IE-E2 403 (Strategic Management)

SY 2019-2020; 2nd Semester

Finals – Groupwork #1 (Revlon, Inc. 2015)

Names: Adan. Joshua Miguel S. Score:

Abiad, Kim Harold B. Date: March 16, 2020
De Leon, Efren Jr.
Medez, Roselle Jane B.

INSTRUCTIONS: Read and understand the case “REVLON, INC. 2015” and prepare a comprehensive
written case analysis using the format below:

1. Prepare a comprehensive written case study analysis using the format below:

I. Short company background/history, development and growth of the company over time.
Answer:
Revlon was founded in New York City on 1 March 1932 in the midst of the Great Depression, by Jewish
American brothers Charles Revson and Joseph Revson along with a chemist, Charles Lachman, who contributed the
"L" in the Revlon name They started with a single product, a new type of nail enamel] — the three founders pooled
their resources and developed a unique manufacturing process. Using pigments instead of dyes, Revlon developed
a variety of new shades of nail enamel. In 1937, Revlon started selling the polishes in department
stores and pharmacies. In six years, the company became a multimillion-dollar organization. By 1940, Revlon
offered an entire manicure line, and added lipstick to the collection. During World War II, Revlon created makeup
and related products for the United States Army, which was honored in 1944 with the Army-Navy "E" Award for
Excellence.
By the end of the war, Revlon was listed as one of America's top five cosmetic houses Expanding its capabilities,
the company bought Graef & Schmidt, a cutlery manufacturer seized by the government in 1943 because of
German business ties. This acquisition made it possible for Revlon to produce its own manicure and pedicure
instruments, instead of buying them from outside supply sources.
Revlon, Inc. unveiled today a new organization structure designed to enable the company to meet its long-term
growth aspirations and more effectively compete in the dynamic and rapidly growing, global beauty industry. With
the successful acquisition of Elizabeth Arden in September 2016, the $3 billion combined beauty company has a
diverse portfolio of iconic brands with product offerings in color cosmetics, skincare, fragrance, hair color and hair
care, beauty tools, men’s grooming products, anti-perspirant deodorants and other beauty care products, sold in
approximately 150 countries through a variety of distribution channels.

The Company will organize to a new brand-centric structure, built around four global brand teams, Revlon,
Elizabeth Arden, Fragrances and Portfolio Brands, designed to optimize and focus on building brand equity and
delighting and winning with beauty consumers.

II. Identify the fim’s existing vision, mission, objectives, and strategies.
(Refer to the company’s website for updated information)
Answer:

MISSION
To emerge as the leader in cosmetic and personal care throughout the world. Revlon takes pride in manufacturing
the top skin care and strives to please young and older woman alike.

VISION
To satisfy the needs of their customers with glamour and excitement that they provide at an affordable price.

OBJECTIVES
● Build and leverage our strong brands, particularly the Revlon brand.
● Improve and execution of our strategies and plans, and provide for continued improvement in our organizational
capability.
● Continue to strengthen our international business.
● Improve our operating profit margins and cash flow.
STRATEGIES
"A key element of our business strategy is to drive profitable growth by building our strong brands"

III. Evaluate the company’s existing vision, mission, values, objectives

With your group, develop company’s vision, mission, values & objectives.
(You can use competitors’ vision, mission, values & objectives as reference)
Answer:
DEVELOPED MISSION
Not just a leader but to be a well-known company that provides good service for our customers when it comes to
cosmetic, skin care for young generation and older woman.

DEVELOPED VISION
Not just to satisfy the needs of our customers but to make sure that they are contented and satisfied in our
products so that we know that our products are trusted.

IV. Analysis of the company’s environment & industry

a) Social media industry
b) The internet industry as a whole
c) Major competitors
d) Opportunities & threats

V. Analysis of the company’s internal condition:

a) Business model
b) Internal strengths & weaknesses
c) Provide updated financial statement of the company (end of year 2018 or 2019), to show
if the company is earning or not.

VI. Company’s strategies

a) Existing strategies
b) Effectiveness of existing strategies
c) Company’s future strategies

VII. Brainstorm with your group and develop specific strategies and objectives for the next three (3)
years. Compare your recommended strategies with that of the company’s future strategies (check
their website if needed)

VIII. Develop implementation plan for the strategies you’ve recommended.

IX. Recommend procedures for strategy review and evaluation (from item VIII).

X. Conclusion