Company

[AMORE PACIFIC]• Cosmetics Manufacturers. Established in June 2006. (The predecessor : ㈜태평양)

• Major projects – Manufacturing and wholesale of Cosmetics, Dairy products, Food Additives,

Pharmaceutical-Cosmetics raw materials

• Philosophy – “To create beauty and health is contributing to mankind”

• Vision – “For beauty and health of customers and a global provider of Total Care”

◈ Business Environment Analysis - Industry Analysis

- Characteristics and environment : Higher value added business, Easy market entry of new partyLarge and stable,

- State of Industry : Consumption polarization, Expanding domestic market share of imported

brands

- Changes in the domestic market : Appearance of foreign company, Intensified competition

among domestic company

AMORE PACIFIC SWOT Analysis

Strengths

S1. The high investment in R & D

S2. Strong brand image

S3. high positioning in domestic

market

S4. Securing a variety of distribution channels

S5. Stable fiscal and external evaluation

S6. High Overseas expansion and market

share compared to third-party

S7. successful brand Globalization

Weakness

W1. High dependence in cosmetics

W2. High dependence in material, ingredients affiliates

W3. Expensive Treatment costs for

environmental

Opportunities

O1. Government’s support

O2. Stability of the cosmetics industry

O3. Korean Wave

O4. Increased interest in male beauty

O5. Overseas opportunities

O7. Improve capital efficiency when

switching to a holding company

Threats

T1. Foreign company's global

Marketing

T2. Change of the law, regulation

T3. Saturation of the domestic market

AMORE PACIFIC – 4P’s MIX

• Environment-friendly products

• Product differentiation

- Na-no technology

• Various Products

- stage of skin-care product

• Brand Name

- Using the recognition

& Expansion by Brand

• Packaging & Size

- Experiential Marketing

-Portable, storage, samples Product

Product

AMORE PACIFIC – 4P’s MIX

• Compared to the value Competitive Competing products Advantage

• Expansion- Ongoing basis path to market for expansion around the other country

Price

Promotion

Open distribution channels

(existing)

Selective distribution channels

(Future)

AMORE PACIFIC – 4P’s MIX

• Basic Strategy

- High price product : prestige brand strategy

- Sales Promotion: Consumer Promotion , Direct Marketing

- Advertising media: Mainly print ads

• Promotional strategies

- emphasis on the quality of promotional materials

- Sample : gentrified → the sample consist of stage & special case

- Gifts : Gift shops only buy → future induction

• Individuation: break to a unified in-store display drivers

Promotion

■ BCG Matrix

STAR

QUESTION

MARK ?

CASH COW DOG

cosmetics

division

Food&

beverage

division

Households

item

division

Health care

division