Andrea Jung's Makeover of Avon Products, Inc.

Andrea Jung’s Makeover of Avon Products, Inc.

Problems

Avon faces the strong competition within fields they are trying to expand into which is a nutritional product line called Wellness.

Any effort to sell products via the Internet and through retail channels has been rejected by the representatives.

How can Avon maintain its number one direct seller of beauty and beauty-related products in the future with current industry trends?

How can Avon enter the teen line cosmetics and make it profitable?

Dependence on direct sales will hinder Avon in the future unless their products are so superior that women seek them out.

Problem Statement

Avon's strength lies in its ability to sell its products directly to its customers. They are the leading direct seller of personal care products in the world. Avon's biggest strength has become one of its biggest obstacles. Any initiative or strategy set about by the company to expand beyond its direct sales model is met with fierce opposition by its sales representatives. Any effort to sell via the Internet and through retail channels has been rejected by the representatives.

Alternatives

Since many young women are wearing make-up these days, Avon should develop an inexpensive, teen line.

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