Investigation of the organisational structure of L’Oreal Group
Candidate name Student ID Tutor Minggui Qu Title of the project Investigation of the organisational structure of LOreal Group Word count 781 1. Introduction The purpose of this report is to assess the LOreal Group which is a global business organisation. This report investigates the operation of LOreal Group that it illustrates the historic context and the development of the group. 2. The historic context Over a century, LOreal has grown from a small family business to the worlds leading cosmetics company. It operations in more than 150 countries and regions, with 283 offices, 42 factories and more than 100 agents and employs 50,000 people in the world. Moreover, LOreal Groups global sales reached 140 million euros last year that it achieves 19 years of consecutive double-digit profit growth. It is also the most admired French companies, and one of the Fortune Global 500 companies. LOreal was established in 1909, young chemist Eugene Schueller sets up the company by the first hair dyes, which he designs, produces and sells in Pairs that will later become the LOreal group. Due to the highly competitive domestics markets, the Group starts to expand internationally in 1957. It executed acquisitions of strategic brands that many emblematic products come into being. Furthermore, a product in different countries may be at different stages in the product life cycle. There may be an opportunity for the company to extend the life cycle of its products. Besides that, the company motto is seize new opportunities, mainly driven by the significant investments made by the group in the field of research. From 1984 to 2000, these succeeding twelve years are marked by a great period of growth to LOreal. Alongside these strategic product launches that succeed in strengthening the Groups brand image. Especially in 1988, under the management of Lindsay Owen-Jones, a truly outstanding director, the Group could completely change in scope to become the world leader in cosmetics