Case Summary for Gillette

In: Business and Management

Submitted By sturlapati
Words 810
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Gillette is a company popularly recognized for its razors and blades and as a pioneer in wet-shaving technology. Even with stiff competition, it holds a commanding share in the worldwide market. The company has been long known for its innovative products and marketing strategy. The company continues to grow slowly all over the world. With emerging technologies in the razor and blade industry and increasing customer reluctance to pay a higher price, it is definitely a challenge for Gillette to sustain its strategic position in the market.
Since its inception in 1901, Gillette enjoyed a strategic position in razor and blade market with its innovative products with no serious competition until 1962, when Wilkinson Sword introduced its stainless steel blade. After 1962, Sword-Schick became Gillette’s primary competitor. Over the years both Gillette and Schick focused on improvements in razors and each of them introduced their own line of products. When Gillette introduced Mach3 (3-bladed razor), Schick responded with its Quattro (4-bladed razor). Gillette has always been known for its innovation and the peak of its innovation occurred in 2006 with the introduction of the Fusion 5-bladed razor. Schick is yet to respond to Fusion. Now under the ownership of Proctor & Gamble, Gillette faces a saturated US market that fluctuates only when new products are introduced.
Going back to the way Gillette Company was founded; in 1895 King Camp Gillette had a brilliant idea when he was shaving. It was almost impossible at that time to come up with a blade that is hard, thin and disposable. After few unsuccessful attempts, in 1901, Gillette partnered with an MIT graduate William Nickerson in creating a razor with a safe, inexpensive, hard, thin and disposable blade. This innovation gave birth to Gillette Safety Razor Company. Since then, for many years, Gillette enjoyed the…...

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