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Are private label and retailer branded products a meaningful strategic threat to the major CPGs?
Consumer packaged goods (CPG) refers to a broad spectrum of manufacturers, sellers, and marketers of physical goods (typically packaged in some way, shape cheap michael kors bag
or form) used by consumers and sold through a retailer.
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way to think of retail is anyone is selling to the end user, typically through brick and mortar retail stores, online e commerce, or more outdated channels such as catalogs and phone orders. Popular examples of retailers include Walmart, Target, Amazon, Costco, and basically every store you see at a shopping mall. Restaurants are also a form of retail since end users buy and consume the food to be eaten.
CPG is a broader space that encompasses companies one step earlier in the supply chain involved in buy michael kors handbags cheap the development, production, marketing, and selling of products targeted for end user consumption. Typically, CPG is involved at the wholesale level, so CPG companies are manufacturing the products sold to and that sit on the shelves of retail stores. Popular examples of CPG companies include Proctor Gamble, cheap michael kors handbags outlet Johnson Johnson, General Mills, and Clorox, all of whom have a huge portfolio of brands. CPG companies don michael kors purse cheap
necessarily need to be brands. For example, companies who produce packaged food products for restaurants may have no specific brand. But the companies are still manufacturing or selling packaged products used by consumers so they would be classified as CPG companies.
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