L'Oréal and the Globalization of American Beauty Essay

L'Oréal and the Globalization of American Beauty Essay

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It is safe to say that at this point anyone can identify the tagline “Because you’re worth it” and to what brand it belongs to. L’Oreal is one of the top leading brands in the hair and beauty industry. Not just in Europe where it originated in 1907 by Eugene Schueller, rather across nations in various countries. By the mid-1930’s Eugene not only expanded L’Oreal throughout Europe but also gained a leader for hair and body care products.
In the 1950’s consequent to World War II L’Oreal entered the US Market. It is believed that if can be prevalent in the United States and European markets then it is time to consider further globalization. After Schuellers death in 1952 the leadership was passed onto François Dalle – his right hand. Dalle continued expanding internationally. In 1970’s he revamped the whole structure of the business in order to protect it from becoming a state owned property. This was because the left wing of the French government was demanding the authority to all top firms.
Soon after this, L’Oreal hired many officials that just enhanced the company’s growth in the United States. Owen Jones, who was originally from the United Kingdom, became the CEO of the company. He focused on positioning the products in the market. It is understood from a marketing point of view, that if a product is kept where it is perfectly visible to the consumer eyes it is bound to be successful. Jones acknowledged that and acted accordingly. This was a simple but critical realization that played a vital role in its success.
Even though L’Oreal did face a sufficient amount of competition from the big corporate companies such as Unilever and P&G, it never backed down. After holding stocks for 5 years in Helena Rubinstein and Ralph Lauren Fra...

... middle of paper ...

...al can be described as distinct and innovative, where communication is emphasized upon. The people of the organization are hungry for knowledge and development. Each product is scrutinized in depth; each idea is heard and worked upon. It is an accepting place for those who are ambitious and individuals are judged on what they do – not who they are. Similar to any other firm L’Oreal also faced major competition in the consumer market – Unilever, P&G and Revlon were its main competitors in the year of 2004. However the company felt confident with its market position while its competitors struggled.
L’Oreal led to the globalization of American beauty and its products. At this point individuals all over the world are utilizing their products. It has built a loyal customer base that is almost impossible to compete and like say they – it is “because you are worth it”

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