Shiseido Case Study Report

In: Business and Management

Submitted By Manu2708
Words 992
Pages 4

Shiseido is a Japanese cosmetics producer, market leader in its home country and one of the top ten players in the industry worldwide. Founded 1872 by Arinobu Fukuhara, Shiseido is also known for being the oldest cosmetics company in the world.

Net sales (consolidated): $ 7,024 billion Number of employees: 28,810 SHISEIDO group: 89 companies 29 domestic 57 overseas

Apart from being market leader in Japan, Shiseido is putting a lot of effort into research and development. Other important points are the strong focus on customer relationship management and environmental protection. But even though R&D is a cornerstone of Shiseido’s corporate philosophy, only 5% of the invented products are patented. This makes the company very vulnerable to competition. Another negative point is the limited other number of points of sale, thus making it hard to reach , customers. But there are also opportunities for Shiseido in the future. First of all, introducing the men’s cosmetics line opened the door to a new market with high potential. Second, forming strategic alliances, especially with foreign companies, can also lead the way to new markets (the same happened in the past when Shiseido formed alliances with Johnson & Johnson or Coca Cola Cola). Searching for new market chances is important because of various threats like for example the increasing competition in existing markets or the shift in consumer needs away from complex, high-class products, to class cheaper self-selection products.

3 affiliated companies

15,9 Japan 14,5 62,3 Americas Europe 7,3 Asia/Pacific

In the last years the attitude of men towards their physical appearance and cosmetic products has highly changed: Nowadays, men are more…...

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