...Marketing Management-I Assignment-I Environmental Analysis Personal Care in Amway Acknowledgment Perseverance Inspiration and motivation have always played a key role in the success of any venture. So hereby, it is our pleasure to record thanks and gratitude to the people involved. Last, but not least, we would like to thank all group members who support us throughout the assignment. Contents 1. Overview ............................................................................................................................................ 4 2.Micro Environmental .......................................................................................................................... 5 3.Macro Environment ............................................................................................................................ 7 4.Consumer behaviour ........................................................................................................................... 9 References ............................................................................................................................................ 11 Overview The Indian personal care industry is estimated at Rs 45000 crores. The industry is divided into personal care, fabric wash, hair care, oral cares, skin care, coloured cosmetics, toiletries and fragrances. The industry has a low entry barrier and competition is severe. Besides the large multinational players, there are...
Words: 1666 - Pages: 7
...Amway (short for American Way) is an American multinational direct-selling company that uses multi-level marketing to sell a variety of products, primarily in the health, beauty, and home care markets.Amway was founded in 1959 by Jay Van Andel and Richard DeVos. Based in Ada, Michigan, the company and family of companies under Alticor reported sales growth of 17%, exceeding USD$10.9 billion for the year ended December 31, 2011 - the sixth consecutive year of growth for the company.Its product lines include home care products, personal care products, jewelry, electronics, Nutrilite dietary supplements, water purifiers, air purifiers, insurance and cosmetics. Amway conducts business through a number of affiliated companies in more than a hundred countries and territories around the world. Amway was ranked No.114 among the largest global retailers by Deloitte in 2006, and No.39, 32 and 28 among the largest private companies in the U.S. by Forbes in 2009, 2010 and 2011 respectively. Jay Van Andel and Richard DeVos, friends since school days, had been business partners in various endeavors including a hamburger stand, air charter service, and a sailing business. In 1949 they were introduced by Neil Maaskant (Van Andel's second cousin) to the Nutrilite Products Corporation. Nutrilite was a California-based direct sales company founded by Dr. Carl Rehnborg, developer of the first multivitamin marketed in the United States. In August 1949, after a night-long talk, DeVos and Van Andel...
Words: 2590 - Pages: 11
...Case Study: Amway- The role of stakeholders 1. Who are the stakeholders and what methods of communication does Amway use with each? “Stakeholders” is a group or individual that has an interest in an enterprise or project. The primary stakeholders in a typical corporation are its investors, employees, customers and suppliers. Some definitions suggest that stakeholders are those who have the power to impact an organisation or project in some way. There are many ways to communicate with the stakeholders. Like Amway, they use websites, emails and voice mail to updates, promote product and services to Amway Business Owner (ABOs) and their customer. Amway also use industry group as a way to share and received industry information among the member. Publication such as monthly newsletter, Amway Focus and Amagram use to updates all members regarding new information on Amway. For example Amagram includes recognitions of ABO success, articles on new leader (Diamond and above) as well as product training and other information. Other than that Amway use events and exhibition as a tool to connect with ABOs, consumers and guest about running an Amway business and the products it can deliver. 2. Explain how the ABOs operate their business and potential issues? Amway combines direct selling with a multi-level marketing strategy. "Amway Business Owners" (ABOs) may market products directly to potential customers and may also recruit (sponsor) and train other people to become ABOs. ABOs may...
Words: 418 - Pages: 2
...Maldives National University Faculty of Management and Computing ------------------------------------------------- BUSINESS COMMUNICATION (BUS 103) Individual Assignment Semester 2, 2013 NAME: AHMED WAHEED STUDENT ID: 000033505 COURSE: DIPLOMA IN BUSINESS 1) Describe any situation in which you were involved where the communication went wrong. Analyze the communication process in that situation, using the terms sender, receiver and other elements. Which element (s) of the communication process disrupted the situation? What lessons did you learn? Answer: Three years back I worked as a journalist at Television Maldives and in this situation I was the receiver of the communication process. As I worked as journalist information’s on allocating tasks and event schedules were received by our senior editors. Saturday is normally my off day. After my off day when I came back to office on Sunday, the secretary sends me a notice saying that I have to meet news room head after the editorial meeting. So I did. When I meet him he told me that I didn’t attend to cover an event which was on Saturday. I told him that it was my off day, and no one informed me about it. If there is any important event to cover before also I have worked on my off days. Before I was informed one day prior about the event I have to cover on my off day. But the last day I didn’t receive the information. I went back to news room and checked the notice board, the event schedule and assigned journalist...
Words: 1005 - Pages: 5
...The activities of each Amway distributor are determined by the Amway Sales and Marketing Plan. Amway practices direct selling which is 'A method of selling goods directly to the consumer by an independent Distributor. A Distributor can then introduce further Distributors and generate income from retail profits supplemented by bonus payments based upon the total sales of the group built by a Distributor'. Income is generated by a distributor through: the retailing of goods to consumers. Retail margins (mark-ups) on the basic wholesale price represent income to the selling distributor. additional performance and leadership bonuses, paid on the volume of personal business of the distributor and the business volume of the distributors he has introduced to the business. various levels of leadership bonuses, dependent upon the overall size and shape of the business, paid on achieving different levels of business performance. This plan, therefore, rests upon the twin foundations of retailing and sponsoring. Retailing - the selling of goods to consumers on which retail margins are earned and performance bonuses gained. Sponsoring - the introduction of other individuals to establish and develop their own independent Amway distributorships. Retailing enables distributors to provide immediate financial incentive rewards. Sponsoring enables distributors to replicate the base with other people, thus allowing the organisation to grow. Direct selling...
Words: 394 - Pages: 2
...Amway is the largest multinational direct selling company . It is started in 1979 by Jay van andel and Rich devos. Amway operates 97 countries like India, China , Malaysia and etc . They have 150 products and in four categories. They used multilevel marketing strategy to deal in beauty , health care and home care product . The business was creating by huge chain of 3 million sales people globally . It is vast product portfolio that contains more than 450 products with 89 million members worldwide. In 1995 Amway was established in India. Their main office in Delhi and over period of 15 years .it was able to open 152 offices along with 64 warehouses with 500 employees . Its sales turnover showed increment of 7% in year 2012 leading to Rs. 2288 crore making it ahead of its competitors. Amway products which are 15 % cheaper than competitors and which are sell by door to door and advertising all over India. Mission • Provide best business opportunities • To deliver best quality products like home care, personal care, cosmetics and wellness in semi urban and urban area. Vision • Helping people to achive their goal by offerning better brand and opportunities for the future. PRODUCTS Amway has 140 quality products in four categories which are environment friendly and makes strong foundation for its success. • Personal Care • Home Care • Nutrition and wellness • Cosmetics Sales and Marketing Plan: The basic idea...
Words: 963 - Pages: 4
...MARKET 1. What are the major SWOT considerations in Mistine’s attempt to continue its growth and dominance in the Thai market? Strengths – All of their products in their 5 categories are thoroughly tested by the FDA. Full refunds are offered if customers are unsatisfied. Strong sales even during the global recession through directed buying. They have a fantastic recruiting system of employment of both men and women. Weakness – AVON has a major presence in 1st world countries like the United States where Mistine doesn’t have near the presence. America is usually the gauge in success on the world state. It directs most of its direct sales toward one type of culture. Opportunities – Mistine can expands its business further outwards toward more European markets and the western markets which it has a lot of ground to make up for versus AVON. Threats – Competition coming from Avon, Giffarine, and Amway. 2. How can Better Way stay on top in Thailand while it looks to expand internationally? Better Way can continue to focus on their exports, seeing as they did such an excellent job getting exports to other countries during the economic downturn to cash strapped people around the world. Their advertising slogan of “Mistine is here!” Will continue to work in new markets because it’s a similar idea of what IKEA does in new markets. It portrays a product that you m ay have always wanted but never had the chance to get before until now. 3. What specific marketing initiatives...
Words: 438 - Pages: 2
... Introduction Amway is one of the world's largest direct sales companies. It is a global enterprise that started the company in 1959. Founded in Ada, Michigan by Rich DeVos and Jay Van Andel, the company continues to be privately owned by the DeVos and Van Andel families. Currently more than 3 million Amway salespeople on six continents sell more than 450 quality Amway products directly to consumers in over 80 countries and territories. Amway distributes a variety of products, including: 1 Personal Care - fragrances, body care and hair care products 2 Skin Care and Cosmetics 3 Durables - cookware and water treatment systems 4 Nutrition and Wellness - food supplements, food and drinks 5 Catalogue Items - third party electrical goods Home Care - laundry, cleaning and car care products Amway employs people worldwide in its offices, manufacturing centers, warehouses, call centers or stores. It also works with around three million Amway Business Owners (ABOs) in more than 80 countries. These ABOs are the link between Amway and its products and the consumer. They also link Amway with communities across the globe. For more than 45 years, it enabled people to have a business of their own. How Amway use the operation to compete? Amway has built up a strong regional structure around regional affiliates. For example, Amway UK and the Republic...
Words: 2817 - Pages: 12
...PYRAMID SCHEMES: Saving the network marketing industry by defining the gray by Kevin Thompson kevin@theadvocategroup.net copyright of Advanced Advocates, LLC. I. INTRODUCTION In these trying economic times, responsible network marketing companies are positioned to offer viable opportunities for people that desperately need them. They combine passion for products with individual ambition to create a powerful testimony to the unyielding principles of free enterprise. With a fair compensation plan, an exciting product, and proper education, independent agents across the globe (also referred to as distributors) can leverage the power of networking to dramatically change their financial circumstances. Network marketing companies are responsible for providing its distributors with marketable products and compensation plans that rewards and motivates the sales force. Ideally, the rewards are designed to be commensurate with the work performed. With a good product and a fair compensation plan, !! the average person is given an opportunity to completely redefine their finances while operating a home based business. Distributors earn income primarily in two ways. First, they can purchase products at wholesale and mark them up for retail sales, thus earning an immediate profit. Secondly, they can form a “downline” by recruiting additional distributors and earn commissions on their sales to customers and purchases for personal use. Since distributors are paid...
Words: 8420 - Pages: 34
...Table of Contents 1. Introduction 2. Brief History of Amway 3. Global Growth 4. Amway Values 5. Marketing Strategies 6. Conclusion 1. Introduction Amway is an American multinational direct-selling company that uses multi-level marketing to sell a variety of products, primarily in the health, beauty, and home care markets. Its product lines include home care products, personal care products, jewelry, electronics, Nutrilite dietary supplements, water purifiers, air purifiers, insurance and cosmetics. Amway is an abbreviation for "American Way" and was coined in 1959 by company’s founders, Jay Van Andel and Richard DeVos. Short, unique and easy to remember, Amway has been registered as a corporate name and trademark ever since. Today, Amway is a multibillion-dollar international business representing freedom and opportunity to millions of people in more than 88 countries and territories around the world. Amway generates US $ 10.9 billion (Feb’ 2012) in sales at estimated retail through this global product distribution network. The business is built on the simple integrity of helping people lead better lives. It offers over 3 million Business Owners the inspiration to grow those businesses, and work hard to provide new and better ways for them to achieve their life goals. Amway was ranked No.114 among the largest global retailers by Deloitte in 2006, and No.39, 32 and 28 among the largest private companies in the U.S. by...
Words: 4331 - Pages: 18
...BA 291 Business Policy Case 1: AMWAY Submitted by: Iris M. Dajao-Opiso AMWAY was founded by two friends – Richard DeVos and Jay Van Andel (d. 2004) – in 1959 at Michigan, USA. It is a business on direct selling which started at the home basements of the founders until it became what it is today – an international enterprise on direct selling considered one of the largest in the world with over 3 million Independent Business Owners (IBOs) worldwide. As published in their official website, www.amway.com, the company’s vision is to help people live better lives and that the company is committed to business excellence, caring for people and their communities and the environment. The company is also built on four founding pillars that it is literally carved in stone outside their World Headquarters. These founding principles are Freedom, Family, Hope and Reward. To effectively achieve its vision, the company strongly believes and abides in six enduring values: 1. Partnership – This is what describes the relationship between the company, the founding members, the employees and the business owners around the globe. They always look at what is best for each other’s interest and this is what builds strength and confidence in their relationship. 2. Integrity – “Doing things the right way.” The company’s actions are undertaken with trust, confidence and credibility. This core value is also embedded in its rules of conduct. This Rules of Conduct emphasizes among others...
Words: 1909 - Pages: 8
...NETWORK MARKETING Patrick Brzozowski Kean University Transition to Kean In today’s generation, there is an extraordinary amount of consumer products that are booming on the market. They range from technological advances, to clothing, and ironically even to food. Take a look at the rise in pyramid companies like Herbalife and Vemma. These products are highly overlooked as being successful, I for one, can say I am guilty of that myself. Statistics show that exactly fifty-three percent of undergraduate college students are finding minimum wage employment to not only support themselves at the current time, but as well as to build a bank account to pay off future student debts incurred. The successful consumer product that I researched gives these students another option. An option that will not only give them the current financial support they need, but the security in knowing their college loans without a doubt will be paid. (Worre) This successful consumer product on today’s market is Vemma. Vemma is an acronym for Vitamins, Essential, Minerals, Mangosteen, and Aloe Vera. (Vemma) Based out of Scottsdale, Arizona, the company has been around for about 8 years now and was founded by a young man named B.K. Boreyko. Both of Boreyko’s parents died of heart disease and lung cancer. He was so affected and inspired, as many would be, that he wanted to find healthy alternatives for a current generation becoming dependent on unhealthy consumer products such as Red bull and Monster...
Words: 1370 - Pages: 6
...1. What is unfair dismissal? Under the Unfair Dismissals Acts 1977 to 2007 circumstances in which unfair dismissal can occur are where: * Your employer terminates your contract of employment, with or without notice or * You terminate your contract of employment, with or without notice, due to the conduct of your employer. This is known as constructive dismissal. If you are dismissed from your employment, you may, under certain conditions, bring a claim for unfair dismissal against your employer. The unfair dismissals legislation does not actually protect you from dismissal; rather it provides a system of appeal whereby you can question the fairness of your dismissal after it has occurred. You will have to show that you qualify to bring a claim under the legislation - see 'Rules' below. If you do this and your employer accepts that there was a dismissal, it will be for your employer to show that there were fair grounds for the dismissal. Apart from a case involving constructive dismissal, a dismissal is presumed to be unfair unless your employer can show substantial grounds to justify it. Under the legislation you may ask your employer for a written statement of the reasons for your dismissal. Your employer should provide this within 14 days of your request. If you are found to have been unfairly dismissed you may be placed back in your job or, more commonly, you may receive compensation for the loss of earnings caused by the dismissal. Unfair dismissals A dismissal...
Words: 1216 - Pages: 5
...INTRODUCTION TO MARKETTING AND MERCHANDISING TOPIC: Marketing matrix of AMWAY [Pick the date] Hewlett-Packard Poorvi ACKNOWLEDGEMENT I would like to express my special thanks of gratitude to my teacher Mr. Annaji Sharma as well as our department, Fashion Communication who gave me the golden opportunity to do this wonderful project on the topic marketing matrix, which also helped me in doing a lot of Research and I came to know about so many new things I am really thankful to them. Secondly I would also like to thank my parents and friends who helped me a lot in finalizing this project within the limited time frame. CONTENTS * INTRODUCTION * ABOUT THE BRAND * FOUR P’s OF MARKETTING * Product * Price * Promotion * Place * Conclusion * Bibliography INTRODUCTION Marketing is a business function that identifies consumer needs, determines target markets and applies products and services to serve these markets. It also involves promoting such products and services within the marketplace. Marketing is integral to the success of a business, large or small, with its primary focus on quality, consumer value and customer satisfaction. A strategy commonly utilised is the "Marketing Mix”. This tool is made up of four variables known as the "Four P's" of marketing. The marketing mix blends these variables together to produce the results it wants to achieve in its specific target market. The Four Ps Model * Product - The first of...
Words: 1163 - Pages: 5
...Obesity and its complications are a worldwide epidemic Poor Nutrition – A Global Problem Many basics of our food have now deteriorated in quality: • Poor storage, long transport, irradiation, processing • Fast food, unhealthy foods • The environment • Commercial pressure to buy sugared products • Mass retail products with no science – full of additives, flavorings etc. HERBALIFE® INTRODUCTION: Herbalife International is an American multi-level marketing company that develops markets and sells nutrition, weight management and skin-care products globally. The company was founded in 1980, and it employs around 7,400 people worldwide. Herbalife reported net sales of US$4.072 billion in 2012, an 18% increase over 2011, and net income of $477.19 million, a 16% increase over 2011. Incorporated in the Cayman Islands, its corporate headquarters is in Los Angeles, California, United States. The company distributes its products in 91 countries (as of November 2013) through a network of approximately 3.2 million independent distributors, some of who earn profit on product sales and additional commission from a multi-level marketing (MLM) compensation structure. HISTORY OF HERBALIFE® In 1980, Mark Hughes founded Herbalife, selling products out of the boot of his car. His stated goal was to change the nutritional habits of the world. His first product was a protein shake designed to help people manage their weight...
Words: 2258 - Pages: 10
