Future of Avon in China Case Analysis
Essay by Ching25 • March 31, 2018 • Case Study • 1,202 Words (5 Pages) • 943 Views
Future of Avon in China:
Direct Sales, Retail Sales or Both
A Case Analysis
Marketing Management
BA 206
I. Perspective Held by the Group
The group would like to take the viewpoint of a top-level executive or marketing manager who can determine as to what strategies to undertake. Specifically, we would like to solve this case in the perspective of the manager in charge of its Chinese operation.
II. Statement of the Problem
- Avon is currently facing a dilemma as to what strategy to implement in distributing its products to the Chinese market. Changing and determining the operations model would involve a lot of trade-offs for Avon China.
III. Objectives
- To determine what strategy or model to implement in distributing the products to the market.
- To determine or develop a model that is beneficial and sustainable in the long-run scenario.
IIII. Analysis of Relevant Case Facts
From the viewpoint of the marketing manager, the following are the external macro-environment factors that have affected and may affect the business operations of Avon China, determined through PEST Analysis.
Political Factors |
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Economic Factors |
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Social Factors |
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Technological Factors |
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Table 1. PEST Analysis of Avon China
1 Economist Intelligence Unit (2004) “Coming of Age: Multinational Companies in China”, p.13
2 Chen, D. and Xue, L. (7 February 2005)”Beauty Sector Benefits Chinese Economy”, www.crienglish,com (date accessed 21 October 2005).
3 Global Cosmetic Industry, New York: Apr 2004, Vil 172, p.24
4 Chen, D. and Xue, L. (7 February 2005) on cit.
5 Avon China website, www.avon.com.cn
V. Statement of Strategies and Alternative Courses of Actions
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