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Q5 Procter & Gamble has spent years test marketing new products. P& G is coming

ID: 346164 • Letter: Q

Question

Q5 Procter & Gamble has spent years test marketing new products. P& G is coming out with two new products namely, Swiffer, a sweeper system with an electrostatic charge that attracts dust and lint for households and institutions. The other product is Dryel, it is a home dry cleaning kit. P&G; plans to roll these two products worldwide with same brand name, packaging and advertising. Do you think this strategy will be successful in the Middle East. Give arguments either in favour or against the strategy. (5)

Explanation / Answer

The Middle East way of doing business is entirely different than the rest of the world. The Middle-Easterns value relationships in business. They like a personalized approach. Building trust is very important, as the Arabs do not differentiate bertween personal and professional life. The Arabs like to take it slow in business- several meetings are done to finalize a small deal. So, patience is a virtue for anyone intending to do business in Middle East. Gulf people try to do marketing campaigns in their regional language, as they are very proud of it. So, using the same global strategy would not work in Gulf.

P&G was aiming to use the same global strategy to launch its products in Middle East. This strategy will not be well accepted by the Arabs as they appreciate a personalized approach. Also from the above pointers, we can infer that they need a customized strategy aiming at Culture and heritage of Gulf and Middle East. Therefore, P&G’s global strategy will not work in the middle east.