Critique Paper

5 forces model 1. Intensity of challenger among existing competitors The warmth of rivalry among ornamental 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 secernate on viewer (cosmetic) products. Since Avon is already considered as the largest direct shiting participation of cosmetics, jewelry, apparels, etc., it even so has to compete with these companies and the company must strategize to assert its number ane position in the future. Its edge everyplace 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 mending is a low curse of new entrants in cosmetic industry because the barrier to access is high; the high capital letter requirements and variediation. In order for its pro ducts to be kn take in, Avon Products Inc. spent millions of pesos in come across its customer needs in quality, variety and innovation of products as well as underdeveloped advanced technique of advertisements through with(predicate) 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 naturalized lifelong customer relationship through selling their products on credit. 3. Threat of Product Substitutes at that place is a low brat of product substitutes f or Avon because of its stra! tegy of offering sales/discounts seasonally, aside from the fact that it distributes products of different categories- beauty, fashion and home. Each home 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 compliments to get a full essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper