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1. R.A. Podar Institute of Management
Body Care Industry
Submitted by
Ravindra Singh Shekhawat Brij Mohan Chaudhary
Sana Usmani Megha Agarwal
Rishi Mahecha Rajat Khot
Submitted to
Mr. Nishit Saxena

2. i. The body care industry in India is valued at $180 million.
ii. However in India, the market for body care products is at a very
nascent stage.
iii. The business for body care solutions in India is expanding at a
rate never witnessed before and it includes increased awareness
amongst consumers, progress in technology and other such
concepts.
iv. The body care products available in the market can be segregated
into: Facial creams cleansers, sunscreens, anti-wrinkle creams,
dark circle removing creams, moisturizers, toners, fairness
creams, etc.
Body care Industry Snapshot (01/02)

3. i. Approximately 60% of the body care market consists of facial
creams, moisturizers, fairness creams, etc.
ii. In both the markets urban and rural the penetration level is
relatively low.
iii. The main Reason being that People home-made and traditional
products are still preferred by the people to cure body ailments.
iv. However, within a period of the last five-six years, it has been
observed that there is a huge demand which is growing
exponentially for body care products in India.
v. With the adoption of new lifestyles, availability of greater number
of choices in products to choose from and an increase in
disposable incomes the general population are now follow their
favorite celebrities and role models more closely and are taking a
greater interest in personal grooming.
Body care Industry Snapshot (02/02)

4. i. Gain an understanding of the health, safety and
security of individuals in a health and social care
context.
ii. Explore legislation, policies and procedures and gain
an understanding of the purpose of risk analysis.
iii. Gain an understanding of how to deal with incidents
and emergencies in a health and social care
environment.
Aim & Purpose

5. PEST Analysis of Body Care Industry
• Research &
Development
• Technological effect
on Firm’s Offering
• Health Consciousness
• Environment Norms
• Inflation Rate
• Interest Rates
• Tax Policy
• Environmental regulations
• Trade Restrictions
• Tariffs
Political Economical
Tech-
nological
Social

6. Political
Some of the political factors to take into consideration are legal issues, rules and
regulations of the government and various others informal as well as formal rules
under which a firm must act. Some of these political factors are:
i. TAX POLICY: the company has to bear a tax rate of 30%, which is the highest
amongst all the tax rates, as the corporate tax rate. This reduces the profits of
the company.
ii. ENVIRONMENTRAL REGULATIONS: as per the norms of the government the
company has to convert 30%of the land area into green land to make the
environment eco-friendly, incurring extra cost for the company.
iii. TRADE RESTRICTIONS& TARIFFS: the company has to bear charges for crossing
the state borders for the purchase of raw materials and the delivery of finished
product.
PEST Analysis (01/04)

7. Economical
The purchasing power of a prospective customer as well as the firm's cost of capital is
affected by various economic factors. Some economic factors include:
i. INFLATION RATE: the inflationary period is adversely affecting the company as the
raw materials, machineries, etc. have to be purchased at a higher price.
ii. INTEREST RATES: the rate of interest on corporate loan is 12% and the company
has to pay a tax of 60 lakhs per year as tax.
PEST Analysis (02/04)

8. Social
Demographic and cultural aspects form a part of the social factors. These factors affect
the customer needs and size of the potential market. Some social factors include:
i. HEALTH CONSCIOUSNESS: keeping the safety of the end users and social
responsibility in mind the company has used the chemicals that are not harmful
for the body and are a bit costly than the other chemicals.
ii. ENVIRONMENT NORMS: keeping the environment norms in mind, the company
has converted 30% of its land into the green area and also used eco- friendly
paper for the purpose of packaging.
PEST Analysis (03/04)

9. Technological
Technological factors include ecological and environmental aspects. Some
technological factors are as follows:
i. RESEARCH AND DEVELOPMENT: the company will have to spend a lot on the
research and development of the product in the upcoming years as the
company has the advantage of being a pioneer in launching such a product in
the Indian market and the product will be easily copied by the competitors.
Thus, the company will have to continue investing in the research and
development activities to keep a firm hold in the market.
ii. TECHNOLOGY'S EFFECT ON FIRM'S OFFERING: The increase in the R&D cost will
affect the firm's offering as the cost of the product will increase with increase in
R&D cost.
PEST Analysis (04/04)

10. Products & Services Market Share

11. Top Players