preview

Loreal Essay

Decent Essays

In this case, Loreal was exemined as its global and local marketing strategies. Loreal is a multinational and transnational company that operates across 130 countries with its famous global brands. The company was founded in Paris, 1909. The company is the largest beauty and cosmetics company in the world and it has 38 factories all around the world. The company aims innovative, quality, safety and efficiency beauty and cosmetics products around the globe and the vision of the company is: “Beauty is universal.” In this regard, Loreal creates global brands with local knowledge perspective. The company’s marketing strategies are usually based on local responsiveness with global philosopy. Loreal reaches to consumers with many channels according to their psychographic, demographic and psychological profiles. The case pointed out that Loreal thinks globally, and acts locally. Global presence of Loreal …show more content…

Loreal faces some problems about perception of customers that they think Loreal’s products are expensive. According to price sensitivity of people, Loreal international reach is restricted by this logical fallacy. Because Loreal sells cheap consumer products like Loreal Paris, Garnier and Maybelline New York as well as expensive products. Cultural diversity can create a problem when Loreal launches its marketing strategy. Cultural factors affect people buying behavior, because religions, beliefs, values, attitudes, colors, makeup styles and lifestyles differ from one country to another. Loreal captures local markets with specific products, but sometimes these products can be targeted wrongly with different local markets. Because people have their own beliefs, needs, wants and aspirations. Loreal may not fit these needs and wants with its existing products/brands. So the company must create adapted brands for new markets (as we seen in the case Exhibit 3, adapted

Get Access