Herborist is a subsidiary brand of Shanghai Jahwa United Co., Ltd and is the first domestic beauty and personal care listed company, which is capable of competing with multinational companies. Jahwa’s development and brand management capabilities have met the international standards. Moreover, it has the largest productivity in domestic industry, and it is the earliest enterprise in the industry that has obtained the ISO9000 international quality certification. Herborist launched into the market with a brand new concept in 1998 that was the first high-end personal cares brand using Chinese herbs. (Kevin, 2011). Herborist truly believes that Natural and Balanced concepts are the foundation of beauty. Herborist personal care products are the results of the combination of Chinese traditional herbal extract and modern biotechnology. (Herborist, 2014). Using traditional Chinese herbal knowledge is distinct from other competitors. After the analysis, the successful entry benefits from the brand position, philosophy, images the company created, the marketing strategies and distribution channel the company chosen. Through the comparison and careful consideration, I suggest Herborist to expand the market in Mexico for the further growth.
I have chosen the Mexico market through the precise international market selection process. Indeed, the market selection process is seen as the most crucial determination that whether business success or failure (Svend 2011). Currently, Herborist’s primary international market is in Europe, such as France, Italy, Germany, Spain, Netherland and so forth. The report shows there was a 0.3% decrease in growth rate of the Central European cosmetic retail market in 2012 compared to the previous year, GDP gre...
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...conomy.about.com/od/worldeconomy/p/Mexico_Economy.htm. Access: 9/3/2014
Madhok, A. (1997), “Cost, Value and Foreign Market Entry Mode: The Transaction and the Firm,” Strategic Management Journal, 18(1), 39-62.
Pramila, B. (2001), “Human Resource Issues: US-Mexico Joint Ventures.” THE GEORGE WASHINGTON UNIVERSITY. WASHINGTON DC. Available at: http://www.usmcoc.org/pdf/US%20Mex%20JointVentures.pdf. Access: 14/3/2014.
Sephora. (2014), Official Website. Available at: http://www.sephora-me.com/sephora-international/pid55.html. Accessed: 10/3/2014.
Skininc, (2013), “Positive Growth for U.S. Cosmetics and Toiletries Market.” Available at: http://www.skininc.com/spabusiness/trends/Positive-Growth-for-US-Cosmetics-and-Toiletries-Market--206915071.html. Access: 10/3/2014.
Svend, H. (2011), “Global Marketing: A Decision-Oriented Approach.” Essex. Pearson Education Limited.
Miami’s economy is boosted by the large spending habits of its people who spend about seven million dollars alone in hair coloring. The issue of loss of hair is as well addressed by the fact that there are many cosmetic products that promote hair growth. This is reinforced by the spending figures of close to three hundred thousand dollars on hair growth products. Facial cosmetics have been on the rise with a staggering $2,786,883 spent on various beauty products. These range from products that address various facial cover as well as those that address issues to do with anti-wrinkles, acne, anti-aging products among many others. General skin care; from shampoos to skin moisturizers have a figure of $12,241,260 (Ruiz forbes.com). These figures roughly gives us the depth and length that the people of Miami are prepared to go to acquire the perfect looking figures shown in the magazines and television sets that ooze of social status.
Bianchi, C. & Ostale, E. (2006). Lessons learned from unsuccessful internationalization attempts: Examples of multinational retailers in Chile. Retrieved January 11, 2011, from http://www.carlospitta.com/Courses/Gestion%20Financiera%20Internacional/Cases/Failed%20retail%20attempts%20in%20Chile.pdf
Overview NARS Cosmetic is a cosmetic company founded by Francois Nars in New York, US in 1994 (Hollywoodnoirmakeup.com, 2012). It is considered as one of the best-selling cosmetics and skincare products company in U.S.A, Canada, Korea, Japan, and Taiwan (Shiseido Co., 2014). Since the demand for cosmetics is growing every year and people are looking for more quality products, the company decided to open a new branch in the Middle East to have more customers and to satisfy them by making the NARS product more easily accessible. The aim of this paper is to indicate the best country among the GCC to open a new NARS Cosmetic branch by studying every country’s feasibility of a new cosmetic branch. We hope this expansion can please our customers and make better reputation in GCC countries,besides increase our profit.
Noe, Raymond A., et al. Human Resource Management: Gaining a Competitive Advantage. 7th ed. New York: McGraw-Hill/Irwin, 2010. Print.
The U.S. consumer population spent $5.7 billion in 2007 on all fragrances for both men and women. $3.8 billion of this total was generated from the sale of women’s fragrances, consisting of 66.6% of the market. Flare Fragrances managed to generate 9.5% of this total behind three other companies, Depuls, Suzanne, and Aromatique, all with market shares ranging from 11.5% to 15.6%. Flare is projected to have a .5% gain in market share in 2008, which is respectable considering the 3% overall decrease the market is experiencing.
Hill, C., Wee, C. and Udayasankar, K. 2012.International Business:An Asian Perspective. 8th ed. Singapore: McGraw-Hill.
The ease with which firms can enter into a new market or industry is a critical variable in the strategic management process. In some industries the barriers to entry are minimal. In oth...
According to the textbook case study, the main reason is due to the market in the United States for cosmetics are very mature, not to mention extremely competitive. Because of this, Avon made the decision to put its emphasis – and resources – in less-competitive markets. (Daniels, 2010)
Noe, Raymond A., John R. Hollenbeck, Barry Gerhart, and Patrick M. Wright. Human Resource Management: Gaining a Competitive Advantage. 7th ed. Boston: McGraw-Hill Irwin, 2010. Print.
The US and Western European markets are reaching saturation- therefore cosmetic companies see the future markets for their products in Central and Eastern Europe, Chi...
Willy McCourt & Derek Elridge (2003), Global Human Resource Management, pp 311 - 315. Edward Elgar publishing.
Based on the information provided in the L’Oreal case, Yue Sai struggled to grow and capture additional sales in the high-end Chinese cosmetics sector. In the past, L’Oreal attempted to position Yue Sai in several different ways which can be viewed as detrimental to the company image, showing uncertainty as the company struggles to see which positioning strategy will stick. The most recent positioning presented in the case, which desires to “deliver Yue Sai’s longstanding brand promise that ‘Nobody knows Chinese skin better than Yue Sai’”, allows the highest probability of success for the company capitalizing on countless fresh trends in Chinese cosmetics (6). The positioning statement would reflect this new strategy: “For the modern Chinese woman Yue Sai offers a line of high-end cosmetics. Unlike other high-end cosmetics Yue Sai combines traditional Chinese medicine and sophisticated technology adapted to the unique skin type of Chinese women.” Yue Sai saw reasonable success and hope in the new Vital Essential line which utilized traditional Chinese medicine and, therefore, resulted in above average repeat purchases. Continuing to focus the strategy around traditional Chinese medicine should benefit Yue Sai considerably. Another suggested strategy would be to wholly reposition Yue Sai, however this is ill advised. As stated in the case, Yue Sai tried numerous different positioning strategies, which ultimately provided no clear path strategy. Repositioning would show uncertainty in the company, lowering brand value in the eyes of the consumer.
Oesterie, M. J., Richta, H. N., & Fisch, J. H. (2012). The influence of ownership structure on internationalization. International Business Review, 22(1), 187-201.
- Volberda, H. Morgan, R. Et al. 2011, “Strategic Management: Competitiveness and Globalization”, Cengage Learning EMEA ,Pg 244-258
Mistine is still the number one cosmetic in Thailand and provides more than 6,000 products, which are divided into 5 groups (Mistine Cosmetics, n.d.). Mistine offers Body Care, Personal Care, Make Up, Fragrance, and Skin Care (Mistine Cosmetics, n.d.). All of their products are certified and produced through quality manufacturers (Mistine Cosmetics, n.d.). The distributor, Better Way Company, feels that because of its acceptance throughout the Thai market Mistine can become “number one in the heart of worldwide cosmetics users” (Mistine Cosmetics, n.d.). Better Way recently built a new “state-of –the-art” distribution center (Mistine Cosmetics, n.d.). It is being considered “one of the most advanced technological systems in South East Asia” (Mistine Cosmetics, n.d.).