Coping strategies Adopted by unilever In Pakistan to Overcome the World wide Economic crisis in International Business !

Letter of Authorization
This research report on Coping strategies adopted by unilever in Pakistan to overcome the world wide economic crisis in International Business. was assigned by international business analysis course instructor, ir !rshad "usain. The matter presented #or reader in this report is authori$ed by our course instructor.

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Letter of transmittal
(e would like to re)uest to our course instructor *r. !rshad "usain to kindly accept this report and take into consideration to research work that we have accomplished according to course re)uirement o# preparing a term report on Coping strategies adopted by unilever in Pakistan to overcome the world wide economic crisis in International Business. in order to have a better understanding o# the practical implications o# international business analysis

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ACKNOWLEDGEMENTS: This report has contributed a major accumu ation to our !no" ed#e o$ the topic% We are Than!$u to A ah $or ma!in# it possib e $or us& and to our course instructor "ho supported us throu#hout this research We are a so than!$u to the mana#ement o$ Le'er (rothers )a!istan Limited& *+& especia , Mr% Shah-eb Mehmood "ho pro'ided use$u #uidance and in$ormation $or understandin# the practica "or! o$ the or#ani-ation to understand the # oba presence o$ .ni e'er Compan,%

"AB#E O$ CO%"E%"&
EXECUTIVE SUMMARY

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CHAPTER 1 INTRODUCTION -.- ./0B!/ B1!23I2.4 *!11I53 T0 T"5 (01/3 -.& (01/(I35 5C020*IC C1I 5 -.+I2T1036CTI02 T0 T"5 C0*P!27

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CHAPTER 2 LITERATURE REVIE

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&.- C02C5PT !23 T51* 6 53 CHAPTER 3 REA#EARC$ AND %INDIN&# +.- ./0B!/ 08518I5( +.& ./0B!/ *!195TI2. T1!T5.7 +.+ :!CT01 /5!3I2. 62I/5851 T0 ! ./0B!/ 6CC5 +., B1!23 :0C6 +.; ./0B!/ B1!23 *55TI2. /0C!/ 2553 +.< ./0B!/ !3851TI I2. +.= *53I6* :01 !3851TI I2. +.> B1!23 !(!1525 61857 +.? I2T518I5(

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CHAPTER 4 ANAL(#I#

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CHAPTER 5

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RECO++ENDATION# AND CONCLU#ION

*e$erences

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E/EC.T01E S.MMA*2 3o" # oba brandin# enab es companies to reach the hi#hest e'e o$ success and #ro"th is the cru4 o$ this thesis% 0t basica , re'o 'es around the # oba success o$ uni e'er and ho" it he ped the compan, to be the best in the business& e'en in the # oba recession% The introduction to the topic and the compan, itse $ and then the research and $indin#s about the compan,5s # oba scenario ma!es it up% The ana ,ses that ha'e been underta!en are the competitors5 ana ,sis and the SWOT ana ,sis% A brie$ sur'e, is a so represented "hich hi#h i#hts the consumer perception o$ # oba brands% The # oba mar!etin# strate#, as "e as its ad'ertisin# has been discusses% (esides that some o'er'ie" about economic crises in a o'er the "or d has been #i'en that ho" economic crises has spread& and it impacts uni e'er as "e & but ho" uni e'er cope the economic crises% A $e" recommendations to $urther the success o$ .ni e'er are made to conc ude the report%

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CHAPTER 1 INTRODUCTION

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!.! &LO,AL ,RANDIN&-+ARRIED TO T$E

ORLD

.lobal brand is one which is perceived to re#lect the same set o# values around the world. In the e@ample o# the childrenAs toothpaste, the Bpat on the headB is only an e@ecution device to e@press the parentAs appreciation #or the childAs action, and corresponds to a set o# brand values such asC B/ikes children and helps them to be more sel#4reliant in taking care o# their hygieneD Is appreciative o# the concern parents have #or their childrenEs hygiene,B etc. I#, in a particular market, a communication device does not work as well as in other markets, it can Fand shouldG be replaced with one that communicates the intended set o# values or Bbrand characterB which #orm the backbone o# a global brand strategy. &LO,AL #UCCE## ATTRI,UTE# This report #ocuses on the global success o# 62I/5851. *any things add up #or a company to be a global success. The global culture is very competitive with more and more brands making it across their local boundaries. The principle is that a glo.al brand re)uires the building o# compelling relationships across a diverse spectrum o# brand audiences. Be#ore a solid #oundation can be established, companies must determine the brandEs core attri.utes, personality, and positioning by appraising its market category, target consumers, and competitors, as well as the attitudes and belie#s o# their own employees. In addition, governmental legislation and ta@ation, political issues, social and environmental pressures, cultural di##erences, local customs, religious restrictions, consumer tastes, and di##erent languages will need to be considered. !ccounting #or all these details in one worldwide brand is no small #eat and, while it is o#ten attempted, it is truly achieved by only a #ew consumer brands.

&lo.al Re/ession
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In economics, a recession is a general slowdown in economic activity in a country over a sustained period o# time, or a business cycle contraction. 3uring recessions, many macroeconomic indicators vary in a similar way. Production as measured by .ross 3omestic Product F.3PG, employment, investment spending, capacity utili$ation, household incomes and business pro#its all #all during recessions. .overnments usually respond to recessions by adopting e@pansionary macroeconomic policies, such as increasing money supply, increasing government spending and decreasing ta@ation. In a -?=; 2ew 7ork Times article, economic statistician Hulius hiskin suggested several economic indicators that identi#y a recessionD these indicators included the rule Atwo successive )uarterly declines in .3PA. 0ver time, the other rules have been largely #orgotten, and a recession is now o#ten identi#ied as a period when a countryAs .3P #alls Fnegative real economic growthG #or at least two )uarters. ome economists pre#er a more robust de#inition o# a -.;I rise in unemployment within -& months. In the 6nited tates the Business Cycle 3ating Committee o# the 2ational Bureau o# 5conomic 1esearch F2B51G is generally seen as the authority #or dating 6 recessions. The 2B51 de#ines an economic recession asC Ba signi#icant decline in economic activity spread across the country, lasting more than a #ew months, normally visible in real .3P growth, real personal income, employment Fnon4#arm payrollsG, industrial production, and wholesale4retail sales.B !lmost universally, academics, economists, policy makers, and businesses de#er to the determination by the 2B51 #or the precise dating o# a recessionAs onset and end. ! recession has many attributes that can occur simultaneously and can include declines in coincident measures o# activity such as employment, investment, and corporate pro#its. ! severe F.3P down by -JIG or prolonged Fthree or #our yearsG recession is re#erred to as an economic depression, although some argue that their causes and cures can be di##erent. tock market and recessions

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The e@amples and perspective in this article deal primarily with the 6nited tates and do not represent a worldwide view o# the subKect. Please improve this article or discuss the issue on the talk page. F eptember &JJ>G ome recessions have been anticipated by stock market declines. In tocks #or the /ong 1un, iegel mentions that since -?,>, ten recessions were preceded by a stock market decline, by a lead time o# J to -+ months Faverage ;.= monthsG, while ten stock market declines o# greater than -JI in the 3HI! were not #ollowed by a recession% The real4estate market also usually weakens be#ore a recession "owever real4estate declines can last much longer than recessions. .lobal recessions There is no commonly accepted de#inition o# a global recession, I*: regards periods when global growth is less than +I to be global recessions. The I*: estimates that global recessions seem to occur over a cycle lasting between > and -J years. 3uring what the I*: terms the past three global recessions o# the last three decades, global per capita output growth was $ero or negative. 5conomists at the International *onetary :und FI*:G state that a global recession would take a slowdown in global growth to three percent or less. By this measure, three periods since -?>; )uali#yC -??J4-??+, -??> and &JJ-4&JJ&. ! #ew other countries have seen the rate o# growth o# .3P decrease, generally attributed to reduced li)uidity, sector price in#lation in #ood and energy, and the 6. . slowdown. These include the 6nited 9ingdom, Ireland, Canada, Hapan, !ustralia, China, India, 2ew Lealand and many countries within the 55!. In some, the recession has already been con#irmed by e@perts, while others are still waiting #or the #ourth )uarter .3P growth data to show two consecutive )uarters o# negative growth. India along with China is e@periencing an economic slowdown but not a recession.

!.0 INTRODUCTION TO T$E CO+1AN(2 UNILEVER

6Meetin# the e'er,da, needs o$ peop e e'er,"here5 %-J'

6nilever is currently one o# the most success#ul consumer goods companies in the world and they have set their ambitious targets #or growth, in traditional and new markets and channels, to keep it that way. The # oba presence of Unilever contributes to its maKor success and competitive edge. The corporation sells products in over 789 countries and has annual sales o# appro@imately M ,< billion %N+-,;bn'. 6nilever controls subsidiaries in more than ?J countries and employs &?;,JJJ Fin &JJJG people. 6nilever is one o# the "or d5s top three $ood $irms a#ter 2estle and 9ra#t and the "or d5s second ar#est pac!a#ed consumer #oods compan, Obehind Procter P .amble.

,AC3&ROUND 6nilever was #ormed in -?+J when the 3utch margarine company *argarine 6nie merged with British soap maker /ever Brothers. The companies were competing #or the same raw materials Fe.g. oilseedsG, both were involved in large4scale marketing o# household products and both used similar distribution channels. Between them, they had operations in over ,J countries. *argarine 6nie grew through mergers with others margarine companies in the -?&Js. /ever Brothers was #ounded in ->>; by (illiam "esketh /ever. /ever established soap #actories around the world, and had plantations in many Third (orld countries. In -?-=, /ever began to diversi#y into #oods, ac)uiring #ish, ice cream and canned #oods businesses. UNILEVER4# 1UR1O#E The company #ocuses on key growth drivers in a number o# waysC

Continually reconnect with consumers to better anticipate their needs and desires 3evelop and nurture close working relationships with customers to create communication and sales support #or their particular consumers %--'

Constantly develop new technologies that will deliver product bene#its in better ways and 5@plore new communication opportunities.

UNILEVER ,RAND# 5verywhere they operate, they work to understand peopleAs lives, needs and aspirations and to provide #ood and home P personal care products that help them, even Kust a little. ince their Path to .rowth strategy was launched in &JJJ, they have reduced the number o# brands they manage #rom -<JJ to some ,JJ leading brands and Kust under &;J tail brands. This enables them to concentrate resources on a port#olio o# leading brands with strong growth potential that best meet the needs and aspirations o# people around the world. They make the most o# their investment, producing e@citing innovations and imaginative ways to capture the attention o# customers and consumers. !s a leader in world markets 6nilever makes products including home care, skin and hair care, deodorants and antiperspirants, their products meet peopleAs diverse re)uirements to clean and care #or their homes, their clothes and themselves. The biggest brands have international appeal because they meet a need or #ul#ill a desire that people share, no matter where they live. 6nileverEs two big brands are, Do5e and 3norr. ome o# their brands stay close to home with power#ul roles in their own right in one or a #ew countries, #or e@ample, 1& Tips and +armite in the 69, +aille in :rance, ,re6ers ice cream, Rag7 and I Can4t ,elie5e It8s Not ,utter in the 6 , and soy4based drink brand A9e# in /atin Ameri/a.#ua5e and Vaseline in the 6 , Life.uo6 in India, Ro.i:n in the 2etherlands, Cream #il; in the Philippines are some o# the highlights #rom "ome P Personal CareAs port#olio. 0ver hal# o# the sales are generated by their %oo9s .ran9s, which include Knorr& + ora& (ece & 3e mann:s & Lipton & 0# o& (irdsE,e& +indus& *ama& ( ue(and& S im +ast& (erto i & 0ce cream :heart: brand and Cadbur, choco ates In many parts o# the world they lead the home /are market with brands such

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as Omo& Sur$& S!ip& Ci$ and Com$ort Their leading personal /are brands include Do'e& Lu4& Sunsi !& )onds& A4e and L,n4% 6nilever is currently one o# the most success#ul consumer goods companies in the world and they have set their ambitious targets #or growth, in traditional and new markets and channels, to keep it that way and e@pand even more. The deep roots in local cultures and markets around the world are their unparalleled inheritance and the #oundation #or their #uture growth. They bring the wealth o# knowledge and international e@pertise to the service o# local consumers all over the world that is truly multi4local, multinational.

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C3A)TE* ; L0TE*AT.*E *E10EW

The increasing spread and domination o# international brands has seemed inevitable #or at least the last +J years. Investors have historically been e@tremely con#ident about the prospects #or branded goods businesses, particularly those owning international brands like 6nilever. !nd the multinational branded goods owners themselves have shared that con#idence. (ith their economies o# scale, massive spending power and highly developed management structures, these behemoths have seemed invincible. *ultinationals, in pursuit o# the global brand, have rationali$ed irrational name variants O In the last #ew months, 6nilever has changed the name o# its leading cleaning brand in the 69 but local and regional brands still remain strong. The multi4layered multinationals simply donEt have the agility and speed to respond to local needs in every country o# the world in the way that locally grounded brands do. 2imbler, smaller competitors, who are solely #ocused on their home markets, can adapt more )uickly. 2one o# this has gone unnoticed by global brand owners. Back in India, "industan /ever is owned respectively by 6nilever. It could be argued that the down#all %-,'

o# all local brands is that they have ambitions to be global brands. It is clear that the #ortunes o# both global and local brands will wa@ and wane with new #ashions, new governments and new technology esp. in the case o# multinationals like 6nilever. Perhaps, though, the )uestion we really should be asking is what global and local mean in the new economy. *ost virtual Internet brands are e##ectively transnational. The word QglobalE in our marketing vocabularies #or some time now and that very coining seems to recogni$e that global and local brands need each other. In the end people want both global and local brands O brands that make them #eel part o# wider international community and brands that root them in their home culture as done by unilever worldwide. &.- T51* !23 C02C5PT 6 53C G oba Mar!etin# Strate#,:

"ow companies position themselves in di##erent companies and how customers perceive the value and authenticity o# their brand name and products is maKorly what a marketing strategy #ocuses on .lobal *arketing strategies become increasingly important within a modern global company. 2o #irm competing regionally, or world4wide, can a##ord to pursue marketing strategies that are based solely on national characteristics or potentials. To succeed in these situations, the marketing e##ort must consider all global aspects o# the companyEs marketing e##ort and its competitors. Companies must develop characteristics that, compared with national, regional and global competitors, generate advantages in the market place. *arketing resources must also be e##ectively allocated in line with strategic obKectives. G oba Success +actors:

! companyEs many attributes #orm to make the company a maKor success. These maKor strategies and core competencies o# companies make up its global success #actors.

G oba Ad'ertisin#: %-;'

.lobal advertising depends on the culture, value and belie#s o# the coutry where the company wants to place itsel#. :or e@ample in Pakistan the advertisements are way di##erent than they would be in china or in !ustralia or in any other country #or that matter. Mediums $or Ad'ertisin#

!nother maKor part o# global branding is mediums #or advertising. It depends a lot on technological potential o# countries where the company is doing its operations. 5lectronic4media, bill boards, print media and many more mediums are used #or this purpose. (rand a"areness

Brand awareness is a proo# o# companyEs success. It relates to how customers know about the brand and respond to it. /ater in this report a brand awareness survey has been carried out to make the concept clearer. Competitors ana ,sis

Its is very important #or companies to carry out this analysis to know their position in the market and to analy$e how they can make it better #or themselves to improve on their product and mange to have a competitive edge over their competitors. SWOT

(0T analy$es the strengths, weaknesses, opportunities and threats that a company possesses. It is a maKor help #or companies to analy$e their weakness and to enhance on their strengths and opportunities and to overcome the threats that hinder the path to success.

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CHAPTER 3 RESEARCH AND FINDINGS

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3.1 GLOBAL OVERVIEW

6nilever is taking a global brand to worldwide success. :or the past thirty years, the 6nilever logo has remained constant, but within a changing global environment, no company can a##ord to stand still. o the decision was taken to launch a new 6nilever logo, one that would re#lect and support the companyEs new mission o# Qadding vitality to li#eE. The &; di##erent icons that now make up the Q6E in 6nilever represent the company, its brands, the idea o# vitality and the bene#its the organi$ation brings to consumers and the world we all live in. But then the immediate challenge became how to roll out this new identity to a company the si$e o# 6nilever and make sure it is incorporated into all communication going #orward %->'

O everything #rom individual business cards to product packaging. 6nilever employs some &,J,JJJ employees in -;J countries worldwide. !dd to that the third parties O agencies, printers, consultancies O that work with 6nilever on a global scale and the company potentially #aced a signi#icant challenge. The &; di##erent icons that make the 6 o# 6nilever represent the company, its brands, the idea o# vitality and bene#its the organi$ation brings to the consumers all around the world.

3.2 GLOBAL MARKETING STRATEGY

6nileverEs priority is meeting and responding to their consumersA needs all around the world. The core building block in 6nilever is the local operating company. These companies are organi$ed into ten regional groups. :ollowing the announcement o# the evolution o# its top management structure in :ebruary &JJJ, in line with their Path to .rowth strategy Felaborated upon #urther in the proKectG, 6nilever now operates with two global divisions 4 :oods, headed by 9ees 8an der .raa# and "ome and Personal Care headed by 9eki 3adiseth. This structure allows improved #ocus on #oods and home and personal care activities at both the regional and global levels. It allows #or #aster decision making and strengthens 6nileverEs capacity #or innovation by more e##ectively integrating research into the divisional structure. 1eporting to their respective divisional e@ecutive directors, are the 6nilever Best#oods and the "ome and Personal Care regional presidents, responsible #or the pro#itability o# their regions. The regions remain the driving #orce behind 6nilever, comprising as they do the operating companies which provide the key inter#ace with customers and consumers, allowing )uick response to the needs o# local markets. 6nilever Best#oods, Ice Cream and :ro$en :oods, has been #ormed into a global business as has :oodservice 4 a new #ocus, the result o# the ac)uisition o# Best#oods in mid &JJJ. %-?'

6nileverAs mission is to add vitality to li#e. It meets everyday needs #or nutrition, hygiene, and personal care with brands that help people #eel good, look good and get more out o# li#e. imply speaking, 6nilever recogni$es that the world in which it operates is changing. Consumers are increasingly bringing their views as citi$ens into their buying decisions, demanding more #rom the companies behind the brands. They want companies and brands they trust. 6nilever sees growing consumer need #orC

! healthy li#estyle *ore variety, )uality, taste and enKoyment Time, as an increasingly precious commodity.

3.3 FACTORS THAT LEAD TO THE GLOBAL SUCCESS OF UNILEVER

The biggest #actor that leads to the success o# 6nilever is its )uality o# brands. These brands have penetrated well into more than ?J countries o# the world. The #act that these products are o# high )uality and in di##erent local markets is one o# the maKor #actors o# the companyEs success. The #ollowing are some o# the maKor regions where the company is providing di##erent products #or those speci#ic areas. $O+E < 1ER#ONAL CARE RE&ION#

$ome < 1ersonal Care= North Ameri/a "PC2! was #ormed in -?== by integrating /ever Brothers Company, Chesebrough4PondEs and "elene Curtis. "PC2! has maKor business and manu#acturing #acilities across the 6 and Canada. $ome < 1ersonal Care= Europe %&J'

"PC5 combines & businessesC /ever :aberge, operating in (estern 5urope, and 6nipath, operating on a global basis. "PC5 has its "R in (aterloo, near Brussels, and operates in -< 5uropean countries with -? #actories and = development laboratories. Latin Ameri/a The /atin !merica region has well4established operations in all main markets. "PC businesses throughout the region have leading shares in the laundry, personal wash, hair, deodorant, skin and oral categories. East Asia 1a/ifi/ 6nileverEs top selling brands in the region are 3ove, unsilk, PondEs, Close46P, 0moSPersil, 1e@ona, /yn@S!@e, Cornetto, /ipton 7ellow /abel, Continental. !#rica, *iddle 5ast P Turkey. Top brands in the region are 0mo, /ipton, 9norr, 1oyco, /u@, ur#, unlight, 3inor, Close4up, 9ey and ignal. Central Asia < China 6nilever established companies across Central !sia. Top selling brands in this highly populated region including /u@, (heel, /i#ebuoy, and (alls are the best selling brands. Di5erse6Le5er 3iversey/ever is the worldEs leading provider o# cleaning and hygiene solutions. The corporation has operations in more than <J countries and distribution links to another ,J. 3iversey/ever has its head o##ice in manu#acturing #acilities around the globe. UNILEVER ,E#T%OOD# RE&ION# chiphol in the 2etherlands and operates ur#, 1in, 0mo, :airP/ovely, unsilk, "a$eline, Close4up, Lhonghua and Pepsodent. In #oods, /ipton, Brooke Bond

Unile5er ,estfoo9s= North Ameri/a %&-'

6nilever Best#oods, 2orth !merica combines the /ipton and Best#oods business o# both the 6nited tates and Canada. The group provides consumers with a vast range o# products in categories such as tea, salad dressings and margarine and spreads. 6nilever Best#oods, 2orth !merica is head)uartered in 5nglewood Cli##s, 2ew Hersey. Unile5er ,estfoo9s= Europe 6nilever Best#oods 5urope, head)uartered in 1otterdam, stretches right across the continent incorporating countries #rom both western and eastern 5urope. 6nileverEs best4 per#orming categories include pread, avoury, 3ressings and /ea# Tea. Top4selling brands in 5urope include /ipton, 9norr, Bertolli, :lora, Becel, and !more *aille. Latin Ameri/a < #lim.fast >orl9>i9e The /atin !merica region has recently invested in new #ood categories, particularly spreads, tea and tomato products. In addition, the region is now also the international base #or the limT:ast nutritional product and healthy snack #oods business, ac)uired in *ay &JJJ East Asia 1a/ifi/ The 5!P region covers both "PC, and :ood Brands. 5!P has its regional o##ice in ingapore. Top4selling brands include 3ove, Afri/a= +i99le East < Tur;e6 This region covers both "PC, and :ood Brands. Top4selling brands include 0mo, /ipton, 9norr, 1oyco, /u@, ur#, unlight, 3inor, Close4up, 9ey and ignal. Central Asia < China The C!C region covers both "PC, and :ood Brands. 6nilever established companies across Central !sia. Top selling brands in this highly populated region including /u@, (heel, /i#ebuoy, ur#, 1in, 0mo, :airP/ovely, unsilk, "a$eline, Close4up, Lhonghua and Pepsodent. In #oods, /ipton, Brooke Bond and (alls are the best selling brands. %oo9ser5i/e :oodservice is a global business concerned with #ood consumed outside the home O in hospitals, schools, at #ast4#ood restaurants, in work canteens or even #rom vending machines. %&&' unsilk, PondEs, Close46P, 0moSPersil, 1e@ona, /yn@S!@e, Cornetto, /ipton 7ellow /abel, Continental.

I/e Cream an9 %rozen %oo9s The global Ice Cream and :ro$en #oods business stretches across 5urope, 2orth !merica, /atin !merica and !sia. The business is organised on the basis o# the #ollowing organisation design principlesC T operating companies in speci#ic countries inter#ace with their local markets T regional strategic business units are responsible #or the strategic leadership o# the ice cream category and channels in the region. &OOD +ANA&E+ENT ! maKor part o# 6nileverEs success is also due to its well4)uali#ied management sta##. "ighly skilled employees and enlightened leadership is one o# the main #actors o# 6nileverAs success. Both globally and locally, 6nilever is people4driven and places much emphasis on promoting talent and building skills #rom within its own ranks. /eadership is an integral part o# management at 6nilever and a strategic #ramework #or action is essential. The leadership and strategy process sets the vision, values and goals #or the business. These, in turn, de#ine the companyAs values and policies and inspire the organi$ation as a whole. !lthough the crucial disciplines o# day4to4day management are understood at every level o# the business, still leaders play a key role in the development o# the whole company as a whole. 6nilever being one o# the worldAs leading :oods, "ome, and Personal Care companies, has even adopted a comprehensive online leadership training program to strengthen its corporate leadership development and the implementation o# a new competency model. The new model, called the /eadership .rowth Pro#ile, is part o# a comprehensive change program has helped business strategy growth o# the company. It is aimed at developing a more enterprising culture and a change in leadership behavior, and has been speci#ically tailored to the Path to .rowth strategy and obKectives. The model is speci#ically designed to educate the leaders in the company to be upgraded as 6nileverEs is today a success#ul company only as it has worked upon its employees and specially managers to such an e@tent that even scholarships are given to e@ceptional students on the basis that they would work with the 6nilever upon the completion o# their education.

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!ccording to 9ay 1obinson, /eadership 3evelopment manager at 6nilever ?+anagement training an9 9e5elopment has al>a6s .een important to Unile5er= ,ut as >e .ring a.out /hange in the /orporate /ulture an9 a9opt the .eha5ior of the Lea9ership &ro>th 1rofile= >e are loo;ing to $ar5ar9 ,usiness #/hool 1u.lishing to pro5i9e us >ith material that >ill help our emplo6ees /ontinue to 9e5elop themsel5es.? o 6nilever even collaborates with top universities to get assistance regarding the leaders training as they value their leaders as their assets and acknowledge their contribution in the success o# the company. 0ne o# another key tenets in 6nileverAs leadership development programmers, is that when highly talented individuals are taken out o# their com#ort $ones and e@posed to a di##erent culture, their leadership capacity is rapidly developed. /eading #rom the top, the C50 takes all levels o# his employees, who are highly trained and )uali#ied, hand in hand. Hust to include, I have C

E@e/uti5e Committee /eading the Committee are the chairmen o# 6nilever P/C and 6nilever 28, the parent companies. 0ther members are the global division directors #or 6nilever Best#oods and "ome and Personal CareD the Corporate 3evelopment 3irectorD the :inance 3irector and the Personnel 3irector. Niall %itz&eral9 Chairman, 6nilever P/C and 8ice Chairman, 6nilever 28 Fsince -??<G :it$.erald is also non4e@ecutive director o# *erck P Co Fone o# the worldEs leading pharmaceutical companiesG and 5ricsson Fone o# the worldEs biggest suppliers in

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telecommunications, 5ricsson is taking the lead in the e@pansion o# mobile in#rastructure, including . *EsG. -. 2iall :it$.erald, C50 o# 6nilever, the 69As largest advertiser with an annual spend o# nearly a )uarter o# a billion pounds, accepted the !dvertising !ssociationAs invitation to become President o# the !!. The !dvertising !ssociation is a #ederation o# &< trade associations and pro#essional bodies representing advertisers, agencies, the media and support services. It is the only body, which speaks #or all sides o# an industry currently worth over N-= billion per annum. &. 6nilever chairman 2iall :it$.erald has recently been named as the most power#ul marketer in the 69. :it$.erald retains the number one spot in QPower -JJ listE, now in its second year. Power -JJ ranks the most in#luential people in the industry by criteria such as spending power, personality, brand strength and contracts. +. !ccording to annual reports and Bloomberg data, salaries #or the highest paid e@ecutives at BritainEs +J biggest companies rose <=I over the past year to a medium o# N-,& million. 6nilever C50 :it$.erald received a -;I increase in salary and bonus in &JJ=, while net income o# the company #ell <JI. :it$.eraldEs total QcompensationE was N-,; million. Auest for Ne> an9 ,etter People a 6nilever are consistently searching #or newer and better innovations to satis#y consumer needs. This is an on4going e##ort and continuously they keep coming up with products and new ideas. These are in the #ield o# #ood, personal care etc. etc. !ccording to the interview I did #rom *r hah$eb *ehmood, a manager o# 6nilever, ome o# the most important developments in the #uture will be in the #ood P health sector. 6nilever is a partner in this e##ort with worldAs leading agencies and institutions. 0ne o# the recent e@amples o# this is :lora 4 a margarine spread that actually reduces the risk o# heart attack. %&;'

!dding to this he also stated, This will continue to happen #or all categories and the relevant consumers. 7outh are obviously a big market and we are consciously evolving a lot o# our brands and innovations to meet the e@pectations o# this highly aware and educated segment Compan6 Name Vs 1ro9u/t ,ran9 Names In the (0T I have identi#ied that the product lines o# 6nilever such as /ipton, (alls and unsilk seem to eat up the companyEs name. It may seem to be doing so, but this is taken as one o# the maKor successes #or 6nilever. 6nilever knows and when asked by *r. hah$eb, he also replied this by saying that our brands are our strength. The name o# the brand is what matters when a consumer picks up a bottle o# unilk. The company name becomes important in a scenario where we launch an unknown S new brand. Then consumers want reassurance that the brand has been launched by a known organi$ation. o #or known brands, we donAt #eel the need to proKect our company name even though it is there on every item that we produce Fpart o# packagingG. +a;ing themsel5es #o/iall6 Responsi.le 6nilever considers itsel# socially responsible #or helping out communities through out the world. !s already mentioned The 2elson *andela cholarship, help and aid provided in di##erent hospitals o# di##erent countries including haukat 9hanam *emorial Cancer "ospital. "elping out in the Tsunami a##ected areas and distributing di##erent products o# 6nilever to the a##ecterEs has also been one o# the maKor steps 6nilever took to help humanity. Narro>ing 9o>n the pro9u/ts !s already mentioned that recently 6nilever shed its products #rom somewhat -<JJ to ,JJ. 5ven though this may seem to be a huge step in reducing the products and product lines but in reality it adds to the success #actors o# 6nilever. !s itEs not easy to decide

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when to cut a segment o# the product line you are producing and to start aggressively producing another type o# products. #u//essful forms of a95ertising 6nilever was one o# the #irst companyEs in 69 to come up with an advertisement on television. :rom there onwards, there hasnEt been any sort o# looking back by the company. !ggressive marketing campaigns have not been launched #or only new sorts o# products, but also #or relaunching di##erent products, also when only prices were changed etc. "ence all sorts o# media have been relied upon to deliver products to the best possible level in a very attractive way. !lso when making these ads it is made sure that what the company is trying to show is also consistent with what is being provided in the products too.

Cultural a//eptan/e of Unile5er 6nilever has its branches in more than ?J countries o# the world. Being established in the era o# less competition than it is today, we can see that it had penetrated into di##erent markets at the right time and merging and ac)uiring di##erent companies has lead to the #act that 6nilever is a well established company which has a great tendency #or adapting to di##erent

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cultures and then coming up with solutions which are best met #or di##erent countries. This is also another o# its success #actors.

)." ,RAND %OCU#

ince 6nileverEs Path to .rowth strategy was launched in &JJJ, it has reduced the number o# brands it manages #rom -<JJ to some ,JJ leading brands and Kust #ewer than &;J tail brands. This enables the company to concentrate resources on a port#olio o# leading brands with strong growth potential that best meet the needs and aspirations o# people around the world. It means 6nilever can make the most o# the investment, producing e@citing innovations and imaginative ways to capture the attention o# customers and consumers.

).B &LO,AL ,RAND# T$AT +EET LOCAL NEED#

6nileverEs biggest brands have international appeal because they meet a need or #ul#ill a desire that people share, no matter where they live. Two o# its biggest brands, Dove and Knorr are good e@amplesC -G Knorr has the e@pertly tailoring recipes and ingredients #or local tastes and making products that #it into peopleEs lives. &G 3ove delivers real bene#it and satis#action #or millions o# people around the world, both #unctionally and emotionally.

3.6 ADVERTISING
6nileverEs roots go back to the latter hal# o# the nineteenth century when the Industrial !ge spawned working4class households with money to spend. 5ntrepreneurs began to package products under brand names and promote them to millions o# the new customers. It was the dawn o# modern advertising and merchandising. /ever was one o# the #irsts to discover the e##icacy o# mass advertising. %&>'

0bviously, the budget #or marketing and advertising has grown dramatically ever since. !dvertising has always been a keystone o# the business. F5.g. 6nilever Best #oods 69 spends almost N-JJ million a year on advertisingD The P. Tips chimpsE #amily advertising campaign was #irst screened at Christmas in -?;<. The chimp adverts are now the longest running T8 advertising campaign o# any brand, having #eatured in over -JJ commercialsG !dvertising has been an important aspect that 6nilever has been investing a lot in. !n evidence o# this can be indicated by the #act that in &JJ&, 6nilever accounted #or the biggest advertising deal in the history o# 6nited 9ingdom. The deal worth o# N+&J was signed between 6nilever and Carlton ales and .ranada *edia ales. The agreement locked in trading terms #or 6nileverEs 69 operating companiesD Birds 5ye, (allEs, /ever :abergU, 6nilever Best#oods and 6nilever Cosmetics International and secured a competitive advantage #or them through a period which is likely to be one o# continuing change #or the 69Es broadcasting structure. This ground4breaking #our4year deal marked another step on 6nileverEs Path to .rowth strategy, enabling the company to concentrate its resources behind its #ocused port#olio o# leading brands using the most power#ul medium, television.

).7 Other me9iums of a95ertisement

There a number o# ways to advertise both local and global brands in the market. ome o# the very common means through which advertisement is done includeC

Elect !"#c$ Me%#&

5lectronic *edia has been the maKor #actor in determining the global success o# 6nilever. In todayEs world where an average middle class individual has access to +J to ,J %&?'

channels through the cable minimum, he has the ability to view di##erent types o# advertisement Kust #lipping the channels. Thus the consumer o# today is so well posted on the #act that whenever a new product is launched, be it in the 6nited 9ingdom or in the 6nited tates, a consumer living in !sia would be well aware o# the #eatures o# the products and he would know who the company is targeting.

' #"t Me%#&

Print *edia advertisement is one o# the common ways o# advertising. (henever there is a new campaign being launched or that any event like that o# CDaagh nahi to> see;hna ;iaD by ur# 5@cel is introduced, the print media including the maga$ines, newspapers and brochures are relied upon a lot. In print media, the importance o# placing the advertisement plays an imperative part in increasing the sales o# the product.

B#ll(!& %$
Billboards has become one o# the most in#luencing way to advertise in our world. !t #irst there were people who used to paint di##erent types o# products on the boards, then came the time when the ads on these billboards used to get computeri$ed and now what you can see on a billboard is massive. 7ou can see a whole advertisement like you watch on your own televisions or the type o# moving and animated type o# advertisements that you can see on the billboards happen to be very much in #ashion. 6nilever also has nearly all o# its products on the billboards when either its launching a new ad, coming up with price promotions or re launching any product. These ads seem to be appearing all the time, which is really good #or the company, as they are easily attracting the customers in every possible manner.

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I""!)&t#)e T*+e$ !, A%)e t#$#"6nilever always has been a pioneer in leading the advertising industry especially in countries like Pakistan. The advertisement they had o# /ipton, took the country by storm when they introduced their ad o# Chaye Chahyay, which showed a male model and a #emale standing on the plat#orm o# a railway station. This was a very #amous advertisement o# the -?>JEs and the general consumers liked this new concept. 2early two years ago the new advertising campaign o# /ipton took the country by storm again. !nd this time the ad was e@actly the same as that o# the -?>JEs, the Kingle was same but obviously new models had to be used. This Kingle o# the ad became so #amous that this Kingle was #orwarded to thousands on the mobiles and most people had their ring tones sent as this Kingle. "ence, using this type o# innovative advertising techni)ue has greatly increased the recall value o# the customer.

G#)#"- !.t , ee S&/+le$

(hen the new unsilk Black was introduced in Pakistan, what the company did was, to create awareness amongst the youth they went to schools and colleges and distributed #ree samples o# the products and gave out little brochures which told the )ualities that the product had and the proper method o# getting a black and shiny hair look.

A%)e t#$#"- All#&"ce

!0/ Time (arner and 6nilever announced their multi4million dollar advertising alliance. !0/ Time (arner, the worldAs largest advertiser, announced a multi4million dollar enhanced cross4plat#orm advertising and marketing partnership under which !0/ Time (arner will bring 6nileverAs wide array o# leading consumer product brands to millions o# consumers through innovative marketing campaigns across !0/ Time (arnerAs broad range o# online, on4air and print media in &JJ&.

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!t the end o# the summer F&JJJG, 6nilever claims enthusiastically, two thousand people #rom 5urope headed o## #or Ibi$a FVG where 6nilever organi$ed a big dance party Fin a converted $ooG in order to introduce a new product Fa new variant o# !@e personal careG.

I"te "&t#!"&l 0.&l#t* !, &%)e t#$e/e"t$

The !@e Agetting dressedA T8 ad has won a .old /ion at Cannes #or international advertising )uality. This is the second time in #our years that a 5uropean !@e #ilm has scooped the top award. The ad shows a spontaneous encounter between a young couple who meet in a supermarket. ItAs a poignant, romantic taleC in essence, a modern day urban #airy tale. 7oung men watching the ad are reassured by the message that !@e is an e##ective &,4hour deodorant.

).' ,ran9 A>areness of Unile5er

Brands awareness #or a company speaks a lot #or itsel#. "ow consumers relate with the brand and how they respond to it is a maKor concern #or globally e@panded companies like 6nilever itsel#. It is a maKor part o# global branding. The art o# creating brand awareness o# a speci#ic brand in order to ma@imi$e its recognition globally, the brand strategies should de#ine companyEs uni)ueness and set it apart #rom competitors. This survey #ocuses on three maKor attributes o# a global product, which are brand loyalty, pre#erence o# consumers over other brands and their reaction towards a global product.

Brand Loyalty

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The loyalty level o# 6nilever has a slight edge over here in Pakistan due to the #act that most o# the product lines o# PP. are not available here whereas the products o# 6nilever have been engraved in the roots o# many generations especially in countries like Pakistan. ThatEs why it can easily be seen why the consumers are more loyal to 6nilever as compared to others in Pakistan.

U"#le)e '1G B!t2

Preference of the consumer over the other brands

:rom this part o# the survey I got to know that what #actors did the consumers pre#er #rom one brand over another and as it can be seen that the reliability #actor has a lot o# importance in the minds o# the consumers.

Rel#&(#l#t* V&l.e ' #ce Rec!-"#t#!" A)&#l&(#l#t* !, #",!

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Do you feel good by using a global product?

:rom here we can see that more than <JI o# the consumers pre#er using a global product.
73.334 63.334 63.334 53.334 33.334 23.334 13.334 3.334 Ye$ N! I"%#,,e e"t 'e ce"t !, C!"$./e $ + e,e #"- -l!(&l + !%.ct$

).E INTERVIE
5ven though 6nilever has a lot o# in#ormation on its websites and a lot o# in#ormation is gathered by other areas to make this report possible, still it is very essential to conduct an interview with an employee o# 6nilever so that a clear insight in the company is established. :or this I did an interview o# the *anager o# *odern Trade o# 6nilever *r. hah$eb *ahmood who helped in di##erent parts o# the proKect. In the interview, I asked him a couple o# )uestions which were thought to be the main issues that were hindering my path. :irst I asked about the competitive edge that 6nilever had over its competitors, he replied saying that 6nilever has a diverse range o# products and brands under one umbrella. Catering to di##erent consumer needs throughout the world. 3ue to this power#ul range, 6nilever is able to meet nearly every /onsumer e@pe/tation at an6 time of the 9a6, any place in the worldV This is backed by over ?J years o# e@pertise in the relevant categories and Unile5er8s unrelenting /ommitment to constant consumer delight and satis#action. This diverse range also means that 6nilever enKoys a better bargaining ability with retailers and trade compared to the competitors. !nother competitive edge that 6nilever has is that being a global product, 6nilever has di##erent products #or its di##erent markets, i.e. 6nilever PakistanEs unsilk is di##erent that 6nilever ThailandEs unsilk. This is done to account #or the di##erence in our environments, biology F#ar eastern S oriental people have %+,'

naturally so#ter hair compared to usG. imilarly what the people in India consider a good cup o# tea is very di##erent to what we want in our cup o# tea hence /ipton is di##erent in di##erent countries. (hen asking about the economies o# di##erent countries he said that di##erent economies o# the countries de#initely have an impact on the products. In economic downturns, people have less money to spend. This means that they try and save money on everyday purchases as well as lu@ury items. In such conditions, good companies who are )uality conscious and do not compromise su##er while less honest organi$ations or pro#iteers tend to come up more.

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C'AP"E( ) A%A#*&I&

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5.1 C!/+et#t! A"&l*$#$

2o business is an island. :or success, the business will need to deal with customers, suppliers, employees, and others. In almost all cases there will also be other organi$ations o##ering similar products to similar customers. These other organi$ations are competitors. and their obKective is the sameC to grow, make money and succeed. 5##ectively, the businesses are at war, #ighting to gain the same resource and territory i.e. the customer and like in war, it is necessary to understand the enemy. :or that reason we will analy$e the competitive market o# 6nilever.

1ro/tor < &am.le

5stablished in ->+=, The Procter P .amble Company began as a small, #amily operated soap and candle company in Cincinnati, 0hio, 6 !. Today, PP. markets almost +JJ products to more than #ive billion consumers in -,J countries, Pakistan being one o# them. Procter P .amble started its operations in Pakistan in -??- with the goal o# becoming the #inest global local consumer goods company operating in Pakistan. !#ter e@tensive research we have come to the conclusion that i# we look at the global perspective, 6nileverEs biggest competitor is Proctor P .amble. They o##er almost the similar product line and their #ocus is also on the same type o# market. In !sian market, 6nilever and PP. cover almost >;I o# the market. "owever things are starting to get tougher #or these two giants. *any regional players have sprung up in the last decade and they have managed to establish themselves in their own states and have eaten up a large chunk o# 6nileverEs and PP.As customers. The products they o##er are cheap and largely targeted towards the lower income groups in this country. 6nilever has also come out with products in this price category but these products are #acing severe competition. 6nilever has been witnessing a #all in pro#its in the last one4year. To combat this onslaught o# cost4competitive products, PP. slashed its product prices by almost ,JI so that they could increase sales volumes. 6nilever %+='

#ollowed suit.

hampoos, 3etergents,

oaps that are the main products o# these two

companies are now being sold at prices ,JI lower than last yearAs. "owever, it has been < months since this move and the pro#its have not risen. o, when it comes to competition, companies can go to any e@tent to go ahead o# other company. /ike in !ugust &JJ-, :ortune maga$ine reported that the leading global consumer goods giant Procter P .amble FPP.G had been engaged in an illegal corporate program against its competitor, 6nilever. !gents appointed by PP. were alleged to have misrepresented themselves as market analysts and used various other methods to collect in#ormation about 6nileverAs hair care business. oon PP. admitted that the in#ormation collection episode had indeed taken place, but without the knowledge o# the top management. "owever, the company #irmly re#used :ortuneAs claim that its agents misrepresented themselves as market analysts to ac)uire in#ormation. PP. claimed that it had not indulged in any illegal activitiesD it added that these activities were against its strict business policies and guidelines. ince 6nilever is a company with the most diverse range o# products and brands under the one umbrella, catering to di##erent consumer needs throughout the world, its competitors are di##erent product categories o# di##erent companies. (hen we consider competitors o# 6nilever product wise then we can have a $illion o# other companies which are producing generic products like 6nilever and PP. are doing so as these products are mostly o# every day use and any one can indulge in this business. "owever PP. is the main rival o# 6nilever and which has the main battle between the whole industry going on. There#ore giving more attention to PP., i have only done its competitor analysis.

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".0 #

OT ANAL(#(#

#TREN&T$#
Well8e$t&(l#$2e% ( &"% "&/e
6nilever being one o# the well4 established brands all over the world has a number o# attributes, which result in its strengths. 6nilever didnEt start out as a market leader and did not have an advantage o# it being the market leader in the category o# the consumer goods. tarting o## Kust as PP. did in its beginningD 6nileverAs #ounding companies produced products made o# oils and #ats, which were principally soap and margarine. The concept in the early age o# production and selling was to produce standardi$ed products and to mass market them. This worked really well in the early &J th Century and took the market at large. !t that time most o# the companies were doing this strategy and were pro#iting #or producing a product, which was standardi$ed. Then throughout the years the company evolved and started to e@pand its product lines, and started to penetrate in di##erent markets o# the world, which lead to its high brand awareness and recognition in di##erent countries. "ence, now, in the current time, 6nilever is considered to be a strong and a very well established brand. The name o# the brand has made it possible that whenever the company thinks o# introducing a product in any country, the #act that it is already so very well established, makes the company credible. The customers who donEt want to associate themselves with any introduction o#

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a new and a changing brand would then be inclined in buying a product o# this company. Thus the name, that the company has established #or itsel# is helping it a lot.

A9& e !, t2e C!"$./e B.*#"- Be2&)#!

The products o# 6nilever have been around #or more than a decade, whereas the company prevails under the name o# 6nilever #or more than =J years. Thus, the 1esearch and 3evelopment department o# 6nilever are aware o# the buying behaviors o# the customers so well, as they have researched the grand#athers, #athers and the current customers. "ence they know that what were the main causes #or a consumer to buy a certain product and how there have been trends in the buying behaviors o# house holds. This has lead to the advantage on the behal# o# 6nilever that they have a whole data base o# research which is helping them when they innovate new goods and the competitive they have on the small and relatively new companies.

U"#le)e 2&$ Gl!(&l e&c2: 9#t2 l!c&l R!!t$.

6nilever has been e@panding globally since a very long time. (hen it started its company, which in ->?J became /ever Brothers /td, it then started to e@port its products in di##erent parts o# the world. 3uring the -?<JEs 6nilever started its aggressing type o# marketing in di##erent parts o# the 6nited 9ingdom as a part #or ac)uiring di##erent small companies and brands in di##erent countries. !c)uisitions and mergers, whether they were done in a peace#ul manner or simple hostile take4overs like that o# Brook Bond, it has established global products in di##erent parts o# the world, which have local roots. !s the ac)uisitions that 6nilever did were o# local companies, hence these companies had a know4how o# the local market also these companies were very well known by the customers, this helped a great deal in the e@panding o# products as well as bringing credibility to the company. !n e@ample o# this is that they tailored their products to be a##ordable #or the general consumers o# India and China, who were mostly living in rural areas and were low4income earners. They did this not by o##ering a super4#amily si$e packaging but a smaller or sachet si$e packaging only marketed to these countries and demographics. !s a small or medium business you would have more control over

%,J'

whether you can change the way you o##er your products simply due to less red tape and top level management to go through thus making it easier to enter global markets.

V&$t D#$t #(.t#!" Net9! ;$

(hen said that 6nilever had ac)uired and had merged with a number o# local companies, it means that a vast distribution network is also being ac)uired by 6nilever. Considering the Pakistani *arket cenario, we saw when (alls a product o# 6nilever ac)uired Polka, it also ac)uired the vast distribution networks that Polka already had. !s when you enter in a new market, it is a tremendously hard Kob to get your product in di##erent parts where di##erent customers o# di##erent needs are located. Thus the distribution channel o# 6nilever owes its success to the local industry, which it has ac)uired or merged with.

H&"%l#"- &"% /&"&-#"- /! e t2&" <3 c!."t #e$ $#/.lt&"e!.$l*

5ven though 6nilever is a huge company, having more than &;J tail4 brands, integrating them all is a bit o# a problem. But 6nilever is doing a really good Kob in handling more than ?J countries simultaneously all over the world. This is a maKor plus point #or 6nilever that it is handling so many economies and so many multi cultural environments in one go. !s it is very di##icult to handle so many products by one company, so integrating them all owes a lot o# credit to the management o# the 6nilever.

F#"&"c#&l St&(#l#t*
! lot o# the stability o# 6nilever today owes to its capturing o# markets in the early &Jth Century. !nd a steady #low o# consistent growth has been observed in the years that have #ollowed. /eading brands o# 6nilever have increased #rom =;I to ?+I sales in -???. 2ow -& brands have sales over W - billion. In -??? there were only , o# these brands and ten years ago there was only one o# this brand. The growth and )uality has consistently been increasing and between &JJ- and &JJ+ was a little over +I. %<='

%,-'

EA3NE##E#
(hen we say that organi$ations are like individuals, we mean that there are weaknesses in organi$ations Kust like those o# individuals. There are some #eatures o# 6nilever which attribute to its weaknessesC

C!",.$#!" #" t2e# + !%.ct$

! maKor con#usion occurs in the brands o# 6nilever is that they are producing brands like /ipton and Brookbond which are the producers o# tea against each other. These brands even though are marketing in a separate kind o# marketD still there is con#usion amongst the consumers that the brands o# /ipton and Brookbond are competitors o# each other. !lso that buying a /ipton brand makes them believe that they have a better image as compared to those who are buying a BrookBond product.

B &"%$ 2&)e $9&ll!9e% .+ t2e '& e"t C!/+&"* N&/e

It is seen that brands like /ipton, unsilk, ur# 5@cel and (allEs etc have swallowed up the parent company name. In this scenario the consumers know about the product lines and less about the main company. /ipton and ur# 5@cel have become such big names that 6nilever the name itsel# is having some problem with the subsidiary brands. This seems to be some what o# a problem #rom 6nileverEs point o# view

O11ORTUNITIE#
I# we look at the e@ternal environment o# 6nilever, we will #ind out that there are a lot o# opportunities available #or it. ome o# them are as #ollowsC

E-/ommer/e2 !s world entered the &-st century, everyone became e@tremely dependant upon the in#ormation age. (ith the changing trends o# use o# high4tech systems #or everything, it can be great opportunity #or 6nilever to establish itsel# online. It %,&'

can make e##icient internet marketing campaigns or even launch online delivery service #or their products.

In5estment in 9e5eloping /ountries2 6nilever has the biggest market in the developed countries like 6 ! and 69. ince world is becoming smaller everyday due to the trend o# globali$ation, the small developed countries are also becoming aware o# the global brands and products and i# the companies like 6nilever try to invest in such countries, they will gain a lot pro#it #rom them. They might not be the huge markets but still, they can be a great source o# pro#it #or them.

1romoting spe/ial e5ents of e5er6 /ulture2 6nilever is #ocusing on the events and cultural aspect o# every country in its own way. :or e@ample in countries like 6 ! or 69, they make special marketing campaigns #or events like 8alentineEs 3ay and "alloween. (hereas i# we look 6nilever Pakistan, they donEt give that much importance to 8alentineEs day but their one o# the most leading brand /ipton is the biggest sponsor #or the Basant #estival in /ahore.

Ol9est +NC of Asia2 I# we look at the !sian market, it is considered to have very traditional thinking. They are always reluctant to try out new stu## and stick to old and traditional things. This gives a great advantage to 6nilever since it was the very #irst multinational company to enter this market. 5ven at this point, people are well aware o# its nameD they trust its products and are always hesitant to try out new companies who enter the market. This advantage o# 6nilever is a great threat #or its competitors.

Laun/h of nutritious foo9 items2 (ith the changing trends o# the world, people are becoming more health conscious. They pre#er #ood that will give them ma@imum nutrition and less %,+'

calories. In the present scenario, the :ood items o##ered by 6nilever are mostly #attening #ood like (alls ice cream and 9norr 2oodles. They can also come up with diet ice creams in outh !sia, which would help their sales to Kump up. They should diversi#y themselves in #ood category and should introduce more o# healthy #ood products. 6nilever is already a partner with the worldAs leading agencies and institutions o# #ood and health sector.

Target the 6outh of >orl92 *ost o# the 6nileverEs products are targeted upon #amilies and middle aged people. They should #ocus upon the youth segment as well. They should introduce products that speci#ically #ocus on the youth, that way the company will gain popularity in that segment as well which can provide a lot o# pro#it opportunities #or the company. Products like PP.Es Pringles, which as taken over the world #or its top class taste, should be one o# the #ocus o# 6nilever too. *aking and #ocusing on products like this would yield more pro#its and enhance their customer base.

T$REAT#
The lo/al /ompanies2 The biggest threats #or 6nilever in every region are the small local companies who are emerging into the market with the introduction o# similar product like as o# 6nileverEs. 1ri/e >ars2 3ue to the unstable economy o# many counties and very less di##erence between 6nileverEs and its competitorEs products, the main thing to compete upon is the price. 6nilever is unable to keep its stable pricing due to the immense competition and high level o# price war.

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Lo> .ran9 re/ognition for /ompan62 6nileverEs biggest advantage is sometimes considered as the biggest threat to it, i.e. the #act that it has a huge product line and category. :rom health care to #ood products, #rom shampoos to beverages, it is diversi#ied in every category o# products. 3ue to this #act, there is a very little recognition to the companyEs brand name itsel#. People are more #amiliar to /ipton or Close up instead o# 6nilever itsel#. 2obody calls them 6nileverEs /ipton or 6nileverEs Close up. 3ue to so much diversity, the company has lost its own identity.

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C'AP"E( + (ECO,,E%-A"IO% & and CO%C#.&IO%

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CONCLU#ION
6nilever is committed to diversity in a working environment where there is mutual trust and respect and where everyone #eels responsible #or the per#ormance and reputation o# our company. they are committed to sa#e and healthy working conditions #or all employees. (e will not use any #orm o# #orced, compulsory or child labor. and committed toorking with employees to develop and enhance each individualAs skills and capabilities. 6nilever is providing branded products and services which consistently o##er value in terms o# price and )uality, and which are sa#e #or their intended use. Products and services will be accurately and properly labeled, advertised and communicated. 6nilever l conduct its operations in accordance with internationally accepted principles o# good corporate governance. (e will provide timely, regular and reliable in#ormation on our activities, structure, #inancial situation and per#ormance to all shareholders. 6nilever is establishing mutually bene#icial relations with our suppliers, customers and business partners. 6nilever is making continuous improvements in the management o# our environmental impact and to the longer4term goal o# developing a sustainable business. In our scienti#ic innovation to meet consumer needs we will respect the concerns o# our consumers and o# society. (e will work on the basis o# sound science applying rigorous standards o# product sa#ety.6nilever believes in vigorous yet #air competition and supports the development o# appropriate competition laws. 6nilever companies and employees will conduct their operations in accordance with the principles o# #air competition and all applicable regulations.

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*ore than -;J million times a day someone, somewhere is choosing a 6nilever product. ! good brand is vital to an organi$ation and this report has re#lected how 6nilever has managed to be Kust that. It is clear #rom the analysis and survey carried out that the company is adopting global branding to its highest standards and that is e@actly how the global presence o# any company is taken to its highest levels o# success. o #ar unilever has been able to be one o# the best I the business. That is what global branding is all about. It allows companies the access to consumers all over the world and increases their customer base to a large e@tent. It allows them to e@pand their hori$ons and to make a global impact o# their products all over the world. They have more market segments to target and can increase their product line to a large e@tent. 3i##erent countries market their products. These are the bene#its o# companies going global and they have been re#lected above in this report in the #orm o# uni e'er5s # oba success.

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RECO++ENDATION#
!lthough unilever is already on the brink o# its success but there is always rom #or improvement. -. In spite o# 6nileverEs vast si$e and presence worldwide, the companyEs actual visibility is surprisingly low. !nonymity hides the companyEs importance.. (ho does not know brand names like *agnum, 0mo, 3ove, 9norr, Ben P HerryEs, /ipton, lim4:ast, Iglo, 6no@, Becel,D B6T 6nileverX TheyEre all part o# the Q6nilever armada o# brand namesE. To make sure the brand names do not go unnoticed 6nilever should make its brand awareness stronger. Besides that in todayEs economic recession, unilever should also #ocus on #ollowing areas. &. The unilever is global company it operates in many countries, and each country has own culture, and needs so unilever should operate according to local pre#erences and needs because it is really necessary in today economic crisis to capture huge market share. +. It is time that unilever is big brand and captured the urban market, but we believe that still there is a huge potential in the rural areas o# Pakistan, so unilever Pakistan should develop e e##ective supply chain management to make their product in the hand rural customer as well. ,. 6nilever Pakistan must #ocus on social responsibility, to maintain image among Pakistani customers, basically advertisement covers huge e@penses o# unilever, but we recommend them to cut their advertisement e@penditures, in the economic crisis and should more #ocus on social responsibility. ;. 6nilever Pakistan #acing worldwide economic crisis and to cope with that, they need strong employees motivation to accomplish their work e##iciently and e##ectively so in order to induce employees motivation, the unilever should #ocus on the strong reward management, that must shows relationship between e##ective work and reward.

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<. The unilever Pakistan should encourage the employeeEs participation in decision making, because the great ideas can come a#ter any where so the employees must be encouraged to contribute in organi$ational decision making. =. The unilever Pakistan has high debt ration, which indicates their borrowing #rom other and that cause them to pay interest, so we recommend unilever Pakistan to raise #unds through e)uity #inancing. >. This is worldwide economic recession, which has adversely a##ected all organi$ation, so to cope with this recession, the company must have the proper inventory system, so #or that unilever should gain control over its suppliers by #ollowing backward integration. ?. In worldwide economic crisis the unilever Pakistan must reduce the e@tra e@penditures, so #or that, those division which presents huge loses so those divisions should be closed down in order to reduce e@tra e@penditure -J. 1educing price is not e##ective decision in long term, but unilever should more #ocus on )uality because )uality provide them complete advantages and that will add value to customer. --. The stakeholders like investors, employees, customers must be satis#ied with organi$ation, so #or that unilever Pakistan should develop and maintain good relationship to stake holders to cope with the economic downslide -&. !s mentioned be#ore people are #amiliar with its products like sunsilk, close4up etc however they are not interested in whether it is a unilever product or not. Through e@tensive marketing methods unilever should make people aware o# the #act that it is a 6nilever Product and not Kust any product so that the brand loyalty increases and people purchase its product due to its brand name and not Kust the product name. -+. 6nilever should also strategi$e to maintain its competitive edge over the local competitors in the countries where it is placing its sel#. The price wars make it di##icult #or unilever to maintain this edge. -,. 6nilever should work more towards targeting low market areas specially in countries like Pakistan. The low income people cannot a##ord a unilever product %;J'

like sun silk shampoo or an a@e deodorant. 6nilever should go #or reengineering #or this segment o# the market. -;. P P . is the maKor competitor o# 6nilever. They are going neck to neck in this competition. (hile a certain product line o# 6nilever is pre#erred in some cases, in others a certain product line o# PP. is pre#erred. 6nilever should try to grasp more market share to make its brand the best one and get the competitive edge over PP. and its other competitors.

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Referen/es2 -. www.unilever.comS &. httpCSSwww.mind4advertising.comSnlSunileverYnl.htm +. httpCSSKust4#ood.comSnewsYdetail.aspXartZ,-<=>PdmZyes ,. httpCSSKust4#ood.comSnewsYdetail.aspXartZ,-J,-PdmZyesPcZ;. Q6nilever downgraded on concerns over Best#oodsE arti#icial sales growthE, <. httpCSSKust4#ood.comSnews =. QBest#oods buy boosts 6nileverE, The Guardian >. 6nilever Haarover$icht &JJJ, en verkorte Kaarrekening ?. httpCSScobalt.#reetekno.orgSissue=.htm -J. httpCSSwww.heureka.clara.netSgaiaSgenetics.htm --. httpCSSwww.warringtonhistory.co.ukSproducts.html -&. httpCSSwww.sbaer.uca.eduS1esearchS-??;S *!S?;swa+;>.htm -+. httpCSSwww.unilever.co.ukSunileverintheukSdidyouknow.html -;. httpCSSwww.businessweek.comSmaga$ineScontentSJ-Y+&Sb+=,,-+=.htm -<. httpCSSwww.hoovers.comScoScapsuleS&SJ,&-<+,,J,+&,JJ.html -,. httpCSSiw-.pri$es.comS lim#astSrules.asp

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