Bare Esentuals in Bangkok

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  • Topic: Thailand, Bangkok, Cosmetics
  • Pages : 23 (7779 words )
  • Download(s) : 1271
  • Published : April 1, 2010
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Executive Summary
Bare Escentuals, Inc. is an innovative cosmetic company in the United States and the leader in mineral-based cosmetics. They sell not only in the United States, but also internationally in four other countries: UK, Japan, France, Germany, and Canada. However, we are seeking to expand into the Southeast Asia region; specifically, Bangkok, Thailand. The country is considered to be an emerging economy in the take-off stage. The cosmetic market in Thailand is rapidly growing and new entrants are beginning to recognize the opportunity for a growing market share within the region. Within the city, there are a few brand name cosmetic leaders, but none with a mineral-based product. Bare Escentuals hopes to fill the gap in the market with a new type of lightweight mineral-based powder which is in high demand. Thai culture is driven by the all-natural, eco-friendly perspective and we believe our mineral-based cosmetics company will offer a highly-differentiated, healthy, and lightweight product. We feel that our line of powders will best suite this market. The Company utilizes a distinctive marketing strategy and multi-channel distribution model to develop, market, and sell cosmetics, skin care, and body care products under its bareMinerals, RareMinerals, and namesake Bare Escentuals brands. Introduction

Since the introduction of Bare Escentuals in the public sector, sales have steadily grown reaching 556 million in 2008. With sales expected to sustain current growth, we have decided to enter a new foreign market in Southeast Asia, beginning in January of 2010 by introducing our product line during the peak of tourist season in Bangkok, Thailand. We have experienced much success in our other foreign markets, and we believe Bangkok is the best city for our product line to continue its strong growth. As this market grows, other investment opportunities could bring us to openings in other major Southeast Asian cities such as Chiang Mai, Phuket, and maybe Singapore. We offer a healthy and lightweight alternative to conventional cosmetics while providing light to maximum coverage for all skin types resulting in broad-based appeal to women of all ages. At Bare Escentuals, we believe that our multi-channel, integrated business strategy enables us to build brand awareness and increase consumer loyalty by providing the best makeup experience possible. Cultural Analysis

Religion
Bangkok’s primary religion is Buddhism, accounting for 96% of the population. Beautiful temples are all over the city, and it is not uncommon to see monks walking around downtown early in the morning. It is a part of their everyday life, and our company must understand the importance of their religious traditions. Thais believe that supporting the order of monks, or Sangha, brings one closer to Buddhist ideals, and increases the likelihood of better life beyond this one. They make regular offerings to local monasteries as acts of merit-making. Each of the temples in Bangkok is unique, having its own architecture, history, and spiritual importance. Most people visit the temples early in the morning. Insight into their religion allows the company to take certain character traits into consideration when advertising, marketing and promoting the Bare Escentuals product in Bangkok {draw:frame}

Language
Thai is the country’s national language. It is confusing to many tourists because it utilizes the Khmer script and is spoken tonally. Many westerners focus on speaking Thai, whereas taking the time to learn Thai script would be more beneficial to understanding the basic foundation of the language. The reason for the confusion is that various reference materials written about the language each use a different phonetic spelling with the western alphabet. It is sometimes difficult to see the connection between the letters with multiple sources of information. Foreigners are usually allowed more leeway, since the effort to...
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