All Avon needs to do is get a celebrity to promote its products in advertising campaigns, and the Chinese will be attracted to the products. Considering the products that Avon sells, this aspect is very important.
This explosion of international marketing activity and the appearance of the global information technologies will have a big impact on all businesses in China. The internet and the access gained to the World Wide Web are revolutionizing international marketing approaches.
The disaster that included the beComing line and its first unsuccessful forays into the international scene particularly China and Eastern Europe were lackluster at best and its stiff competition from other well-known foreign brands continues to hound their steps everywhere they go.
Though Avon seems to know and understand its domestic market, it still needs to improve some aspects of its strategy in China.
Indeed, the Chinese government banned direct selling in the country. Since its beginnings, the firm has evolved enormously due to the influence of various microenvironmental actors and macroenvironmental forces.
Otherwise, Avon could try to maintain or boost sales through introduction of a number of product lines. Though the Chinese are fond of American products, especially in cosmetics, they do not like aggressive promotions.
InThomson, Strickland and Gamble noted that Avon acquired about 20 percent of the outstanding shares in a couple of its China subsidiaries to additionally reinforce its grasp of the market C The level of risk that consumers associate with a purchase varies enormously throughout each culture, which is an important element in consumer behavior.
So, Amway faces the challenge to interpret the very different cultural and political implications of their presence in a changing communist country.
Spurred by the increasing popularity of beauty contests and increasing disposable incomes, the importance of emerging markets such as India and Brazil is on the rise for cosmetics companies like Avon. With the experience the company has in the country, it is unlikely that Avon will make cultural faux pas in its home market.
Indeed, China is an emerging economy but a dual economy too, with a wealthy urban population of about million people and a poor country population. Avon is also more exposed to changes in the regulatory environment unlike its traditional bricks-and-mortar retail competitors which can directly affect its particular business model.
As Ernest Engel has proven, as income augments, the percentage of income spent of food diminishes and shifts to consumption categories such as entertainment, clothing, etc. Indeed, the American population is a consumer population, which does not hesitate to get into debt in order to fulfill its consumerist desires.
Until the arrival of the internet and changes in customer needs, Avon never used marketing intermediaries. Avon must realize that there are many cultural differences between the American and Chinese populations and adapt it strategy in regards to these divergences.
The Chinese market has attracted foreign investors because of its huge size and market potential. To do so, the firm had to take into consideration all the actors and forces of the American market.
The company was named Avon inas a tribute to his favorite writer, William Shakespeare. Avon Case study Essay Strategic Position InAvon was recognized as the undisputed leader in direct selling of beauty related products. Whenever a company approaches a market, foreign or not, it must take into consideration all microenvironmental and macroenvironmental aspects.
Seeing that beauty consumers are more and more leaning towards new technologies, it could serve Avon better to introduce new product lines that will have longer lasting effect on the consumer, to somehow curb the impending consumer shift to permanent beauty solutions.
Indeed, the market is filled with corrupt operators who sell poor quality goods with poor services, but declaring to be legal direct marketers.
China has become a major competitor for the high-tech industries. Also, instead of distributing in department stores, Avon has increased the number of its independent sales representatives because women appreciate having advice on beauty products.
Consequently, this leaves more room for companies like Avon to promote and sell their products to men and women all over the country. This level will determine whether a consumer will go choose security in her purchase or if she is willing to try new products and services.Avon Case Study Avon she entered as the President of United States product marketing and continued to impress her upper management.
Her bold decisions made her stand out and she was named CEO in at the age of forty/5(10). Avon Case Study- International marketing Essay Sample When David McConnell founded his company, Avon was first known as the California Perfume Company. The company was named Avon inas a tribute to.
Avon Case Study- International marketing Words | 13 Pages. McConnell founded his company, Avon was first known as the California Perfume Company. Small Business Case Study Essay - Enterprise & Entrepreneuralism Bridgetown Newsagents - A Small Business Case Study Introduction Dillons newsagents is a late closing local shop with a 'Mini-Mart' service.
Avon Case Study - International marketing The company was named Avon inas a tribute to his favorite writer, William Shakespeare.
As the first “Avon Lady”, Mrs. Spitz International Case Study Tanya Latham-Corbett CBU ID Marketing Management Elaine MacNeil February 2, Table of Contents Background 3 Statement of Problem or Issue 3 Primary Issues 3 Secondary Issues 4 Situation Analysis 4 Analysis of Alternatives 5 Recommendations and Implementation 6 References 7 Background Spitz International .Download