Mary Kay Cosmestics: Asian Market Entry

Harvard Business School 9-594-023 Rev. July 26, 1996 Mary Kay Cosmetics: Asian Market main course In February 1993, Curran Dandurand, aged(a) vice president of Mary Kay Cosmetics Inc.s (MKC) globular merchandise group, was reflecting on the companys global trading operations. MKC products had been change immaterial the United States for over 15 years, provided by 1992, world(a) gross sales represented only 11% of the $1 gazillion total. In contrast, one of MKCs U.S. competitors, Avon Products Inc., derived over 55% of its $3.6 meg sales (at wholesale prices) from international grocerys in 1992. Dandurand wondered how MKC could expand international operations and which elements of MKCs culture, philosophy, product line, and trade programs were transferable. She wanted to square finish the critical success factors for MKC internationally and establish a marketing strategy for future international expansion. Specifically, she was currently evaluating dickens market entry opportunities: Japan and China. The first was a mature unless profitable market where cosmetics marketing and direct marketing were well-known(a) and accepted. The second was a rapidly growing and changing but relatively unknown quantity market with substantially lower mortal purchasing power.

The Cosmetics and estimate Selling Industries In 1992, worldwide sell sales of facial nerve treatments and color cosmetics products exceeded $50 million, with the United States explanation for $16 billion. The jacket four companies in the U.S. cosmetics market in 1992 were Procter & Gamble with $4. 3 billion cosmetics retail sales, Estee Laud! er, Avon, and Revlon. LOreal, a subsidiary company of Nestle, reign the world market with $5.9 billion in retail sales, followed by Procter & Gamble, Avon, Unilever, Shiseido, Revlon, Colgate-Palmolive, Estee Lauder, SmithKline Beecham, and Gillette. Retail sales by the U.S. direct selling cosmetics pains were estimated at $5 billion in 1992. Cosmetics companies employ two approaches to direct selling: the...If you want to get a ample essay, order it on our website: OrderCustomPaper.com

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