Proctor & Gamble (Pakistan) - Essay Example

One of the most persistent drivers of corporate strategy is the macro-environment that has been explained through the PESTEL analysis. Indeed government policies can effect both supply side and the demand side factors. From P&G’s perspective it is not only the total demand that will be affected by such policies but also have bearing on its distributive policies. Factors like taxation or legislation on wage conditions or employment are all very relevant. But these are direct influences. Other indirect factors that affect the consumer’s income levels will be equally significant contributors that need to be watched and adjustments will have to be made to accommodate these in future strategies.

The Five Force analysis has expounded the basis of strategy in relation to the industry environment and the likely impact on P&G’s performance. The company has a few traditional as well as contemporary competitors that take a sizable share of the market. All across the industry the product range is quite similar as in the consumer industry worldwide. Since there is little difference to choose from, it is the buyer’s perception that assumes importance in this market.