Cosmetic Industry Analysis

Topics: Cosmetics / Pages: 113 (28106 words) / Published: Sep 21st, 2010

Global economy had experienced the worst recession in decades during 2008 till 2009 (Nouriel, 2009). Fear and panic were surrounded among people. During those days, the main headline of newspaper is about share market decreasing, industrial growth decreasing, and overall instability of the economy. Rumors are thick and flying, as a result, it create more fear among people and households about their savings and hard earned income. Most countries are affected by the recession, especially the developed country, United State (US). For example during May 2009, US housing sector had face a declined of sales, which was 79%, much more than from its peak in 2006 (74%) and became lowest in the history (Xinhua, January 21, 2010). While, stabilization in construction activity and housing prices has come during the mid of 2009, when a turnaround had emerged in housing sector. Besides, a global financial meltdown had affected world stock markets facing huge fallen, large financial institutions have collapsed and world’s wealthiest nations’ governments have to come up with strategies and resolution in order to bail out the financial systems (Anup, 2009). United Union has forecast that in 2010, the world economy is toward a mild growth of 2.4% (Xinhua, January 21, 2010).

1.1 How Did the Downturn Start?

The crisis bursting can be caused by many reasons, inflation, increased unemployment, high oil and food prices, declining dollar value. However among the reasons, it can be concluded as due to the US housing bubble which peaked in 2005 to 2006 (Wikipedia, 2010). US economy is built on credit, therefore credit is a great tool in US and is used wisely. People can easily get credit to start or expand a business. Besides, crediting can be used to purchase luxury goods or assets such as houses or cars. In addition, the combination of low interest rates and large inflows of foreign funds had become the reason for people to do loans for doing investment

References: 10-year Commodity Price Chart for Palm Oil. Retrieved on March 26, 2010. From 1000 Fragrances (2009 June 19) Andrew Farrell. (2008, October 11). Ugly time for beauty companies. Retrieved on 4 March, 2010, from Amandine Ohayon Annual Results In A Difficult Environment, L 'oréal Is Proving .... (2008). Retrieved on 23 March, 2010, from Anup Shah Ashok Som & Prathap Oburai (2009). Global Management Program on Luxury Management. Retrieved on 28 March, 2010 from Aveda Marketing Plan Avon Investor: Company Overview. Retrieved on March 21, 2010. From ( Avon Product Inc Markets: Rise in crude oil. Retrieved on 27 March, 2010 from Brazil Economy Chain Drug Review. (2010, January 1). Product Innovation Well. Retrieved on 3 March, 2010, from China Economy Christian Dior 2008 Annual Year Report. (2009). Retrieved on 20 March, 2010, from Christian Dior Christian Dior. (2010). Retrieved on 25 March, 2010, from Christian Dior Annual Report (2006) Christian Dior Annual Report (2007). Retrieved on 25 March, 2010 from Christian Dior Annual Report (2008) Christian Dior Markets Data. (2010). Retrieved on 21 March 2010 from Clara Cosmetic Animal Testing - Cosmetic Industry. Retrieved on March 26, 2010. From Cosmetic in Russia Cosmetic Regulations for Personal Care Products. Retrieved on March 30, 2010. From Cullen, J DATAMONITOR (2009 Jun 18). Company Profile: Christian Dior. Retrieved on 21 March, 2010 from Datamonitor (2009 June) apan.html David Jolly (2008 May 29) Docstoc. Article: LorealDraft1v2. Retrieved on 25 March, 2010 from Economic Times (2006 February 20) Email Newsletter (2001 June 18). Article: Lancome Selects Avenue A For Digital Marketing. Retrieved on 26 March, 2010 from (1994 January 10) (1994). L’Oreal: International Directory of Companies Histories. Retrieved on 28 March, 2010 from Despite Economic Slide, Japan 's Cosmetic Market Remains Strong Federal Food, Drug, and Cosmetic Act. Retrieved on March 27, 2010.From,_Drug,_and_Cosmetic_Act#Cosmetics Fibre2fashion News Desk (2010 January 29) Financial crisis of 2007-2010. (2010). Retrieved on 1 March, 2010, from Food and Drug Administration.Retrieved on March 27, 2010 Hong Kong Economy. (2010). Retrieved on 6 March, 2010, from Hoppe & Karen (1991 September 1) Index Mundi. (2010). Malaysia Economy- Overview, 2009. Retrieved on 3 March, 2010, from IMI – The Economic Crisis Had Limited Impact on the Cosmetic and Hygiene Industry in Brazil India Economy. (2010). Retrieved on 6 March, 2010, from Industry series: cosmetics Jack Roberts. Building a Loyal Customer Base: Encouraging Customers to Stay Longer and Buy More. Retrieved on March 28, 2010. From

You May Also Find These Documents Helpful

  • Analysis: Cosmetics Industry
  • Analysis of the cosmetic industry
  • industry analysis of cosmetics
  • Cosmetic Industry
  • Cosmetics Industry
  • Cosmetics Industry
  • Cosmetic industry
  • Industry profile - cosmetics industry
  • Indian Cosmetic Industry
  • L'Oreal and the Cosmetic Industry