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Avon Case Study Analysis

Essay by   •  January 24, 2011  •  292 Words (2 Pages)  •  2,302 Views

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This paper will discuss and argue AvonпÑ--Ð...s position on whether the grand strategy, under the leadership of Andrea Jung has its merits and if the grand strategy is properly focused and directed. In addition, discuss and argue the position if the grand strategy of Jung is not optimal and needs to be refocused (Syllabus, 2005, p. 16). Evidence will be provided supporting each argument and finally the decision rational will discuss why the weaker factors of the case study were dismissed.

Strategic management can, through long-term objective planning and strategic implementation, provide an organization the grand strategies needed in meeting its business mission, goals, objectives, and ultimately increase shareholder wealth (Pearce and Robinson, 2005, p. 19).

Discussion

Background

Andrea Jung, president and Chief Executive Officer at Avon Products, Inc. since November 1999, is faced with the strategic decision of developing a growth strategy for a 115-year-old company in the spring of 2000 (Pearce and Robinson, 2005, p. 28-1).

In the case study, Avon was пÑ--Ð......the worldпÑ--Ð...s largest direct seller of beauty and related personal care products, sold to women in 137 countries via three million independent sales representatives who generated approximately $5.1 billion in annual revenuesпÑ--Ð... (Pearce and Robinson, 2005, p. 28-1). Avon had had global success and brand recognition, but single digit growth indicated the company and its leadership needed to provide new direction in the grand strategies to be taken.

Argument One

The first argument is that AvonпÑ--Ð...s grand strategy under the leadership of Andrea Jung has its merits and is the grand strategy is properly focused and directed (Syllabus, 2005, p. 16).

Evidence

The grand strategies that Jung

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