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Some thoughts on Gillette India

Posted by | Stocks | 2 Comments

One common bullish viewpoint made by most of the investors regarding Gillette has been “Market potential is huge considering its a highly under-penetrated market & Gillette is largely a monopoly business”   Lets break up the target market into urban men & rural men and see if there is actually that kind of potential:   Urban Men (Metro/Tier I/ Tier II) Look around and talk to any working man, chances are that he will be shaving with a Gillette razor.   Now if entire target segment in Urban area is already using a Gillette product where can the growth come from? Uptrading: A guy using Gaurd/Presto could up trade to a Mach3 and later to Fusion. Rise in working population: Every year some part of youth, which otherwise finds it cool to keep beard, would …

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