NEW DELHI: Reckitt Benckiser Group’s Nurofen painkiller prices 2.20 pounds ($2.80) for a pack of 16 pills. UK grocer J Sainsbury sells a private-label choice for a 3rd of the price. That’s the challenge going through Reckitt’s incoming CEO, Laxman Narasimhan. As consumers an increasing number of search out less expensive versions of commoditised client items like ibuprofen, job No. 1 will likely be to fix the company’s client well being industry, which went from a strength to an area of investor concern underneath current CEO Rakesh Kapoor.
Representing about two-thirds of workforce gross sales, the division that still includes Durex condoms and Strepsils throat lozenges constantly outpaced business expansion rates till a failed product release in the Scholl footcare line 3 years in the past. It was once also blindsided through manufacturing glitches and slowing gross sales of infant-nutrition products after acquiring Enfamil maker Mead Johnson.
The setbacks tarnished Kapoor’s pitch that emerging incomes and lengthening healthcare standards in the developing world would accelerate gross sales of top rate over the counter drugs. By turning to Narasimhan, a PepsiCo veteran, the company hopes to reconcile Kapoor’s imaginative and prescient with the truth that fickle shoppers are overwhelmingly turning clear of big manufacturers to less expensive alternatives.
Narasimhan (52) would sign up for RB as CEO-designate and then would be appointed to the board of the company as an govt director with impact from July 16, 2019, said a observation from the company, which also owns manufacturers like Dettol, Harpic and Air Wick. The India-origin govt will turn into workforce CEO with impact from September 1, it added.
Reckitt stocks, which had misplaced a few 5th of their worth since 2017 ahead of Wednesday, had been up 2.9% in afternoon trades in London.
(With other agency inputs)
Representing about two-thirds of workforce gross sales, the division that still includes Durex condoms and Strepsils throat lozenges constantly outpaced business expansion rates till a failed product release in the Scholl footcare line 3 years in the past. It was once also blindsided through manufacturing glitches and slowing gross sales of infant-nutrition products after acquiring Enfamil maker Mead Johnson.
The setbacks tarnished Kapoor’s pitch that emerging incomes and lengthening healthcare standards in the developing world would accelerate gross sales of top rate over the counter drugs. By turning to Narasimhan, a PepsiCo veteran, the company hopes to reconcile Kapoor’s imaginative and prescient with the truth that fickle shoppers are overwhelmingly turning clear of big manufacturers to less expensive alternatives.
Narasimhan (52) would sign up for RB as CEO-designate and then would be appointed to the board of the company as an govt director with impact from July 16, 2019, said a observation from the company, which also owns manufacturers like Dettol, Harpic and Air Wick. The India-origin govt will turn into workforce CEO with impact from September 1, it added.
Reckitt stocks, which had misplaced a few 5th of their worth since 2017 ahead of Wednesday, had been up 2.9% in afternoon trades in London.
(With other agency inputs)
Next global CEO of Reckitt is also an Indian
![Next global CEO of Reckitt is also an Indian]()
Reviewed by Kailash
on
June 13, 2019
Rating:
