Kimberly-Clark, Part 2

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01
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Part
01

Kimberly-Clark Competitors- Kao & Unicharm

In the global baby and childcare market, Kao strives to understand local needs, develop suitable local business operations, be open to new ideas, and achieve global optimization. Whereas Unicharm's goal is to make a "healthy, happy life" from the day the child comes into the world. Details of how both companies position themselves in the global baby and childcare market have been provided on rows 3 & 4, columns H & I of the attached spreadsheet.

SUMMARY OF FINDINGS

KAO

Global positioning:
Efforts:
  • They apply principles of clothing construction design by adding a point-gather feature at the position of the ilium to prevent slippage.
  • They ensure that the baby's well-being is the forefront in the development of new products.
Key activities:
  • In 2018, Kao partnered with Mitsui & Co to enter the baby diaper market in India.
  • The company will compete with Procter & Gamble's Pampers which controls nearly half the market as well as another Japanese firm Unicharm that makes Mamy Poko.
Implementation:
  • Following the new Chinese law taking effect in 2019 which requires e-commerce operators to register as market entities and subjects them to taxes, Kao slashed costs by reexamining raw materials procurement and advertising spending.
  • The company increased online ads rather than television spots to reach younger consumers, and also revamped provisions tied to in-store sales promotions based on cost-effectiveness.

Unicharm

Global positioning:
  • Unicharm's goal is to make a "healthy, happy life" from the day the child comes into the world. They specialize in non-woven fabrics and absorbent materials.
  • Their mission is to deliver comfort, a good impression, and satisfaction to everybody around the globe.
  • The company is working to build an even larger base of customers who feel comfortable about consistently choosing Unicharm products.
Efforts:
  • To address the demand for disposable baby diapers in Asia and Japan, the company launched Natural moony, a premium line of diapers with improved levels of comfort.
  • Considering the global market economy ups and downs, the company is supplying disposable diapers to emerging markets at a price local people can afford.
  • The company uses "non woven fabric and absorbent material processing and molding technologies to constantly improve the basic functions of their baby and childcare products: kindness on the skin, leak-free, stuffiness-free qualities, and looser fit."
  • The company also reaches its customers through its childcare information website named Babily which is approximately 4.8 million followers.
Key activities:
  • Unicharm’s Vietnamese subsidiary, Diana, has introduced new and improved products within its baby and adult care businesses this month.
  • The company has added the new and improved pants fit diaper with the "aroma of Japanese green tea under its leading Bobby brand".
  • Unicharm Corporation announced an agreement to acquire the entire shares of DSG (Cayman) Limited, the holding company of DSG International, a manufacturer of diapers and other absorbent products in South East Asia.
  • The deal, which is said to be worth $530 million, represents one of Unicharm's largest overseas acquisitions ever, and will significantly bolster Unicharm's lineup of low- and mid-priced diapers in Southeast Asia, while also adding production capacity in new countries for the Tokyo, Japan-based company.
Sources
Sources