Preview

Body Shop Case analysis

Powerful Essays
Open Document
Open Document
3936 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Body Shop Case analysis
1. The Body Shop market

SWOT Analysis

Strengths:
The Body Shop is focusing on products made out of natural products and natural ingredients. They believe these products will give the Body Shop a distinctive niche which will attract customers whom believe in environmental friendly products and that are more environmentally aware.

The brand value of the Body Shop will be of a high standard, due to the education of their staff and service. Their staff has a clear-cut strategy of branding their product. The Body Shop also have a manufacturing industries in the third world which have created many new job opportunities and have improved the reputation of the Body Shop globally. The products the Body Shop supply to the market or often of a high quality priced between mass merchandised cosmetics and exclusive department store lines, which further will attract customers.

The Body Shop is also a highly attractive employer with as much as 5000 applicants at one point. This allows The Body Shop to be selective when hiring in order to make sure employees share the values and beliefs of Body Shop. This is to further implement the view customers have of Body Shop being environmental friendly and a caring company.

The profound and technological knowledge behind the products supplied by the body shop has been done through fieldwork. Fieldwork made by the owner asking, people with great skin on their particular secrets for their skin.

Weaknesses:
A weakness of the Body Shop could be its excessive political involvement, which can disturb the sales of the products or cause internal complaints as not every franchiser share the exact same views as Anita Roddick.

The company is limited by only reaching out to the female market and has limited products attractive to the male market. In contrary of the environment friendly product the transportation of the products are not as environmental friendly.

The


References: Independent (2006a) L’Oreal buys Body Shop for £652m [Online] Available from: http://www.independent.co.uk/news/business/news/loreal-buys-body-shop-for-pound652m-470244.html Independent (2006b) Body Shop 's popularity plunges after L 'Oreal sale [Online] Available from: http://www.independent.co.uk/news/uk/this-britain/body-shops-popularity-plunges-after-loreal-sale-473599.html The Scotsman (2007) Roddick reveals she has hepatitis C 'and it 's a bit of a bummer ' [Online] Available from: http://www.scotsman.com/news/uk/roddick-reveals-she-has-hepatitis-c-and-it-s-a-bit-of-a-bummer-1-682194 Bloomberg (2007) L 'Oreal Body Shop Acquisition Gives Investors Greener Returns [Online] Available from: http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aGBHjOUx95c0 Source: Forbes 2007 [Online] Available from: http://www.forbes.com/2007/10/16/environment-energy-vermont-biz-beltway-cx_bw_mm_1017greenstates.html
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Good Essays

    Geog 101
    • 951 Words
    • 4 Pages

    Geog 101

    "Story of Cosmetics « The Story of Stuff Project." The Story of Stuff Project. N.p., n.d. Web. 28 Apr. 2013.…

    • 951 Words
    • 4 Pages
    Good Essays
    Read More
  • Good Essays

    The Body Shop Case Study
    • 1445 Words
    • 4 Pages

    The Body Shop Case Study

    By using historical percentage-of-sales accounting ratio, this paper forecasts next three-year earnings and financial needs of The Body Shop. Due to lack of information, this forecast based on some key assumptions about the relationship between sales and other accounting ratios, firstly forecast sales then forecast other ratios in financial statements.…

    • 1445 Words
    • 4 Pages
    Good Essays
    Read More
  • Better Essays

    swot analysis
    • 949 Words
    • 4 Pages

    swot analysis

    The beauty market is a growing market despite the high concentration of companies. Indeed, according to Kline1 “sales of the hand and body lotions category have grown at a CAGR of 1.4% from $1.9 million in 2006 to $2.1 million in 2012”. Additionally to that body lotion is a very used product, as a Mintel research had shown 81% of beauty product consumers use body lotion and 89% use 89%.2 Moreover the men beauty product market is still booming and there are some market shares left. Indeed, according to a Mintel marketing study 7% of American males use anti-ageing products and 59% of American men think that 59% care product can boost their self-confidence.3…

    • 949 Words
    • 4 Pages
    Better Essays
    Read More
  • Good Essays

    Body Shop Case Analysis
    • 358 Words
    • 2 Pages

    Body Shop Case Analysis

    For all the line items that are calculated as a percentage of sales, we used an average for the last three years as our base case assumptions. Our observations led us to use this average because the percentages were fairly consistent over the last three years. Since the company was not operating at full production capacity we concluded that the company could continue growing without incurring an increase in fixed costs. The dividends were unchanged over the period of observation. Since taxes are not calculated as a percentage of sales but rather as a percentage of EBIT, taxes payable remained unchanged.…

    • 358 Words
    • 2 Pages
    Good Essays
    Read More
  • Good Essays

    Environmental Analysis: Bath & Body Works
    • 1032 Words
    • 5 Pages

    Environmental Analysis: Bath & Body Works

    Bath & Body Works (BBW) enjoyed a successful decade after its inception in 1990. However, over time their limited offering of products was sending their customer base to other retail chains - either trading up to better brands or trading down to cheaper prices. As demand for their product seemed to dwindle, they needed a way to increase their customer base. An increase in similar products could decrease the company 's profit margin and stronger competition from other retailers could decrease their customer base. In order to continue to grow and increase their profits, BBW needed a strategy. An environmental analysis, in which three factors, remote, operating and industry environment, are explored, can provide information the company needs in order to optimize their marketing strategy .…

    • 1032 Words
    • 5 Pages
    Good Essays
    Read More
  • Powerful Essays

    Broken Promises - `Aid Not Trade, ' a Play on the Body Shop `Trade Not Aid' Slogan. "Body Shop Gets the Aid in the Form of Native Images, " Says Dr. Terence Turner. "In Return, Natives Get Almost No Trade".
    • 2663 Words
    • 11 Pages

    Broken Promises - `Aid Not Trade, ' a Play on the Body Shop `Trade Not Aid' Slogan. "Body Shop Gets the Aid in the Form of Native Images, " Says Dr. Terence Turner. "In Return, Natives Get Almost No Trade".

    Since 1991, Body Shop has been buying oil processed by the Mebengokre Indians, also called the Kayapo. Brazil nut oil makes up about one and half percent of its rainforest hair conditioner. The `Trade Not Aid ' project has long been the centerpiece of Body Shop 's attempts to market itself as a `socially responsible ' business. But the relationship, rocky for years, has become a sore point for the Indians.…

    • 2663 Words
    • 11 Pages
    Powerful Essays
    Read More
  • Good Essays

    Marketing Mix for Lush
    • 1376 Words
    • 6 Pages

    Marketing Mix for Lush

    In this research two well-designed marketing mixes were made, aiming to improve an already existing organic products cosmetics brand named “LUSH®” as well as accommodating its features to the demands of the target market. One of the marketing mixes being directed for physical shops and the other one for an E-Store. Two business people were interviewed to gain information about strategies and day-to-day goals in small brands as such. Elena Torre, cosmetician and owner of “Saint Germaine”, a Natural Cosmetics brand, was one of the interviewees, providing very factual and useful information for this research as well as Martha Hone, dermatologist and owner of “Martha Hone Clinic” based on natural cosmetics from all over the world, especially France, which she “hunts” for in her many travels. This last interviewee came in useful as she has a very vast knowledge, which she provided to the report on many natural and organic cosmetics brands from all over the world, with a variation of marketing/business techniques. Information was also extracted from the brand´s own website along as from The Body Shop®’s website [http://www.thebodyshop-usa.com/]. The final goal was to help “LUSH®” improve in all possible ways and allow it to compete with other and bigger brands such as The Body Shop®.…

    • 1376 Words
    • 6 Pages
    Good Essays
    Read More
  • Good Essays

    The Body Shop International Case Study
    • 1349 Words
    • 6 Pages

    The Body Shop International Case Study

    The Creator- When one read the words The Body Shop one would think of working on cars. Not for Mrs. Anita Roddick, she thought of The Body Shop as a way to give women what they had been looking for in cosmetics. Mrs. Anita Roddick was born in England in 1942, to Italian immigrants. She was a human rights activist and an environmental campaigner; she was also the founder The Body Shop. The Body Shop was a cosmetics company that produces and sold beauty products. The Body Shop was the first company to prohibit its ingredients on animals and one of the first to encourage fair trade in other third world countries. Mrs. Anita intention of creating this company was to make money for her daughters and herself while her husband travels the world instead the company became a multi-billion company. The Body Shop had 1980 stores serving over 70 million customers all over the world by 2004.…

    • 1349 Words
    • 6 Pages
    Good Essays
    Read More
  • Good Essays

    Aramark Analysis
    • 8484 Words
    • 34 Pages

    Aramark Analysis

    SOYOUNGM, K. and YOO-KYONG, S., 2009. Impacts of health and environmental consciousness on young female consumers ' attitude towards and purchase of natural beauty products. International Journal of Consumer Studies, 33(6), pp.627-638.…

    • 8484 Words
    • 34 Pages
    Good Essays
    Read More
  • Powerful Essays

    The Body Shop
    • 3850 Words
    • 16 Pages

    The Body Shop

    The cosmetic industry is one of the biggest industries in the world. The worldwide annual expenditures for cosmetics is estimated at U.S. $18 billion. There is a strong competition in this industry all over the world. To compete and obtain a competitive advantage, companies have to invest a lot. They always have to innovate, to invest in advertising campaign in order to be known and to be successful. The Body Shop decided to be different, their products are natural, it is an ethical organisation, associated with environmental friendliness.…

    • 3850 Words
    • 16 Pages
    Powerful Essays
    Read More
  • Good Essays

    Body Shop International
    • 1842 Words
    • 8 Pages

    Body Shop International

    In the early to mid 90's, the revenue growth for The Body Shop was at least 20% each year. The Body Shop was able to grow at a fast pace early in the decade because of the lack of competition. Over the course of the decade, competition grew fierce, and, by the end of the decade, revenue growth fell to 8%. Another reason for the slow growth in the late 90's was the over expansion in the previous years. The Body Shop was in almost every mall in America (and on every shopping street in Britain). It is time for The Body Shop to forecast earnings so it will not be blind-sided by another decline in pretax profit.…

    • 1842 Words
    • 8 Pages
    Good Essays
    Read More
  • Powerful Essays

    Burt’s Bees Lip Balm: Targeting and Segmentation
    • 1985 Words
    • 8 Pages

    Burt’s Bees Lip Balm: Targeting and Segmentation

    Driven by growing consumer demand, retail sales of natural and organic beauty care are likely to continue growing. In fact, industry representatives anticipate double-digit growth in natural beauty care in the United States, a figure that is far ahead of growth projections for standard cosmetics and toiletries.…

    • 1985 Words
    • 8 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    L'oréal takeover The Body Shop
    • 5828 Words
    • 24 Pages

    L'oréal takeover The Body Shop

    Master thesis : « Strategie et Management des entreprises – L’Oreal », 2008/2009, Alexandra Reze et Audray Pelletier…

    • 5828 Words
    • 24 Pages
    Powerful Essays
    Read More
  • Good Essays

    Swot Analysis of Body Shop
    • 749 Words
    • 3 Pages

    Swot Analysis of Body Shop

    • L’Oreal’s support – By being a subsidiary of L’Oreal, Body Shop appears to have an increase in sales. Furthermore, L’Oreal’s experience in advertisement and marketing can boost overall sales.…

    • 749 Words
    • 3 Pages
    Good Essays
    Read More
  • Better Essays

    Entrepreneurship& Small Business Management
    • 2063 Words
    • 9 Pages

    Entrepreneurship& Small Business Management

    | 1. Natural products: Unlike regular cosmetic products, the purpose of organic cosmetics is to be friendly to the skin and the environment. The ingredients of the cosmetic items will be extracted from plants, fruits, minerals etc. As the trend of usage of environmental friendly products is increasing, the demand for…

    • 2063 Words
    • 9 Pages
    Better Essays
    Read More

Related Topics