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    Will P&G's retail stores be successful?

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    Will P&G's retail stores (brick n' mortar & click n' pick) be successful? Defend your position in terms of whether or not P&G has the expertise to move into this channel of distribution versus its current methods of distributing products and whether or not sales though this channel will cannibalize sales from its current methods of distribution. what should be P&G's target market(s) for its direct retail operation(s)? Hint, how should its packaging (e.g. size) reflect those target markets? Should its product(s) be priced higher or lower than competitive products? Should it advertise more or less than competitive products? Defend your positions on any and all of the issues you tackle.

    These are the articles that you should read to answer the questions:
    1. http://franchise.business-opportunities.biz/2009/07/20/pg-expands-direct-retail/
    2. ** The TWO attached articles **

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    Solution Preview

    Running Head: RETAIL STORES

    Success of Retail Stores of P&G

    P&G is an American multinational corporation, which is headquartered in Cincinnati, Ohio, United States. It operates its business in more than 180 countries, which causes an increase in its market capitalization. The market capitalization of P&G is more than the GDP of several countries. It is also one of the largest companies, which spends a huge amount on advertising of its products and services. The main purpose of the business is to provide branded products and services along with superior quality to its customers in order to improve the life of its customers. It develops the products with innovative technologies on the base of consumer understanding and science and it reduces the tradeoff between value and performance of the product (P&G, 2010).

    The core strengths or competitive advantages of the firm are consumer spending, innovative technologies, brand building capabilities, reach at retailers and consumers at the right time and place. The focus on the employee development also helps to increase the value for the customers of the organization, which improves its market recognition. The strong business fundamentals and innovative marketing programs are also help to achieve success to the business (P&G, 2010).

    Business Models
    Brick 'N' Mortar business model can be explained as the business model, in which retail store is located in a building instead of the online shopping experience for the customers. ...

    Solution Summary

    The expert determines whether P&G's retail stores would be successful.