Avon Essay Example | Topics and Well Written Essays - 500 words

Avon - Essay Example Manufacturing, product management and sales were coordinated efficiently throughout its global market (www.dsef.org). Major products to be sold were’ perfumes, skin care products, hand, body and sun care products’. New and innovative products were added from time to time to offer more variety to the consumers. As with all businesses, the company faced stiff competition from other players in the field and had periods of slump in growth and profits, along with take-over attempts which the company was able to tide over under different managers. One such manager was a woman, Andrea Jung who was of Chinese descent and joined the company in 1994 as the President, Product marketing Group in the United States of America (www.avoncompany.com). Later on she was appointed as the CEO of the company in 1999 and was elected Chairperson in 2001. It was during her tenure that the cosmetics giant again suffered disappointing growth rates in the year 2000, faced with the rapidly changing marketplace (weblog.xanga.com). It was then that she implemented a number of grand strategies to reinforce the company image and induce a positive growth rate. The strategy included â€Å"expanding the product line in order to cater to a wide variety of populations of varied ethnicity of the world, involvement of a wide v ariety of distribution methods, entering the retail market and launching of internet sales for its products†. The grand strategy resulted in appositive growth rate by 2002 and during the period 2002-2005, the company posted a revenue growth of 9.1% which was much better than its nearest competitors (weblog.xanga.com). Major success was attributed to the expansion and diversification in product strategies as a result of market research studies initiated at the behest of Ms. Andrea Jung. The company’s average return from investment during this period catapulted to 35.7% as