Welcome to watchmojo.com, I’m your host Stash Can and in today’s business profile we take a look at Procter and Gamble, one of the most successful consumer goods companies in the world. Procter and Gamble traces its roots back to 1837 when William Procter a candle maker met James Gamble a soap maker. Now, what’s interesting is that the two gentlemen would have probably never crossed paths had it not been for Marrion two sisters. In 1937, there was a crisis that basically left the father of the two sisters to encourage the two entrepreneurial young men to connect, unite and create the company we in today know as Procter and Gamble.
The nineteenth century was extremely profitable for Procter and Gamble. By 1859, it had hit $1,000,000 in sales. They say a “war is perfect for business” and Procter and Gamble was no exception to that rule. During the American Civil War, Procter and Gamble won many contracts to supply the Union Army with soaps and candles so when soldiers returned home, Procter and Gamble had exposed itself to millions of young men across the nation for their help in their goal.
In the 1880’s, Procter and Gamble launched a soap that forded on water going on to become one of its biggest successes, we’re talking of course about Ivory. Now, by the 1890’s because more and more households were starting to rely less on candles and more on electricity Procter and Gamble started to focus away from candles to focus more and more on soaps. In fact, by 1920 the company stopped the manufacturing of candles altogether.
These days Procter and Gamble gets its fair share of criticism in terms of it's relationships with employees. In fact, one book called “Soap Opera” totally destroyed Procter and Gamble but fact of the matter is that the company has always been one of the most progressive ones when it comes to employees relations.
In 1887, Procter and Gamble was one of the first companies to introduce profit sharing in order to reduce the likelihood that employees would go on strike. By 1911, Procter and Gamble launch Crisco a short name that relied on vegetable oil and not animal fat. In fact Procter and Gamble has always been obsessed with pushing the envelope when it comes to fat and oils. By 1996, it launched Olean based on Olestra, something that was far less successful than Crisco but maintained the company’s focus to introduce a new and different ways of cooking.
After World War II, Procter and Gamble became synonymous with innovation. In 1946, it launched Tide laundry detergent. By 1950, Peril shampoo, 1955 Crest of course, 1957 Chermont toilet paper, 1960 was Downy fabric softener, 1961 one of it's biggest hits Pampers and 1972 Bells fabric softener sheets.
Of the tail end of the twentieth century, Procter and Gamble shifted gears and began to acquire many companies, some of the more inordable ones being Forgers Coffee as well as Max factor. In January of 2005, Procter and Gamble acquired Gillette making it the biggest consumer goods companies surpassing Unilever.
In 2007, Procter and Gamble ranked as the 25th largest American company when measured by revenues, 18th when measured by profits and it was number 10 on fortunes most admired companies.
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