Lesson 5: Analyzing Case Studies, Hazel
Do you know how to solve specific issue within a company? What do you do suppose one of the world's largest company that has held its position for over 50 years fails to protect their market share? Somehow they are not attractive to customers. Customer's attention begin to move to competitors, therefore, the sales begins to decline. What would you do?
Well, this is what happened to Hazel Cosmetics. Their sales in the US and Western Europe jad begun to decline, as fewer women bought products sold door-to-door. In addition, Hazel's products had little appeal with teenagers and young women. Now the question is, suppose you are tghe senior management team at Hazel, what would you do to overcome this problem?
1. SWOT Analysis
First of all, you need to analyze what's been going on inside Hazel. This can be done through a thorough analyzing by looking in depth of Hazel's strengths, weaknesses, opportunities and threats. Try to brainstorm ideas as possible.
2. Report
After the SWOT Analysis has been done, the next step to consider it making a report of summary of the findings. You will need to present the proposals to the company board of directors eventually, so that there will be a new strategic plan for the company.
Therefore, my collegues and I tried to solve this problem and presenting it to the board of the directors. These are our findings:
Strength
Hazel has a substansial market share that spread across countries, such as America, Asia and Europe. Hazel's women products are making more profit than men's groom product.
Weaknessess
Hazel's products are not attractive as their rival's product
Opportunities
Eventhough Hazel's sales are beginning to decline, there is a slight annual sales growth throughout the last ten years.
Threats
Door-to-door sales.
Now, in order to gain market share, this is the summary of our findings that needs to be done immediately.
Hazel need new cosmetics line that can attract teenagers and young women. This can be done by partnering with Blake Lively, one of the new rising actress and so many teenagers fashioned her. Price of the cosmetics should be as cheap as possible, without cutting our profits and this new line should be widely advertise across all countries. Last but not least, Hazel need to rebuild company's mission statement in order to improve Hazel's image with costumers around the world.
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