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Period: April 1, 2012 to May 1, 2012
Comment & Opinion or Companies, Organizations or Consumers or Controversies & Disputes or Deals, M&A, JVs, Licensing or Earnings Release or Finance, Economics, Tax or Innovation & New Ideas or Legal, Legislation, Regulation, Policy or Market News or Marketing & Advertising or Other or People & Personalities or Press Release or Products & Brands or Research, Studies, Advice or Supply Chain or Trends
Companies, Organizations  

Senior Avon Executive Leaves Company Amid U.S. Probe Into Alleged Bribery In China

Avon Products Inc. group vice president Kerry Carr resigned her job in connection with the probe by the U.S. Department of Justice and the U.S. Securities and Exchange Commission into possible violations by the company of the Foreign Corrupt Practices Act, which prohibits American companies from bribing foreign government officials. U.S. prosecutors are focusing on a September 2005 internal audit report by the company, which found Avon employees may have been bribing Chinese officials.

"Another Avon Executive Resigns Amid Bribery Probe", Wall Street Journal, April 26, 2012

Procter & Gamble Among China's Greenest Companies

Procter & Gamble is among companies included in China's Top 100 Green Companies, a list of enterprises honored for their sustainable business operations in the country. The list, prepared by the China Entrepreneur Club in partnership with Daonong Center for Enterprise and the Green Herald Magazine, considers how companies "blend  the right values into their business models;" remain true to business ethics and bottom line while "living in harmony with men, society, and nature; and face with resolve problems that impede sustainable development in their industries.

"China's Top 100 Green Companies 2012 Unveiled", PR Newswire, April 25, 2012

Procter & Gamble To Expand In China, Emerging Markets

Procter & Gamble announced expansion plans in China and emerging markets that could mean more problems for its largest rival Unilever. P&G began constructing a new factory in Guangzhou, China, and unveiled plans to cut costs by $10 billion by 2016. Also, the company plans to build 20 manufacturing facilities in Brazil, China, and Eastern Europe by 2015.

"Procter & Gamble Has Big Plans For China And Emerging Markets Growth", Trefis, March 30, 2012

L’Oréal’s campaign to help the disadvantaged

The Financial Times, April 23, 2012

Market News  

Prestige Beauty Market In China Posts Robust Growth In 2011

China's prestige beauty market grew 21 percent in 2011 from 2010 levels, according to a market research conducted by The NPD Group, Inc. Skincare grew 23 percent, with all segments posting steady growth, while the makeup market expanded 17 percent. Anti-aging products accounted for half of total sales in the skincare category, achieving almost 27 percent in growth during the period.

"NPD Reports on Prestige Beauty Industry in China", NPD, April 26, 2012

Wal-Mart Criticized For Its Failure To Live Up To Its Sustainability Promises

Wal-Mart has failed to live up to its global sustainability objectives — 100 percent renewable energy, zero waste, and stocking only products that are sustainably manufactured and environment-friendly, according to some environmentalists and market analysts. Wal-Mart's lack of control over its suppliers in the Far East has prevented the retailer from improving sustainability of its supply chain. In China, for example, almost four-fifths of Wal-Mart's suppliers source more than 50 percent of their merchandise from shadow factories. Worse, some China suppliers are suspected of doing business with some of the forced labor camps in the country.

"Wal-Mart’s Environmental Sustainability Promise: Rhetoric or realistic?", The Epoch Times , April 25, 2012

Walmart Brings In PR Counsel In China

Holmes Report, April 24, 2012

Marketing & Advertising  

Unilever Poised To Grow China Business Fivefold By 2020

Unilever North Asia president Alan Jope said his company will certainly grow fivefold its business in China by 2020 and that it will grow 50 percent faster than the industry average. Two years ago, Unilever said it targets to grow its annual sales in China to 50 billion yuan, or US$7.9 billion, by 2020. Unilever, which opened a US$29 million toothpaste factory at its industrial park in Anhui Province, said business growth will come mostly from current brands and products and that it will maintain cost-cutting measures across its China factories and work on products with higher margins.

"Unilever China confident of fivefold growth by 2020", Shanghai Daily, April 28, 2012

Online Cosmetics Sales Exploding In China, Marketers Embracing Ecommerce

Online sales of beauty care products in China have been expanding 200 percent annually since 2006 and are estimated to have reached $8 billion in retail sales in 2011, according to the report "Beauty Retailing Through Direct Sales in Emerging Markets 2011: Channel Analysis and Opportunities," issued by market research firm Kline & Company. Speedy expansion of Internet use and emergence of online cosmetics stores are driving the growth of the online cosmetics retail, which in turn encouraged marketers to adopt ecommerce as part of their overall marketing strategy.

"Online Beauty Sales Slated to Top $20 Billion in China by 2016, Reports Kline", Kline Group, April 23, 2012

Vanity, Peer Pressure Driving Expansion In The Male Personal Care Market In China

Professional and peer pressure, desire to enhance one's stature, and vanity are some of the factors driving growth in the men's personal care and cosmetics market in China. The country's male skincare market, currently valued at around $1 billion, attracted the world's leading manufacturers of personal care products to introduce or increase their product lines for male consumers, who, data show, accounted for most luxury-goods purchases.

"When Marketing To China’s Male Consumers, Don’t Discount Peer Pressure & Vanity", Jing Daily, April 19, 2012

The Golden Rules of Operating in China

Advertising Age, April 23, 2012

Online group buying to be regulated

China Daily, March 16, 2012

Products & Brands  

Unilever's Lynx Body Spray Grabs Lead In Men's Deodorant Market In China

Unilever launched its Lynx brand of body spray and shower cream for men in China. A marketing campaign, which incorporated the Lynx Mating Bible highlighting what the company calls the effects of Lynx products in attracting girls, as well as TV and outdoor ads, has enabled the company to make its Lynx Body Spray the country's number 1 male deodorant brand and Lynx Shower Cream the number 2 male shower cream brand.

"LYNX BRAND LAUNCH", Cream Global, April 19, 2012

Men's Growing Vanity Drives Market Growth For Men's Skincare in China

China's market for men's skincare products has seen explosive growth in the past five years, reaching almost $1 billion in retail sales value. Driven by growing vanity and desire for individuality among men, the growing market has encouraged manufacturers to introduce designed-for-men brands, such as Olay Men Solutions from Procter & Gamble, L'Oréal Men Expert, Nivea for Men, and Mentholatum. Marketers' key targets are male consumers who are mostly young, rich urbanites, career-focused, and searching for social success, according to Kantar Worldpanel.

"P&G, Luxury Marketers Benefit From Male Vanity in China", Advertising Age, April 16, 2012

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