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Procter & Gamble Wins On Innovation.

Procter & Gamble is one of the 25 companies that make up the S&P/Business Week Global Innovation Index and it?? strong fiscal fourth quarter showing in sales and profits reflect it?? dedication to innovation.

When I last talked to CEO A.G. Lafley, he said P&G needed to raise prices for most of its products because of the soaring cost of oil and other commodities. P&G, in effect, is a chemical company that makes consumer products. Lafley said innovation, both incremental and major, helped P&G to raise prices. Consumers resist price hikes but are more willing to pay a bit more if they receive more. Innovation is part of that strategy.

Here?? what Lafley said on announcing great fourth quarter results:

??e??e leading innovations across the brand portfolio, building value for consumers and customers which is critical to delivering good results in a difficult economic environment. The strength of the portfolio and our focus on innovation and productivity give us confidence that we will continue to deliver sustained growth in the coming year and beyond.?

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