AVON Product Case Study Analysis

Avon Products Case Study Analysis

Avon Products was founded in 1886 by David H. McConnell, a door-to-door book salesman who had a knack for making perfume. As the company grew, it took on a regional approach to business and was one of the first pyramid-styled businesses, allowing agents the ability to maximize their success within the company. Up until 2005, the company was growing and very healthy. It was an $8 billion dollar public company and had been globally active for some time. In fact, 70% of the company's profits were obtained outside of the United States.

As with any fast-growing company, a problem emerged for the company, in 2006. This problem prompted the attention of the directors when the revenues of the company began flattening and operating profits started declining. These declines prompted an investigation into what could possibly be the causes, and the...
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