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Yves Rocher in Brazil

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Yves Rocher marketing plan in Brazil

Our plan is to introduce Yves Rocher beauty products (mainly hair care products) in the Brazilian market.

Yves Rocher SWOT Analysis
Strengths:
Leadership in vegetable cosmetic/ quality products / global brand recognition/strong innovative strategy.
Weaknesses:
Lack of experience in emerging countries.
Opportunities:
The use of natural products is rapidly growing/expansion in new markets: people in some emerging countries can be interested in foreign beauty products, in particular French ones.
THREATS:
Rising cost of raw materials/ huge competition in the beauty industry/ Because of the economic crisis, consumers give higher priority to their basic needs.
PEST analysis of Brazil
Politics: increase in minimum wage but quite high tax rates and widespread of corruption and bribery
Economic : high economic growth, easier access to credit, rising purchasing power of low-income consumers
Social: growing proportion of middle class
Technology : increasing access to Information technologies, more investment in R&D
Market Analysis
Globally:
The world hair care products industry witnessed 3% growth in 2010, generating revenue of approximately $49 billion and volume sales of more than 15 billion units. This market is expected to attain $58 billion in 2015 which would correspond to a growth rate of 18%. The leader in the global market is Procter & Gamble Company which has a 24.1% share of the market in values. Yves Rocher is the 23rd largest producer.
In Brazil:
Brazil has one of the fastest-growing beauty industries in the world. Its value sales reached 29 billion dollars in 2008, making it the third largest personal care market globally. Forecasts showed that the country was expected to witness the third highest growth and contribute to 38% of total value sales in beauty and personal care in 2016.

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