L’oreal Competition Essays Example

L’Oreal is a French company that deals with cosmetics with is headquarters based in Clichy, France. Its existence dates back from 1909. The company deals with a number of different items pertaining to beauty as well as other hygiene products like shampoos and make-up. This is one of the most vibrant companies when it comes to researching what works in their industry. Reports suggest that in the US it is the top nanotechnology patent-holder. In this industry, companies pose quite a degree of competition since they are obligated to understand their products in a rather detailed manner. The companies should also be able to provide premium products in a bid to counter the competition posed by other companies (Fournier & Lee, 2009).
Some of the companies that pose competition to L’Oreal are the Procter and Gamble Company and the Estee Lauder companies. These companies make use of product line variety which assists in extending the business into different sectors of consumers market. L’Oreal specializes in skincare and beauty products and so does its competitors. It is important to know that if a company was to venture into this market, then they should consider having an amicable line of products guided with an adequate knowledge that will assist them in marketing the products effectively, just like L’Oreal does (Holt, Quelch, & Taylor, 2004).
Competition comes from offering different lines of products all under one umbrella company. In business, competition is healthy because it reduces the chances of monotony and in the long run ends up advocating for high-quality products to their clients. Every company should have a know how or an idea of its competitor company and their mode of operation if they intend to keep the competition at peak. An example from the Procter and Gamble Company is that it boasts of a number of billion dollar brands with regard to healthcare and home use. This is supposedly the world’s largest manufacturer of packed goods. I package its products into five major segments like pet food, over the counter acid reflux medication as well as water filters. This company is one of the closest competitors of L’Oreal with the main emphasis on the product line.References
Fournier, S., & Lee, L. (2009). Getting brand communities right. Harvard business review, 87(4), 105-111.
Holt, D. B., Quelch, J. A., & Taylor, E. L. (2004). How global brands compete. Harvard business review, 82(9), 68-75.