The Problem Of Blaze Cosmetics

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2. INTRODUCTION
Blaze Cosmetics is a manufacturing organisation dealing in beauty products, which produces colour beauty care products and supplies to the top beauty retailers in Australia. The company is based in Melbourne from last 25 years. It also offers other things such as product formulation, manufacturing, packaging, procurement and logistics management. The company has a turnover of $30 million with a profit of 20%. Currently it has 45 employees
Blaze Cosmetics follows two business models, which are:
1. Future Beauty Program
2. Colour Forecasting Program
The main reason of the report is to provide an overview of the situation in Romania, where Blaze Cosmetics wants to expand and start a new business venture. The report covers
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Policies were impacted by the exit of National Liberal Party [PNL] in 2014 from the principal coalition. As the new government’s economic policies focused on engaging in populist measures the country’s economy is struggling. International Monetary Fund’s agreement had to be imposed on the country to keep everything in check. As Romania has the highest value added tax rates in Europe at 19 percent and tax rates at 16 percent, international businesses remain conscious of investing (Sustainable Governance Indicators 2015).

3.2 GDP and GDP growth The Gross Domestic Product (GDP) average in Romania was 84.94 USD billion from 1987-2014 and reached its maximum point in 2008 at 204.34 USD Billion( Tradingeconomics.com,2015).

The trend is expected to grow (Data.worldbank.org, 2015).

3.3 GDP per capita

According to the econmic outlook database, the GDP per capita will continue to rise in the following years.
3.4 Consumer Price Index
CPI has averaged at 102.92 points for the last 25 years, i.e. from 1990 to 2015. Romania’s highest CPI points were achieved a long time back in 1997 and the record low of 97.05 was achieved in the current year in the month of June. CPI was 99.83 in July 2015 (Tradingeconomics.com, 2015).

Trading Economist forecasts that CPI of Romania will be at 99.60 points for the end of the current quarter and in a years’ time will go up by 0.24 points.

3.5 Inflation
For the month of August 2015, the
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