Business Consulting Report: Analyzing Unilever's Market Position

This report provides a business consulting analysis of Unilever, a British multinational consumer goods company. It examines the problems Unilever faces, including maintaining prices and margins, and the disruption caused by direct-to-consumer models. The report discusses Unilever's competitive landscape, target customer markets, and the influence of external environmental factors such as economic, social, technological, and environmental aspects. It identifies three top issues: customer relationship issues, supply chain issues, and sustainability issues, and concludes with an overview of potential solutions and strategic recommendations for the company. This report is contributed by a student and is available on Desklib, a platform providing AI-based study tools.

Business Consulting
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Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Discuss about the selected client- Unilever and problem face by client.....................................3
Importance to client in context of competitors, target customer market which influenced by
external environment factors.......................................................................................................4
Discuss three top issues that client is facing................................................................................6
CONCLUSION................................................................................................................................7
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INTRODUCTION
A business consulting is based on the process or method where a professionals who provides
expert advice in particular areas. It provide the better management consulting in order to help
organisation improve their performance as well as efficiency. Different professionals analyse
enterprise and create solution while also helping business to meet their goals or objectives.
In this report, it will focus on the Unilever as client, identify what are problem they were
facing. This report will discuss about the importance client in context of competitors, target
customer market which influence the external environment factors. Furthermore, it will identify
top three issues that client is facing.
TASK
Discuss about the selected client- Unilever and problem face by client.
Unilever plc. is a British multi-national consumer good company and headquartered in
London. This type of organisation will produce various kind of products such as ice-cream, food
and condiments, tea, minerals and vitamins. Unilever own over 400+ brands, with turnover is 50-
billion in 2020 (Fernando, Popadiuk and Santos, 2019). In additional, enterprise has been
organised three different divisions such as foods & refreshments, Care & beauty. Here are
explained the problem when Unilever is facing in today’s scenario.
Maintaining price & margins- Unilever is currently face a difficulties in context of
navigation. So as, it is very tough for enterprise to shift from lower price to upper. There are
number of key reason for decision-making (Birahim, 2020). It has been rapidly increasingly
price of product, but next quarter will find potential customers and then focused on begins the
changes in its current price or cost.
In past decade, it has been identified the increase the price or cost, which have been gentle
with consumers but if in case, it will change the strategy which may directly affecting on the
brand power. As Unilever fight to retain a loyalty but it amid with increase competition level in
marketplace. Nowadays, the price or cost increases could be considered the potentially backfire.
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Disruption by direct-to-customer: - it is another kind of challenge for Unilever when they
can be identified threat of direct to consumer across marketing. At that time, it may have felt
overblow but the majorly explosion of Unilever brand. The company is already known about the
subscription Shaving brand dollar club in 2016, at the part of better understand how different
subscription business works. When Unilever will need to expand their brand so that they can
reshape enterprise model in context of its core products.
Unilever’s is basically used the marketing continues to increase customer loyalty but it is
difficult to detect the cheaper options.
Importance to client in context of competitors, target customer market which influenced by
external environment factors
Competitors of Unilever- there is no doubt that Unilever is the fastest growing organisation
and already established a business position in marketplace. There are different competitors of
Unilever such as Proctor & Gamble, Nestle, L’OREAL, and Johnson & Johnson. The toughest
competitors are all in stiff competition with Unilever. In some situation, company also faces
many challenge because of high competition. In fact, Unilever does not see as big players in
stiffest competition level (Fernando, Popadiuk and Santos, 2019). it is particularly emerging
current markets and therefore, company will be adopted intensive acquisition approach to handle
complex business activities. Likewise, Unilever heavily focus on the innovation and always try
to explore a new market segments. This will help to increase market share.
Unilever also sometimes represented as cooperate with its highly competitor in certain
level or project. For example- Tata Global Beverages are largest competitor in global exporting
business. However, it will improve a better practices in term of business expansion.
Target Customer market- in marketplace, Unilever is basically targeting the consumer on
the basis of their taste, preferences and wants. In fact, it can be reached and satisfy every client.
Generally, company has been targeted age group in between 18 to 40. People living in different
countries so that they have differ purchasing power, preferences. Unilever can meet all necessary
requirement with the help of market segmentation. For instance, many consumers are conscious
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about the price or cost of items. Everyone want an affordable items. On the basis of
segmentation, Unilever can segment in market on the basis of male toothpaste targeting men.
Other hand, item like Dove with scent smell target females.
External Factor
Economic factors important to Unilever, it means that improve entire business performance
because it is mainly depending on the certain condition in regards of economies around the
world. Economic factor influence of condition on Unilever performance, when increasing a
wages in developing nation present the opportunity for business (Gunawan, 2021). However,
external factor is become consider as threat in context of increasing price or cost. That’s why,
Unilever can expect enterprise growth and also improve the customer good market value or size.
Social factor influencing the Unilever’s business environment because it has been
changing the trends, issue of enterprise. Therefore, it is directly affecting the overall performance
of Unilever. The company can grow the product of Unilever that directly identify consumers
increasing a great interest in healthy items. Nowadays, it is rising environmental behaviour
because of current opportunity of Unilever.
Technological factor influencing Unilever business environment which means that
depends on the modern technique and provide the better services to consumer in term of goods.
Client as Unilever has been increasing the use of automation in which provide the better
opportunity for Unilever while improving the entire business operation and efficiency across
global world (Lieu, Arunjit and Nathaniel, 2020). For example- an enterprise can be used the
processing equipment in business that help to enhance the inventory monitoring. It will support
for Unilever in the supply chain management. However, a modern technology is also created as
threat because it may increases the competitiveness of other firms.
Environmental factor influencing Unilever in which develop an ecological trends,
condition. In order to increase the interest within business environmentalism which may consider
as an opportunity for Unilever. It will help to improve environmental program and easily attract
the potential consumers in regards of environment. in relation, Unilever can focus on the
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sustainability program to gain a more popularity and competitive advantage. For Example- The
strategy must consider product innovation and internal business process. this kind of effort
should support to reduce the ability and satisfy complex environment event or program.
Discuss three top issues that client is facing.
Unilever is the fastest growing enterprise in which increase the demand of product as well as
service in marketplace. This kind of enterprise is very definite attraction and earned a pre-tax
profit of 6.2 billion pounds on revenue of 47 billion in last years (Gunawan, 2021).
Customer relationship issue- Unilever operates in one of the biggest challenge, when they
are selling a premium branded items to marketplace. It is not only challenging issue to negotiate,
capable of delisting brand or shrinking available shelf space (Lieu, Arunjit and Nathaniel, 2020).
At the time, Unilever has developed a poor consumer relationship which means that continued to
increase a problem or issue. But if in case, Unilever can build a strong consumer relationships
and focus on different areas such as add more value, feature in sustainable development.
Supply chain issue- Unilever is a good as business with maintain a proper supply chains, but
this can happen when increasing rate or profit, revenue. In most of cases, Unilever will be
focused on protect or secure the high quality of materials, efficient manufacturing and timely
distribution of various raw materials to the clients. Supply chain network is used in widely in
order to expose the potentially adverse events such as environment and industrial accidents
(Magagan and Ngugi, 2021). But various kind of key supplier, which could directly affected on
the delivery services. A major challenge for Unilever to secure or protect the materials at the
time of supply. Any kind of complexity arise in business but it is difficult to understand the
certain kind of threat or risk which is majorly negatively affects on the Unilever enterprise.
Sustainability issue- Unilever is itself as threat or challenge, because it cannot recognised
the importance of client. The primary vision of enterprise is to reduce the environmental
degradation. That’s why, it will be increasing the positive advantage, benefits of Unilever
activities in context of minimization of environmental impact. At that time, it arises the risk of
business growing across global world. This is because of targeting the specific areas such as
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water availability, waste, usage and green-house gases. Sometimes, it turn into sustainable
development group. But the challenging situation may arise when protecting or securing natural
resources in proper manner.
CONCLUSION
From above discussion, it has concluded that an appropriate business consulting provide the
better opportunities for client company and resolve their problem. This can possible while giving
the better options to increase performance and efficiency. In this report, it has been chosen
Unilever as client. In order to focus on the different problem related to price or cost of items
what are problem they were facing. Moreover, it has been explained the significance of Unilever
as client in context of competitors, target customer market which influence the external
environment factors. Furthermore, it can be identified top three issues that client is facing.
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