The company which has been chosen for the purpose of this paper is The Body Shop. This is an international chain of cosmetic stores which provides customers with specialized products in skin and hair care products.
The SBU of the company is the fact that all the products manufactured by the company and distributed by it re organic and natural. As of March 2006, it has become a subsidiary of the L’Oreal Group. The headquarters of the company are in United Kingdome however the company operates in more than 50 countries worldwide. “The company recorded revenues of £485.8 million during the fiscal year ended February 2006, an increase of 15.9% over 2005. The operating profit of the company was £41.5 million during fiscal year 2006, an increase of 5.9% over 2005. The net profit was £28.6 million in fiscal year 2006, an increase of 0.4% over 2005.” (‘The Body Shop SWOT’, 2006)
The customer base of the company is mostly composed of women who are brand conscious and can pay premium for quality products. The major products which are offered by the company to its customers pertain to ranges of skin care, hair care and treatment products, equipment and tools. Their main ranges compose of fragrances, aromatherapy products, rectifying treatments as well as body lotions, butters, spa products, fruit and tea based products as well as Vitamin E products & Vitamin C products. The company has also launched a separate line for men; however the most popular products remain those targeted at women.
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