Avon Products Incorporated is a cosmetics company that produces in three product categories. These categories are: beauty, fashion and home. Avon currently operates, manufactures and sells in over 100 countries; with manufacturing facilities and distribution centers in Latin America, manufacturing facilities in Europe, the Middle East and Africa. Avon also has distribution centers in North America. With some of the highest environmental standard around the world of commerce, Avon can boost of being of being one of the most environmentally friendly companies in the world. Avon’s target market is women and with a reputation for cleanliness and a proven record of world class cosmetics, Avon is a major player in the international cosmetics industry, which is seen in its annual billion dollar revenues.
Avon Products Inc is a company that believes in direct selling as its means of a distribution channel, it has 5.4 million sales representatives worldwide in over 100 countries. These representatives purchase Avon’s products on credit making it easy to become an Avon representative. The firm also invests heavily in the representatives, they investment has reached the heights of $120million in 2007.
Aim of Analysis
As a consultant to Avon Products Incorporated I am to suggest a strategic plan for the firm in order to develop it holistically.
Analysis of the Vision and Mission
To be the market leader in the female cosmetics, fashion and home industries through direct selling done by female sales representatives in order to liberate women through the provision of career opportunities, high quality and affordable products.
The Global Beauty Leader – At the moment, Avon is achieving its aim to be the global beauty leader. It can be seen in its financials as well in comparison to its competitors Mary Kay and Revlon. This section of the mission statement speaks to the product and market component of a good mission statement.
The Women’s Choice for Buying – Avon sells predominately female products; sales are steady and in some cases rising, thus, it appears to be a women’s choice for buying as it is fairly successful serving that demographic. This portion of the mission statement speaks to the customer component of a good mission statement.
The Premier Direct Seller – Avon places heavy emphasis on direct selling, with over 5 million sales representatives in over 100 countries. This speaks to the self-concept of a good mission statement, which identifies a firm’s distinctive competencies.
The Best Place to Work – Avon is achieving its mission to have the leadership edge, high standards, diversity, and the provision of career opportunities. This speaks to the self-image concept of the mission statement, as the firm wants to be seen in the job market as diverse, leaders, with high standards and many opportunities. Conversely, I would recommend that Avon changes the names of the component of the mission statement from ‘The Best Place to Work’ and rename it ‘The Most Efficient Place to Work’. I recommend this because there is a gray area in where or not the firm’s concern for employees, as seen in the components of a mission statement, is for the employees, for the profits, or for both; as on one hand they seem to be willing to cut human resources as their first cost cutting measure but on the other hand they provide training and career opportunities.
The Largest Women’s Foundation – Avon is achieving their goal to be a global champion for women and to display economic independence through their foundation. Reese Witherspoon sits as the honorary chairwoman of the Avon foundation, and she travels the world promoting wellness Avon’s products as well as a strong independent image of women.
The Most Admired Company – Avon is nearing its goal to goal of being the most admired company. Avon displays a high standard of corporate social responsibility, through its foundation. Avon is...