Gillette Business Analysis - Case Study Example

Although Gillette was familiar with and held the patent of the coated stainless steel blades, Gillette was so slow in introducing the same due to its large market share for the uncoated blades at the time. The company was already generating massive revenues from its global market through its existing blades and therefore Gillette did not foresee the long-term competition for the growing market taken to the coated stainless steel blades as the improved product. The implications for firms faced with making long-term investments in manufacturing and supply chain resources would be to first patent or at least the license for the product or services. The second option would be to invest heavily in products and services that would have long-term appeal to the customers through constant product differentiation and modification (Ingrassia 170).

It is not enough for Gillette to simply design a razor that gives the “best shave possible”. This is because some consumers may have certain preferences and evaluation criteria that may not correspond to Gillette’s specifications. When designing a razor, consumer interests come first and therefore the price tag should play a key role in design besides the quality of the razor. On the other hand, manufacturing help Gillette maintain its market share and profitability through continuous product innovation that ensures Gillette’s razors are at par with the latest design technologies like the production of disposable or double-edged razors.

During the development stages, it is essential to integrate the services of the operations and supply chain personnel. This is because, in addition to connecting the production manufacturing department to the consumers, they also convey invaluable information to the production department as regards consumer preferences due to their close association with the customers (Ingrassia 170). Read More