For SK-II line of skin care products, Procter and Gamble should have stood more firmly. Instead of denying the allegation, they should have explained and stressed more clearly that the small amount of those banned chemicals in the SK-II skin care products are not hazardous to health. They should have sought all the help and legal assistance of the concerned departments needed to prove their case.
In that way, they would not need to voluntarily offer refunds to consumers as it has been announced lately by the Chinese authorities that the banned substances did not pose a health hazard. In this way, though image and trust had been tainted because of negative publicity and perception, there will be no significant loss financially as they would not need to offer refunds anymore. In addition, the incident of returning counterfeit products and cases of violence would have been avoided as well.The moment Procter and Gamble decided to voluntarily offer refunds to consumers, they have acknowledged that they have lapses on their part which created instances for consumers to behave that way. •For Gillette products in Russia, Procter and Gamble should have anticipated the fluctuation of Russian ruble. They should have prepared countermeasures when Russian ruble plummet which had happened. They should have expected this kind of problem the moment they have decided to merge with Gillette Company.
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In this particular instance, I can say that Procter and Gamble had overlooked planning causing this kind of failure. •For disruption of sales in certain countries, Procter and Gamble should have anticipated this as well. The moment they have decided to merge with Gillette Company, they should have expected that this problem will happen. They should have studied the market of these certain countries more intensively so they can plan how to deal with this considerable overlap.
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