Reckitt Benckiser (RB) is an international manufacturer and seller of branded home and personal care products. The company focuses on developing and acquiring products that are niche market leaders (powerbrands) which account for 69% of sales. To protect the brands’ market share and sector leading margins, the company devotes many resources to large media and marketing campaigns. RB’s main competitor, Proctor & Gamble, is advancing into RB’s niche markets which could put pressure on sales and margins. RB’s pharma division which earns a high disproportionate of operating profit (25%), is at risk of generic competition in the US which could greatly impact earnings in the coming years. To mitigate this impact, RB has created a variant to its most successful drug which has shown very strong early sales. Developing markets are showing strong revenue growth, RB should be able to aggressively distinguish its brand and achieve similar success in these markets. To accentuate this growth the company has purchased Paras Pharmaceuticals, which will drive complementary product growth in India.