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Case Study for Avon

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Case Study for Avon
No. | Content | Pages | 1 | Brief Introduction of Avon Product Inc. | 2-4 | 2. | Situational Analysis A. General External Environment [PEST] 1. Political/Legal 2. Economic 3. Social-cultural 4. Technological B. SWOT Analysis * Strenght * Weakness * Opportunity * Threats C. Industry AnalysisThreat of New EntrantsBargaining Power of SuppliersBargaining Power of BuyersProduct SubsitutesIntensity of Rivalry among Competitors D. Matrix Used 1. Internal Factor Evaluation Matrix[IFE] 2. External Factor Evaluation Matrix [EFE] | 5-1011-1314-1919-22 | 3. | Recommendations | 23-25 | 4. | Summary and Conclusion | 25 | 5. | Appendices | 26-29 |

1. Brief Introduction of Avon Product Inc.
In year 1886, a company named The California Perfume Company (CPC) was founded by David H. McConnell. The first company office was in New York. In 1914, CPC opened first office outside United States in Canada. As the Roaring Twenties reached its peak, CPC had more than doubled its sales to $2 million and the representative increases from 10,000 to 25,000 in United States. Company’s home office moves to Fifth Avenue in New York City. The first products were offered under the brand name Avon. These products were toothbrush, talcum and vanity set. David Jr., become the president of the company after his father, David H. McConnell died. Their products were guaranteed and bore the Good Housekeeping Seal of Approval. The company’s name changed to Avon Products Inc in September 193. J.A. Ewald became the president after David Jr. He introduces mechanized billing and took the company public in 1946. In 1954, Avon launched television advertising campaign entitled “Avon calling”. The company became a household name in the United States with the television advertisement catch phrase “Ding Dong, Avon calling”.
In 1979, Avon purchased the jeweller Tiffany’s. James Preston, CEO of Avon fought in 1990 to preserve Avon’s independence from a series if takeover

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