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Business & Marketing
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Avon Calls on Foreign Markets (Essay Sample)

***Daniels, J., Radebaugh, L., & Sullivan, D. (2011). International business, environment & operations (13th ed.). Upper Saddle River, NJ: Prentice Hall.****** Read the closing case “Avon Calls on Foreign Markets” at the end of Chapter 16 in your course textbook. Incorporate into your analysis responses to the following questions. You should make sure to incorporate core concepts from your reading assignment. 1. Your reading assignment for this unit describes different marketing orientations. Discuss the applicability of each to Avon's global operations. 2. Why is Avon so much more dependent on its foreign operations than on its home ( U.S.) operations? 3. Discuss socioeconomic and demographic changes that could affect Avon. 4. How might a global recession, such as the one that began in 2008, impact Avon's operations? 5. What are the major competitive advantages that Avon has? How easily might other companies duplicate these advantages? 6. Avon does not sell within the United States in retail establishments (with the exceptions of kiosks handled by some of its reps). What are the pros and cons of distributing that way? 7. If you were advising Avon on the selection of new suppliers, what would be your major concerns as you evaluate firms that are potential suppliers? What criteria should the company use to make decisions on where to manufacture their products? 8. Identify the challenges Avon faces in both maintaining and expanding its global manufacturing and supply chain network given the dynamics of today's competitive environment. source..
    Avon Calls on Foreign Markets Student name: name of institution: Date: Question 1 What is market orientation? This is basically the different business approaches that a company uses to meet the hidden needs of its customers. As per the definition Avon has used some global operations which has helped them meet their customers` needs which are: the use of global products. This has boosted their market orientation in a way that the company is able to manufacture beauty products as per a certain country needs. For example when it comes the Brazil they manufacture moisturizers, sunscreen and insect repellant, when it comes to Asia they manufacture skin lightening creams and in Japan they manufacture technology driven skin products. This helps them meet the needs of their clients comfortably. The other marketing orientation that Avon uses is the aspect of global branding. This helps the company to inform consumers that their company is international thus increasing their credibility. It also helps the company to create global quality image while using uniform ingredients and packaging. This helps the company to cut on cost of manufacturing. In addition, the company uses local language to brand it products. This makes the consumer associate with the product thus ends up buying it. Avon also uses the aspect of global pricing and this is determined by the state in a certain country local market and strategic objectives. This affects the country in the way that the country with the higher price ships the same products from the country with the lower price this making the company to count loss. The company also uses the aspect of global promotion whereby they use brochures and catalog to make their product known. It also uses advertising as a...
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