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Case Title:

Avon: Direct Selling in China

Publication Year :  2010

Authors: Firdaus Maldar, Souvik Dhar

Industry: Cosmetics and Skin Care

Region:China

Case Code: MM0036

Teaching Note: Available

Structured Assignment: Available


OR





Abstract:
Avon, the leading direct selling company of cosmetics and related products, entered the Chinese market in the 1990s. China banned direct selling in 1998 and Avon was forced to change its sales model and open retail outlets. In 2001, China joined the World Trade Organisation (WTO) and agreed to ease restrictions on direct selling. In 2005, Avon was granted permission to conduct tests of its direct selling method in China.

Pedagogical Objective:

  • To discuss the opportunities presented by the opening up of the direct selling industry in China
  • To discuss the steps initiated by Avon to take advantage of this opportunity and the obstacles it faces.

Keywords : Avon, Direct selling, Andrea Jung, Beauty and related products, Marketing Strategies Case Study, Amway, Mary Kay, Multilevel marketing, World Trade Organisation (WTO), Pyramid selling, Upline distributors, Nu Skin

Contents:

  • Avon: A Brief Profile
  • Direct Selling in China
  • Avon: New Opportunities in China

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