Mary Kay Cosmetics
1.Why has MKC not been as successful as Avon in penetrating international markets?
There are a number of good reasons that explain why Mary Kay Cosmetics (MKC) had not been able to penetrate the international markets as well as Avon did. The head of MKC’s Curran Dandurand identified a number of reasons for this phenomenon, according to this case study. Dandurand’s analysis concluded that mainly MKC’s limited international success was due the following reasons.
Marking strategy-
MKC made a very big mistake in their international marketing strategy. MKC had mistakenly applied its U.S. marketing strategy to different foreign markets without making strategic marketing decisions based on local customs and the general behavior of the customer and seller pool. The first mistake in this aspect was the application of its U.S. style one-on-one, very personal, and direct selling strategy to countries outside the U.S. This did not necessarily work well because it did not fit local culture and customs. In this this regard Avon pulled ahead and was successful in their integration in international markets as they adapted their sales “training” to work well with the culture of the international markets. They took the time to understand and respect the customs and the method of interactions of their customer and seller base. Moreover, they hired local managers in order to increase their knowledge about the specific locations
Pricing-
MKC’s overseas pricing strategy was an exact replicate of its U.S. pricing strategy without much consideration of the local market condition such as the income level and buying power of the customers living in those less developed countries. They failed yet again to take the time and consider the markets they wanted to enter. I feel (and so does the case study) that if MKC would have taken a more considerate approach, to allow the consumers the opportunity and ability to afford the MKC products(this is of course assuming that MKC would
There are a number of good reasons that explain why Mary Kay Cosmetics (MKC) had not been able to penetrate the international markets as well as Avon did. The head of MKC’s Curran Dandurand identified a number of reasons for this phenomenon, according to this case study. Dandurand’s analysis concluded that mainly MKC’s limited international success was due the following reasons.
Marking strategy-
MKC made a very big mistake in their international marketing strategy. MKC had mistakenly applied its U.S. marketing strategy to different foreign markets without making strategic marketing decisions based on local customs and the general behavior of the customer and seller pool. The first mistake in this aspect was the application of its U.S. style one-on-one, very personal, and direct selling strategy to countries outside the U.S. This did not necessarily work well because it did not fit local culture and customs. In this this regard Avon pulled ahead and was successful in their integration in international markets as they adapted their sales “training” to work well with the culture of the international markets. They took the time to understand and respect the customs and the method of interactions of their customer and seller base. Moreover, they hired local managers in order to increase their knowledge about the specific locations
Pricing-
MKC’s overseas pricing strategy was an exact replicate of its U.S. pricing strategy without much consideration of the local market condition such as the income level and buying power of the customers living in those less developed countries. They failed yet again to take the time and consider the markets they wanted to enter. I feel (and so does the case study) that if MKC would have taken a more considerate approach, to allow the consumers the opportunity and ability to afford the MKC products(this is of course assuming that MKC would