What Do Proctor Gamble Do Commerce

Essay add: 28-10-2015, 14:28   /   Views: 241

Proctor & Gamble is one of the largest consumer goods companies in the world. Its brands are more than 300 and cover over 180 countries. And its products covere beauty, baby, fabric, baby care, personal care, health care, home and fabric.

Procter & Gamble always focuses on innovation and improvement on its products and operation. Its innovation can interact with its growth strategy, values, principles and purpose. That's the reason why Procter & Gamble is the largest consumer goods companies in the world (P&G, 2010).

Organisation interacts with its organisational environment

The interaction between organisation and organisational environment is important because the growth of organisation is influenced by the change of organisational environment (Carroll & Hannan, 1995). Therefore, most of the organisations strategy is to meet the long term change of organisational environment. The assessment of external environment and internal environment are the input data of how organisation interacts with organisational environment. And disruptive and sustainable innovation, technology strategy and continuous improvement are the action of organisation to interact with its organisation environment.

External environment assessment

It is the collection of market data, it includes analysis of competitive profiles, the study of macro and micro economic information, identifying the industry opportunities and threats, and understanding the need to be successful in the market (Cherrington, 1994). There are two frameworks which can assess the external environment of organisation, they are PESTEL Analysis (Grundy, 2006) and Porter's Five Forces (Porter, 1980).

PESTEL Analysis

PESTEL Analysis includes six factors, they are Political, Economic, Sociocultural, Technological, Environmental and Legal (Cherrington, 1994).

Political factor:

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