| In 2005, some famous companies such as P&G became the critical targets of thecustomers. And in 2006, SK-â…¡was prosecuted by its customers, because its productscontain some ingredient which is porhibited to use in cosmetics. The event causespopele to pay attention to the cosmetics industry.Cosmetics industry is an industry, and also is culture. It becomes darilynecessities to beautify people's life as the continuly increasing of people's life leveland the developmet of the society. Since China became to renform and open itsmarket, the cosmetics industry in China developed very quickly and the speed ishigher than the average speed of national economy. The rate of market's increasing isthe second fastest market in the world and the cosmetics market is the eighth biggest.ones in the world, the second biggest ones in Asia. Almost all famous cosmeticscompaies have been in Chinese market, so the competition is very acute in China. Butwe are regret to find that in medium and top market almost all cosmeics are foreignbrands and 40ï¼…market of the national brands is the low grade market, especiallylacking of brand construction. Now in China 80ï¼…cosmetics market is occupied byforeign and joint capital companies. However, state-owned companies, collectivecompanies and other cosmetics companies are in depression condition.As China joined in WTO, the speeds of China's internationalization becomefastly and the market in China also becomes internalized. The cosmetics companies also will deeply participate in the international competition. According to theagreements, the cosmetics tariffs would decline 10ï¼…to 15ï¼…after China went inWTO, and the threshold of cosmetics would also fall. So, the Chinese companieswould confront challenges all around. The cost of foreign companies to go intonational market would fall and the competition power of forerign top cosmetics willincrease. Some medium class cosmetics would also go into national market and itwould become the competitive focus. So it becomes the biggest threat to nationalcosmetics companies.In 2003 and 2004, Loreal Company successly amalgamated the brand XiaoHushi and Yu Xi which are the famous brand in China's low grade market. It shakedall people in costmetics market. The existing space of national small and middle scalecompanies is smaller and smaller and the power of making profit gradually decilinesto die out. If the national companies insist on the original market, they may beamalgamated by foreign companies, and then there will have no national cosmeticsbrand in China's market.It is a challenge and also a chance for China to enter the WTO. If nationalcompanies participate in negatively, they will die out. Maybe they have living chanceif they confront with challenge positively and catch hold of chance. In order topromote the development of national companies and the China's costmetics industry,the papar is to discuss how to increase the competition power of China's cosmeticsindustry in internationalizd condition. I hope I can supply some suggestion andreference for the development of China's cosmetics industry. The paper has four parts.The first part is to introduce the relative concepts, background, summarized theoryand so on. The second part is to introduce the characteristics, present conditions, andthe tendency of cosmetics, and to analyse the strength, weakness, opportunities,threats of cosmetics industry in China. The third part is to introduce how to increasethe competition power of China's cosmetics industry from macroscopic direction inconnection with the problems of cosmetics industry. The forth part is to dicuss thedeveloping strategy, of China's cosmetics companies from microscopic direction according to the the tendency of cosmetics. The last part is to sum up the whole paper.We must realize our disadvantages, and also need to have confidence. I hope theChina's cosmetics industry will make great progress, and then it will promote thedevelopment of national economy. I believe the company like Loreal and P&G inChina will appear in the future.
|
PDF Full Text Request