marketing Unilever products in the global consumer goods market.
For sustainable business growth, Unilever use product development as a secondary intensive strategy. The company uses this growth strategy by producing new products that consider consumers’ needs. For example, Unilever releases over time entirely new or new versions of personal care products to increase or maintain the company’s market share. This growth strategy stays in line with the company’s differentiation strategy. The strategic objective of growing the company with continuous product innovation is implemented by this intensive
…show more content…
This intensive strategy emphasizes on building new businesses to grow the company. For example, Unilever acquires other businesses over time like the acquisition of the personal care business of Sara Lee Corporation in 2009-2010 to achieve diversification. By ensuring that Unilever’s acquired brands support unique features that attract target consumers, the differentiation strategy supports this growth strategy. A strategic objective of this growth strategy is to obtain growth by continuing the merger and acquisitions of company. Such activities strengthens Unilever’s extend in the global consumer goods industry.
Therefore, the overall combination of the generic differentiation strategy and intensive growth strategies are coherent with the Unilever’s purpose of making sustainable living commonplace and to grow the business sustainably and this combination ensure Unilever’s continuing success along time in its global operations.
5. Key Success Factors of

Related Documents

  • Improved Essays

    An integrated marketing strategy is crucial to the success of all retailers. REI and Cabela’s are no exceptions. Both companies understand the importance of the customer as their number one priority. Both companies apply tremendous amounts of resources to capture new customers and serve their existing customers. When it comes to serving customer needs, few strategies are more effective than an integrated marketing strategy.…

    • 441 Words
    • 2 Pages
    Improved Essays
  • Improved Essays

    Essay On Sainsbury

    • 1726 Words
    • 7 Pages

    INTRODUCTION The purpose of this report is analysis how J-Sainsbury’s is affected as a business for. Firstly, PESTEL ANALYSIS covering the political, socio cultural and technological factors. Secondly, give a briefly outline about the key business operation of Sainsbury and describe the way as Sainsbury offer a better customer service in terns of price and quality. Finally, explanation how globalization has influenced Sainsbury as a business and in the role of line manager in people management activities.…

    • 1726 Words
    • 7 Pages
    Improved Essays
  • Great Essays

    Church & Dwight’s corporate strategy consisted mainly of growth and retrenchment strategies. Some instances of stability strategies can also be seen as part of their corporate strategy. Horizontal growth strategies (external) include acquisitions, international expansion and strategic alliances or partnerships with other firms. They reshaped company through acquisitions and had an annual organic growth rate of 3–4%. Church & Dwight pushed aggressively into consumer products outside of sodium bicarbonate-related products and into the international arena even in the early 2000s, and numerous changes were made in key personnel.…

    • 1914 Words
    • 8 Pages
    Great Essays
  • Improved Essays

    Assignment Unit 1 Task 1: Businesses on our Doorstep. SAINSBURY’S The History and its Business Activity Sainsbury’s was first established by John James Sainsbury alongside with his wife Mary Ann Sainsbury in 1869 as a minor dairy shop as their first shop on London’s Drury Lane to what has now developed into becoming one of the leading national retailers in the UK. A national business is one that is located all around the UK rather than being a business that is only allocated in one area of the UK. By the 1970’s, they were the first store to introduce the first bakeries, fresh fish counters and petrol stations into their stores.…

    • 673 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    In the attempts to remain competitive in the market, the company chose to open more store in the U.S while restricting its expansion in the Europe market. The Stores focused on market retention and penetration levels through several offers like buy one; get one free. This was to ensure that the consumers buy more of the existing and same products. Customer programs and commercials were developed within the existing markets to attract customers’ attention on the products. Lastly, the organization have embarked on continuous product development where new products are developed to replace the old ones.…

    • 1471 Words
    • 6 Pages
    Improved Essays
  • Decent Essays

    New Belgium's Success

    • 240 Words
    • 1 Pages

    An operative goal of any successful enterprise is growth. There are many big names in the beer brewery industry, and with that perceived competition; New Belgium necessity is maintaining strategic focus. Constant innovation is key to achieving continued strategic focus. New Belgium must stay ahead of their competition, where they succeed most undoubtedly; therefore, any technology, marketing, and business practices will add to their achievements of environmental friendliness and innovative sustainability are the keys to success. A marketing campaign that aims to educate and inform the consumers constantly about their achieved innovative sustainability can be powerful.…

    • 240 Words
    • 1 Pages
    Decent Essays
  • Improved Essays

    Competitive Strategies Generally, prices and pricing strategies across the grocery industry tend to be fairly homogenous. Firms in the industry often cooperate with each other in terms of pricing in order to retain customers and keep the already low margins as manageable as possible. One of the most common priorities among competitors in the grocery industry is to achieve and maintain an image of everyday low prices.…

    • 919 Words
    • 4 Pages
    Improved Essays
  • Decent Essays

    Whole Foods Case

    • 255 Words
    • 2 Pages

    Introduction While companies endeavor to gain a competitive advantage over their industry and market rivals, the general business environment is becoming more challenging and uncertain. Unlike in the last few decades ago, today’s global business environment is very challenging than ever before. Technology is changing at an alarming speed, competition in the marketplace is steepening, and the general economic environment is becoming tighter. These and other trends make strategies that companies have adopted obsolete. That is, a strategy which performed well yesterday or today is more likely to fail tomorrow or in the near future.…

    • 255 Words
    • 2 Pages
    Decent Essays
  • Improved Essays

    Product Line Strategy: - Product innovation i.e. UA designed Cold, Heat and All Season gear to meet the extreme temperature conditions that their clients were facing. - In-house marketing and promotions department. - Increase floor space exclusively to UA products in major accounts. -…

    • 705 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    Industry Analysis: For our case study, the companies we chose to compare and analyze are Kellogg Company, General Mills Inc., and Campbell Soup Company. The food and beverage industry is an important part of our world and each of the companies strive to succeed with their customers and products. “The food industry is a major strategic issue for all stakeholders involved in the food supply chain, from agriculture, ingredient manufacturing, product manufacturing, packing, and distribution to consumers” (Food Industry Sustainability Strategies and Practices Report). All over the world today, we are faced with the food and beverage industry through grocery stores, advertisements throughout television and social media as well.…

    • 922 Words
    • 4 Pages
    Improved Essays
  • Decent Essays

    Marketing strategy: We choose to market our products in various components such as social media, newspaper, magazines, and other techniques. We desired our brand named products to be one of the top talked about companies. We focused on the prices, advertising and brands to be the most competitive product in the market. Our determining factor was to strive to attract as many customers that would make our company be the top manufacturing company in the marketplace simulation. Our search for brand profitability was to obtain responsible priced products that were affordable, dependable, and desirable.…

    • 222 Words
    • 1 Pages
    Decent Essays
  • Great Essays

    Starbucks corporate-level strategies are the main factors that led to Starbucks success. According to Bradley (2016), “corporate level strategy is concerned with the strategic decisions a business makes that affect the entire organization. Financial performance, mergers and acquisitions, human resource management and the allocation of resources are considered part of corporate level strategy.” There are many strategies of Starbucks corporate level strategies, such as value Neutral strategy (Bradley, 2016).…

    • 1350 Words
    • 6 Pages
    Great Essays
  • Improved Essays

    Pacific Brands Case Study

    • 944 Words
    • 4 Pages

    Dot Point Answers to the 4 Parts of Assignment 1 Case Study Report on Pacific Brands (www.pacificbrands.com.au) Using materials from your own research, lesson materials, readings from the recommended text and other articles posted on Blackboard to inform your discussions and provide a theoretical background for your findings, • Set the context for your analysis by describing the company and the position it currently finds itself in • Analyse the company’s financial accounts in their most recent annual report and provide an overview discussion based on this information, of their financial strengths, weakness and challenges that may have contributed to their current state and explain how they may have contributed to the…

    • 944 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    In conclusion we will analyse the business environment and trends in the ice cream market in our country(South Africa) to identify current opportunities and threats for “Magnum ice cream” in this market. 2.Differentiation strategies exercised by Magnum ice cream to create a strong position in a highly competitive market. When we talk about differentiation we talk about what makes this particular product or ice cream to be different from other ice creams out there. What is it that makes one to buy it and what do they offer that companies do not offer.…

    • 702 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    Unilever is a multinational fast moving consumer goods (FMCG) company. It is a British-Dutch company which operates in four main categories; Health and personal care (HPC), Refreshments, Food and Home Care. It is the world’s third largest FMCG company operating in several companies. Unilever is the largest producer of food spreads eg. margarine and it’s products are available in around 190 countries.…

    • 1494 Words
    • 6 Pages
    Improved Essays