Procter & Gamble Trumps Church & Dwight: An Example of the Customer Orientation Overtaking a Medieval Business Strategy

April 2013 Corporate

CEOs Robert McDonald of P&G and James Craigie of Church & Dwight are facing off in the laundry soap business, and one of them is slinging mud. Recent executive comments and division performance reports highlight that the battle in the soap aisle isn’t just about soap, it’s about the fundamental purpose of businesses in competitive markets.


“Selling a product at a loss for market share is not a good business decision.” Jeff Fettig, Chief Executive, Whirlpool

  1. Costs and market share are easily measured. What about value?
  2. Creative Destruction Continues to Avoid Itself
  3. Businesses fail, businesses succeed.  Should you flippantly accept this reality or actively participate in creating the future in which you can thrive?
  4. If you want to avoid risk, you may be able to shift it to someone else at their profit, and someday they may return the risk payable upon delivery.
  5. Yes, you can do A/B testing for price optimization, but this approach has very limited applicability.
  6. Failure is a part of success.  Get back on that horse.