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The Clorox Company SWOT and PESTLE Analysis

ID : 52223253| Feb 2023

COMPANY PROFILE -The Clorox Company

Business Sector :Consumer and Professional Products – Cleaning, Food

Operating Geography :United States, Global

About The Clorox Company :

The Clorox Company is an American global manufacturer and marketer of consumer and professional products. The company is headquartered in Oakland, California, with approximately 8,800 employees worldwide, as of early 2021. The company was founded by entrepreneurs, Archibald Taft, Edward Hughes, Charles Husband, Rufus Myers and Willian Hussey. The firm was initially called Electro-Alkaline Company, but then later it was coined Clorox, a portmanteau of chlorine and sodium hydroxide. The company primarily sells household cleaning and bleaches products, charcoal, cat litter, dressings and sauces, natural personal care and trash bags. Clorox ranked no. 474 on Fortune’s 2020 Fortune 500 list.
Clorox Unique Selling Proposition is, ‘One of the most renowned brands of cleaning products in U.S’. Clorox mission statement reads, “We make everyday life better, everyday – is a reflection of our products has a meaningful impact on consumers’ everyday lives. Our namesake bleach and disinfecting products help kill germs that make people sick.”

The Clorox Company Revenue :


US $6,721 million (FY ending June, 2020)
US $6,214 million (FY ending June, 2019)

Competitive Analysis of The Clorox Company

SWOT
PESTLE
The SWOT analysis for The Clorox Company is presented below:
Strengths
Weaknesses
1. Consistently strong financial performance
2. Strong product portfolio
3. Diversity at work place and engaged employees
4. Corporate Social Responsibility
1. Limited geographic presence
2. Dependence on a few large-format retailers.
Opportunities
Threats
1. Fuel growth by reducing waste
2. Diversify to expand
1. Exploring new markets
1. Intense competition from its competitors
2. Criticism of advertising message
3. Extensive compliance mandates with government regulations
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of The Clorox Company

Strength

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Weakness

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Opportunity

1. Fuel growth by reducing waste: Enterprise wide initiatives, including light weighting of charcoal briquettes, renegotiated international ocean freight rates and a number of other administrative improvements, contributed to $109 million in cost savings. Through the new Ignite strategy Clorox will focus on generating fuel to reinvest in brands. The company will increase annual cost savings by expanding the funnel as it drives the necessary fuel to generate growth. The company will stress on technology, integrated design and sustainability and target an annual EBIT margin growth goal of 175 basis points.

2. Diversify to expand: Clorox acquired Renew Life and evolve its portfolio into the digestive health space, a $10 billion category expected to grow 7 percent annually. Clorox must explore other diverse leading brands which they should consider for acquisition. The company manipulated its reportable sectors following operational and systems integration in the fourth quarter of fiscal year 2020. The Digestive Health and Dietary Supplements business units were combined into a new Vitamins, Minerals and Supplements business unit. Additionally, the Home Care business units were combined to create the Cleaning business unit. The new Health and Wellness reportable sector will make up due to the shared economic and qualitative characteristics of the newly established business units, along with the Professional Products business unit.

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Threat

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References used in The Clorox Company SWOT & PESTLE Analysis Report

1. The Clorox Company- Who We Are -https://www.thecloroxcompany.com/who-we-are/

2. Integrated Report 2020- https://annualreport.thecloroxcompany.com/Clorox_2020_Integrated_Report.pdf

3. The Clorox Company-https://www.thecloroxcompany.com/

4. Diversity MBA: Clorox No. 3 Place to Work- https://www.thecloroxcompany.com/blog/diversity-mba-clorox-no-3-place-to-work/

5. Clorox exits Venezuela citing govt restrictions- http://www.sandiegouniontribune.com/sdut-clorox-exits-venezuela-citing-govt-restrictions-2014sep22-story.html

The detailed complete set of references are available on request in the 'Complete report' on purchase.

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