This document presents a SWOT analysis for Revlon. It identifies the company's strengths as participating in CSR for women's health, saving $34 million annually through cost cutting, centralized production facilities, and effective celebrity-endorsed advertising. Weaknesses include $2.3 billion in debt, poor product development, and weak finances. Opportunities exist in aging populations, international markets like Asia, and men using cosmetics. Threats include economic concerns, competition, and changing demographics. The analysis provides strategies addressing strengths-opportunities, weaknesses-opportunities, strengths-threats, and weaknesses-threats.
This document presents a SWOT analysis for Revlon. It identifies the company's strengths as participating in CSR for women's health, saving $34 million annually through cost cutting, centralized production facilities, and effective celebrity-endorsed advertising. Weaknesses include $2.3 billion in debt, poor product development, and weak finances. Opportunities exist in aging populations, international markets like Asia, and men using cosmetics. Threats include economic concerns, competition, and changing demographics. The analysis provides strategies addressing strengths-opportunities, weaknesses-opportunities, strengths-threats, and weaknesses-threats.
This document presents a SWOT analysis for Revlon. It identifies the company's strengths as participating in CSR for women's health, saving $34 million annually through cost cutting, centralized production facilities, and effective celebrity-endorsed advertising. Weaknesses include $2.3 billion in debt, poor product development, and weak finances. Opportunities exist in aging populations, international markets like Asia, and men using cosmetics. Threats include economic concerns, competition, and changing demographics. The analysis provides strategies addressing strengths-opportunities, weaknesses-opportunities, strengths-threats, and weaknesses-threats.
concerning women health issues. 2. Management saves $34 million every year through its cost cutting processes. 3. Centralized production facilities which resulted in better inventory control and cost efficiency. 4. Increased distribution capabilities resulting from acquiring Bionature S.A in 2000. 5. Joint manufacturing with Pacific World Corporation of nail and nail care products 6. Effective advertising is one of the primary areas of promotion of Revlon products through famous celebrities as Revlon spokespersons. 7. Strong relationships with large mass merchandisers and chain drug stores such as Walmart , K-Mart etc. Weaknesses 1. Debt accumulation of 2.3 billion, which is affecting business processes like delayed the launch of Flair fragrance. 2. Poor product development and planning which resulted in failure of Vital Radiance product line (a cosmetic for older women). 3. Weak financial resources, highly dependent on one financer Mac Andrew and Holdings. 4. Poor financial performance due to declining sales pattern, declining assets and increasing liabilities. Opportunities 1. Aging baby boomer make up a significant proportion of the adult U.S population. 2. Huge potential for sales in Asian market. 3. Devaluation of dollar opening international markets for export. 4. Men have started using cosmetic skin care products, 5. Market for hair colouring has expanded especially among teenagers and adults SO Strategies WO Strategies 1. Promote their products in Asian countries to increase export sales. (S6,O2,O3) 2. Promote their products among men and aging baby boomers. (S6, O4, O1) 1. Invest in RnD department and develop new products for Asian market, aging baby boomers. (W2, O2, O1)
Threats 1. Consumer's concern for product safety and use of animal testing. 2. Declining disposable income resulting from rising gas prices. 3. Major retailers have reduced inventory levels which has reduced shelf space for cosmetic products. 4. Intense competition in every product line from giant MNCs 5. Shifting racial composition of American population. ST Strategies WT Strategies 1. Develop positive image through CSR activities and stop testing their products on animals. (T1,S1) 2. Introduce products in smaller SKUs at affordable prices. (T2,S3,T4)
1. Start door to door selling to increase sales. (W4, T3) 2. Develop new products and differentiate from competitors. (T4, W2) SWOT Matrix
Do Thi Ngan An - 10170350 - ME - A2 Le Ngoc Anh - 10170315 - ME - A2 Pham Hoang Phuong Hanh - 10160240 - ME - A2 Le Hong Ngoc - 10170335 - ME - A2 Tatsuro Kawahara - ES002818 - ME - A2