P&G Scope

10 Pages 2467 Words

eth and gums” attributes while Scope is strong on the “Reduces bad breath” attribute (see appendix IV).
With the entry of Plax, the original mouthwash market becomes more segmented. Scope and all the other brands such as Listerine, Listermint, Colgate, Cepacol all positioned around two major benefits – fresh breath and killing germs. However, Plax is positioned as “plaque fighter” in the market with a higher price than others. Thus, Scope needs to think of the reactions it would take to keep its market competitiveness.
Macroenvironmental Situation
The Canadian government classified mouthwash products into “drug status” or “cosmetic status”. Plax, claims to be plaque fighter, is in “drug status”. The guidelines for drug status are very stringent and advertising need to be scrutinized. On the other hand, Scope that claims to only prevent the bad breath are classified as “cosmetic status”, whose standards are relatively less stringent.
For mouthwash products, Canadian Dental Association (CDA) can seal its recognition on products upon their request. CDA will need the clinical studies to provide the “ plaque/gingivitis” seal. This will need a large capital costs and marketing costs.
The mouthwash producers will need to take another element, sweeteners, into account. Canada and US have set different standards on which sweeteners can be used into mouthwash.
Overall, these are some external environment issues that Scope will need to consider in Canada. With all these data, an industry analysis on 5 forces was conducted. (See appendixⅣ)
Overall, four of five forces are relatively favorable, while only one is unfavorable. Thus, mouthwash industry is attractive at this time.
With the entire current situation analysis is done, a deep look into Scope need to be followed.

SWOT Analysis
Strengths
- Market Leader
- High Perception on “Good Breath”
- Good company Image
Sco...