Strategic Management - Unilever

4859 words 20 pages
Strategic Management Case Study
Unilever Focusing on East for Growth
Word Count: 3984

Question 1
Unilever is an Anglo Dutch company that has been established in 1929 as a result of a merger between 2 companies: Lever Brothers and Margarine Unie. UNILEVER owns consumer products in; Food and Beverages, Cleaning agents and Personal care. It is now ranked as the second world largest consumer product company.
Strategic Purpose: Unilever’s 2nd rank in FMCG has been gained by serving the company’s mission “to meet everyday’s needs for nutrition, hygiene, and personal care with brands that help people look good, feel good, and get more out of life”.
Value Chain Analysis
Porter’s value chain analysis gives insight on how Unilever creates
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It announced the Leadership to Growth Profile (LGP) that motivated employees to adapt the growth vision in commitment, implementation, and behavior (ILA, 2005). Unilever was elected among the best companies with cultural diversity, and training programs. On the personnel level, it provides flexibility in working hours, memberships, stock options, and more.
Research and Development: Unilever in UK invests annually over $1.6 billion in R&D, with over 6000 employee working on innovations and development across the globe, and more than 300 patents filed yearly. Until now, the total registered patents exceed 20,000 (HUL, 2012).
Procurement: Due to improvements in the company’s infrastructure, Unilever has over 160,000 suppliers, gained trust through their commitment to the on-shelf availability, and maximized efficiencies in payment terms.

SWOT analysis
Strengths:
Long Global Expertise: Unilever has an overall global experience amounting to more than a decade.
Vision of Key leaders: The long term existence and prevalence of Unilever in the global market is the result of the decisions taken by the distinguished key leaders and managers who acquired a common vision and corporate strategy of the company’s position and path. Starting from 1929, upon the occurrence of the first merger, to these days, Unilever proved its position in more than 150 countries worldwide as the

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