Strategic Analysis of L Oreal in China

Companies across the world are determined to compete for the survival of their brands. The magnitude of success of the marketing and advertising strategies of a new or existing product is majorly depended upon the organization itself. As a matter of stated facts when an organization advertises its products in the market they first have to identify the relevant answers of some questions like what is the product aiming at? What benefits will the user seek by this product? How the organization plans to position itself within the market and what differential advantages will the product offer over the competitors. Because the bottom line of all marketing and advertising campaigns, is to provide the suitable collection of benefits to the end users of the product. Successful companies are usually recognized as iconic brands. Success of a

According to the agreement between L’Oreal and those two local companies, Li Zhida and Yue-Sai Kan who is

2a) Yue Sai should not associate itself with the L’Oreal brand name. Yue Sai’s new positioning strategy emphasizes Yue Sai’s dedication to providing cosmetics specifically made for Chinese women. Also Yue Sai’s longstanding brand promise that “Nobody knows Chinese skin better than Yue Sai” implies that Chinese cosmetic products should be made by Chinese hands. Any association with a foreign parent company will diminish the effect of that message to Chinese consumers.

For the longest time China's Communist party would only allow couples to have one child. They did this becuase they feared their huge population was affecting their economic growth. In recent news however the Communist party has changed their law and now allows couples to have two children, "Driven by fears that an aging population could jeopardize China’s economic ascent, the Communist Party leadership ended its decades-old “one child” policy on Thursday, announcing that all married couples would be allowed to have two children.". As this is a big improvement for China, it's almost nothing compared to the amount of children American's have. A ton of American families have up to five children, and some families even have kids in the double digits. Seeing that one country has already cut back their population in a ritual, that's not so harsh, but restraining, shows how easily it could happen to

What is the China’s population law is when the government decides how many kids you can have , Chinese families had a limit birth of 2 kids.

1a. China and Japan are both industrialized countries where population is decreasing; however, they are both decreasing due to different social, economic, or political factors. With 1.33 billion people, China has been one of the world’s most populous countries, however due to the overpopulation crisis; it caused implications and strain upon the country’s energy and resources. This called for the government attention to fix the issue of overpopulation by developing the “one-child policy” which limits couples to having only one child each. The overall outcome of the policy was to reduce population growth, increase economic growth, limit poverty, and to create better health for the citizens of China. Governments

In this report, I will be exploring the European and global factors that occur within the economic environment. The business I have chosen to refer to is L’Oreal.

China’s One Child Policy, is still one of the most controversial topics today, and the only one of its kind in history Since 1979, China has permitted its people to have only one child per family. The reason was to minimize population growth and increase resources for China’s nearly one billion people. At the time of the One Child Policy, the elder population were living longer and new babies were being born at a higher rate than before. At one point, families had up to five or six children. So, to expand resource usage to a larger number of people, the government sought to limit the legal population to no more than 700-800 million. In October 2015, China changed the policy to two kids per family. This amendment to the policy will take effect

Burberry need to scan their market segments in order to gain the most competitive advantage. Pestle analysis looks at the political, economic, social, technological, legal and environmental factors that affect an organisation providing a ‘comprehensive list of influences on the possible success or failure of strategies’ (Johnson, Whittington, Scholes, 2011). However, the three main changes that focused on in this essay are Economic, Social and Environmental factors. The economy within China is currently very stable; being a part of the 4 fastest growing economies in the world (BRIC: Brazil, Russia, India, China), it has made large strides in recent years in the business and industrial sector. , the country

Louis Vuitton Moet Hennessy, a luxury goods provider is looking to expand their brand dominance in Asia. In order to expand successfully LVMH must evaluate challenges that may arise and get in the way of their successful expansion. In the Asian market, LVMH must deal with political and cultural uncertainties, the threat of counterfeit products, and the increased cost of products in Asia compared to France.

Risk is a core reason why other luxury goods companies, with an eye on a Hong Kong listing, have hesitated. Prada was bold in its listing strategy, and that has to be one of the biggest lessons. It is one thing to identify emerging Asia – and China in particular – as the sweet spot of luxury goods opportunity, it is another to act on it

The report then delivers an audit of the Chinese market including size, consumer behaviour, distribution and transport channels, promotional mechanisms and pricing arrangements. Major competing firms are analysed and their marketing tactics are discussed.

The last problem we highlighted concerns how to increase the number of customers in the mainland China market . First, we believe that the most relevant issue is a survey amongst customers on the Shanghai Tang brand perception and the 5 luxury brands in their top-of-mind, in order to analyze the competitors that the company has to face in the future.

Luxury product sales boost in the emerging marketing like China, which has extraordinary growth and strong potential consumers for the development of luxury goods in the China market. With gradually lower and lower increase of revenue in the European countries, Louis Vuitton (abridged as LV in the following sections) commits itself to set up more stores in China. However, LV is faced with the problems of declining profits in China, which urges it to adjust its entry strategy into the China market. In this case, this report will focus on distinguishing the factors that influence LV’s development in China and

L'Oreal is a cosmetic company, which makes some of the world's biggest beauty products. L'Oreal's success story begins in 1907. It has been the market leader in the cosmetics and toiletries market since 2001 (Euromonitor 2005). Their products are sold in about one hundred and thirty countries worldwide. L'Oreal is divided into four categories - consumer products, professional products, luxury products, active cosmetics. They mainly focus on skin care, make-up, hair care and fragrance. L'Oreal includes some important brands such as Lancôme Paris, Garnier, Mabelline, Softsheen Carson, Matrix, and Biotherm. L'Oreal invests heavily into its research and development which gives them competitive advantage over its competitors.