Gillette Company's Operations

This research examines global management through an assessment of the operations of the Gillette Company. A brief background review on the conceptual framework is followed by an analysis of the company's operations.

The conduct of international business by multinational corporations proceeds according to well accepted concepts that have been developed over the past several decades. The changing environment of international business, however, is causing the conduct of international business to evolve from a multinational to a global perspective (Schary and SkjottLarsen, 1990, p. 5). Within the context of the evolving global perspective, both organizational and strategy changes are required for the adaptation of the multinational corporation to the changing global environment. Comprehensive and incisive management is an integral function in the conduct of any international business. Its role becomes even more crucial, when a global perspective is assumed by a multinational corporation.

Christopher Bartlett and Sumantra Ghoshal (1992, pp. 1114) contend that the required shift in corporate is greater and more complex than a transition from multinational to global perspectives. Bartlett and Ghoshal posit that the initial transition in corporate perspective for the company that extended its operations beyond the borders of its home country was from a national to an international outlook.

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ptions. In this context, the task of the IS organization at the Gillette Company is to track changing consumer wants and adjust the corporation's mix of products to those that are needed and desired. Consumer satisfaction is related in a significant way to one's postpurchase feelings about that which was bought. In this context, consumer satisfaction is considered by Gillette to be a function of (1) the purchaser's expectations concerning the product, and (2) the product's perceived performance. Each of these factors are tracked at the Gillette Company. Consumers form expectations on the basis of messages and claims the corporation makes about its product. The level of consumer dissatisfaction, thus, is the product of the difference between expectations and performance. The success of the company's international competitive strategies is illustrated by the sales growth of Gillette's Braun, A. G. subsidiary from US$69 million in 1967 to US$1.2 billion in 1991 (McConville, 1992, pp. 5255). The success of the company's international competitive strategy is further illustrated by total global sales growth from US$3.8 billion in 1989 to an estimated US$5.7 billion for 1993a 50 percent growth over the past five years (Royce,
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Approximate Word count = 3162
Approximate Pages = 13 (250 words per page)

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