By: Vijay Govindarajan Posted: Apr 27th, 2012

Published on Harvard Business Review, April 16, 2012, by Vijay Govindarajan.

If you shaved today, either in the U.S. or in India, you probably used a Gillette razor. Gillette (now a brand of P&G), reportedly has had a U.S. market share of more than 80%, with Schick a distant second. Even more remarkably, they achieved this without resorting to price competition. The blade cartridges for its latest-and-greatest razor, the top-selling Fusion ProGlide, retail for around $4 each, leaving Gillette with what must be incredibly lucrative gross margins.

But that is not the story in developing markets, where these top-of-the-line products don't fare nearly as well. So how is it that Gillette has over 50% market share in India — the world's largest shaving blade market by volume? And with a product that costs less than 3% of the Fusion ProGlide? This is an excellent story of reverse innovation in action...but the story has only just begun.

Read entire post.

Follow Our Blog

Stay connected with thought leaders in the Tuck Exec Ed community. Follow

Vijay Govindarajan (VG)

View profile »


Thought Leadership Download


Reverse Innovation: Create Far From Home, Win Everywhere (Full Chapter)

Download »