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Develop an argument either for or against relating to Avon's decision to withdraw from the Japanese market.
Avon has withdrawn from the Japanese market in order to focus on the Chinese market. This is should be supported. Avon regarded China as a potential gold mine and China has enormous customers. If can build a successful strong market in China, then gains will in a rising trend. Although Avon in Japan is profitable but compared with China it is too small. Avon's global board of directors passed an agreement of layoffs and closes some manufacturing. This is also involved in the decision to withdraw from the Japanese market in order to focus on China in 2010. In the same year, Avon invested in Shanghai in its R&D facilities, develop new products to better meet the needs of consumers in Asia.(Janice Teal, 2010)Avon is confident in the Chinese market; it believes that only re-select full direct selling model then will turn deficits to profit on sale performance in China.

Why Avon is failing in China?
As the first of the five largest direct selling companies in the world, Avon was the inventor of the global direct sales model and entered China in 1990. It is the first large-scale foreign direct selling companies there.
In order to adapted and opened Chinese Market. From 1998, it had to change the market model under the legal restriction in China. They begin to take the traditional retail model. Avon is selling its products in stores until 2006 when it got a license for direct sales from the government. Since 2006, Avon switch sales model from retail model to a hybrid system of retails and direct selling model in China. But it results Avon in a serious decline in the number of stores and sales in 2010. The company also reported that the amount of revenue fell by 31% compared with 2001. (AVON PRODUCTS INC, 2011)Therefore the company turned to focus on a

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