A Case Study Analysis on the Vicks Throat Drops
Presented to Mr. Dan Protacio P. Pacoy, MBA
In Partial Fulfillment of the Requirements
for the subject BA 2102 Marketing Management
By
FUERZAS, NOEMI KARLA N.
PAURILLO, ALYSSA NICOLE M.
VEÑIGAS, DERREN IVY SHINE
March 2021
PART I: SITUATIONAL ANALYSIS
1. Case Background
In 1985, Procter & Gamble (P&G) bought Richardson-Vicks Inc. and later on launched a
diversified line of health care products, one of which is Vicks Throat Drops. The product was
part of the Vicks line that included Vicks Vapor Rub and Vicks Formula 44M. Vicks Throat
Drops was perceived as a medicinal throat drop by consumers. Furthermore, the Vicks line of
health products experienced high sales during the rainy season and was highly preferred by
adults infected with colds and laryngitis. However, the product was phased out by P&G
Philippines in 1990 due to difficulties in its production and distribution.
In May 1993, Vicks Throat Drops was relaunched to the market and was reclassified
from medicinal throat drop to a menthol candy. Packaging was changed from the aluminum foil
to individual plastic wrapper. Their distribution line was broadened from drug stores to small
retail stores (sari-sari), grocery stores and supermarkets.
2. Porter’s 5 Forces
Supplier Power
Supply is solely dependent on P&G Indonesia. Compared to its competitors, they were
