Critique Paper

5 forces model 1. Intensity of challenger among existing competitors The persuasiveness of rivalry among enhancive industry is high even though in that respect is legally balanced players that exist in the market. As for Avon Products Inc., its nighest competitors are Mary Kay and Revlon Inc.; where both fix on viewer (cosmetic) products. Since Avon is already considered as the largest direct shiting association of cosmetics, jewelry, apparels, etc., it even so has to compete with these companies and the company must strategize to concord its number ane position in the future. Its edge all over its competitors is the ability to sell products to customers on credit, which made it to the position as the largest micro lender to women. 2. Threat of new entrants in that localization of function is a low curse of new entrants in cosmetic industry because the barrier to access is high; the high capital requirements and variediation. In order for its products to be kn aver, Avon Products Inc. spent millions of pesos in face-off its customer needs in quality, variety and innovation of products as well as underdeveloped advanced technique of advertisements by means of Web-based technology aside from contract with famous personalities for product promotions. Avons customers are also scrape loyal.

It also focus on diversification which allow it to adduce multiple brands had already found lifelong customer relationship through selling their products on credit. 3. Threat of Product Substitutes in that respect is a low menace of product substitutes f or Avon because of its strategy of offe! ring sales/discounts seasonally, aside from the fact that it distributes products of different categories- beauty, fashion and home. Each kinsperson targets specific market. 4. Bargaining military force of Supplier There is a low bargaining power of supplier since Avon Products inc. has its own largest manufacturing plants and distribution centers among different countries around the world. 5. Bargaining role of Buyers...If you wish to get a full essay, order it on our website: OrderCustomPaper.com

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