Preview

Avon Case Study

Better Essays
Open Document
Open Document
993 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Avon Case Study
Marie Ann Pius (University of Multimedia)
AVON CASE STUDY

a) What has been the firm’s corporate strategy to date?

Stronger Brand’s name than rivals:
Again Avon’s history a big player here because it gives the company credibility and name recognition.Avon continues to strengthen its image of core beauty product and international brand product line.In the past few years the company has made several upgrades in imaging and formulations,packaging,and customer service and the accuracy and speed of order delivery have also been improved.Avon products provide a consistent,high quality image in every market and include brand such as Anew,Skin So Soft,Far Away,Rare Gold,Perceive,Avon color and Avon Skin Care.Global brand have continued to grow and account for a substantial percentage of Avon Business,and in 1999 these brand accounted for 51% of the beauty sales core.Avon development of quality global brands gave them a chance to deliver a consistent beauty image around the world,as well as improve relationship with suppliers and become familiar with the mmost efficient way to get foreign sales.
Stronger Global Distribution and sales capabilities than rivals:
Avon’s ability to produce and distribute products in multiple countries enable them to have a significant amount of international sales.Avon continues to drive their products into new markets and have always been looking for ways in which they can improve their distribution channels.With e-commerce and the implementation of the sales leadership program avon has been able to deliver quality service along with their high quality products.These areas continue to be a focus for Avon in terms of sales capabilities and distribution in foreign markets relative to their rivals.

Quicker Design to market times than rivals:
In 2002,Avon invested $100 million to construct state of the art facility for the research and development operations in order to quicken design to market times.The ability to develop and

You May Also Find These Documents Helpful

  • Good Essays

    432 Objectives Wk 11 2002

    • 728 Words
    • 4 Pages

    (1) Evaluate Avon’s investment and financing decisions in the late 1980’s. Why was Avon restructuring its business in 1988? Did the changes make sense?…

    • 728 Words
    • 4 Pages
    Good Essays
  • Best Essays

    Strategic Management

    • 2510 Words
    • 11 Pages

    Avon's support of women encompasses all aspects of personal care, including beauty, wellness, health and fitness, as well as economic empowerment and financial independence. To remain at the forefront of the highly competitive beauty industry, Avon constantly develops quality, effective and affordable…

    • 2510 Words
    • 11 Pages
    Best Essays
  • Better Essays

    Avon Vs Mary Kay Essay

    • 1061 Words
    • 5 Pages

    They also have seven distinct principles that I will attempt to lay out for you. Avon gives people an opportunity to earn and provides the highest quality products as well as, giving excellent service. (avoncompany.com, 2014) In addition, Avon “recognizes employee and representatives contributions”, “sharing”, “corporate citizenship”, and above all “maintaining and cherishing a friendly spirit”. (avoncompany.com, 2014) Wow, that one is really close both companies truly have excellent values and principles can’t go wrong…

    • 1061 Words
    • 5 Pages
    Better Essays
  • Good Essays

    Although limited in funding during those early years, the Lauder’s sought to grow by innovation. Their early marketing techniques included sampling so that potential customers could actually try their products before buying. Despite her small ad budget, Estee Lauder sought only the most prestigious accounts. This established a precedent for Estee Lauder products which to this day are sold primarily in high end department stores, boutiques, and the most prominent and established e-Commerce discount cosmetics internet e-tailers.…

    • 899 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Mary Kay Cosmetics

    • 3446 Words
    • 14 Pages

    There are a number of good reasons that explain why Mary Kay Cosmetics (MKC) had not been able to penetrate the international markets as well as Avon did. The head of MKC’s Curran Dandurand identified a number of reasons for this phenomenon, according to this case study. Dandurand’s analysis concluded that mainly MKC’s limited international success was due the following reasons.…

    • 3446 Words
    • 14 Pages
    Good Essays
  • Powerful Essays

    Final Version Of Max Factor

    • 6831 Words
    • 22 Pages

    In addition, as there are a lot of brands for customers to choose from, so that this is difficult to keep them loyal and it makes customers easily to dilute the brand. So there is a need to stronger the brand image from the cosmetics market.…

    • 6831 Words
    • 22 Pages
    Powerful Essays
  • Good Essays

    andrea junk

    • 723 Words
    • 3 Pages

    Avon Products, Inc, known simply as Avon, is an American international manufacturer and distributor of beauty, household, and personal care company that sells products through representatives in over 140 countries across the world. As of 2012, Avon had annual sales of $10.7 billion worldwide.[2] It is the fifth-largest beauty company and second largest direct selling enterprise in the world, with 6.4 million representatives.[3] Avon Products is a multi-level marketing company.[4] Their "Ding Dong Avon Calling" advertising campaign, which ran from the mid-1950s to 1967, has been called "one of the most deeply ingrained brand identities of the past century".[5] The company's CEO is Sherilyn S. McCoy, who was appointed to that position in April 2012.[6] The former CEO, Andrea Jung, became the executive chairman of the board. Jung was the longest tenured female CEO among Fortune 500 companies.[7]…

    • 723 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Founded in 1886, Avon is one of the world’s largest manufacturers and marketers of beauty-related products. This case describes Avon’s push into foreign markets via a combination of nationally responsive and globally standardized marketing strategies. The company has its own sales operations in 66 countries and territories, and it distributes to another 44. More than 75 percent of its sales come from outside the U.S. Avon seeks to develop a global image of being a company that supports women and their needs. It relies heavily on independent salespersons who sell directly to individual customers. Avon emphasizes standardized products that carry its global brand, but allows product lines and brand names to vary by country if needed. In addition, each country operation sets its own prices to reflect local market conditions and strategic objectives. Whenever possible, Avon transfers organizational learning and successful practices from one country to another. [See Map 16.1]…

    • 810 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Elizabeth Arden made her passion known by revolutionizing the world of cosmetics, converting merchandises into necessities for the commercial consumer and establishing a flourishing international business. Her industry trick ‘repetition makes reputation and reputation makes customers’, has never let her down. It’s hard to belief, once a young woman with only her massage skills would ever become a successful businesswoman in a time and industry with not considerable promise. Against odds, Arden succeeded in creating a name for herself and transforming an entire trade. Even starting out with just her salon on 5th Avenue, Elizabeth knew that to sell a product, she had to sell herself. Using her extreme confidence and elegance, she expanded her business rapidly. Undeniably, Arden’s accomplishments originate from her sense of salesmanship and knack of making anyone believe in her magic. Described as ‘indisputably, the originator of the global, luxury, beauty industry as it exists today’, her efforts as a cosmetic/pharmaceutical/beauty professional are worth recognition.…

    • 801 Words
    • 4 Pages
    Good Essays
  • Good Essays

    I F YOU HAVE AN EMAIL ADDRESS PLEASE WRITE IT BELOW . T HANK YOU ! EMAIL ADDRESS: _____________________________________________________________ _________ P ARENT C ONFERENCE R EQUESTED . P LEASE CALL THE SCHOOL TO SET UP AN…

    • 824 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Avon Case Study

    • 863 Words
    • 4 Pages

    In what way does Avon follow a global strategy? Does this experience indicate that it should pursue a different strategy? Avon way in following a global strategy was when they announced the ban on all direct selling and had to switch to the traditional retailing. Meaning that all the Avon sales associates that sold their products from out the comfort of their home would now have to sell from a retail store. Being that Avon is a foreign business in China, the regulatory and bureaucratic uncertainty continued to be a major problem. This made the company reconsider its strategic approach to the global market. This experience does indicate that it should pursue a different strategy but Avon decides to take on the strategy that would most benefit the company and building it to become better and meet high expectations.…

    • 863 Words
    • 4 Pages
    Powerful Essays
  • Good Essays

    This paper will discuss and argue Avon's position on whether the grand strategy, under the leadership of Andrea Jung has its merits and if the grand strategy is properly focused and directed. In addition, discuss and argue the position if the grand strategy of Jung is not optimal and needs to be refocused (Syllabus, 2005, p. 16). Evidence will be provided supporting each argument and finally the decision rational will discuss why the weaker factors of the case study were dismissed.…

    • 816 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Marketing and Avon

    • 17415 Words
    • 70 Pages

    An understanding of Avon’s products, and why I chose to use the company in depth and knowledge…

    • 17415 Words
    • 70 Pages
    Powerful Essays
  • Satisfactory Essays

    Estee Lauder: Introduction Founded in 1946, this technologically advanced, innovative company has gained a worldwide reputation for elegance, luxury and superior quality. Estee Lauder Companies, Inc is a U.S manufacturer and marketer of skin care, cosmetics, hair-care and fragrance products. The company¶s headquarters are in Manhattan, New York City. The company launched with four products under its flagship brand but over the decades, the business has grown alongside its reputation for elegance and quality. One of the platforms that Estee Lauder discovered was in 1968, with the launch of Clinique Laboratories Inc and hence become the first company with a line of products that were allergy tested and 100 percent fragrance free. The popularity of the products emerging from this group facilitated its easy expansion into countries across the world. In 1960, the company entered Canada. The next year, it took on Central America, then, came Australia, France, Germany, Japan and the Soviet Union in 1973. In 1985, Estee Lauder¶s sales surpassed $1 billion which reinstated that its namesake¶s special touch, when it came to beauty and selfcare carried with it a universal appeal. In 2000, Estee Lauder Companies began to assert a significant presence on the Internet. Its internet marketing strategy contributed to the company¶s sales surpassing the $5 billion mark in sales just three years later. Today, Estee Lauder products are sold in over 130 countries under the brand names that include Estee Lauder, Tommy Hilfiger, Donna Karan, Michael Kors, Donald Trump, Sean John, Missoni, Daisy Fuentes Aramis, Clinique, Prescriptives, Lab Series, Origins, MAC, Bobbi Brown, La Mer, Aveda, Jo Malone, Bumble and Bumble, Darphin, Rodan&…

    • 3054 Words
    • 13 Pages
    Satisfactory Essays
  • Powerful Essays

    Case Study on Avon

    • 2845 Words
    • 12 Pages

    Avon is one of the diversified cosmetics company in USA and they have implemented several strategy in order to attract more customers for their products. They have the best strength i.e. channel of distribution, loyal customers and the marketing segment which contribute more on the success of sales. However, they have certain problems such as bad-debt, new trend for green products and their not so good homey image. Avon need to implement the strategic plan laid out in this study if they are going to remain relevant to their loyal customers and simultaneously keeping a good reputation and making their name synonymous with glamorous image and good quality products.…

    • 2845 Words
    • 12 Pages
    Powerful Essays