...acquisition of Molton Brown Company Limited Analysis and Recommendations & Share Valuation of L’Oréal 1. Executive Summary This report is prepared for the management of L’Oréal Company, the global leader in cosmetics and beauty products. The aim of the report is to analyse and propose recommendations to the board of L’Oréal directors in regards to their proposed acquisition of Molton Brown Ltd, a UK based manufacturer of upmarket cosmetic products. Molton Brown is fully owned by KAO Group, a Japanese manufacturer of personal care products. In addition, the report analyses the current share price of L’Oréal based on current economic climate, their credit rating, corporate governance and other factors. The analysis of financial statements of L’Oreal and its peers indicate that the business is well managed. Over the past three years the company has achieved a regular year on year increase of turnover and at the same time it managed to maintain its operating profit margin, which was the highest when benchmarked to its key competitors such as Unilever or Estee Lauder. L’Oreal current ratio, used to assess the liquidity of the business, decreased versus prior year. This was mainly caused by the issue of commercial paper repayable within one year. This however should not be a concern to the management, as favourable terms with suppliers and customer means that the business can meet its current liabilities. The analysis of peers suggests that it is industry standard...
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...Industry Valuation Analysis The Procter & Gamble Company and Unilever Group 5 Date: 03/18/2016 Project #: FINC 5300-WINTER 2016 Prepared for: Joan Miao Prepared by: Zhang, Leizi; Zhang, Lingfei; Zhu, Senglin; Zhang, Suyuan Date: 03/18/2016 Project #: FINC 5300-WINTER 2016 Prepared for: Joan Miao Prepared by: Zhang, Leizi; Zhang, Lingfei; Zhu, Senglin; Zhang, Suyuan STRATEGY ANALYSIS Macroeconomic Environment Overview U.S. growth has been recovering since the end of 2014, powered by private consumption. The labor market has been improving as well. The Eurozone is recovering on the heels of increases in private consumption and exports and growth is continuing to expand mildly. Growth in the emerging markets has been decelerating relative to the past in view of China’s structural slowdown, declining commodity prices, a downturn in foreign investment and the need to base growth on domestic demand. The developed countries’ monetary policies are likely to change direction gradually. In our judgment, the Fed will begin liftoff at a moderate pace, bringing its rate to about 1.0% by the end of 2016. Eurozone interest is unlikely to change in 2015 and 2016. Roughly Two thirds of The Procter & Gamble Company (P&G)’s revenue is from outside the United States. In fiscal 2015, net sales of all five-business segments were negatively affected by foreign currency fluctuations due to strong dollar, boosted by recovery of U.S. economy (See the...
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...under the food and beverage section of Unilever and it the world’s biggest ice cream manufacturer, operating under the heart brand since 1995. Furthermore, the heart brand has grown into world most recognize ice creams brand. Wall’s sell millions of ice cream everyday consistently in more than 40 countries such as Singapore, Thailand and United States of America with 50 percent market penetration and 80 percent brand awareness. (Adding vitality to ,2014) Wall’s has fabricated a brand name that implies quality ingredients, satisfaction and services. They make and offer their products as indicated by the geological setting, local preference and standard of living. They generally take after the client's need, and interest to make their products more compelling and dependable in the client's psyche. Wall’s include product includes Cornetto, Paddle Pop and Magnum and a price range from low to high take in the context of premium ice cream. (Adding vitality to ,2014) Wall’s is currently under maturity product life cycle. In order to stay as a strong competitor in the market, Wall’s continue to launch new products to compete with their competitors. Therefore Wall’s is consistently the star brand, conveying the picture of premium ice creams that have been secured over many years. With solid on-ground initiation and fruitful purchaser advancements the brand had two-fold digit development. This report will be touching on micro & macro analysis, marketing strategy as well as marketing...
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...Section 1 Background of C company (the seleced company) About C Company C company is an US chemical specialty products manufacturer, listing in NYSE. End-uses of its products are across a wider range of industries, including Automotive, Electronics, Medical device, Home appliance, and so on. The company’s income statements of 2012 through 2014 are as follows: Overall, both of its sales revenue and gross margin were growing steadily in the period. While emerging market regions such as China are playing the role of growth engine, challenges from rising local competitors are increasing significantly. Table 1 Income Statements 2012-2014 of C Company All figures in USD. M: Millions of USD, B: Billions of USD. Fiscal year is Jan - Dec. | 2014 | 2013 | 2012 | Net Sales or Revenues | 6.8B | 6.51B | 6.42B | Cost Of Goods Sold (COGS) | 5.19B | 5.15B | 5.23B | Gross Profit | 1.62B | 1.37B | 1.19B | Research & Development Expense | 86M | 85M | 102M | Selling General & Admin Expense | 752M | -260M | 528M | Income Before Depreciation Depletion Amortization | 778M | 1.54B | 562M | Depreciation Depletion Amortization | 20M | 32M | 51M | Non Operating Income | 330M | 273M | 331M | Interest Expense | 147M | 172M | 185M | Pretax Income | 941M | 1.61B | 657M | Provision for Income Taxes | 314M | 508M | 48M | Minority Interest | -4M | - | - | Income Before Extraordinaries & Disc Operations | 627M | 1.1B | 609M | Extraordinary Items & Discontinued Operations | -7M...
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...Table of Contents Executive Summary 3 PEST Analysis 3 Financial Analysis 6 Porter’s Five Forces 8 Market Audit-Space 10 Boston Consulting Group( BCG) 13 Segmentation 15 Critical Success Factors 16 Key Problem Identification 17 Marketing Objectives 21 Other Strategies 22 Marketing Budget 24 Monitoring and Control-Balance Score Card 26 Bibliography 28 EXECUTIVE SUMMARY We are the XYZ Group and our aim is to develop a Global Strategic Marketing Plan for three years for Unilever Company.Unilever is the British/Dutch jointly owned multinational consumer goods manufacturer. The Mission statement is deduced from the case study and stated to give a clear picture and guide to the global marketing plan for Unilever. The paper will assess the changes taking place in the company’s environment and how...
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...DongHyunKim Edward Setyadarma Salman Kamani Executive Summary Nestlé is currently the biggest food and beverages (F&B) company in the world. The company has a long-standing history of 140 years and a business portfolio comprising of more than 140 brands under the umbrella of Nestlé. One of Nestlé’s cash cow product lines is the ice cream. Popular household ice cream brands under Nestlé include Häagen-Dazs, Movenpick and Dreyer’s. Nestlé acquired its financial prowess and brand equity from a few sources. Firstly, Nestlé possesses an unmatched R&D capability enabling them to research on new ice cream products to satisfy consumers’ needs and retain their loyalty. In addition, Nestlé also has a huge resource pool, which they can utilize to expand their product lineup and business portfolio through various merger and acquisitions. Nestlé entered into the US premium ice cream market in 2002 through the acquisition of Dreyer’s ice cream followed shortly by Movenpick in Switzerland and Häagen-Dazs. This acquisition allowed Nestlé to venture into highly desirable niche premium market and expand their global coverage. It was not long before Nestlé overtook Unilever as the biggest ice cream manufacturer in 2011, in terms of both sales volume and market share (Nestlé: 17.5% vs Unilever: 16%). Switzerland, despite being Nestlé’s home market, did not provide a significant inflow of revenue. On the other hand, Nestlé derived most of its revenue from foreign markets which it...
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...PRODUCT AND BRAND MANAGEMENT PROJECT ON Company study of Hindustan Unilever Limited (HUL) Submitted to- Prof. Pitamber Dwivedi Submitted by- Anish Bhattacharyya [FT-09-720] Anurag Kumar Mishra [FT-09-729] Durgesh Tiwari [FT -09-748] Jagat Singh Nagar [FT -09-754] Shwetank Kumar [FT-09-856] Sourav Mukherjee [FT- 09-862] Ravi Kumar Sinha [ FT- 09-813] IILM-GSM-09-11_PBM_SEC-A_ 1 | P a g e We take this opportunity to convey our sincere thanks and gratitude to all those who have directly or indirectly helped and contributed towards the completion of this project. First and foremost, we would like to thank Prof. Pitamber Dwivedi for her constant guidance and support throughout this project. During the project, we realized that the degree of relevance of the learning being imparted in the class is very high. The learning enabled us to get a better understanding of the nitty-gritty of the subject which we studied. We would also like to thank our batch mates for the discussions that we had with them. All these have resulted in the enrichment of our knowledge and their inputs have helped us to incorporate relevant issues into our project. Last but not the least we would like to thank God and our parents for their ...
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...MARKETING MANAGEMENT Case Study 2 “Hips Feel Good” – Doves Campaign for Real Beauty July 9, 2009 TABLE OF CONTENTS Executive Summary…………………………………………………………………………………………….. 2 Problem Statement…………………………………………………………………………………………….. 3 Data Analysis………………………………………………………………………………………………………. 3 Alternatives Analysis…………………………………………………………………………………………… 8 Key Decision Criteria…………………………………………………………………………………………… 9 Recommendations……………………………………………………………………………………………… 10 Action and Implementation Plan………………………………………………………………………… 12 Implementation Roadmap....................................................................................... 13 Executive Summary Unilever is a multi-national corporation, formed of British and Dutch parentage that owns many of the world’s consumer product brands in foods, beverages cleaning agents and personal care products. Unilever employed 174,000 people and had a worldwide revenue of €40.5 billion in 2008. Unilever's main competitors include Procter & Gamble, Nestlé, Kraft Foods, Mars, Reckitt Benckiser, Henkel and Spotless Group. The Dove Campaign for Real Beauty is a worldwide marketing campaign launched in 2004 that includes advertisements, videos, workshops, sleepover events and even the publication of a book and the production of a play. The principle behind the campaign is to celebrate the natural physical variation embodied by all women and inspire them to have the confidence to be comfortable with them. The campaign...
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...Plan Nestle Pure Life Nestle Pure Life is Nestlé’s famous bottled drinking water and has made its customer market in several countries of world. Health conscious societies consider it as a blessing thinking of it as being purest water available in the market. [Year] Marketing Plan Nestle Pure Life Nestle Pure Life is Nestlé’s famous bottled drinking water and has made its customer market in several countries of world. Health conscious societies consider it as a blessing thinking of it as being purest water available in the market. [Year] Product: Nestle Pure Life Company: Nestle Contents Product: Nestle Pure Life 1 Company: Nestle 1 INTRODUCTION 4 Nestle - Company Overview 4 Nestle Waters – A subsidiary 5 Nestle Pure Life – The Product 6 SEGMENTATION & TARGETING 7 Segmentation 7 Target Market 7 COMPETITORS 8 Main Competitors – Competitive Analysis 8 SWOT 9 Weaknesses 10 Opportunities 10 Threats 10 CUSTOMERS 11 Main Customers – Customers Analysis 11 Core Competency 12 Apparent Marketing Strategy 13 Recommendations for Strategy Re-vamp 15 Bibliography 17 INTRODUCTION Nestle - Company Overview “Good Food, Good Life” – Nestlé is today world’s leading health, nutrition and wellness company (Nestle, 2012). Nestlé’s mission is to provide the best tasting and nutritious choices in extensive range of beverages and food categories to its consumers all over the world. Today Nestle has 67...
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...Reinaldo (1340000784) Talita Anggreni (1340001023) TABLE OF CONTENT WHAT LIES BENEATH THE BEAUTY 1 CHAPTER 1 BACKGROUND: UNILEVER 2 1.1 Company Background: Unilever 2 1.2 Overview of Unilever Indonesia 3 1.3 Unilever Indonesia Foundation 3 1.4 Overview of Dove Products 4 1.5 Environmental Record 5 CHAPTER 2 CASE STUDY: UNILEVER VS GREENPEACE 7 2.1 Indonesia Palm Oil Plantation 7 2.2 Unilever Palm Oil Suppliers 11 2.3 Environment Destruction Caused by Palm Oil Plantations 14 2.3.1 Deforestation 15 2.3.2 Destruction of Orang Utan Habitat 17 2.4 The Impact to Unilever 18 CHAPTER 3 CASE ANALYSIS 19 3.1 Ethical Theory 19 3.1.1 The Stockholder Theory 19 3.1.2 The Stakeholder Theory 20 3.1.3 The Social Contract Theory 20 3.2 Triple Bottom Line 21 3.2.1 People 21 3.2.2 Planet 22 3.2.3 Profit 22 3.3 Environmental Issues of Business Ethics 22 3.3.1 Business and Ecology 23 3.3.2 The Ethics of Environmental Protection 24 3.3.3 Who Should Pay the Cost of Environmental Damage 24 3.3.4 Regulation 24 3.3.5 The Value of Nature 24 3.4 Ethical Issues 25 3.4.1 Environment Destruction 26 3.4.2 Violating the RSPOs Principles 28 3.4.3 Unilever Failure of Screening its Suppliers’ Code of Conduct 30 3.4.4 Government Neglect of the Environment Issue 30 CHAPTER 4 CONCLUSION AND RECOMMENDATION 32 APPENDIX 1 Climate and Biodiversity Impacts of Unilever Palm Oil Suppliers in Kalimantan 35 APPENDIX 2 Dove Onslaugt(er) Video Capture 36 APPENDIX 3 Picture of People Support...
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...Running head: A1 STEAK SAUCE (LAWRY'S DEFENSE) - CASE ANALYSIS A1 Steak Sauce (Lawry's Defense) - Case Analysis Selwyn Paul Davenport University Marketing Strategies MKTG610 Dr. Paula Zobisch Aug 09, 2011 A1 Steak Sauce (Lawry's Defense) - Case Analysis Case Recap A.1. Steak Sauce was founded in England in 1830 by King George's Chef, Henderson William Brand and introduced to North America in the early 1900s. The Sauce became a premier brand of Kraft Foods Inc. who acquired it from Nabisco in 2002. (Kerin & Peterson, 2011, 630). A.1. Steak Sauce had done well in sales, and was able to secure excellent margins for Kraft Foods Inc. with a market share of approximately 50% and a brand awareness that was second to none (Kerin & Peterson, 631). However due to a decrease in beef consumption in United States, Kraft Foods Inc. witnessed a drop in sales which led to subsequent stagnation as sales of the Steak Sauce flattened out. And despite an increase in dollar sales due to higher prices for the sauce, the unit and volume sales of the sauce continued on a flattened trajectory. A.1. Also faced stiff competition from Lawry an organization renowned for its spices and seasonings, who announced the launch of a new steak sauce. Lawry’s strategy was to market their new steak sauce at a reduced price but very similar to A.1., with the goal of making Lawry the better choice for customers. As a result of this new competition from Lawry’s, Kraft Foods and A.1., was faced...
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...Taking a new consumer goods category from zero to 100 in no time flat The race to create categories and subcategories may be your best option in emerging markets. Here’s how winners set the pace. By Mike Booker, Wlademir Gomes, Nikhil Ojha and Robert Schaus Mike Booker is a Bain & Company partner based in Singapore and leads the firm’s Consumer Products and Retail practices in Asia-Pacific. Wlademir Gomes is a Bain partner in São Paulo. Nikhil Ojha is a Bain partner in New Delhi. Robert Schaus is a Bain partner in Kyiv. Pierre-Laurent Wetli, a Moscow-based principal, and Joachim Breidenthal, a principal based in Johannesburg, also contributed to this article. Copyright © 2012 Bain & Company, Inc. All rights reserved. Taking a new consumer goods category from zero to 100 in no time flat Branded edible oils in Sudan, soy fruit drinks in Brazil, isotonic drinks in Indonesia. Five years ago, these categories were barely on the radar in these countries. By 2011, they ranged between $400 million to $890 million in revenues in these markets, generating significant profits for the companies that took the initiative to introduce them. Emerging markets may be expanding at a record-setting pace, but many also are undergoing rapid category consolidation. It’s to the point where, in many cases, the top three to five players now control the lion’s share of a category in any given market. Consolidation can slim margins for incumbents and limit opportunities for new players. That leads...
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... 1.1 Introduction Unilever is a multi-national corporation, formed of Anglo-Dutch parentage that owns many of the world's consumer product brands in foods, beverages, cleaning agents and personal care products. Unilever employs nearly 180,000 people and had worldwide revenue of almost €40 billion in 2005. Unilever is a dual-listed company consisting of Unilever NV in Rotterdam, Netherlands and Unilever PLC in London, England. This arrangement is similar to that of Reed Elsevier and that of Royal Dutch Shell prior to their unified structure. Both Unilever companies have the same directors and effectively operate as a single business. The current non-executive Chairman of Unilever N.V. and PLC is Michael Treschow while Patrick Cescau is Group Chief Executive, who will retire at the end of 2014. Mr Paul Polman will succeed Patrick Cescau as Group Chief Executive. The company is widely listed on the world's stock exchanges. 1.2 Origin of report Since practical orientation is an integral part of the MBA program, I tried to expose real life performance of Unilever by preparing this report. To prepare this report I have come across with different information of the Unilever. From the collected information I understand the company’s activities in the market as Unilever as in their internal preparation for marketing and others activities. I expect that this report will fulfill the requirement of MBA program and provide a clear idea about the Unilever activities and other...
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...Introduction Unilever is a multi-national corporation, formed of Anglo-Dutch parentage that owns many of the world’s consumer product brands in foods, beverages, cleaning agents and personal care products. Unilever employs nearly 180,000 people and had worldwide revenue of almost €40 billion in 2005. Unilever is a dual-listed company consisting of UnileverNV in Rotterdam, Netherlands and Unilever PLC in London, England. This arrangement is similar to that of Reed Elsevier and that of Royal Dutch Shell prior to their unified structure. Both Unilever companies have the same directors and effectively operate as a single business. The current non-executive Chairman of Unilever N.V. and PLC is Michael Treschow while Patrick Cescau is Group Chief Executive, who will retire at the end of 2008. Mr Paul Polman will succeed Patrick Cescau as Group Chief Executive. The company is widely listed on the world’s stock exchanges. 1.2 Origin of report Since practical orientation is an integral part of the BBA program, I tried to expose real life performance of Uniliver by preparing this report. To prepare this report I have come across with different information of the Uniliver. From the collected information I understand the company’s activities in the market as Uniliverll as in their internal preparation for marketing and others activities. I expect that this report will fulfill the requirement of BBA program and provide a clear idea about the Uniliver activities and other multi-national...
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...MBA CORE MICROECONOMICS PROJECT AN ANALYSIS OF THE COFFEE MARKET ASHWIN MURALI (I001) | ANIRUDHHA BHATOTIA (I006) | APALA RATH (I063) CONTENTS Sr. No. Topic Page No. 1. Research Question 2 2. Introduction 2 3. Industry characteristics in India 3 4. The economics of the coffee market 4 5. Findings 6 6. Conclusion 7 7. Suggestions 7 8. References 8 1 Research Question How does weather drive microeconomic forces to affect the prices of coffee? Introduction Coffee is a brewed drink prepared from roasted coffee beans, which are the seeds of "berries" from the Coffea plant. Coffee is a popular beverage and an important commodity. Tens of millions of small producers in developing countries make their living growing coffee. Over 2.25 billion cups of coffee are consumed in the world every day. Over 90% of coffee production takes place in developing countries, while consumption happens mainly in the industrialized economies. Coffee has its origins in the Horn of Africa, in the Ethiopian province of Kaffa, where in all probability the first coffee tree appeared. It’s been attested that coffee beans used to be chewed by African slaves brought to Arab countries and coffee has been cultivated in Yemen since the 15th century. Coffee was brought to Europe by Venetian traders in 1615, when hot chocolate and tea had already become fashionable. Europeans then started to cultivate coffee...
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