Three Challenges Answered by Procter and Gamble’s Divestment Strategy

 

Procter and Gamble’s decision to divest 100 brands falls in line with the company’s mantra of efficiency and innovation but also aims to answer three key challenges the company is facing. First, by focusing on key brands only, Procter and Gamble is attempting to stay relevant in developed economies where markets are often saturated. Second, P&G has fallen by the wayside in emerging markets and the divestment is a way to focus more attention to a select few brands in these economies. Third, the key brands P&G are left will compete with local players in select markets.

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