Reflecting higher value creation based on its differentiation
strategy, P&G generally charges a 20–40 percent
premium for its products in comparison to retailers’ privatelabel
brands. For instance, a 150-oz. container of liquid
Tide detergent is $18 at Target, while the retailer’s privatelabel
brand is priced at $15. Given recent recessionary
pressures on disposable household incomes, many consumers
switched to private-label brands that they felt