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I was asked to identify what are the problems and challenges faced by
Unilever worldwide? Before identifying the problems and challenges I studied
about the Unilever. After browsing KFC’s website I found Unilever is a multi-
local multinational with consumers, employees, business partners and
shareholders on every continent. It started its journey in the 1890s. William
Hesketh Lever, founder of Lever Bros, invented revolutionary new product
Sunlight Soap – that helped popularize cleanliness and hygiene in Victorian
England. The Unilever Group was created in 1930 when Lever Brothers
merged its businesses with those of the Dutch margarine producer,
Margarine Unie. Unilever has operations in around 100 countries and its
products are on sale in 50 more. Unilever has two divisions – Foods and
Home & Personal Care. Food brands include such well-known names as
Lipton, Knorr, Hellmann’s, Magnum and Bertolli. Home and personal care
brands include Dove, Lux, Omo, Pond’s and Sunsilk.
Every day, around the world, 150 million people choose Unilever’s products
to feed their families and clean themselves and their homes. And obviously it
faces challenges and problems worldwide every day. After studying several
articles and website I have found same challenges Unilever face all over the
world. Here, are those challenges I note down briefly -
Political: global peace situation was not that stable, corporate taxes
were high around the globe, there were many trade agreements, Labor
related restrictions and tough laws, consumer protection laws were really
strong , further liberalization of economies etc.
As it operates all over the world so it has to deal with the changing culture
of all over the world. And it is not easy to deal with cultural changes.
Unilever has to add new features to its products or has to change some
features or may be has to introduce new product. It depends on what
market want.
In summary, I can say that Unilever like many other global brands are in a
rapidly changing world so it will face new challenges every day. Also,
Unilever will face several risks and issues which are similar to the risks faced
in the past. Therefore, the strategies of Unilever should be strong enough to
fight against the risks. However as the conclusion it can be stated that the
current strategy of Unilever is in a way that the company can achieve more
profits.