International Strategy for Body Shop - Case Study Example

The paper 'International Strategy for Body Shop " is a good example of a management case study. Today "The Body Shop" is one of the best and well-known brands available in the Cosmetics industry, especially in the natural product category. The company was established in the year 1976 by Anita Roddick. In 51 countries she has about 2000 stores. The Body Shop International Plc is listed under different related and synonymous industries. In the UK, the company is listed under the medicine industry. Globally, it is operating in the Cosmetics and Toiletries (C&T) industry. This industry is synonymous to Fragrances and Care Industry, Personal Care Industry, Chemical Industries Manufacturing Beauty Products, Beauty Industry, and Consumer Products-cosmetics Sector Industry. For the purpose of the project, we would like to focus on the Global/Regional C&T industry, which is the main industry where The Body Shop, is operating in (www.hoover.com).

Structure of the Industry

The Body Shop operates in the global cosmetic and toiletries (C&T) industry. From Euromonitor, the C&T industry includes the following broad group of products; baby care, bath and shower products, deodorants, hair care, colour cosmetics, men's grooming products, oral hygiene, fragrance, skincare, sun care and depilatories (www.beauty-on-line.com/ebn/newsletter.asp?eid=99). These products can further be segmented into two categories based on product ingredients - those made from natural materials and those made from synthetic chemicals. One point is noteworthy here, segment boundaries are getting blurred day by day as producers are trying to achieve market share in both the segments. According to Hoover.com, The Body Shop's top competitors include, Bath & Body Works, and Estee Lauder

Competitors

The Body Shop has the first-mover advantage in the natural personal care products market through its position is challenged by the growing competition in the market. The company was the leader in the natural products area, - today most of their competitors have followed the business model.

Even though competition level is growing very fast, high market growth potential promises room for further expansion: "The global toiletries and cosmetics market is estimated to be growing at an annual rate of approximately 3.1%. This fundamental development in the market, together with the chance to increase market share in markets all around the whole world, gives a firm base for the future growth of The Body Shop."