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Question: Discuss About The Knowledge Learn International Conference? Answer: Introducation LOreal group is one of the largest cosmetic companies in the world. The registered office of the company is located in Paris and the head office of the company is situated at Clichy, France. The company operates in the industry of cosmetic products. The company has come into existence in the year of 1905 and today the company serves the market with its 2000 products. The company is continuously experiencing growth and serving the market with wide and diverse product range. As far as the mission of the company is considered, it has been analyzed that the company wants to help the customers in realizing their aspiration and expressing their personalities to the fullest. This is the statement that helps the company to create value to their business. In terms of market orientation, the company focuses on customers and societal marketing orientation concept. The companys slogan, Because IM worth it justifies that the company is personifying its image and connecting its products to the cus tomers personality (Gangjee Burrell, 2010). The company has the great products range, following are the products divisions: Consumer product division: LOreal Paris, Garnier, Maybelline NY Professional product division: LOreal Professional, Matrix, Kerastase Active cosmetic: Vichy Luxury product: Lancme, Biotherm, ralph Lauren and Giorgio Armani Industry analysis: The global cosmetic industry has seen a great growth of around 3.8% in last 10 years. Out of all the brands, LOreal is found to be the strongest brand and it has been reported that this is the luxurious brand that is expected to attain more growth in near future. The above figure suggests that LOreal is at the top of all the top 7 companies of cosmetics in the world. The statistic suggests that it has the largest market capitalization of all the brands. Company: SWOT analysis: In order to analyze the company.it is required to conduct the SWOT analysis of the organization that helps in identifying the strengths, weaknesses, opportunities and threats for the company. Following is the SWOT analysis of LOreal. Strengths: LOreal is considered as the largest and the strongest cosmetic brand in the world. Its market capitalizations found to be largest of all the top cosmetic brands. Research and development: It has been analyzed that only pure manufacturing is not the way to success for the cosmetic brand thus it is required to involve dermatology, cosmetology, skin care, hair care etc. in the brand and this is what LOreal do (Crittenden, Crittenden, Ferrell, Ferrell Pinney, 2011). Large products range: as far as the product range is considered, it has been identified that LOreal is the company that is serving the customers with great range of products in different categories such as hair care, skins care, make up etc. not only the range of the products but the company has different products division and brands (Brandt, Cazzaniga Hann, 2011). Weaknesses: Slow profit growth: although the company is earning great revenue from its sales but due to high expense on RD and other sectors for handling such a large company, it becomes difficult and tough for the company to earn profit (Shen Bissell, 2013). Decentralization of the division: it has been analyzed that the company has many brands and because of this division, the company finds it difficult to position itself in e market with single image. The damage to single products of any brand may affect the other products as well (?opaciuk ?oboda, 2013). Opportunities: Business expansion: as the company is doing well with range of products in cosmetics so it can also expands its business in different products range such as in natural products or any clothing brand that can support the business to expand Alliances and acquisition: the company also has the opportunity to make alliances with other brands or acquire small brands to have more and larges market share in order to fight the tough competition. Threats: Competition: cosmetic industry is experiencing a great competition and new brands are entering the market now and then. As per the analysis, Estee Lauder, Mac etc. are some of the great brands that re competition for the market share. Customers: Understanding consumer behavior is very important in the way that it helps in analyzing the position of the brand in the minds of the customers. This helps in making the marketing targets by the company. As far as LOreal is considered, it has been analyzed that it focuses on culture, psychological and social factors to apply the knowledge in order to make marketing strategies. LOreal group has the customers which are based at their demands. For instance, in the business of skin care, the people who are facing ageing problems or skin problem will buy the products as per their needs and demands from the product type (Hamzaoui Essoussi Merunka, 2007). Collaborators: Collaborators of the company or the brand includes the partners, suppliers and there stakeholders of the company that are linked and associated with the company in one or the other way. These collaborators help the company to make their business functions more effective. LOreal believes in developing strong bonds with its suppliers and tries to develop the relation that is sustainable in nature. Reciprocal commitment is found to be the base of the relationship in order to have the mutual growth (Loreal.hk., 2018).. As far as the partners are considered, the company has three types of partnership that are academic partnership, institutional partnership and private sector partnership. All these partners are important for the company to help the firm in its research and development function. Some of the science institution helps the company to manufacture its products and makes them effective and harmless. Competitors analysis: Porters five forces is the analysis that can help in evaluating the competitive environment of the company. Threat of new entrants It has been analyzed that barriers to entry is very high in this industry and thus the threat from new entrants is low for the companies like LOreal. This is because the companies need to have high capital in order to enter the industry and also have to make the products that are not harmful for the skin. This requires them to have a certified permission. Threat of rivalry The rivalry for LOreal is also moderate in nature because there are many companies in the cosmetic industry but LOreal is a very big brand and it is very difficult for any of the company to replace the brand. LOreal has around 50 brands and it would be very difficult for the company to reach up to that place. Although the competition is high in the industry but LOreal is at very high level (Fayolle, Basso Legrain, 2008). Threat of substitutes Threat of substitutes or the company is high in nature. This is because of the preferred natural products choice of the customers. these days are preferring to buy the natural products and avoiding the use of chemical products on their skin thus these natural products can replace the LOreal products in the market Buyers power The power of buyers is very one as compared to the company and the company has its hands up in this case. This is because of the large number of customers in the market. As there is large number of customers in the market thus the company has the power to bargain and set the prices (Edu, Negricea Nicolaica, 2013). Suppliers power The bargaining power of suppliers is again very low in comparison with the company lie LOreal. This is because the company has its own image in the market and thus has many suppliers. Context: PESTLE analysis To analyze the contextual factors, PESTLE analysis needs to be done: There are many political challenges that the company has to face. It has been analyzed that as a cosmetic brand the company has to follow the guidelines given by each of the government in every country where the company operates and series the market. The company is obligated to manufacture safe products as per the standards of the government and should be passed by the authorized institutions of every country. Economic factors: as the company operates in many different countries, thus it has to follow the guidelines of those countries. Thus, the global economic conditions affect the functioning and the revenues of the company. Any variation or fluctuation in any of the market affects the functioning of LOreal and its overall profits (Saraswati, 2010). Social factors: social factors include the culture of the countries and the values of the customers. LOreal is considered as the leader of change and thus it adopts the strategy of universalism and tries to serve the market as per their preferences. Technological factors: technology plays a great part in this industry of cosmetic products. This is because science is the major part of the manufacturing process. The scientific and technical knowledge of the skin and the hair as well as the chemical is very much required. Legal factors: The company should focus on being legally and ethically correct. This is because the company has to follow all the legal obligations and it is required to produce the products that do not harm the customers in being ethical. Environmental factors: environment is also main concern for the companies like LOreal. This is the reason why the company belies in sustainable practices. What customers want? As per the analysis, it has been identified that customer behavior is in terms of their demands. As the company provides various product ranges to the customers thus the customers choice depends on their demands and needs. The customers with skin care needs prefer to buy the products from the skin care range. A customer who runs the salon prefers to buy the products of the professional range. LOreal used to analyze the customs demands with the help of demands that the customers generate (Gangjee Burrell, 2010). Which competitors pose a threat? It can be analyzed by conducting mare research. It is required by LOreal to conduct market research timely in order to identify the threats for them. The major threat or competitors of the company are found to be Estee Lauder and Beiersdorf etc. How the context of business is changing, if at all? The context of business is changing as per the change in the demands of the customers and the preferences of the customers I different countries. The LOreal should think of going into natural products range as the customers are taking interest in buying the same these days. What role collaborators play in the process? Collaborators play a great role in LOreal process. The suppliers are the one who acts the mediators between the company and the customers. Thus, it is important to make good relations with the suppers in order to serve the market effectively. Partners are the one who are responsible for making the functions more effective and restricting the company to be in its legal and ethical limitations. Partners help the company for its research and development processes as well (Ren, Xie Krabbendam, 2009). Developing the marketing strategy Target market: as the company has the opportunity to enter the new market by launching the natural range of products thus the target market for the company should be the teenage girls who cannot put so much of chemical o their sensitive and young skin. Value proposition: as far as the value proposition of the company is considered, this new range should be positioned as the products for the younger skin so that the company can attract young generation for the products. Positioning statement: The positing statement of the company should be: Natural me, young you. This statement suggests that the company is making the products from the natural products that will help the young to be young always and make their skin healthy without any chemical use. Development of marketing tactics Recommended marketing mix: Product: the product in the case is natural products range for the young generation. The products range is into skin care products only (Edu, Negricea Nicolaica, 2013). Price: the penetration strategy of pricing should be used in this case so that the company can compete with other natural product competitors. Place: the place should be the distributor and the retailer point along with the franchisee stores. Promotion: the major promotional tool that can be used by the company is campaign and public relations. This helps the company to develop good relation with the youth. Campaigning can be done in schools and colleges. Process: the process that needs to be followed in order to reach the customers is through retailers. As the products are natural so the sustainable processing should be used. People: the people who all are involved in the process are employees, suppliers, workers, government, partners, customers etc. (Fukukawa, Balmer Gray, 2007). Physical evidence: the physical evidence of the products is the brand name and the packaging. The packaging should be green in color and should use the disposable material. Conclusion: It has been concluded from the report that LOreal is the company that operates in cosmetic industry.it is the firm with great products range and its weakness is its decentralization because of the high products range. The company has the opportunity to expand its business in natural products for the young generation and thus it is required by the company to use the marketing strategies like campaigning and public relations to make the youth aware about the presence of new products range of the company. References: Crittenden, V. L., Crittenden, W. F., Ferrell, L. K., Ferrell, O. C., Pinney, C. C. (2011). Market-oriented sustainability: a conceptual framework and propositions.Journal of the Academy of Marketing Science,39(1), 71-85. Hamzaoui Essoussi, L., Merunka, D. (2007). 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