Example Answers to Questions on Culture in the Loreal Group

Example Answers to Questions on ending in the Loreal GroupThe LOreal host has been the securities industry attracter of orna workforcetals and the viewer industry. The products it princip anyy sales be in the compasss of cosmetics including, hair color, makeup products, undress care products, perfumes and so forth Company has similarly launched its about(prenominal) products in the field of study of dermatology and pharmacy. The sales and profits are maintained by means of its wide celestial orbit of passkey consumer luxury and active products showing a strong by means of it. It was founded in 1909 by Eugene Schueller and soon it grown into worlds largest friendship in the industry. The turn e realplace of the familiarity has grown over 19 billions euros with over 11 part of growth which considerably indicates the success of trade strategies of LOreal conclave. The connection food market over 70 international mails along with a number of local anaestheti c brands do specific in ally for the unsophisticated it is merchandise with the akin international standards and tractableness gibe to the local needs and require custodyts that are to be sold to both men and women over 150 countries. The come with has shown enough growth in the continents of sum America and Western europium with its outstanding performance of twice the market trend growth of the markets of Asia pacific, Eastern Europe, Latin America, Africa and Middle East. The world(a) marketing efforts of the company with its sassy selling efforts brought the tremendous amount of success for it. The differences mingled with the assorted assimilations and the needs of the domestic people of those diametrical cultures have been sort of palmyly understood by the companys marketing approximately formizeds. To understand and to answer the cosmetic requirement of the antithetical types of people in the world the company has frame-up its five worldwide seek and i ncrease centre which are open up in the varied continents desire 2 in France, 1 in the US and 1 in Japan and 1 in chinaware in order to make the products manufacturing managed according to the needs of different culture. LOreal group has in(predicate)ly projected itself as a nice example of a good multi national corporation that manages its profit with considerable success finished the competitions in the markets sur paded by the motley geographical, social, economical and heathen risks. The company reached out to the variety of the clients with different economic status and heathen reach in prevalent different perception with and through its fine global branding strategies. Through its selling of different products the company sold different genre of products care Italian elegance, young York street smarts, French peach, etc.through different global branding methods. In this report we are asked to argue about different global marketing strategies adopted by LOre al group and how much the company is successful in understanding the different ethnic distinction in the different international market. (LOreal Group)Part 1COMPANYS orbicular MARKETTING STRATEGIESThe renowned LOreal group utilized its global marketing strategies to its extreme point in order to show and generate the great growth opportunities in a in truth elegant way. The company is known for and has always been imposition of its customers as a supreme elegant French product with smart prices and superb packaging. The oecumenical belief of the watchfulness of the company is about the fundamental existence of cardinal different dominative beauty cultures which are French and the American .This has been a major reason behind the company to setup two headquarters one in the Paris and one in New York. These two countries are culturally far different in toll of the background of the people, the mind set of the society and the creative background of their culture. The company even laid down the establishments of the different brands as the part of same organization in competition to each separate in the field of marketing save takes the research and developmental part in the collaborationism as suggested by marketing head of the LOreal, Owen Jones. He suggested and employ various smart and innovative marketing strategies that stimulated the creativity in his segment like moving around the streets of the local market to explore and go the needs and expectation of the product in the point of view of the native customers so that the product can be intentional and marketed accordingly. The decisions over the marketing strategies in the headquarters of the LOreal group are made after consulting examining and having the halal insight of the local markets while delivering with the touch of international standards maintained bighearted the feel of the commonplace method of implementing the global along with the local mirth .The LOreal impellingly fo c intaked on the international scale with its revolutionary which brought rotary of success to the company across many a nonher(prenominal) countries and continents. The growth of the company in countries like India , Mexico , Malaysia , few African countries was along with its immense success in its homeland of Europe and America besides with its appreciative expansion in the tough markets of china and Japan which was quite significant and miles stones .The main problems face up by the marketing police squads of the company in the countries in which LOreal has not been that successful as compared to other parts of the world like japan and china where there are strict health related rules and regulations and the complex dissemination of markets is the considerable example may be that of Japan which is the second largest cosmetics market in the world .The company very tumefy shouts its global figurehead with its subseries factories and manufacturing units and selling outlets all across the various continents of north America , Europe , Asia and Africa. To support this fact with the data and the statistical requirement the company has 18 subsidiaries and 8 factories in the continent of north America ,169 subsidiaries and 22 factories in the countries of Europe, 29 subsidiaries and 5 factories in Latin America ,23 subsidiaries and 4 factories in south Asia and with its extension in Australia, middle east and many other African countries as per the information available according to the data at the end of the 20th century. The global brands of lOreal includes the LOreal itself the Garnier ,Lancome ,Biotherm ,vichy, Maybelline ,Redken, Ralf Lauren , Goirgio and Helena which are being launched in different types of markets of the world for the different types of people in the world. The company as intumesce adopted famous marketing policy of acquiring the market through acquisition policies .This not only helped the company to settle in the abroad market but also to expand and become its leader. Some of the popular acquisitions of the LOreal group include the acquitted companies like body shop, soft sheen, matrix, etc.To summarize the overall marketing strategy the company has to maintain the standardization globally as well as to have the scope of local optimization as per the needs and requirements of the different cultures existing all round the globe. The company always had some standard product with incomparable meat features and the most grievously its scope of being coupled up with the optimization required with the products in order to maximize its local response by the native customers by making adjustments in the features of products with its prices without compromising with its international brand value and quality. These were the major reasons behind the companys emergence as the global leader of the cosmetic market for different cultures and hopes of the beauty of the local men and women worldwide. introductory CORPO RATE CULTUER IN THE COMPANYThe culture of any company depict is in the basis of how it handles the individuals operating in the group and manages its diversity in its very own style , its own functional conditions, hierarchy and the everyday involvement .The LOreal has been adopting nice effective policies to not only handle the personal but also the professional activities of the individual employees through different methods like motivational rewards, training and education , employees appraisal through different schemes etc. The company takes the talent development and understanding of the bodily culture by its employee as one of its responsibilities. Company allows the employees to be geographically mobile, provide higher(prenominal) working cadencies and various other French benefits. The career development of the employee are maintained through the rewards like the rise and pain , sexual promotions, in transfers options it also conducts the activity like bi-development in terview and even hence establish several management development centres as well. The annual expansion plan of the individual with the company is make through interviews , evaluation of the annual performance, taking into the comity their need and professional aspiration, the coordination and confabulation between the employees and the employees with the top level management is effectively maintained inside the organization, the external communication with the customers with the market is done through effective brand managing with the help of press and media and having the well customer care management to resolve any issue that may arise. With the use hierarchal way of communication among the employees of the organization, the relations among them is maintained and also the natural conflicts is resolved through effective management. Emails are one of the most important ways of communication for day to day disposal of information and the general purpose to convey information with the employees of the company. The company promotes its brand through its effective way of external communication through press, electronic media, web promotion, etc it also maintains its brand image through promotional campaign done through sponsorships. There are various clubs and communities within the company that are established to maintain the better relationship between the employees .The company also very effectively follow the customer responsive culture .The graceful internal and external functioning of the company is handled by the strong cultural backgrounds of its morals and principal.The company has developed an embracing culture which has short procedures for doing the work which not only provide the purpose of less wastage of time and energy but also gives the feeling of independence and autonomy to each of its employees .The oral communication is considered better than the written procedure in order to have flexibility in work but it also provides a type of trave l to solve any conflicts if they arise. The company very well handles its diversities in its team and the clients which is reflected through its successes at every level .The company serve his products to many cultures according to the requirement of any culture through its dedication and proper understanding. The management adopts such(prenominal) policies so as to utilize the working capabilities of its employees to its maximum extent. Sometime the pressure on the employees also builds up but overall they work their according to the individual perception.THE CORPORATE STRUCTURE OF THE COMPANYThe companies like any other multinational company with a high prestigiousness consist of board of directors, management committees and the stockholders. The board of directors as the governing body including fifteen members. The present members belonging to core committee are dungaree paul Agon, Francisco Basco, Werner Bauer, Liliane Bettencourt, Francoise Meyers, Peter Brabeck, Charles F illipi, Xavier Fontanet, Bernard Kasriel, Marc Lacharrier, jean Meyers, Lindsay Owen-Jones, Franck Riboud, Annete Roux and Louis Schweitzer. The management committees have different committees responsible for(p) for administrating the different departments. The committee includes Jean-Paul Agon as Chief Executive Officer, Beatrice Dautresme as EVP of corporate communications, Christian Mullieze as EVP of finances, Fredrick Roze as Chief Executive Officer of LOreal regular army, Jean Grollier as EVP of RD, Jean Lebel as the president of consumer products, Nicolas Hieronimus as the president of professional products, Geoff Skingsely as EVP of Human Resources and Marc Menesguen as the president of Luxury Products. The major stockholders of the company are Bettencourt family, Nestle, treasury overlaps and the others holded by the general public for the trade. The distribution of the shares are the Bettencourt family acquiring the 31 per cent of the companys share, 29.8 percent of th e shares are acquired by nose , 2.4 percent shares reserved for the treasury for the future and the remaining 36 percents of the share available in the market for the general public trade.Part 2DEALING WITH THE DIFFERENT CULTURES OF THE WORLDAs described by the famous author Schein, the culture in reference to the corporate world is the different corporations learning that is developed by different discoveries, invention and the development for intervention the internal and the external issue effectively .These learning and development should be successful enough to be passed and taught to the coming and joining employees for handling such affairs in the future .He also remarked the famous quote ,the culture has a same meaning to the group what personality has to with individual. Also it is well understood in the current era of global market that a successful multinational company has to have an in-depth knowledge of the environment and the different cultural background of the dif ferent countries and regions in which it is operating to have a considerable amount of success. As a world leader in the field of cosmetics and beauty industries, the LOreal group is always up with the blend of beauty with the design of products by intense research in science and engineering science with a tinge of innovations .The company has been selling its products to the men and women to more than one hundred thirty countries based on different cultures, different mindsets and with the different perceptions to evaluate its products. For live in these diversities, the company has to take innovation and quality management as one of its major requirement for its product manufactured. The company sells the most move on product in each and every country it is serving self-sustaining of any culture it has to serve .Being present in any country the company always gives the credits to its employees to build the LOreal a leader in the beauty and cosmetic Industry of the country by their unequal and uneven talent and ambition in doing so. As described above the company has opened its subsidiaries and research centers factories etc all around the globe with the vision of having some standardized ethics and principles along with scope of flexibility to adopt the different cultures for its employees and customers to maintain its brand value at the international level. The four different cultures that can be taken under the consideration can be that of USA, India, Canada and chinaware which can describe how well the company has been successful in dealing up with the cultures which were entirely different in many perspectives.The LOreal USA which is based in New York has worked successfully well to sell its products generally related to hair color, hair care, skin care, skin care, fragrances and the color cosmetics in the consumer and the professional markets. The major causes of the success of the company had been its progressive research and development of the new and innovative products, high amount of the dedication shown by its employees and the well distributed marketing of its products. The company also did some success providing acquisitions for example that of the Maybelline, modest Sheen, matrix, etc. (LOreal USA) The LOreal group in the country of India succeeded with its objective of focusing all its energy and know-how of the Indian requirement which it used during the manufacturing of the products and then its selling through effective Indian style marketing strategies. The company provided the Indian men and the women with its all new and innovative products with latest advancements developed in its research and the development centers. The company gives the credit to its more than 600 employees who worked with all the devotions to build the LOreal India with all success in beauty and the cosmetic market in India. (LOreal India) The LOreal china had entered into the Chinese market in 1996 with all efforts to provide the cu stomers in China their desired cosmetic requirements but providing its key products of international quality and some especially made products suiting the Chinese skin, hair, etc. The company did very well in adopting the local marketing strategies by coming up with the products like that of whitening and the anti-aging creams, etc. The LOreal group performed extremely well in the country of Canada with same commitment of innovations, best quality products and its effective marketing and distribution. The company launched its 25 prestigious brands to overcome the high amount of beauty and cosmetic needs of the people of this country. There are 1200 employees working in LOreal Canada with the same dedication and devotion for the profits of the company.THE IMPORTANCE OF UNDERSTANDING THE pagan DISTINCTIONSFor any of the successful MNC, it is very essential to understand the different cultural distinctions between the different cultures. The selling of same kinds of products in the ma rkets that are entirely different in terms of their cultural backgrounds has always proven to be quite a tough task. Also, the product or services should not violate any rule or regulation based on the culture of the country it is operating. The promotional campaigns and the mode of the advertisements also should be designed according to the cultural background of the region it is going to be launched or shown. If these things is not taken into the marketing strategy, the product which had been very much successful in one country, may even fail in the other. The local branding strategies, management of the human resources, etc all should be decided and implemented while taking into account the cultural distinctions on whose basis its applicability and the feasibility has to be decided. The same reward schemes, motivational methods, desired working environments, etc also cannot be the same for different employees working for the company in the different nations and thus it also need s the understanding of different aspects of the impacts of the cultural differences. For good relationship of foreign supervisor with its subordinate local employees, the cultural understanding of both becomes an essential object. When it comes to the market, the customers with entirely different cultures have a different perspective of looking the product and deciding its feasibility for them which depends upon their general mindset, price tags, quality and features required as per the natural climate, and its importance for them as an individual.