Professional Documents
Culture Documents
Prepared By:
Tabia Macfarlane
Chrystal Brady
Ricardo Hanson
Denise Heaven
Claudette Drummond
Shermete Jones
Joycelyn Thompson
Case Abstract................................................................................................................3-5
Internal Assessment
Strengths..........................................................................................................18
Weaknesses…………………………………………………..........................19
External Assessments
Opportunities……......................................………………………….............25
Threats.............................................................................................................26
Financing Options
Evaluation
Balance Scorecard…………………………………………………...............43-46
Conclusion...................................................................................................................47-48
Reference.....................................................................................................................49
[3]
Case Abstract
with the first office located in New York. In 1906 the San Francisco earthquake
destroyed CPC’s California office however, before long the company reopened. CPC’s
first office outside United State was opened in 1914 in Montreal, Canada. In the 1920’s
CPC sales doubled to $2 million during this time there were more than 25,000
representatives in the United States. The Company’s name was change to Avon Products
Inc. after the British town Stratford-upon-Avon in 1938. Avon’s sales increased to about
$16 million and in 1946 the company was announced publicly with advertising campaign
such as “Avon Calling”. Avon expanded overseas to countries such as Puerto Rico, Cuba
and Venezuela. In the 1970’s U.S sales top $750 millions and the first Avon Asian
business was opened in Japan. Avon also acquired the Jeweler Tiffany’s during this
period of growth. It was the first major U.S. cosmetics manufacturer to permanently end
animal testing.
Avon adopted five (5) core values which are Trust, respect, belief, humility and
integrity which are evident in the mission statement to be a Global beauty leader,
women’s choice of buying, premier direct seller, the best place to work, largest women
Avon success lies within it channel of distribution, it is the world’s largest direct
seller with 5.4 million Avon representatives in over 100 countries. Additionally, it is the
largest micro lender to women and it among the world top global brands. The company
increased it’s investment in 2007 by over $120 million which aided in the development of
[4]
new sales leadership opportunity, improved training, technology tools and changes in
commission structure.
There are three (3) product categories which Avon distributes, they are beauty,
fashion and home. In 2008, Avon changed its marketing approach of concentrating
mostly on a homey image and is now including celebrities as apart of their promotions.
The company advertising cost increased from $136 million in 2005 to $249 million in
2006 and $368 million in 2007. Reese Witherspoon is the Avon Foundation first global
ambassador and honorary chairwoman who appear in advertisement for Avon make up,
skin care products and fragrances. “Spotlight” the new fragrance was launched in 2009
Avon’s largest manufacturing plants, Brazil, China and Poland received the ISO
14001 certifications in 2008. Various awards were granted during this period such as the
Clean Industry Certificate to the manufacturing plant in Mexico. During the same period
Avon’s revenues increased 7.5 percent and net income increased by 65 percent.
Avon Products Inc. closest competitors are Revlon, Inc and Mary Kay Inc. Mary
Kay Inc uses the same approach as Avon which is direct marketing approach which
Revlon sells its products through cosmetics counters in department stores are pharmacies.
Avon revenues far exceed that of its competitors in 2008 Avon’s revenue was $10.37
billion compared to Mary Kay $2.40 billion and Revlon $1.35 billion.
and internet carrier sites to help increase Avon’s revenue. Andrea Jung is the Chief
Executive Office who is leading the management team of thirteen to achieve its goal.
[5]
Avon: Beauty, Home and Fashion
To be the company that best understands and satisfies the product, service, and self-
The Global Beauty Leader—We will build a unique portfolio of Beauty and related
brands, striving to surpass our competitors in quality, innovation and value, and
elevating our image to become the Beauty company most women turn to worldwide.
(1, 2)
The Women’s Choice for Buying— We will become the destination store for
women, offering the convenience of multiple brands and channels, and providing a
personal high touch shopping experience that helps create lifelong customer
relationships.
The Premier Direct Seller— We will expand our presence in direct selling and lead
superior earnings, recognition, service and support, making it easy and rewarding to
be affiliated with Avon and elevating the image of our industry. (3)
The Best Place to Work— We will be known for our leadership edge, through our
passion for high standards, our respect for diversity and our commitment to create
exceptional opportunities for professional growth so that associates can fulfill their
[6]
The Largest Women’s Foundation— We will be a committed global champion for
the health and well-being of women through philanthropic efforts that eliminate
breast cancer from the face of the earth, and that empower women to achieve
economic independence.
The Most Admired Company—We will deliver superior returns to our shareholders
The five values of Avon are: Trust, respect, belief, humility, and integrity. (6, 8)
Vision (proposed)
To be the leading provider of home, fashion and beauty products that will satisfy our
Avon is committed to being the leading global provider of home, fashion and beauty
products that will enhance the lives of our customers. We will utilize latest technology
and will pursue new growth opportunities that will bring about wealth for all our
stakeholders. At Avon we firmly believe in respect: respect for people and respect for the
environment.
since the company is now offering products for women, men and children. Additionally,
in light of the fact that the world is going green we thought that it was prudent to include
sustainable future.
[7]
The proposed mission statement incorporates all nine components that are
essential to a good mission statement. The essential elements are customers, products and
service, markets, technology, concern for survival, growth and profitability, philosophy,
self concept, concern for public image, and concern for employees. The ‘proposed
mission statement also speaks to the company’s values of trust, respect, belief, humility,
and integrity.
The old slogan for Avon states “the company for women” we have decided to
change this slogan to “Avon: the company for everyone – committed to the enrichment of
lives”
Mary Kay’s mission is to enrich women’s lives. We will do this in tangible ways by
force, and fulfilling careers to our employees. We also reach out to the heart and spirit of
women, enabling personal growth and fulfillment for the women whose lives we touch.
We will carry out our mission in a spirit of caring, living the positive values on which our
The components identified were customers, products, philosophy and concern for
employees; hence it lacked the identification of the market, technology, concern for
survival, growth and profitability, self-concept, and concern for public image.
[8]
INTERNAL ASSESSMENT
Table 1.1
Avon Product Inc. Current ratio have increased from 2006 to 2008 which states
that they may not face complications in liquidating its assets, if needed in the
short – term
Profitability ratios have seen an increase which is a clear indication that Avon
Products Inc. is much more well in terms of profitability in 2008 than in previous
years. Additionally, more operating income means that more projects can be
[9]
Total Asset Turnover ratio has steadily increased over the period which shows
that the business is generating sufficient volume for the size of its asset
investment
Debt/equity ratio has increased from in 2008 compared to 2006 and 2007 which
indicates that Avon Products Inc holds much more financial leverage in terms of
Figure 1.1
Chairman
and CEO
Vice
President,
President
Chief
Avon
Finance and
Products
Strategy
Officer
EVP, Avon
SVP, Chief EVP, Global SVP Global
SVP and SVP and Latin SVP &
SVP, Global SVP & Information Direct
SVP Human Global President American President Supply
Communica General Officer Selling and
Resource Brand Avon Asia and Central North Chain
tions Counsel (CIO) Business
President Pacific & Eastern American
Innovations
Europe
[10]
NOTE:
Analysis:
• The structure shows direct communications from the CFO to the CEO
• It is not clear why the regional divisional presidents are on the same level as the
• It is not clear who reports to the Chief Finance and Strategy Officer although this
• There could be communication problems since all high level manager report to
[11]
Figure 1.2
Andrea Jung
CEO
EVP, Global
SVP, Human Direct VP, Chief SVP &
Resource SVP, Global SVP Global SVP and
Selling and Finance & General Chief
Research & Communicati Supply Chain Global Brand
Business Strategy Counsel Information
Development ons President
Innovations Officer Officer
EVP, Avon
Latin
SVP & SVP and
American President
President President
and Central Western
North Avon Asia
& Eastern Europe
American Pacific
Europe Middle East
and Africa
Analysis:
For the proposed organizational chart we recommend that dual titles should not be
used such as SVP and CIO. Additionally, we separated the divisional presidents from the
same line of communication as the SVP, Human Resource. Also directly below the CEO,
we moved the Chief Finance & Strategy Officer who we thought could be view as the
COO. We recommend that the divisional presidents report to the COO who would then
Development (R&D) Officer would report directly to the CEO. This individual would be
responsible for overseeing all the aspects of a research project eg. repositioning the Avon
brand. The R&D officer would aim to develop eco-friendly products through means
which are more environmentally friendly also such an individual would have the
[12]
responsibility to be fully aware of all the things that are happening especially in terms of
Avon
Revlon
Mary Kay
The top-to-bottom approach was used to narrow down two important variables,
customer service and quality of products. The key feature of a market positioning map is
that only key or immediate competitors should be plotted. The competitors Revlon and
Mary Kay are well-established firms with Revlon plotted with higher quality products
(Cosmetics). Avon was strategically plotted to show that they lead in customer service.
However, when compared to cosmetics quality Revlon and Mary Kay are leading.
Avon has gained an outstanding reputation as the best direct seller of beauty
products. Through the continued efforts and achievements of its Sales Representatives
Avon is now known worldwide. Avon's core competence has mainly been through direct
[13]
selling, knowing this Jung and the management team implemented a Sales Leadership
program in its ten largest markets and provided these markets with incentives to acquire,
train, motivate, and retain the number of active Sales Representatives it needs to sustain
significant growth.
Avon
Heavy investment in online search engines and internet carrier sites to improve on
delivery
make up
New and innovative products which are embraces by celebrities eg. ‘Spotlight’
which was a new fragrance introduced with Courtney Cox being the face of the
product.
Avon lacks brand image – the name ‘Avon” is not associated with most of the
products.
Revlon
Prestige – Department stores, specialty stores and chain department stores such as
JC Penny (international)
[14]
o Broad – Drugs stores, food stores, cosmetics discounters
Brand Strategy - high price link to quality of products and brand image
Mary Kay
[15]
Map locating the firm’s operations:
Avon Products, Inc. markets its products to women in over 100 countries through
over 5 million independent Avon Sales Representatives. The map below shows the six (6)
[16]
• Argentina • Bolivia • Australia • Hong Kong
• Brazil • Chile • India • Japan
• Colombia • Costa Rica • Malaysia • New Zealand
• Ecuador • El Salvador • Philippines • South Korea
• Guatemala • Honduras • Taiwan • Thailand
• Mexico • Nicaragua • Vietnam
• Panama • Paraguay
• Peru • Uruguay
• Venezuela
• Botswana • Cyprus
• Dubai • Egypt
• France • Germany
• Greece • Iceland
• Israel • Italy
• Jordan • Kuwait
• Lebanon • Lesotho
• Luxembourg • Malta
• Mauritius • Mozambique
• Morocco • Namibia
• Netherlands • North Cyprus
• Norway • Oman
• Portugal • Reunion Island
• Saudi Arabia • South Africa
• Spain • Swaziland
• Switzerland • Tunisia
• Turkey • Turkmenistan
• Uganda • United Kingdom
• Zambia
product and credit each year to help women start their own entrepreneurial
businesses
8. Avon is one of the world’s top global brands. Avon has major brand names
such as Anew, skin-so-soft, Avon Color etc with 90% recognition worldwide.
[18]
1. Decrease in North American Sales Revenue by 129.4 million
2. Weak Brand Image
millions in 2005 to $249 millions in 2006 to $368 millions in 2007 and 14%
higher in 2008
6. Beauty Sales in the first quarter 2009 were 12% lower compared to sales
Table 1.2
[19]
Internal Factor Evaluation Matrix (IFE)
Weaknesses
1. Brand Image 0.06 1 0.06
2. High advertising costs 0.05 2 0.1
3. Misleads representatives 0.03 2 0.06
4. Avon seems like a commodity 0.05 2 0.1
5. Avon lagged behind seven of their cosmetic
companies in customer loyalty 0.09 2 0.18
6. Revenue decreased in North America by 129.4
million 0.04 2 0.08
Total 1.00 2.97
[20]
EXTERNAL ASSESSMENT
Revlon
Mary Kay
Mary Kay and Revlon are considered two major competitors of Avon Products
Inc. in the cosmetics industry. Avon Product inc. is seven and half times larger than
Revlon and approximately eight times larger than Mary Kay. Although the majority of
drugstores, or cosmetic stores, Avon sells its products solely through its direct-selling
in department stores and pharmacies, Mary Kay rivals with Avon Inc. as they both use
In 1983 Mary Kay Cosmetics was founded in Dallas, Texas, by Mary Kay (now
Mary Kay Ash). This company is known for providing women with exceptional
opportunities for professional achievement and economic success and rewarding women
for their success. In 2009 sales of Mary Kay products reached $2.6 billion in wholesale
worldwide. There are more than 37,000 women across the world who has become
Independent Sales Directors. Mary Kay spends millions of dollars and conducts more
than 300,000 tests to ensure that Mary Kay products meet the highest standards of
Mary Kay products are expensive versus Avon which is comparable to store
products. Mary Kay seems to be targeting older women while Avon is branching out to
[21]
attract women of all ages with quality affordable makeup, jewelry, shoes, purses and
children’s items. Mary Kay has stayed in touch with the internet age; each independent
beauty consultant can buy his or her own website to sell clients over the internet. In fact
Avon’s revenues far exceed both major competitors. Their revenue is almost four
and half times that of Mary Kay’s and seven and half times Revlon’s. Avon’s revenue
Revlon was founded in 1932, by Charles Revson and his brother Joseph, along
with a chemist, Charles Lachman, who contributed the "L" in the Revlon name. In the
1990's, Revlon revitalized its cosmetics business and strengthened its industry leadership
role. Revlon Sales to Wal-Mart accounts for 23% of the company's total sales. The
company earned $1.3 billion in sales and $950K in net income in 2009. Net sales fell
3.7% to $1.29 billion. Sales in the US fell 4.4% while sales international fell by 2.9%.
The company attributes the loss to the weak global economy. The net sales in 2009 were
approximately $1.3 billion, a decrease of approximately $51 million or 3.8% versus 2008.
Revlon has a more focused product offering than some companies and when one
considers only color cosmetics sales they are much more comparable. Revlon is the
second largest color cosmetics company in the United States. Competitors Estee Lauder
and Avon get the majority of their revenue outside the United States.
[22]
Figure 2.1
Pie Chart:
Data: Sales for Avon in 2009 was $10.83b Revlon 1.30b Mary Kay 2.6B
[23]
Table 2.1
PEST Analysis
Technological Factors
Social Factors Automation
Technology incentives
Rate of technological change
Emphasis on safety
[24]
OPPORTUNITIES
More than sixteen percent of beauty products launched in 2008 were certified
3. Also the cosmetics industry tends to be countercyclical. This means that those are
industries for which the demand is either not correlated with the business cycle.
The demand for their products is not much affected by availability of current
income, but by other personal, social or economic factors. The recession also
joining the industry in the past six or eight months and there's absolutely no doubt
4. Aveda cosmetics found that sixty eight percent of consumers will remain loyal to
economic distress
8. The baby boomers are aging and they are more conscious on their appearance,
[25]
THEATS
5. Inflation rate
7. Direct-selling becoming more popular - Amid the financial crisis Aussie mums
8. They are a multilevel based company that sells inferior quality with a higher price
[26]
External Factor Evaluation Matrix (EFE)
Table 2.2
The table below shows the opportunities that are available and
Threats
7.Competitors 0.08 2 0.16
8. Rejection of Internet Selling by sales rep. 0.07 3 0.21
9. economic Downtown 0.09 2 0.18
10. Market Slowdown 0.08 3 0.24
11. Inflation Rate 0.07 3 0.21
12. Rising cost of commodities 0.07 2 0.14
Totals 1 3.14
Ratings: 1= the response is poor, 2= the response is average, 3= the response is superior,
4= response is superior
[27]
Table 2.3
The table above shows the various area of the organizations competitive edge in
the industry.
[28]
Table 2.4
STRENGTHS WEAKNESSES
[29]
Based on the analysis of the SWOT matrix for Avon we have come to realize that
stronger brand image and improve customer loyalty. We also realize that through
aggressive market penetration we will further be able to increase revenue, further strength
our competitive edge and increase profitability in the North American region.
FS Y
6
Conservative 5 Aggressive
4
3
2
1
CA IS
-6 -5 -4 -3 -2 -1 1 2 3 4 5 6
X
-2
-3
-4
-5
Defensive Competitive
-6
ES
Strategic -
aggressive
(0.8)-y
(1.20)x
[30]
Internal Strategic Position External Strategic Position
Leverage 2 Unemployment -4
[31]
According to the diagram above our company has a strong competitive position in
the market with rapid growth. We will use our internal strengths to:
development to develop a full line of “green” products, reposition the brand in terms of
packaging and forward integration. These are all attainable strategies that Avon will
Both the SPACE and SWOT matrix revealed possible strategies to implement in
order to further grow our customer base create brand loyalty and further extends its
competitive advantage and market leadership status. It also acts as a guide to the areas
Allocation of resources and commitment by all stakeholders to the outlined objectives are
While the SWOT and SPACE matrix identifies numerous strategies that Avon can
implement in order to increase brand loyalty, product development and increase internet
presence, it still does not reveal how Avon can become market leader as it relates to
brand loyalty.
[32]
Quantitative Strategic Planning Matrix (QSPM) for Avon Inc
STRATEGIC ALTERNATIVES
1 2 3
Improved
marketing Improve
strategies Improve employee
(packaging, R&D to empowerment
coupons, introduce through
online bill more regional
boards, “green” training and
discounts product development
Key External Factors Weight AS TAS AS TAS AS TAS
Opportunities
Threats
[33]
1 2 3
Improved
marketing Improve
strategies Improve employee
(packaging, R&D to empowermen
coupons, introduce through
online bill more regional
boards, “green” training and
discounts product development
Key Internal Factors
Strengths
5. ISO 14001 certification for all manufacturing plants. 0.05 3 0.15 3 0.15 3 0.15
6. Avon owns its major manufacturing and distribution
centers 0.06 4 0.24 4 0.24 3 0.18
7. Increased in revenue in most geographic area. Due to
increase in internet presence. 0.05 4 0.2 3 0.15 4 0.2
8. First cosmetic manufacturer to end animal testing. 0.05 4 0.2 3 0.15 3 0.15
Weaknesses
[34]
Based on the analysis of the QSPM matrix it reveals that improved marketing
strategies is the most attractive strategy along with improvement in research and
New Strategies
1) To increase revenue total revenue by 10% all market segments- This will be
discounts, coupons, online and bill boards ) to benefit both new and existing
customers.
2) To increase and further develop the “green” product line by 10% - this will be
products.
3) To improve brand image and brand loyalty- Through repositioning the Avon
brand in terms of product packaging to differentiate the product from being just
Existing Strategies
3) Employee Empowerment
boost sales and promote the brand. Avon is already the market leader and people are
aware of the brand. However, through more aggressive advertisement campaigns, sales
will be able to further heighten brand awareness, build customer loyalty and create appeal
[35]
for our products by new and existing customers. We look to achieve this over the first
two years with an estimated amount of 10 million dollars. With 5 million dedicated to
further increase internet presence and the remaining 5 million to cover the other
activities.
will be achieved through investment in research and development; to develop these eco-
friendly products through means which are more environmentally friendly. The demand
for “green” products appears to be a very viable market as consumers and distributors are
becoming more conscious about protecting the environment. Thus creating a demand for
these products, this also presents the opportunity to increase brand loyalty. This will be
done over the next three years at an estimated cost of 10 million dollars.
To improve brand image and brand loyalty- being that Avon lagged behind its
major competitors in terms of brand loyalty; and the assertion by CEO of Brand Key
Robert Passikoff that Avon is not associated with anything and Avon seems to be more
like a commodity. We have decided to reposition the brand in terms of packaging and
labeling of Avon products. We will seek to make the Avon logo more pronounced on the
products. It is believed that consumers will support and be loyal to brands that they can
be identified with. We will actively pursue this over the next three years at an estimated
These recommendations can be implanted on a phase basis over the next three
years.
[36]
EPS/EBIT Analysis for Avon Product Inc. (millions)
Amount needed: $30 mil
Stock Price: $31.90
Tax Rate: 35%
Interest rate: 5%
# of shares outstanding: $427.5 mil
Interest 0 0 0
Debt Financing
[37]
Recession Normal Boom
[38]
Recession Normal Boom
Equity was chosen for financing the company because if recession continues and
the company does not make a profit we are not obligated to pay any dividends
[39]
10,284.70 11,313.17 12,444.49 13,688.94
[40]
Total Receivables net 1219.9 1119.9 1169.9 1219.9
Total Inventory 1067.5 1174.25 1291.68 1420.85
Prepaid Expense 122.8 120.5 110.7 122.8
Other Current Asset 440.7 443 390.7 440.7
Ratios
Total Current Asset 2010 4189.3 2011
4214.05 2012
4228.38 4572.65
Current Ratio
Property/Plant/Equipment total net 1.84 1529.6 1.81529.6 1.7
1529.6 1529.6
Goodwill, net 224.8 231.8 233.8 234.8
QuickNet
Intangible, Ratio 1.3 125.8 1.2 131.8 1.2
134.8 135.8
Long term investment' 49.8 49.8 49.8 49.8
NoteOperating Profit Margin
Receivables-Long term 0.15 0 0.15 0 0.16
0 0
Other Long Term Assets, total 713.4 713.4 713.4 713.4
otherNet
Assets total
Profit Margin 0.07 0 0.07 0 0
0.07 0
Total Assets 6832.7 6870.45 6889.78 7236.05
Return on Stockholders’ Equity 0.63 0.79 0.81
LIABILITIES AND SHAREHOLDERS
EQUITY
Total Asset Turnover 1.66 1.82 1.91
Accounts Payable 754.7 754.7 754.7 754.7
Payable Accrued 0 0 0 0
Debt/Equity Ratio 4.7% 5.2% 4.5
accrued Expenses 1247.3 1247.3 1247.3 1247.3
Notes Payable/short term debt 0 0 0 0
Earnings
Capital LeasesPer Share 3.7 138.1 4.1 138.1 5
138.1 138.1
Other current liabilities total 134.7 241.9 358.88 488.05
Total current liabilities 2274.8 2382 2498.98 2628.15
Analysis:
[41]
The current ratio and quick ratios show that Avon is a good position to meet its
short term obligations even without relying upon the sales of its inventories
The operating profit margin shows that Avon is improving in its efficiency which
The net profit margin shows that profitability will improve thus shareholders can
The total asset turnover shows that the return on the asset investment is good
The Debt/Equity ratio shows that Avon is using more equity to finance operations
Balance Scorecard
The strategic planning and management system that provides a frame work for
measured and completed, while enabling executives in the execution of these strategies
There are four fundamental perspectives from which organizations using this system can
[42]
3) Internal Business Processes perspective refers to the internal aspects of the
business, wherein managers can analyze the overall operations of the business to
see how well the provision of its goods and services and its ultimate impact on
4) Learning and growth perspective includes the training and continuous upgrading
Avon inc. now plans to use the BSC system to implement the essential link between
business-planning strategies and people plans for greater productivity. This is to ensure
that as a company we can achieve increase growth in revenue , increase market share,
ensuring the delivery of quality and timely services, providing the appropriate training
adopting various social institutions such as food for the poor are high on the priority list
[43]
EVALUATION
Time Primary
Objectives Measure/Target Expectation Responsibility
Chief Financial
Financial Officer
To succeed Lower customer Shareholders value
financially, acquisition costs. Continuous
Double digit sales Growth in revenue
how we appear to growth
Increase market share Increase profitability
our shareholders for on-line products
Target 10% return on Market share
investment.
Achieve at least 10%
on net profit in 1st year
of new product Net profit on percentage sales
Customers Operations
Ensure on-time Percentage of on- time
How to achieve our delivery always delivery. Continuous
vision, the Number of customers, email
importance of Increase customer addresses, time duration
retention between purchases
Percentage on return
satisfying our Reward customer Conversion rate
customers loyalty
[44]
Internal Business Operations
To analyze
operations and see Supply chain
how products and excellence in order quick turnaround on the
services achieve confirmation delivery of orders Continuous
total shareholder and Adoption of some Incorporating and engaging
customer satisfaction, social services quality, talented skills
What business
process must we
excel at? Generating revenue
Operations -
measures of quality, products
and costs
Learning & Growth Human Resource
To achieve
continuous training Ensure managers are People - employee retention,
and upgrading exposed to training and skills Continuous
of employees skills Successful penetration of new
and abilities. market changes markets
Always keeping
abreast Online service Continuous improvement in
of new technology innovation CRM
Advancing change Implement a Increase value in Knowledge
and succession plan management
self- improvement system
In the final analysis our main aim of the BSC is to enable us to meet our strategic
structured and planned way. These plans not only look at the strategic and operational
components for our company to succeed, but also consider the people factor in
[45]
Conclusion
The strategies that we proposed are similar to that of Avon Product Inc’s existing
Strategies. In order for us to see an increase in total revenue by 10% in all market
segments, we will have to explore increasing our internet presence and usage. When we
do this it will lead to an increase in sales as more persons will be aware of online
ordering and purchasing. Internet users are increasing rapidly and it is imperative for an
Avon Product Inc is moving with the rapid changing of times by embracing the
marketing decisions to achieve company objectives bearing in mind the long term
interests of society. We will improve our research and development unit to introduce
more green products all in an effort to promote a more eco-friendly environment. This
[46]
again will enhance the marketing strategy techniques in direct selling and network
marketing.
Repositioning the Avon brand image would entail attractive packaging, designing
a brand logo distinguishing its products from other brands to yield brand loyalty and
employee empowerment through personal identification to and with the brand Avon.
We are proud to be associated with the company Avon who believes in employee
opportunities for its employees and sales representatives. Brand repositioning will bring
existing strategies but explore, incorporate and build on these strategies to better enable
the company to reach its desired long term objectives. We believe that all strategies are
[47]
References
1. David, Fred, R “Strategic Management Concepts and Cases” 12ed. Prentice Hall 2009
[48]