1. Company
[AMORE PACIFIC]
• Cosmetics Manufacturers. Established in June 2006. (The predecessor : ㈜태평양)
• Major projects – Manufacturing and wholesale of Cosmetics, Dairy products, Food Additives,
Pharmaceutical-Cosmetics raw materials
• Philosophy – “To create beauty and health is contributing to mankind”
• Vision – “For beauty and health of customers and a global provider of Total Care”
◈ Business Environment Analysis - Industry Analysis
- Characteristics and environment : Higher value added business, Easy market entry of new party
Large and stable,
- State of Industry : Consumption polarization, Expanding domestic market share of imported
brands
- Changes in the domestic market : Appearance of foreign company, Intensified competition
among domestic company
2. AMORE PACIFIC SWOT Analysis
Strengths Weakness
S1. The high investment in R & D W1. High dependence in cosmetics
S2. Strong brand image
S3. high positioning in domestic W2. High dependence in material,
market ingredients affiliates
S4. Securing a variety of distribution channels
S5. Stable fiscal and external evaluation W3. Expensive Treatment costs for
S6. High Overseas expansion and market environmental
share compared to third-party
S7. successful brand Globalization
Opportunities Threats
O1. Government’s support T1. Foreign company's global
O2. Stability of the cosmetics industry Marketing
O3. Korean Wave T2. Change of the law, regulation
O4. Increased interest in male beauty T3. Saturation of the domestic market
O5. Overseas opportunities
O7. Improve capital efficiency when
switching to a holding company
3. AMORE PACIFIC – 4P’s MIX
Product
• Environment-friendly products
• Product differentiation
- Na-no technology
• Various Products
- stage of skin-care product
• Brand Name
- Using the recognition
& Expansion by Brand
• Packaging & Size
- Experiential Marketing
-Portable, storage, samples Product
4. AMORE PACIFIC – 4P’s MIX
Price
• Compared to the value Competitive
Competing products Advantage
Promotion
Open distribution channels Selective distribution channels
(existing) (Future)
• Expansion
- Ongoing basis path to market for expansion around the other country
5. AMORE PACIFIC – 4P’s MIX
Promotion
• Basic Strategy
- High price product : prestige brand strategy
- Sales Promotion: Consumer Promotion , Direct Marketing
- Advertising media: Mainly print ads
• Promotional strategies
- emphasis on the quality of promotional materials
- Sample : gentrified → the sample consist of stage & special case
- Gifts : Gift shops only buy → future induction
• Individuation: break to a unified in-store display drivers
6. ■ BCG Matrix
Food&
beverage
division
QUESTION
STAR cosmetics
division MARK ?
Health care
division
Households
item
division
CASH COW DOG