Issue Identification

Role: A consultant to Charlie Couric of Clorox.
The water filtration industry was experiencing some shifts in the competitive landscape and now Clorox, a market leader, is considering several options to maintain its dominance in the market. Couric is considering allocating resources to launch a faucet-mounted filtration system in response to emerging competitors, notably PUR.
Our objectives are to consider the impact of not entering the faucet-mounted filtration market on our market share, brand image and profitability. We must consider the short-term and long-term implications of different scenarios including: entering the faucet-mounted market, increasing our current pitcher sales, and increasing our filter sales.
Our competition’s strategies must be analyzed in terms of how much expected market share they are going to take from us if we do not respond and how we can respond most effectively. We need to asses our returns on advertising expenditure to see how impactful our advertising techniques really are and whether we need to project a different image in order to satisfy the current market trends. Our distribution strategy must be assessed and optimized to suit our position in the market.
The level of urgency at the moment is not severe as our major competitors are still experiencing losses, however, it is expected that they are going to become more aggressive in their advertising and thus we need to formulate an effective strategy that will counteract their efforts. It took the Brita line four years before it began witnessing success. Next year will be the fourth year since our major competitors launch their pitcher systems and so we need to implement an effective plan within a year.
External Analysis

Market Environment

The market environment is characterized by fast growth. As consumers are become more health-conscious,