Natura: Global Beauty Made in Brazil

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NATURA: GLOBAL BEAUTY MADE IN BRAZIL

• Founders: Luiz Seabra. Guilherme Leal, Pedro Passos
• L’Oréal, world´s largest beauty company.
• Possibilities for growth included moving to Internet sales, selling products in duty-free shops in airports, and creating retail chains in certain countries.
• Natura had become Brazil´s biggest domestic cosmetics company.
• Leading company in sustainable use of Brazil´s biodiversity.
• Natura was a unique company with a growing vision for humanity (according to Brazilians)

The Brazilian Beauty Market

• Beauty Premium: Physical Attractiveness appeared to exercise a major impact on individual lifestyles.
• In 2004, beauty was a US$231 billion global business.
• Brazil had one of the highest
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Natura´s Leadership Model

• Leadership team: soul, head, and body of one living being.
• Mission: Help people find the inner beauty within themselves.
• The three founders closely monitored new products and brands to ensure that they were fully consistent with the overall vision of the company.

Natura´s Culture and Corporate Sustainability

• Organizational culture characterized by its openness, transparency, and respect for its stakeholders.
• Two companies within one: the industrial part (responsible for production and brand) and the commercial part (relationships, marketing, and distribution channels).
• Its success was a consequence of its ability to intimately connect universal values to some perceived Brazilian characteristics.
• Natura became Brazil´s most admired socially responsible company and owned the third-most valuable brand in Brazil in 2004.

The Growth of Competition

• Unilever, Gessy Lever affiliate.
• Procter & Gamble, Johnson & Johnson, Gillette, Wella, L’Oréal, Louis Vuitton, and Chanel.

Market Description

• Brazilian cosmetics and toiletries market was one of the largest and most developed in Latin America.
• Product segmentation played a key role in market development.
• Industry segments: predominance of personal-hygiene sector.
Sales channel in Brazil played an important role in industry dynamics. Supermarkets/Hypermarkets were the dominant

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