SASA is a cosmetic retail Company which is found in 1978. Form a 40 square feet shop to a leading cosmetic retail brand in the Asia. According the ranking of ASIA first 500 retailers by KPMG in 2012, SASA is the highest in cosmetic catalog. Apart from the cosmetic retail, SASA is a cosmetic agent and cosmetic brand manager. ”SUISSE Programme” “SASA TINNIE” is some of the examples.
SASA listed on the Hong Kong stock in 1997 (No.0178). the prospectus price in that time was $2.38 HKD. In nowadays, SASA stock price has increased to $6.17 HKD. Total market value is $174.1Billion HKD. Annual profit is 6.9 Billion HKD (2011 data)
The SWOT analyses of SASA Company
Strength:
1. As SASA is the market leader of the Hong Kong cosmetic retail company (30% of the Hong Kong Market). Compare with her main direct competitors BONJOUR and COLORMIX, we can find her net profit rate is the highest (8.35% VS 6.6% VS 5.56%), also SASA’s PE is the highest too (23.29 VS 16.56 VS 7.23)
2. SASA has built goodwill along the customer.
3. SASA’s product is necessities for the women. Although Hong Kong’s economy influenced by the other country easily, there is not a big decrease in sales. On the other hand, SASA Hong Kong business will benefit from the price gap between Hong Kong and China.
Weaknesses:
1. SASA tries to open the China’s market but she can’t do it successfully. Form SASA entered China, the loss continues to now.
Opportunities:
1. Although SHSA’s China business is losing money, but it is still a big market. We have seen the loss of China business is keeping reduce (from nearly 40M HKD to 30M HKD) and the sales is keeping increase. (From 0.93B HKD to 1.68B HKD). It means the admin of SASA Company has ability to catch this opportunity.
Threats:
1. Hong Kong has opened the individual visitor scheme for China since 2003. It helped Hong Kong’s retails market having a big increase. Since Hong Kong capacity of visitor is