SWOT Analysis of Clorox

Clorox is one of the most renowned brands of cleaning products used in US. This company produces wide range of domestic cleaning products and initiated working in the start of 19th century. Nowadays, cleaning products by Clorox have become essential part of large numbers of homes in US. Headquarter of the company resides in Oakland that is in California.  The most famous product of Clorox is its bleach. However, presently Clorox Company is associated with various other household brands. The other brands allied with Clorox include Formula 409 a cleaner for hard surface area, Cosmetics and other products with brand name such as Burt’s Bees, Fresh Step, Brita water filtration system, Natural cleaners by Green Works, storage products by Glad, drain cleaner by Liquid Plumr, Tilex and many more. Clorox also trade in New York stock exchange as NYSE:CLX. According to 2009 statistics the total generated revenue of company was more than $5 billion and company operates in US with more than 7000 employees.

Strengths

• Clorox enjoys leading position in market with more than 60 brands.

• All the products of the company hold prominent position in their particular categories.

• The association of company with all leading brands producing wide range of products.

• The strategic Research and development by Clorox is strong aspect of company.

• Strong customer relationship ensures the brand loyalty of customers.

• Clorox ensure strong community presence by participating in community welfare programs such as helping kids with their Power a Bright Future program, helping people to fight with seasonal flu and providing help for American Red cross programs.

• Introduction of innovative products with environment friendly feature enhances the sales of Clorox.

• Disinfectant products by Clorox to keep children and homes healthy

Weaknesses

• Maximum revenue of company is acquired from market of US only.

• 45% of revenue is from top 5 customers of company.

Opportunities

• The company should explore new emerging markets such as China and India and should also enhance its business in Latin America.

• The acquisition of Burt’s Bees.

• Acquisition of more known brands can enhance business of company.

• Production of more personal care products in US.

Threats

• Introduction of more private brands in market of cleaning products.

• Clorox has to deal with competitors like Unilever and Colgate.

• The varying government policies regarding production of products.

• The increase in price of commodities.

• Global recession decreasing purchasing power of customers.

• Clorox has to face intense allegation from feminist organization for their promotional slogans. Their slogans interpreting laundry as job for women only initiates reactions from large part of community effecting sales of Clorox.

• The allegation for promoting sexism through ads of Clorox also jeopardizes reputation of company.

• Clorox also received warning from advertisement agencies for promoting their products as perfect cleaners.

• Clorox also claims its Green range of products as environment friendly however; due to chemical composition of products various environment agencies question their claims.

• Limited North American market of Clorox can also affect the revenues of company badly.

References

• Official website of company: http://www.thecloroxcompany.com/ Retrieved: 3 November, 2012.

• Analysis Report by Yahoo Finance: http://finance.yahoo.com/news/technical-analysis-clorox-co-ecolab-131324880.html Published 30th October, 2012. Retrieved 3 November, 2012.

• News and media releases by Official website:
http://investors.thecloroxcompany.com/newsroom.cfm Retrieved: 3 November, 2012.

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