Reckitt Benckiser’s Five Forces for Consumer Goods

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Competitive Rivalry: Creating new products and services to separate themselves from competitors will give Reckitt Benckiser (RB) a greater advantage (Fern Fort University, n.d.). Constructing large economies that allow them to lower the cost per unit. Research and development will be key for RB. New companies are less likely to enter a market that is controlled by RB. RB must continue to define the standards and do so on a regular basis. Supplier Power: RB must build a more structured supply chain philosophy with various suppliers at hand. Experimenting with product designs, to protect against raw material inflation. RB must have suppliers rely on their business so that it can lessen the cost of creating household goods. By making suppliers rely on RB, they will be able to charge the lowest price possible, giving the supplier no leverage to negotiate (Fern Fort University, n.d.).

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