Cosmetics Industry

Good Essays
Topics: Cosmetics
International Marketing

The Cosmetics Industry

Estee Lauder vs. Shiseido Cosmetics

E. Wang
July 8, 2005
BSAD 491

Introduction The cosmetics business is a billion dollar industry. Every year, women are responsible for consuming millions of cosmetic products. The cosmetics industry is so large because of several factors. The media is a huge contributor to the intense pressure to look a certain way. The idea that "sex sells" is evident in gossip magazines, movies, advertisements, music, and more subtly- in the business world. People first notice what race someone is, how beautiful or ugly they are and what clothes they are wearing. Beauty is skin deep; however, first impressions are usually what others use to base their personal judgments. In the business world, people are expected to dress appropriately and carry themselves appropriately. Studies reveal that better looking people on average earn more than their peers. Obese applicants are discriminated against because of their larger appearance. Sadly, how one dresses and appears is often the determinant of the amount of respect one receives. Cosmetics can pessimistically be seen as a group of products which feeds on either people's insecurities or egos. Optimistically, cosmetics can be a product which helps us bring our best face forward. The desire to look beautiful, young, and sexy does not only apply to women, but men as well. Cosmetic companies are highly competitive with one another. To remain competitive, companies feel the pressure to come out with innovative products. In the past few years, cosmetic companies are expanding their product lines to include products for men. In addition to music, beauty is also the universal language. The popularity of cosmetics in China is growing with the economy. The government's change towards a more market-based economy has opened flood gates of opportunities for its people and foreign companies. Cosmetic companies in the industry have seen an



Cited: Estee Lauder Corporation. Esteelauder.com. 29 Jun. 2005 . MarketResearch.Com. 1 Jul. 2005. "Cosmetics & Toiletries in China: A Market Analysis." . Shiseido Corporation. Shiseido USA. 29 Jun. 2005 .

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