Managerial Skill-Activity 1: Audit Company - Avon Cosmestic (M) SDN BHD

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Managerial Skill- Activity 1

Audit Company- Avon Cosmestic (M) Sdn Bhd

Group Member:
1. Lim Sook Yee 232000
2. Koit Wan Zhi 232642
3. Sho Soon Yat 232961
4. Low Chee Onn 234084
5. Wong Ken Wai 234099
Five Forces of Avon
1. Supplier Power
Bargaining power low due to numerous of suppliers exist.
2. The threat of new entrant
High entry barrier (start up cost, technology R&D)
3. Threat of substitutes
Level of substitute low or NO!
4. Degree of rivalry
High (Global competitors)
5. Customer
Switching cost Low
General Forces

1. Political
Global coverage (different policy)
2. Economic
Currency (import)
3. Demographic
Population increasing (women, age structure)
4. Technology
Customer preference never satisfy (R&D increasing)
SWOT Analysis
Strengths Weakness
Strong Brand Image Advertising Cost
Popular Online Market Low Market share compared to
No animal testing bigger Brands
Multiple Retail Channel Declining Operating Margins

Opportunities Threats
Increase Upon Social Media Currency Fluctuation
Going Green Competition
Geographic Growth Government Regulations
Socially Conscious Dependent on Others Needs

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