|
We are seeing our fastest growth in developing and emerging (D&E) markets (Asia,
Eastern Europe, Latin America, Middle East and South Africa). Within these markets,
we continue to focus on the BRICIT countries (Brazil, Russia, India, China, Indonesia
and Turkey).
Sustainable growth is an important part of our strategy in D&E markets. Local manufacturing
is a key element of this, and we are planning more regional manufacturing centers.
These will create employment, contribute to local economies and limit our environmental
impact from product transportation.
There are governmental, economic and cultural differences in D&E markets. For example,
South Africa struggles with complex issues including an HIV/AIDS epidemic, workplace
inequalities, high unemployment and large-scale immigration from neighboring countries.
K-C South Africa is committed to setting an example and making a difference. South
African companies have to submit progress reports on their efforts to eliminate
workplace discrimination, and K-C South Africa’s submission has been highlighted
as an example to others.
Our policies and Code of Conduct apply at all K-C facilities worldwide, requiring
the same standards of all our employees and operations with respect to labor and
human rights, environmental protection, governance and ethical business practices.
Products for D&E markets
Average income levels are generally lower in D&E markets than in developed countries,
and small, traditional stores often account for the majority of our sales. We design
and sell affordable, quality products in appropriate pack sizes to suit consumer
budgets in each market. This means streamlining our business to keep costs low and
ensure we can offer shoppers good value. We have successfully introduced a lower-cost
training pant in Southeast Asia, Latin America and Russia, and continue to sell
individually packaged Huggies and Kotex products in Asia and South America.
As we enter markets globally where many people are still using cloth diapers, K-C research
has found that our products make it is easier for mothers to leave the house with their young
children, and give mothers more time for more enriching activities for themselves and their families.
We sell semi-durable, affordable paper towels, developed to meet cultural norms
in Latin America where disposable paper towels are rarely used, in more than 20
countries.
|