HairCare Products stand to capitalize on an open market in China’s beauty and personal care section. With nearly half of its one billion plus population female, HairCare Products can monopolize this market in China if the company offers the Chinese consumer what they really want; natural products. According to Mintel’s report, a global provider of market research, “Eighty-one percent of urban Chinese consumers prefer to purchase all-natural products”. This is an astronomical number that cannot be ignored, if HairCare Products decides to enter the fray of the Chinese beauty and personal care market. Mintel also reports, “Eighty-seven percent of its middle class tend to go for premium rather than standard goods or services”. According to Mintel’s information, if HairCare Products can produce an all-natural product and all-natural product with a heftier price tag, they can corner or capture two major sections of the Chinese beauty and personal care market.
Mintel evaluated the market even further in stating that, “Fifty-seven percent suffer from dandruff, forty-three percent from itchy scalp, and forty-five percent from greasy hair”. These statistics further show where HairCare Products needs to focus its concentration on. The Chinese are not interested in hair coloring or other cosmetic products. They want a product that can cure their hair and scalp ailments. Another report by reportlinker.com provides even more proof that hair shampoo and conditioner are driving the market in China right now. According to their analysis, “Shampoo has the largest share of the hair care market, and conditioner is the second largest”. Finally, Mintel states, “One of the main drivers of consumers when purchasing hair products is performance or effectiveness, through television advertising and marketing, with enhanced functionality and performance being one of the main features”.
HairCare Products needs to advertise and market the effectiveness and performance that Everyday Essence has had for over thirty years. They need to let the Chinese people know that they have been number one for two decades, in the United States. Finally, HairCare Products needs to attack the market with a line of all-natural hair products.
Socio-economic relations of The People’s Republic of China
The People’s Republic of China (or simply put China) has over fifty-five, rather recognizes, minority classifications. According to a report conducted by Emily Hannum, of the Dept. of Sociology and Population Studies Center at the University of Pennsylvania, “Along with the Han majority nationality, a naturalized category, that encompasses ab out three hundred and fifty other ethnic groups not recognized individually”. This stat gives precedent to how diverse the Chinese are. They categorized fifty-five minority classifications, and threw in three hundred and fifty under one category. With this much diversification living in one country, one would have to venture that religion...