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Strategic management case study;Overview;History;
1886
David H. McConnell founded Avon previously named “The California Perfume Company”
He founded Avon because he realized his female customers were far more interested in the free perfume samples he offered than in his books.
He chose female sales representatives because:
They were lonely at home because there husband were gone to work
They had the natural ability to network with and market to other women, and a passion for his products.
Limited employment options for women and he wanted the Avon earnings opportunity was a revolutionary concept
;How do representativesmake money?
??Eachpersonthatyourecruit, youearn $20
? If youwant to make money fromyour sales teams volume, you have to reach the position of whatiscalled a Unit Leader. The qualifyingfactors for Unit Leader are $250 in personal sales, and at least 5 recruits, whose sales total is $1200.00. You earn 3-7% on the orders made by yourrecruits, and also, 0.5 to 1% on the ordersfrom the people theyrecruit.
Advantages to be a representative:
1. ? ?Flexible home based business
2. ? ?Unlimitedearningspotential
3. ? ?Lowcost to start a business.;Growth;
1937
David McConnell died, and his son, David Jr. became the new President on the company
?
1938
The company’s name officially changes to Avon
?
1946
The company became public
1954
Avon launched its very successful television advertising campaign entitled “Avon Calling”
/assets/show/9581-ding-dong-avon-calling-1956
Moved to Puerto Rico, Caracas, and Venezuela
1956
Avon enters Cuba
1970
First Asian Avon business
;Avon Foundation for Women;5.4 million representatives in over 100 countries worldwide
Employed 42,000 people throughout the world
Avon’s customers are not only women now but they have emerged into a youth market and a men’s market as well as internationally.
;Avon location map;Existing Vision Mission Statement;To be the companythat best understands and satisfies the product, service and self
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