She used her salon job to sell this cream to her customers and added value to hairdressing experience, soon she was asked to demonstrate her products to other beauty salons. After the formation of the company, Estée Lauder continued to sell their products in the United State, they also expanded the range. The annual sales at the year of 1958 hit $1 million and it became well-known in the American cosmetic industry. The milestone of Estee Lauder to become international was at 1960, they had their first counter outside the United State, in Harrods, London. (“Key Moment”, n.d.) After this, an office in Hong Kong was opened next year.
Therefore, it is a challenge for McDonald’s to motivate the employees to work harder and be loyal to the company. 2.4.1 the body shop Body shop was founded in 1990 by British environmental and human right campaigner Dame Anita Roddick. It is one of England’s most successful retailers of cosmetics and personal care products with more than 1100 stores in 45 countries. The first body shop is opened in 1976 in Brighton, England. In 1978, a kiosk in Brussels became the first overseas franchise (Thebodyshop.com).
Impacts of external business environments on Sephora Sephora is a french-based beauty retail store that was founded by Dominique Mondonnaud in 1970. Originally known as Super 8, Dominique Mandonnaud was the first to introduce a self-service retail model into the beauty industry that allows customers to touch, feel and try all the perfumeries and beauty products around the store. In 1993, Dominique Mandonnaud faced some financial problems due to overexpanding his stores to other parts of the country and decided to retire. Super 8 was then purchased by Louis Vuitton and Moet Hennessy (LVMH) in 1997 and is currently known as Sephora. The name “Sephora” originated from the Greek Word “sephos”, which means beauty and merging with the biblical
2.1.9 Other International Companies which follow CSR GO NATURAL, THROUGH AND THROUGH: BURT'S BEES The aim for Burt's Bees has always been on well being. As part of the Natural Products Association, the company developed The Natural Standard for Personal Care Products, which created guidelines for what can be perceived as natural. Burt's Bees follows the highest standards for sustainable packaging, showing its dedication to the cause as a member of the Sustainable Packaging Coalition. The brand started with honey and the company has since expanded to candles, lip balm and more than 150 products. USING ITS ECOMAGINATION: GE Ecomagination offers products that significantly improve customers' operating performance and environmental performance.
This part of the paper will mainly focus on two of P&G’s one billion dollar brands, Pampers and Head & Shoulders. The businesses belong to two different segments, but are both included under P&G. An analysis of how P&G strengthen their businesses, uses their resources and how and if the businesses add additional value to the whole firm, will be discussed in the following part. 4.1. Pampers - innovation and customer understanding Pampers is P&G’s biggest global brand, used by 25 million babies in about 100 different countries.
These are the challenges facing Stila Cosmetics, a relatively small but growing company in Glendale, CA. If that weren’t enough, Stila has the daily challenges of achieving the right mix of product formulas in fashion-forward, eco-friendly packaging. Hereinafter, Stila Cosmetics accomplishes all of these objectives and has forged a close personal bond with its consumers by using guerilla-marketing tactics in which packaging plays a vital role. Its packaging supply chain, which includes a host of contract manufacturers, fillers, packagers, and assemblers, in the U.S. and around the world, plays a huge role in the company’s success. Thereunto, an important factor in Stila’s approach to its supply chain is the focus on developing strategic relationships with vendors, in which departments inside the company plan carefully to optimize production efficiencies and produce cost savings and manufacturing process stability over time, so long-term relationships are preferred.
As a result, Mary Kay had introduced more than 200 products into the cosmetic and beauty market to capture the hearts of consumers as well as fulfill the demands of consumers. Its products can be classified into 6 major categories which are color cosmetics, sun protections, body care and skin care products, nail products as well as fragrances. Furthermore, the competitions have also driven revolution and modernization in Mary Kay’s business strategy. For instance, Mary Kay has adapted to E-Commerce as their extended strategy as direct selling from door-to-door or home meetings will be wiped out in the coming years. (Greenberg, E.,
According to the L’Oréal Annual Report (2016), consumer product division change consumers ' everyday routines and beauty rituals which includes innovations such as concealing roots to micellar waters and tissue beauty masks which includes brands such as NYX and Garnier. Hieronimus, N (2016), states that L’Oréal Luxe sales grew at +6.9% in 2016 and got market share gains on all continents. L’Oréal (n.d.), claims that the department opens a unique world of beauty with three
1 An overview of the South African cosmetics industry The cosmetics industry, which is also known as the cosmetics and personal care products manufacturing industry in some countries, consists of establishments mainly involved in the manufacturing of cosmetic products for skin cleansing, skincare, deodorisation, dental care and toiletries (FRIDGE, 2011). The South African cosmetics industry is structured as follows (Imrie, 2014): • Multinationals which manufacture and also outsource, and are responsible for 90% of the sales in the market. International companies benefit from substantial marketing power, internationally recognised brands and readily available funds for research and development. • A number of small, medium and large local companies who produce their own brands, or produce international brands under licence. • Contract or third party manufacturers (TPMs) who are contracted by brand owners.
Strengths (internal) - Brand positioning / associated with exclusivity – 150 year heritage brand - Hand made products with a perception of quality and exclusivity - In house production and control over distribution - Strong continual growth to date - Buying power - - Multi-disciplinary parent company (perfume, wine, jewellery) - Low price differentials between markets – less chance of items being sold at an increased cost in markets with a retail presence - Online presence in USA, Europe and Japan - No product discounts - maintains the brand exclusivity - Proactive attitude to innovation + focus on efficiency / process improvement - Unified global presence (all stores designed centrally at LV HQ) - LV sits within a growth industry (luxury) Weakness (internal) - Excess stock destroyed rather than discounted – loss in $$ - Closure of factory in India – loss of production capacity - Handmade products = long manufacturing times and limited availability - Unable to rely heavily on automated manufacturing processes – must keep perception of artisan craftsmanship - Extremely rapid growth could dilute brand image – if it’s too easy to get then it becomes less exclusive - High product and manufacturing cost – high quality component parts in all products result in high unit costs Opportunity (external) - Profit growth via acquisition of aligned companies targeting adjacent buyer segments - Partnerships for increased innovation and R&D - Expansion of product offering -