Eco products!
October 3rd, 2010 • Uncategorized
“The Body Shop was one of the first beauty companies to recognise sustainability and to commit itself to fair trade and these ideas drive the business with passion. Believing every woman has the right to feel fabulous, The Body Shop products are made with love of life and respect for the world we live in, in a spirit of individuality.”
http://www.eco-asia.info/content/b-the-body-shop
We practiced using the swot analysis in class and in this post I’m going to do the same thing for The Body Shop.
Strengths:
The company produces its product ethically. First of all it is well known that The Body Shop is against animal testing, this is one strength because many people believe that animals have the same right as humans and so those people are more likely to purchase products of The Body Shop rather than other brands of beauty products. The Body Shop also supports community trade, they “Believing in buying the highest quality natural ingredients and handcrafted products, from the best people, for a fair price.”
Weaknesses:
The last point mentioned above it’s a strength of The Body Shop, however, at the same time it could also be a weakness. Having fair trade gives the company a good reputation to its consumers but it also increases its production costs. When the production cost is higher it suggests that either the profit is less or the price of the product is higher. Lower profit is not good as the company would want to maximize the profit to increase its revenue and higher price is bad because when prices are higher, its product automatically becomes less attractive to its consumers.
Opportunities:
People tend to start caring about their environment and surroundings as their living standard becomes higher. And this is happening in most of the developing countries, e.g. China and India. Therefore, it would probably be a good idea for The Body Shop to enter their markets in the future.
Threats:
Other brands selling similar products such as L’ OCCITANE are also producing eco products. If L’ OCCITANE is doing it successfully and is able to set its products at lower prices. The consumers of The Body Shop might start to buy L’ OCCITANE’s products.
