Black Beauty in Brazil: Carol’s Daughter’s Collection

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The opportunities or external positive factors, for the company online is great for its expansion for the company. They produce unique products and service which helps with innovation and customer’s needs. New products will expand their business and their diversity customer’s base will increase. The hair movement will be more social acceptance to the society. It tends to be about being able to free to wear your hair that naturally grows from our scalps without being told we must change it to meet Eurocentric beauty standards. Reaching

out to younger audience and open to a new market for men and children’s products are all new areas of opportunities Carol’s Daughter can consider.

Lastly, the threats or external negative factors, a bad economy or recession will have the company business and customers decreasing. Intense competition like Camille Rose, Shea Moisture and Thank God It’s Natural are coming in to the natural beauty industry which taking Carol’s Daughter’s consumers. Society tells African American women that it’s not acceptable to show their natural hair, which isn’t professional for any settings. Government regulations and lack brand consistence are also external threats that should not be overlooked.

The Product

This marketing strategy focuses on providing variety of their hair products for their customers since they have diverse customers. Their products are the biggest assets to their company and it defines who they are. They do have other products such as body and skin care. They even branch off to go into a new market where they provide product for men and children. The company is multicultural hair and skincare products. What’s special about these products is the customers want to get the healthiest-looking hair, to do that they have choose one of their shampoos and conditioners that best meets their hair needs. Next, they don’t want their hair to be dry or have their curls not define so they must insert treatments onto their hair. Lastly, they can take their hair onto the next level by using their unique hair products styles, from wet curls to the prefect define curls, just like everyone wants their hair to do.

The Industry

Carol’s Daughters enter a beauty industry, including products for hair, body and face care. Recently, L’Oréal buys Carol’s Daughter once they file bankruptcy. L’ Oreal is the world’s largest cosmetics company. They specialize are makeup, hair and skin care. One of their biggest competitors are Revlon. This was a big opportunity for Carol’s Daughter due to the fact their weakness can turn into strength such as investors backing out, customer service, lack of cash flow, weak brand, weak supply chain, product accessibility, and relies completely on social media. L’Oréal will offer Carol’s Daughter to become the highest brand and beauty products for all diverse people. Also, Carol’s Daughters wants to be the biggest multicultural hair and skincare products in the world. L’Oréal will thrive Carol’s Daughter in that industry.

COUNTRY MARKET

Country Risks Analysis

Factors Conditions

Brazil is the eighth-largest economy in the world. In 2003-2014 about 29 million Brazilian people are out of poverty and inequality due to this Brazil’s economic and social environment making progress to thrive for their people. Currently, they’re going through a deep recession. GNP is 3.075 trillion PPP dollars, in the data is shows that it’s higher than Canada and Australia. GDP growth in 2016 was -3.6% which grow in 2017 was 0.5%. The nominal deficit is 9 percent of GDP (US$161.7 billion) in 2016 and by the end of 2017 at around 10 percent of GDP (US$180.1 billion). This show proof that Brazil’s economic continue to grow and within in three years they will be out of their recession. Brazil is the biggest advantage is their natural resources. Their natural resources make the country rich. The exports are worth about 90 million.

(The World Bank)

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(World Bank)

Related and Supportive Industries

Brazil, Mexico and Argentina dominates the hair care markets in Latin America. According to export.gov, among the three Brazil takes the 7.1% market share and their sales are $154 billion, which makes its to be the fourth largest market in the world. U.S. is the first largest market in the world. Brazil has some competition, but Brazilian women takes their hair very seriously which the whole population will spend 7.7 billion dollars on products. There are 342,000 salons within the country. This shows that the competition doesn’t damage Brazil’s hair product industry.

Demand Conditions

Like I said before Brazil dominates the hair care market. Since Brazil is going through a deep recession, Carol’s Daughter products can bring more attention to foreign market where Brazil can be exporting this product. Which Brazil do export personal care, fragrances and cosmetics to U.S. Brazilian women are in with the latest trends than any other nation. Their latest trend is natural hair. Brazilians are still somewhat picky when it comes to their hair care. However, this has been changing, especially when we look at the comeback of natural hair. Brazilian consumers are well informed and not afraid to invest into higher quality products, but won’t buy it again if doesn’t deliver the expected results. Brazilian would say their target market is any woman who cares about the health of their hair.

[pic 6]Euromonitor International

Market Accessibility

According to export.gov, Brazil is not a member of the WTO Government Procurement Agreement. Brazil has laws, regulations, and the government is working to improve their effectiveness. Several bills to revise the country's regulation of the government relations industry are pending before Congress. According to the World Economic Forum, Brazil ranks 107th out of 144 countries in the level of development. For people to be successful in Brazil, you must rely on development a strong personal relationship. Such as U.S. companies cite high tariffs, an uncertain customs system, high and unpredictable tax burdens, and an overburdened legal system as major hurdles they must overcome to do business in Brazil. U.S. exporters