...L’Oréal Brandstorm 2012 “CREATE for a Beautiful World” CONTEXT The original, natural and ethical beauty brand It was in 1976 that Dame Anita Roddick began to write the fabulous history of The Body Shop from a small boutique in Brighton, UK, starting out with a simple but totally new idea: ‘companies have the power to change the world’. Today, with sales of more than £1bn, The Body Shop brings innovative products and ground breaking values campaigns to customers all around the world. The Body Shop Values The five core Values of The Body Shop are as relevant today as they were when Anita Roddick first set them out: the brand is always looking for new ways to bring them to life. The Body Shop teams believe that these Values are at the heart of the brand’s commercial success and that they are the key to growing the business. As going forward, more creativity is always needed to bring this message to consumers in search for brands with principles that they can trust. A retail business model With more than 2,600 stores in 65 countries and territories, The Body Shop is a worldwide player in the single-brand retail based sector of the beauty industry. The store is the single biggest point of contact with the brand today and provides a great opportunity to experience the brand, engage customers and build support with the Love Your Body customer loyalty programme. The Body Shop focuses on offering friendly and personal services around storytelling, while creating a stronger sense of theatre...
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...This report is based on the ‘L’Oreal: Expansion in China’ case study. L’Oreal is a successful French cosmetic company that involved into many different international markets. This report will discuss how L’Oreal gets into the Chinese cosmetic Market and the strategic to develop their brand in the Chinese market. L’Oreal acquires two famous Chinese cosmetic brands which are Yue-Sai and Mininurse. It is in order to entrance the market quickly and sales the most suitable products. The aim of this report is to define the challenge L’Oreal has been faced. Then it describes how L’Oreal managing their strategic in Chinese market. In addition, it gives an accommodation which could help L’Oreal overcoming these challenges. Background L’Oreal’s background The French company L’Oreal is a giant in cosmetics market that founded in 1907 by Eugene Schueller. The earliest success for L’Oreal is because it got the first hair color formula and then expanded into the field of shampoo and soaps. From the very beginning, L’Oreal decided to export its product to other countries such as Holland, Italy and so on. It entered the US market at 1953. Schueller was died in 1957 and Francois Dalle replaces his post. Although the boss has been change but L’Oreal expanded into overseas markets continuity. In 2004, L’Oreal had 52,000 employees over the world and portfolio of 17 international brands. As shown in the L’Oreal group annual report, the largest market for L’Oreal is still Western Europe which...
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...Italian immigrants. She was a human rights activist and an environmental campaigner; she was also the founder The Body Shop. The Body Shop was a cosmetics company that produces and sold beauty products. The Body Shop was the first company to prohibit its ingredients on animals and one of the first to encourage fair trade in other third world countries. Mrs. Anita intention of creating this company was to make money for her daughters and herself while her husband travels the world instead the company became a multi-billion company. The Body Shop had 1980 stores serving over 70 million customers all over the world by 2004. In 2006 Mrs. Anita sold her multi-billion company to L’Oreal, which caused problems. The problem came because Mrs. Anita would let her company use animals as test subjects and L’Oreal did. She was very active with charity for children and other works. Sales from The Body Shop went down south. The Beginning- Mrs. Anita had several jobs before she decided to create The Body Shop. In 1976 Mrs. Anita founded The Body Shop and it grew rapidly over the years. After being the CEO of her company in May 1998, Anita Roddick stepped down and appointed Patrick Gournay as the new CEO. Her reason for stepping down was she had gotten bored with basic retail discipline with distribution and would rather spend time with Dalai Lama. Mrs. Anita stated, “Titles are meaningless and tomorrow’s job is exactly the same as yesterday.” Patrick Gournay was an experienced international...
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...The Body Shop in Malaysia Introduction Background of the Body Shop The Body Shop International PLC（Public Limited Company）, known as The Body Shop, has a range consisting of 1,200 products, including cosmetics and make-up in its 2,500 franchised stores in 60 countries. The company, which has its international headquarters in Littlehampton, West Sussex, England, was founded in 1976 by Anita Roddick and is now part owned by L'Oréal.From its first launch in the UK in 1976, The Body Shop experienced rapid growth, expanding at a rate of 50 percent annually. The Western Malaysian operation includes more than 64 stores and is operated by a The Body Shop Franchisee, Rampai-Niaga Sdn Bhd, under license by The Body Shop International plc. Corporate Culture and the Valves Five core values.Support Community Fair Trade, Defend Human Rights, Against Animal Testing, Activate Self-Esteem, and Protect Our Planet. Against animal testing.the Body Shop web site explains that the organisation does not sell or use either finished products or ingredients that were tested on animals after 31 December 1990. Trading fairly. The body shop set up their own fair trade programme, called Community Fai Trade.Community Fair Trade now works with over 30 suppliers in more than 20 countries, providing over 25,000 people across the globe with essential income to build their futures. Most of our products contain Community Trade ingredients. Social activism.Over time, Roddick blossomed into...
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...or more for bankruptcy. Now, some of these celebrities have recovered from their unfortunate issues, while others continue to live in a struggle. While the wealthiest people in the world have gained their income from various places; these include software, oil, steel, and various companies. Another difference between the two is how these people spend their wealth. While Paris Hilton may have just added another luxury car to her collection, and The Jolie-Pitts have just gone on another million dollar vacation; the wealthiest people have donated much more of their benefits and time to charity causes such as Bill Gates, who has his own foundation dedicated to innovations in health and science. Liliane Bettencourt, who is the heiress to the L’Oreal fortune started a foundation dedicated to science education, and is considered one of the wealthiest people in the world with a fortune of 23.5 billion. Appearance isn’t everything, or maybe it is to the well known people of the world. Celebrities are always being watched for fashion faux-pas or successes, and what the next big trend is with...
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...What should Roxanne and Burt do? Burt Bees had become very successful in it operations and established a prominent position in the market of natural cosmetics and other natural products. These products all having their origin in bees wax and honey. The problem that Roxanne and Burt face is expansion of their business. They took the business forward and moved to North Carolina for a more central positioning. This geographical centralization would be advantages for Burt’s Bees because of the theoretical cost saving that the company might have with regards to transportation and distribution cost. There are however some factors that Burt’s Bees have keep in mind and question that need to be asked and answered. The first consideration that has to be kept in mind is that the products that Burt’s Bees currently produce are labour intensive and employees are mainly unskilled. Will this be the same in North Carolina or will labour be skilled and more expensive? Because North Carolina is more central and is a business hub in the U.S.A., what are the completions in this area and markets strategies? What products are similar companies in the natural cosmetics market selling? These questions need to be answered by Roxanne if they wish to be successful in their attempts at expanding Burt’s Bees. These considerations are not limited in deciding whether to move to North Carolina or not but are generic business questions that need to be answered on a continuous basis. There are basically three...
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...Total Quality Management IINDIVIDUAL ASSIGNMENT - CASE STUDY – CRANSTON NISSAN (15 %). Steve Jackson, General Manager of Cranston Nissan, slowly sifted through his usual Monday morning stack of mail. The following letter was one he would not soon forget. Dear Mr. Jackson: I am writing this letter so that you will be aware of a nightmare I experienced recently regarding the repair of my 300 ZX in your body shop and subsequently in your service department. I will detail the events in chronological orders AUGUST 28 I dropped the car off for repair of rust damage in the following areas: Roof – along the top of the windshield area Left rocker panel – under driver’s door Left quarter panel – near end of bumper Rear body panel – under license plate I was told it would take three or four days SEPTEMBER 1 I call to inquire about the status of the car, since this was the fifth day the care was in the shop. I was told that I could pick up the car anytime after 2.P.M my wife and I arrived at 5. P.M. The car was still not ready. In the meantime I paid the bill of $ 443.17 and waited. At 6 P.M. the car was driven up dripping wet (presumably from a wash to make it look good). I got into the car and noticed the courtesy light in the driver’s door would not turn off when the door was closed. I asked for help, and Jim Boyd, body shop manager, could not figure what was wrong. His solution was to remove the bulb and have me return after the Labor Day holiday to have the mechanic looks...
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...Larry Page and Sergey Brin founded Google, a leader in Internet search technology, while they were graduate students at Stanford University. The company's mission statement is: "to organize the world's information and make it universally accessible and useful.” However, the company's unofficial slogan is “don’t be evil.” The company leadership style is profit-oriented. Brin asks questions like “Is this the place I would want to work if I were graduating from a doctor of philosophy degree program now?” (Deutschman) The major business principle of their profit-oriented entrepreneurial approach is choosing how to use human and natural resources; investing in equipment, machinery, and buildings; and forming partnerships with other firms. These are economic decisions all businesses organizations make. Anita Roddick, founder of The Body Shop, develops and markets natural cosmetic products. In addition to developing and selling natural cosmetics, she advocates community trade, human rights, and animal protection. Anita’s leadership style focuses on ethical behavior. “The Body Shop remains as famous for its ethics as its success.” (Hughes) The major business principles of her social-responsibility oriented entrepreneurial approach are fair trade, environmental awareness, animal protection, respect for human rights, social campaigning. Anita’s visionary beliefs have remained intact throughout. (Hughes) “The Body Shop Foundation supports social activism and environmental activism. We don't...
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...5.1 Company Background Founded in 1976 by activist Dame Anita Roddick, “The company combines activism with marketing, encouraging women to focus on self-esteem as well as social and environmental causes” (The Body Shop). The Body Shop boast sits natural and eco-friendly line of skin and hair care products. Line of goods includes: body powder, bath and shower gel, candles, sponges, massages oils, fragrances, soaps and more. Purchased by L’Oreal in June 2006, The Body Shop cur-rently operates about 2,550 stores across 60 countries. 5.2 Brand Image The Shop ensures their image by guarantying “its cosmetics and personal care products are not tested on animals, and that they contain sustainably sourced oils and other vegetarian ingredients” (The Body Shop). In addition, the campaigns in which The Body Shop participates is another step they take to make a difference both environmentally andindividually. Vision and Mission: 5.3 The Body Shop Vision: “I just want The Body Shop to be the best, most breathlessly exciting company – and one that changes the way business is carried out. That is my vision.” Founder of The Body Shop. 5.4 The Body Shop Mission: To dedicate our business to the pursuit of social and environmental changeTo creatively balance the financial and human needs of our stakeholders:...
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...CORPORATE STRATEGY EXECUTIVE ANALYSIS THE BODY SHOP The following analysis investigates how the organization assesses its own business whilst taking into account its different key stakeholders and their various interests and expectations by looking deep into a case study of The Body Shop. On the final note, it will determine what learning benefit the case of The Body Shop provides as well as whether its principles can apply to other situations. Introduction: The Body Shop In 1976, The Body Shop was established in Brighton by Dame Anita Roddick. The Body Shop International now has over 2,900 stores across 63 markets with a range of over 1200 products. The Body Shop story is not only of an eminently successful market-oriented manufacturer and retailer of toiletries and cosmetics. Like its founder, the whole organization is committed to issues such as respect for human rights, animal and environmental protection. The organization has arranged and supported national and international campaigns on animal testing in the cosmetic industry and women’s rights. All business organizations need to make a profit to survive but the emphasis at The Body Shop is on profit with a wider social responsibility. The Body Shop Mission Statement * “Dedicate our business to the pursuit of social and environmental change. * Creatively balance the financial and human needs of our stakeholders employees, franchisees, customers, suppliers and shareholders. * Courageously ensure that...
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...P1 Describe different types of teams and the benefits of teams for an organization What is meant by the term teams? There are multiple ways to describe the term team, which involve a group of people with different skills and tasks, work together on common project, services or goals fusing skills together for mutual support. Teams operate with a high degree of independence, sharing authority and responsibility of self-management working towards a common goal and shared rewards. A team becomes more than just a collection of people when a strong sense of mutual commitment creates synergy which generates a performance greater than the sum of the performance of its individual members. • Formal Formal teams or groups are created deliberately by managers and charged with carrying out specific tasks to help the organization achieve its goals. The most prevalent type of formal group is the command team, which includes a manager and all employees who report to that manager. In some organizations that want to de-emphasize hierarchy, the titles may change. For instance, at MBA (basketball), the managers of command teams are called “coaches” and the team members are called associates. The benefit of a formal team is that the organizational structure clearly to the superior subordinate relationship such as team players report and get told what’s what by the coach. • Informal An informal team work group is a group formed by employees of an organization that is created under no directive...
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...The Body Shop, founded England in 1970, manufactures cosmetics that uses natural-ingredients that is ethical and free from animal testing. The Body Shop places great importance on ethical stances such as using natural ingredients that are not tested on animals, the use of fair trade in the cosmetic industry and has a strong Corporate Social Responsibility and is actively involved in community activities. The Body Shop revolves its social and environmental campaigns around its five core values namely Defending Human Rights, Supporting Community Trade, Protecting the Planet, Against Animal Testing and Promoting Self-Esteem (The Body Shop 2012). a) How well are they handling this? Defending Human Rights The Body Shop has a strong belief in the welfare of people, having a strong concern and respect for their heart and soul. They began their awareness campaign for HIV and AIDS since 1993, raising over £1m for the Staying Alive Foundation (Rawat 2010). The campaign against domestic violence attained £2.5m across 50 over countries by 2007. They also have awareness and funding campaigns to support the fight against human trafficking (The Body Shop 2012). Supporting Community Trade In 2007, The Body Shop was given a ‘Big Tick’ award by Business in the Community for their Community and Ethical Trade programmes (The Body Shop 2009). Protecting the Planet In 2008, The Body Shop substituted their carrier bags with 100% recycled bags (The Body Shop 2012). To prevent waste from the...
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...describes Dame Anita Roddick is transformational. She gives an example of how things can be different by walking the walk and talking the talk. She is one of the most controversial activists because she challenges people to do what is right. According to the British Prime Minister Gordon Brown, "She campaigned for green issues for many years before it became fashionable to do so and inspired millions to the cause by bringing sustainable products to a mass market. As one of this country's most successful businesswomen, she was an inspiration to women throughout the country striving to set up and grow their own companies." (Shop, 2007) Dame Anita Roddick and her husband Gordon sold their business “The Body Shop” to L’Oreal Cosmetics. The Roddicks’ believe that L’Oreal understood what type of impact their business has on the business community and the world. They understood the actions of social change for human and animal welfare. “Anita believed that businesses have the power to do well. That is why the Mission Statement of The Body Shop opened with the overriding...
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...For the past century, L’Oreal has pursued its adventure in the beauty industry to cement its position as the world’s leading Cosmetics Company. Above and beyond its financial success, however, L’Oreal’s track record reflects an endless quest: A quest for innovation, begun a century ago by scientist and inventor Eugene Schaller, driven by tireless research and buoyed by a steadfast pioneering spirit; A quest for excellence through increasingly safe, imaginative and effective products; A quest for diversity and a range of cultures to meet the needs of men and women around the globe and make beauty products available to as many people as possible; A quest for purpose, a cornerstone of the L’Oreal approach, combining economic growth, ethics, social and environmental responsibility; 1. In 1909, young chemist and natural entrepreneur Eugene Schueller sets up the company that will later become L’Oreal. Everything begins with one of the first hair dyes, which he designs, produces and sells to hairdressers in Paris. The move forges the first link in the chain that is to become L’Oreal “DNA”: using research and innovation to enhance beauty. 2. These are the formative years of “Le Grand L’Oreal”. At the instigation of Chairman François Dalle, the Group starts to expand internationally. Acquisitions of strategic brands mark the beginning of a period of spectacular growth for the company. Emblematic products come into being. The company motto is “Savoir saisir...
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...Teaching Case ______________________________ Journal of Applied Case Research Sponsored by the Southwest Case Research Association “BUSINESS AS UNUSUAL”: A CASE STUDY ON THE BODY SHOP Subhadip Roy ICFAI University, India Lopamudra Ghosh ICFAI University, India © Journal of Applied Case Research Accepted: September 2008 2 “BUSINESS AS UNUSUAL 1 ”: A CASE STUDY ON THE BODY SHOP “The business has existed for one reason only – to allow us to use our success to act as a force of change, to continue the education and consciousness-raising of our staff, to assist development in the Third World and above all, to help protect the environment. What we are trying to do is to create a new business paradigm, simply showing that business can have a human face and a social conscience”. - Anita Roddick (1991) 2 ANITA RODDICK STEPPED DOWN AS THE BODY SHOP CHAIRPERSON February 2002, the founder of one of the biggest cosmetics companies in the world, Anita Roddick (Anita) stepped down as the chairperson of the Body Shop along with husband Gordon Roddick (Gordon), who was a co-chair along with her. A number of controversies in the mid and end 1990’s had badly affected the company’s image as doing “business with a human face” as opined by Anita in the quote given above. Periods of losses, coupled with poorly motivated shareholders, de-motivated franchisees, unsuccessful restructuring attempts and public propaganda against the company was proving to be too strong for the company...
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