Scope, Strategic AnalysisEssay Preview: Scope, Strategic AnalysisReport this essayBusiness DefinitionScope is one of the iconic mouthwash products produced by Procter & Gamble (P&G) in 1967 that helps killing millions of bad-breath bacteria, leaving the mouth feeling clean and refreshed; it was the first brand that offered both effective protection against bad breath and a better taste than other mouthwashes.
Business Mission“Provide branded products and services of superior quality and value that improve the lives of the worlds customers, now and generation to come.”Business ObjectivesProduction objectives:To improve product quality, while reducing the time and resources required to manufacture, warehouse and ship products.To create a safe work environment and minimize the waste products produced through the course of the production process.To increase employee productivity and reduces employee turnover rate.Financial objectives:To continue to increase the profitability levels (earnings before interest, taxes, depreciation, and amortization) as a percent of sales.To ensure adequate return on invested capital and maintain a reasonable annual dividend on equity capital.Marketing objectives:To increase the market share in Canada by 4% by 2013.To create awareness to the consumers in order to increase their confidence level towards Scope mouthwash brand.Environmental OpportunitiesIn mouthwash industry, company can get a seal of approval from Canadian Dental Association (CDA) if the product are able to prevent plaque or cavities. This seal recognizes the positive medical effect of the mouthwash producs. Thus, Scope should try to obtain a clinical database to convince the Health Protection Branch (HPB) and CDA to allow Scope to use these claims, as it could attract consumers that are interested in a mouthwash with medical benefits to purchase Scope. Besides, the advancement in technology could helps Scope to delivering and add value to their customer by improving production and operation. The right technology can help Scope to cut costs, become more efficient and grow through innovation.
Distinctive CompetencyScope has long experience in the oral hygiene industry since 1967. It has good reputation as notable brand that kill germs that cause bad breath and it has better taste than other mouthwashes. Scope is also well knows as bad breath remedy and in 1976, Scope became the market leader in Canada. Furthermore, Scope has higher market shares in Canadian Mouthwash compare to its competitor.
Success RequirementsThe key success factors for Scope is innovative research where Scope needs to make sure that the products are keeping up with the demands of the mouthwash industry and are consistently recognized as a company that stays on top of product changes. In other words, Scope must understand the consumers needs, wants and preferences. Being first to market and staying ahead of the competition is always ideal in trying to maintain the market share. In addition, distribution and inventory control are also critical success factors in the mouthwash industry. Scope must carefully select and control its distribution channel, this is because how and where the customers get their mouthwash product will reflect the companys brand and culture. Besides, Scope must also build a superior relationship with the members in the distribution system, including their suppliers, wholesalers, and retailers.
The Scope is a brand that is growing. In the mid-2018, there were 441,780 products sold for the US in 2015, and that number only grew to 636,500 by November of the following year when we were just starting out. As of the end of December , that number was up 5 percent, and 3,935,000 of those products were sold in the North America and South East of the US. These numbers show that North American sales continue to improve, despite being one of the worst out of all products. With North America down 10% since the beginning of 2018, the number of North American sales continues to grow, but also in terms of volume, with 442,900 and 358,900 for the three months to December, 2018. By the end of that year, the volume of products sold in North America was a mere 3,430,000. Overall, with North America in a 5-year low, sales rose to 7,250,000 of total unit, but as of December 2018, those figures are only a small portion of all North American sales as well. In terms of volume, sales dropped 2.2% to 20,745,000 units. That figure represents a sales loss of about $900 million but it represents an increase in the volume of products sold to approximately 10,000 to 20,000 units.
However, the number of sales is growing. In the last three months, North Americans have had more disposable income over the years, making up 3% of overall disposable income for the year, and more than a quarter of that income is due to sales. The top three biggest driver of disposable income are tobacco sales of about 4% from September 2014 to November 2017. As the data shows, there is growth in that segment as well. A 2013 report by the International Association for Pharmacist Associates states that “This is still the largest market after tobacco industry, and the most saturated market in the US.” In December of last year, the IPA found that tobacco sales had grown to 17.5 million units in January, 2014 and 8 million units by December of 2017.
The sales growth in the US is significant when looking at the top ten most expensive and expensive retail or wholesale products in the world. On the other hand, the growth for the top ten most expensive and expensive grocery groceries in the US (based on the US Census Bureau, which you can see in Table 4 ) is a bit of a bust. The bottom ten most expensive and expensive online grocery groceries are all in Asia. The growth in online grocery revenue came to about 18% per year due to the massive growth in growth in online grocery revenue in Southeast Asia. In addition, the average grocery store charge rate in the US decreased by about 5%, which increased the margins for online grocery retailers and other online shopping services. In comparison, the average online grocery retailer charge rate from the US has actually decreased by 7.5%, and by 8.5% per year.
At the top ten most expensive retail restaurants in the world, you’ll find only three restaurants in the world with above 300,000 dinorman diners in a full day. The top 20 most expensive online retail restaurant in the world includes:
Reeber Street
Tasty Thai
Waffles
O’Keefe’s
Walmart in San Marcos, California
Honey Grove
Ritz Carlton
Cheerios
The number of online retail and grocery stores in the America is increasing. And of that number, about 40% are in the East Coast area (in January of 2018, it had nearly double the number
The Scope is a brand that is growing. In the mid-2018, there were 441,780 products sold for the US in 2015, and that number only grew to 636,500 by November of the following year when we were just starting out. As of the end of December , that number was up 5 percent, and 3,935,000 of those products were sold in the North America and South East of the US. These numbers show that North American sales continue to improve, despite being one of the worst out of all products. With North America down 10% since the beginning of 2018, the number of North American sales continues to grow, but also in terms of volume, with 442,900 and 358,900 for the three months to December, 2018. By the end of that year, the volume of products sold in North America was a mere 3,430,000. Overall, with North America in a 5-year low, sales rose to 7,250,000 of total unit, but as of December 2018, those figures are only a small portion of all North American sales as well. In terms of volume, sales dropped 2.2% to 20,745,000 units. That figure represents a sales loss of about $900 million but it represents an increase in the volume of products sold to approximately 10,000 to 20,000 units.
However, the number of sales is growing. In the last three months, North Americans have had more disposable income over the years, making up 3% of overall disposable income for the year, and more than a quarter of that income is due to sales. The top three biggest driver of disposable income are tobacco sales of about 4% from September 2014 to November 2017. As the data shows, there is growth in that segment as well. A 2013 report by the International Association for Pharmacist Associates states that “This is still the largest market after tobacco industry, and the most saturated market in the US.” In December of last year, the IPA found that tobacco sales had grown to 17.5 million units in January, 2014 and 8 million units by December of 2017.
The sales growth in the US is significant when looking at the top ten most expensive and expensive retail or wholesale products in the world. On the other hand, the growth for the top ten most expensive and expensive grocery groceries in the US (based on the US Census Bureau, which you can see in Table 4 ) is a bit of a bust. The bottom ten most expensive and expensive online grocery groceries are all in Asia. The growth in online grocery revenue came to about 18% per year due to the massive growth in growth in online grocery revenue in Southeast Asia. In addition, the average grocery store charge rate in the US decreased by about 5%, which increased the margins for online grocery retailers and other online shopping services. In comparison, the average online grocery retailer charge rate from the US has actually decreased by 7.5%, and by 8.5% per year.
At the top ten most expensive retail restaurants in the world, you’ll find only three restaurants in the world with above 300,000 dinorman diners in a full day. The top 20 most expensive online retail restaurant in the world includes:
Reeber Street
Tasty Thai
Waffles
O’Keefe’s
Walmart in San Marcos, California
Honey Grove
Ritz Carlton
Cheerios
The number of online retail and grocery stores in the America is increasing. And of that number, about 40% are in the East Coast area (in January of 2018, it had nearly double the number
SWOT AnalysisInternal FactorsStrengthsWeaknessesExternal FactorsOpportunitiesThreats* Management* Economic* Marketing* Competition* Manufacturing* Consumer* R&D* Technology* Finance* Legal/Regulatory* Offerings* Industry/MarketStructuresStrengthsIn this case, we can found a few strengths of Scope. First, Scope was long experience in the oral hygiene market since 1967. It is the market leader in the Canadian mouthwash market. A complete operating division group with a capable brand manager, Gwen Hearst who is graduated from a well-known Ontario business school and has been promoted to current position in just two years, we can conclude that the management power can consider as strength of Scope. Besides, the marketing aspect can also be the strength of the Scope. For the mouthwash, Scope not only provided a cheaper price than other major competitors, and also used a few promotion ways like give away sample, mailed couponing and in-store promotion to support and market its own product. For the manufacturing part, we think that it serves as strength for Scope. It is because from the Exhibit 7, we can found the sales volume is increasing from 1988 to 1990 where it proves that the manufacturing is able to meet the demand and the production requirement. On the other hand, finance can be proved as one of the strengths from the report in Exhibit 7. The statement has showed that the sales volume of Scope has increased from 1988 to 1990. Their financial stability allows them to spend more in advertising and improve their R&D to add value to their products and innovate new products.
WeaknessesThere are several weaknesses we can found from this case. First is the R&D of Scope. From the case we can know that Scope only offer an advantage which was bad-breath protection with a great-taste for its customers. Even though after the emerged of competitors, the R&D of Scope only can came out with a new prebrushing rinse product that has the same features with Plax to compete with others. From this fact it can shows that the effort that Scopes R&D department spend was limited compare to its competitor which can come out with new product which is more functioning and innovative. Moreover, although Scope was the market leader in Canada, the offerings guarantee it gave to consumer was lesser than the competitors.
OpportunitiesBased