BUSINESS STRATEGY PROJECT ON

SUBMITTED TO:PROF. RAJAN MANI

SUBMITTED BY:BANITA KAIN GARIMA SHARMA BHAVANA DUTT SRISHTI SHAW

ACKNOWLEDGEMENT

The feeling of gratitude automatically arises from the bottom of the heart when we are helped by anyone. A small but timely help can lead one to an important milestone. Any single work is a product of efforts, guidance and blessings of many people . For our project this statement is equally true. Hence our project bears the imprints of many people. First and foremost we would like to express our gratitude to our college IBS HYDERABAD for giving us the golden opportunity of making the project. We feel obliged to PROF. RAJAN MANI, our project guide for providing us the valuable information and the supporting guidance at all times. Last but not the least we thank our families for their never ending support at all times.

INTRODUCTION
The Body Shop International plc is a global manufacturer and retailer of naturally inspired, ethically produced beauty and cosmetics products. Founded in the UK in 1976 by Dame Anita Roddick, it now has over 2,400 stores in 61 countries, with a range of over 1,200 products. The Body Shop is a values driven, original and ethical high quality skin and body care retailer well-known for creating a niche market sector for naturally-inspired products that are 100% vegetarian. The Body Shop has introduced a generation of consumers to the benefits of a wide range of bestsellers from fragrance products like the classic White Musk range, our award-winning Body Butters from our bath & body range to skin care products like the popular Vitamin E, Vitamin C and Tea Tree Oil ranges. Over the years, The Body Shop has become an authority in the development of unique personal care products, inspired by the use of natural ingredients with proven benefits, drawing on a diversity of cultural knowledge from around the world. The organization aims to achieve high integrity in its product development, to use minimal packaging and to be honest about the benefits of the products it sells. The Western Malaysian operation includes more than 58 stores and is operated by a The Body Shop Franchisee, Rampai-Niaga Sdn Bhd, under license by The Body Shop International plc.

STRATEGY
The founder of The Body Shop , Anita Roddick is known for her integrity , innovation & social responsibility. She campaigned for green issues for many years and inspired millions to bring sustainable products to market.

Strategy of The Body Shop

The company sold its product in a manner to reflect their philosophy of anti glitz , anti-waste and use of natural ingredients. The Body Shop had a mission that reflected its strategy and values that comprise of the following:

Activate self esteem Protect our planet Against Animal Testing Support Community Trade Defend Human Rights

Activate self esteem

In 2006 , The Body Shop partnered with UNICEF and United Nations Secretary Generals Study into the effects of Domestic Violence on Children. The staff get paid time off to do charity work of their own.

Against Animal Testing

All body shop products are vegetarian. They discourage animal testing. They were the first retailers to use palm oil in their soap bars. They avoid excess packaging wherever possible. They follow the principles of reduce , reuse and recycle. In 1986 , launched first window campaign , Save the Whale calling for an end to whaling , and introduce jojoba oil to replace sperm whale oil in cosmetics. They also had 4 million sign a petition against animal testing in Europe and in 1998 animal testing was banned in the UK.

Defend Human Rights

The company treats people in a fair and open fashion to respect and value their integrity. They take enormous pride in their community trade programme, not just because they were pioneer in bringing fair trade to the cosmetic industry , but because of the real difference it makes to the lives of the farmers , producers and their communities. In 1991, launched the Big Issue in Britain to benefit homeless people Europes first street paper sold by homeless people so they can earn income and regain self confidence. In 1993 saw the start of their first HIV and awareness campaign .In 1994 began campaigning against domestic violence. The Body Shop was founder member of the Ethical Trading Initiative, which brings together organizations to help improve working conditions for people around the world. In 2007, The Body Shop celebrated 21 years of Community Trade. They now work with over 25,000 people around the world , guaranteeing them a fair price, offering them business advice should they need it, and sustainable benefits to community as a whole. The Body Shop has donated 11 million pounds to more than 300 projects around the world through The Body Shop Foundation Trust

Social Activism
In its earliest years, The Body Shop did not visibly market itself as committed to social causes. It promoted its products as natural, and by the standard of the times they were. However , the bright colors and strong fragrances were created by chemicals, including from petrochemicals , which were also used as preservatives. In 1986 The Body Shop proposed an alliance with Greenpeace in the UK to promote their line as helping to save the whale. Soon other promotions tied to social caused were launched, with much public and media interest. The Body Shop regularly featured posters on shop windows and sponsorship of local charity and community events.

Community Trade
The Body Shop instituted pioneering social audits in the mid-1990.Now regularly promotes its values such as Community Trade , reflecting its avowed practice of trading with communities in need and giving them a fair price for natural ingredients or handicrafts they purchase from these often marginalized. The first Community Trade activity in 1987 was a footie roller which was supplied by a small community in Southern India and still a key Community Trade supplier. Since then, The Body Shop has found many trade partners in over 20 different countries that are often overlooked by the local as well as the global society

CHALLENGES
1. BodyShop has been constantly working on the path of not using animal tested products. Here, a major challenge lies in maintaining the same position. The market is flooded with better quality and animal tested products, but BodyShop choosing to stead on a different path as a big challenge in this line. BodyShops alliance with Loreal has portrayed a world-wide image of not supporting its core policy of supporting non- animal tested products. Loreal is one of the major brands that has been using animal tested products, since the very start. This has made a confused positioning in the minds of the consumer.

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A big challenge lies in maintaining market prices at the competitors levels. Organic products demand high precision and work, thus incurring huge amount of expenses. Maintaining cost and quality is a daunting task. When the world is becoming an eco- friendly place and more and more brands are realizing the need to create sustainable opportunities and this zest are preferring different ways to work for the betterment and welfare of the world, sustenance of BodyShop is a big question mark. The task at hand is to show the consumers what different and what else is BodyShop doing.

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OPPORTUNITIES
1. Product development Body Shop can take advantage of LOreals experience in research methodology and efficiency in order to improve and develop their own existing products. 2. The male grooming products The increase in the usage of male grooming products indicates that there is a demand on this particular niche market. Therefore the supply of a wider range of products for men can increase overall sales. 3. With their vegetarian and ecological products, they target a niche market. 4. Increased awareness of organic and eco friendly products 5. Increasing number of online buyers 6. Anti ageing products (willingness to pay a premium on anti ageing products) 7. It could enter into untapped market ie china and Malaysia. Create worldwide online store for customer. Easy accessibility and new range products would be a smart move 8. They could also start bath and body collection for kids.

9. Can enter into eco friendly apparels made by women. 10.Can venture into home accessories department and sourcing them from places rich in culture.