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External Envrionment - Essay Example
Author : spadberg
Pages 4 (1004 words)
External environment Why has MKC not been as successful as Avon in penetrating international markets? Mary Kay Cosmetics Company was incorporated in Texas in the year 1963. This company specialized in giving skin care system and not individual products…
Mr. Curran Dandurand was thinking of the dynamics of the organizations international marketing operations. For more that fifteen years, the company had sold products outside the united states of America. However, when it came to 1992, out of the totals sales of $1billion, the company’s international sales accounted for only 11 per cent. This is opposite to Avon, a rival company which delivered more that 55 per cent of a total of $3.6 sales from the international markets in the same year. The company got a chance to venture into the international market. Among the international market ventures included launching of its operations in Japan. Japan is considered a mature market but then it happens to be lucrative in its operations. The other major market is the rapidly upcoming market in china. China happens to be quite unknown but the potential is enormous. Mary Kay Cosmetics Company was in competition for customers in both direct selling and cosmetics industries. Just to mention, the major competitor in the united states in 1992 were four companies. They included Avon, L’Oreal, Revlon and Procter & gamble. When it came to international marketing, Argentina and Australia were not chosen because of reasons bent on the company’s strategy. However, the company had a presence in many other countries and was hoping to do extremely well. ...