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SUBMITTED TO:

SIR ZOHAIB GHAFOOR


Submitted by:
Kanwal Yaseen 12175
Ayesha Khan Burki 11510
Zahra Batool 13885
Topic:
UNILEVER
INTRODUCTION
 Unilever is a global company with operations in nearly 190 countries and a long history of excellence
and quality in the Fast Moving Consumer Goods industry. The company's competitive edge stems from
its global presence and track record of increasing value for customers all around the world. It has
managed to grow at a fair rate even in the current recessionary environment. Unilever can't afford to
ignore the dangers posed by a diverse set of global, regional, and local actors. Apart from that, as the
following SWOT Analysis demonstrates, the race for emerging markets is expected to devolve into a
no holds barred rivalry, with a race to the bottom erupting between global behemoths like Unilever and
Proctor & Gamble and a slew of local players.
SWOT ANALYSIS OF UNILEVER:
 STRENGTHS:  WEAKNESSES:
 Unilever operates in approximately 190 countries
 The biggest weakness that Unilever faces is
across the world.
 It offers a diverse product range and a deep and broad
that it operates in an uber competitive market
portfolio of brands, making it uniquely positioned to
where the other global giants like P&G and
tap into evolving consumer tastes around the world. Nestle in addition to a host of local players
 Its R&D projects are well-funded, and it is able to challenge its dominance at every turn and
bring to market unique and cutting-edge products that raise the stakes in the Trillion Dollar FMCG
are in tune with and in line with consumer desires. (Fast Moving Consumer Goods) space.
 Its flexible pricing and skill in distribution systems that
 Its products are easily substituted,
cover every nook and cranny of the globe, Unilever
has a distinct competitive advantage over its nearest
particularly in growing regions such as Africa
competitor, Proctor and Gamble. and Asia, where rural consumers in the
 Unilever combines global thinking with local hinterland frequently adopt traditional and
execution, allowing it to win the hearts and minds of natural alternatives to Unilever's products.
customers who want to utiliZe its well-known
products.
OPPRTUNITIES AND THREATS(UNILEVER)
 OPPORTUNITIES:  THREATS:
 The ongoing global economic crisis has severely dented the profitability of
 With the advent of globalization and the proliferation of global media,
many FMCG companies and Unilever is no exception. With the shrinking
consumers in the emerging markets are aspiring to western lifestyles
of the disposable incomes of the global consumer, they are buying less and
and this means that Unilever has a tremendous opportunity waiting for it
insisting on more value for their money or “more bang for the buck”. This
as it taps into this large and diversified consumer base that wants to join
means that Unilever faces the threat of diminished revenues and increasing
the league of westerners in taste and preferences for consumer goods.
costs, which is like a “Double Whammy” to its top-line, and bottom-line.
 Apart from that, capturing the "Newly Affluent Trillion Dollar  Unilever outperforms P&G in terms of CSR (Corporate Social
Consumers" in China and India means it is a perfect chance to utilize Responsibility), since growing customer awareness has cast a sharp
this massive and increasing consumer base, which frequently attempts spotlight on the company's strategic decisions. Unilever must ensure that it
to replicate and mimic the material west's consumerist desires. keeps and maintains its concentration, especially when the spotlight is on
 With the rise of the health-conscious customer in the developed world, it, because some of the company's methods have been challenged.
Unilever may take advantage of the chance to sell to this sector with its  Unilever operates in a market segment where local products and
existing and yet-to-be-launched product line designed specifically for alternatives to its brands abound, particularly in emerging markets, and
the health-conscious consumer. thus faces competition from smaller, more nimble local upstarts who can
 With the advent of the ethical chic consumer who likes to buy and deliver more value for less money without the associated costs that global
consume products and brands that are responsibly created and behemoths like Unilever must bear.
 The entry of Asian multinationals into the global arena has upped the ante
sustainably complete, Unilever has an excellent track record of social
and environmental responsibility. for Unilever and raised the stakes in the global game for dominance in the
FMCG market segment. This means that Unilever faces the prospect of
having to battle not only the recessionary blues but also emerging threats
from this new age and new breed of competition from Asian
conglomerates that are beginning to spread their wings internationally.
SWOT ANALYSIS OF UNILEVER’S PRODUCT(LIPTON):
 Lipton's strengths, weaknesses, opportunities, and threats are summarized in
the SWOT analysis. A Process explains Lipton's internal market strengths
and weaknesses, as well as threats and opportunities in the external
environment.
STRENGHTS

 1.Lipton teas have a great flavor and aroma, as well as attractive packaging.
In addition, as part of its agreement with PepsiCo, Lipton maintains a robust
advertising effort.
 2. Lipton tea is a well-known brand with a solid financial position and a
positive public image. For years, Unilever has promoted the health and
wellness benefits of its Lipton tea brands to consumers.
 3.Dealer Community: Lipton has a strong relationship with its dealers, which
focuses on not only providing supplies but also marketing the company's
products and providing training.
WEAKNESSES

 1.One of Lipton's flaws is its cost. The pricing of Lipton teas are greater than
those of most of its competitors. Consumers may purchase substitute
products or a competitor's product as a result of high prices.
 2.Substitutes Homemade soups or other health beverages can be used as
alternatives for green tea. The same can be said about regular tea, which has
the most common substitutes - coffee or milk. If Lipton tea is not available,
another tea can easily be replaced.
OPPORTUNITIES

 Lipton benefits from the opportunity presented by consumers’ greater awareness of the health benefits
of drinking natural teas.
 Rural penetration - The larger the brand's rural penetration, the better the brand's turnover. Rural areas
in countries like China and India must be conquered if the brand is to sell in large quantities.
 Social Media: The number of people using social media has increased around the world. The three
social media networks that have had the most growth in monthly active users are Facebook, Twitter,
and Instagram. Lipton may utilize social media to advertise its products, communicate with customers,
and gather feedback.
THREATS

 Technological developments by competitors; New technological developments by a few competitors


within the industry pose a threat to Lipton as customer attracted to this new technology can be lost to
competitors, decreasing Lipton’s overall market share.
 Increased competition: Within the industry, there has been an increase in competition, placing lower
pressure on prices. If Lipton reacts to the price adjustments, it may lose market share, but if it does not,
it may lose money.
 Consumer tastes are shifting, putting pressure on businesses to update their products on a regular basis
to fulfil these customers' wants.
OPPORTUNITY AND THREAT METRICS(LIPTON):
OPPORTUNITY METRICS(LIPTON)
 Stable cash flow provides opportunities to
invest in adjacent.
 Economic uptick and increase in customer
spending, often years of recession and slow
growth rate in the industry is an opportunity
for Lipton to capture new customers and
increase its market share.
 Opening up of new markets because of
government agreement- the adoption of new
technology standard and government free trade
agreement has provided Lipton an opportunity
to enter a new emerging market.
 Distribution network is relatively weaker in
NWFP/KPK and Baluchistan as customer
these will prefer local tea over branded ones.
THREAT METRICS(LIPTON)
 Threat Matrix 
 Threats of new Entrance: due to cheaper tea imports
from other countries like Sri-lanka etc. Lipton’s sale
can decrease because the half population of Pakistan
will go for cheaper products as they cannot afford it.
 Higher Attrition Rate in Workforce: In comparison to
other brands Lipton has a higher attrition rate and
have spend a lot more compare to its competitors on
training & development of its employees which may
cause success in probability but is very less attractive.
 Days Inventory is higher compare to competitors,
making the company raise more capital to invest in
the channel.
 There are gaps in product range sold by the company.
This lack of choice can give a new competition to
foothold in the market.
SUBPRODUCT OF LIPTON:
LIPTON GREEN TEA OPPORTUNITY AND THREAT METRICS
LIPTON GREEN TEA(OPPORTUNITY METRICS)
 Greater Awareness of health benefits of Green Tea, it
will increase their rate of success probability and will
result in higher rate of attraction of customers towards
their product.
 High rate of population and obesity in Pakistan can also
be proved as an opportunity for this product. Green tea
can be promoted in market for weight loss. It will gain
the attention of many people and will increase its sales
 Rising Literacy: As many people are not aware or
educated about obesity and it’s problems, Lipton can
avail this opportunity to spread awareness and promote
their Green Tea as a way of “healthy diet and happy
life”.
 Containment of Caffeine: as Lipton green tea contains a
prominent amount of caffeine in it. Some customers do
not like or are allergic to caffeine which causes them to
switch.
LIPTON GREEN TEA(THREAT METRICS)
 Lower Rates of Competitors Product: if Lipton has
higher rates of their products as compared to their
competitor brand i.e. Tapal, customers will obviously
go for the lower rate product as many of the customers
cannot afford it.
 Due to political conditions in the country it may
become an obstacle to export products to the countries
which are in disputes with Pakistan e.g. India or Israel.
 Substitute Products: if there are substitute products in
the market the customers can always switch to the
cheaper products
 Capturing the same idea by its Competitors: if Lipton
copy the same idea of product or promotion from
Tapal or any other competitor, it will cause them their
reputation and it will favor the competitor in
promoting their products as customers will be loyal to
the original idea.
CONCLUSION:

Looking at the overall plan, one thing is clear that no matter what it takes, the audience need to be targeted very
much smartly and in a way that make them feel that the product has something in that other do not. This is acts a
competitive advantage for the company. Capturing the maximum share in the market leads to more and more
identifications of opportunities and these profitable opportunities need to be grasped eventually at all levels of
competition. The firm may operate with an annual advertising plan and the campaign must be so strong that it
delivers the message straight forwardly and hitting the aperture at the right place with maximum media share.

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