A Comparative Analysis of Cosmetics Companies

Abstract

This paper focuses on three cosmetics companies: Coty, Johnson & Johnson, and Estee Lauder. First of all, we collected some questionnaire survey data, in 2021, 68% of respondents believe that the price of beauty products is more important, 56% of respondents believe that appearance is first, and only 8% are strongly influenced by advertising. Therefore, we believe that the influence of advertising is declining, and the quality of the product itself and the comprehensive competitiveness of the enterprise are becoming more important. Then we learned more about the background and history of the three companies. We then analyze each company's raw material issues, which can reflect each company's target market, operations and business risks. In addition, we analyzed pricing, which can reflect the target product market and product depth of different makeup companies. Not only that, the company's business orientation and forward-looking is also what we need to understand. Finally, after synthesizing the above analysis, we believe that Coty's business risk is the largest, and the other two are not different.