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  • Essay / Swot Analysis of Body Shop - 745

    SWOT Analysis of Body Shop Outlet in Canada WaterSummaryBody Shop International (Body Shop) is a multinational company that mainly produces eco-friendly skin and hair products. Their products are based only on natural ingredients and manufactured according to an ethical code that opposes animal testing. The cosmetics franchise is considered one of the largest in the world with a well-established reputation in 54 countries. L'Oréal, a dominant company in the beauty sector, acquired Body Shop in 2006. Although Body Shop has become a subsidiary of L'Oréal SA, it still acts according to its own policies, values ​​and ethical code. The acquisition resolved the Body Shop's financial problems and provided the means for expansion into greater market share. Introduction This report will be a SWOT analysis of the Body Shop outlet in Canada Water. It will mainly focus on: • The strength, weaknesses, opportunities and threats of a particular outlet. • What was the effect of the acquisition on a particular industry. determining factor in sales. With its unique products, it has established itself as one of the most eco-friendly retailers. • Support from L'Oréal – Being a subsidiary of L'Oréal, Body Shop seems to be experiencing an increase in its sales. Additionally, L'Oréal's experience in advertising and marketing can boost overall sales. • Niche Marketing – Body Shop targets a niche market. By claiming not to test its products on animals and seeming to have an ecological profile, it has attracted customers with ethical issues. Being the only store in the mall to sell eco-friendly products gave it an advantage in the local market. • Charitable Support – Body Shop provides financial assistance to charities by donating a small amount of money from particular products they sell. The Body Shop's support of local charities and non-profit organizations improves its image in local society. Weaknesses • Slow service – Body Shop's location, inside a mall where it is always crowded, combined with lack of staff, results in slow service for customers. Customers may be discouraged and prefer an outlet in a central location. Opportunities • Product development – ​​Body Shop can leverage L'Oréal's experience in research methodology and efficiency to improve and develop its own existing products..