Question

Does SK-II have the potential to become a global brand within Procter & Gamble’s worldwide operations?

Which of the three market options should Paolo DeCesare recommend to the GLT?

Answer 1

Answer:

Yes, SK-II can become a global brand. SK-II is a Japanese brand with a high margin or high-quality skincare. it is highly competitive in the market. It has also attracted customers from all over the world. One hurdle that can affect the success of SK-II as a global brand is the perception of western society about Japanese skincare brands. They generally prefer the traditional brand in comparison to any Japanese brand.

The recent success of SK-II in countries like Taiwan and Hongkong has encouraged the company to expand its product to a europian and chinses market. Recently. Procter & Gamble has launched brand olay in china but it did not perform well in the state. However, P & G opened outlets and showrooms to successfully boost up the brand.

Similarly, tactics can be used by the SK-II to promote it as a global brand.

Three market options that Paolo DeCesare should recommend to GLT are:

China is one of the largest markets in the world for cosmetics and beauty products. That is why SK-II should consider it as one of the main markets in its global business expansion strategy. SK-II can do better in china because it is also an Asian country.

Europe: Europe is also one of the largest markets for beauty and cosmetic products. Since SK-II is a Japanese company. Therefore, it can present a very unique and exclusive product line in the European market. That is why there is a large scope for beauty and cosmetic products for SK-II in Europe.

Japan: SK-II is already an established company in japan. that is why it is comparatively easier to spread business in a familiar market.