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Question one
Halliwell was passionate about environmental sustainability, which saw him firstly shift the brand position to biodynamic from homeopathic. Besides, he also introduced a war of bio versus chemo, the use of the natural resource as a strategy to compete fairly in the market. Halliwell as well shifted the strategy that Jurlique was using and introduced an approach that emphasized the company’s green identity coupled with new store design and attractive packaging. These three changes mainly aimed to make Jurlique appear as a company that cared more about the environment. When Halliwell said it was a fight between bio and chemo, he was striving to make companies that used chemicals in their production appear destructive to the environment. The company’s strive for environmental sustainability won it a competitive strategy as consumers viewed it as an environmentally friendly or concerned company. Halliwell had longed to penetrate the United States market. Therefore, he directed Jurlique’s product market strategy to New York and built a new office around the Hudson River to increase its penetration into the United States market. Lastly, he abandoned Jurlique’s culture and Americanized almost everything in the company, including marketing efforts and the Christian red and green abandoning. These changes made the company penetrate the American market.
Question two
McKay arrived in Jurlique with the motive of helping the company to gain its fuel and expand internationally. That is why immediately he came; he consolidated with the board members to see ways they could balance the company’s culture while still gaining the comparative advantage that would see the company expand internationally. He returned the Jurlique’s brand to Australia, a market that Halliwell had disowned. McKay realized that Jurlique was in a financial crisis and had to act very fast to deliver it from this. He negotiated with the Bankers’ work out team on ways forward that could help the company to show them an achievable business plan, strategy to refinance the debt, and how the company would satisfy the Bank shareholder cash infusion. He brought two changes in strategy. Firstly, he and Hansen allowed the reposition of the Jurlique to make the more significant base of consumers happy. Secondly, he shifted the company’s strategic attention from the United States to the Asian market, where the company had the most exceptional growth. McKay realized that Jurlique though, was claiming to be a biodynamic company was not acting like one. He pointed out that the current consumers’ attentions are high and will soon expose a company with claims and no action or evidence to support their claim. McKay ensures that Jurlique received certification as a biodynamic company, something that the company had never had before. Moreover, McKay realized that Jurlique had been addressing itself throughout its marketing strategies. He stated that the company was not telling consumers who were eager to know what the company produced, which was natural and effective. In other words, Jurlique was not addressing consumers’ other concerns, not letting the consumers know its effective product. He thus changed the advertising strategy of the company. He ensured that the company incorporated farm and natural beauty images plus those of the laboratory while emphasizing on the products both in its front and center. Besides the company change the product formulation and development by making its products as natural as possible. He introduced a policy that ensured that the company’s product was 95% natural, with the least being 85% natural. This saw the company attracts more customers and retain all its customers.
Question four
Jurlique realized that Chinese market like a natural product just like the United States consumers. The Chinese market also loved the green image of Jurlique, which attracted many Chinese consumers to buy more of Jurlique’s products. Besides, Chinese consumers have always seen Australia as the oasis of environmental sustainability and protection. Thus the association of Jurlique with Australia provided a good picture in Chinese market, which vastly improved its sales and fame.
Question five
The first challenge was the strict national and regional requirements which show Jurlique forego some of its sales margins. Secondly, regulators in China illegalized the use of recycled wood as a way to prevent fire hazards, which made Jurlique establish faux green stores in such areas. Also, the Chinese consumers preferred the locally made products which Shanghai was readily providing, which vastly affected Jurlique. China’s market was also populated with competitors who were willing to fool consumers that they were using 100% natural moniker and even had uncontrolled organic certification labels with a list of ingredients. This forced Jurlique to invest in educating consumers about its brands and utilizing retailers as gatekeepers. Lastly, Chinese regulators as well insisted that products on animals were to be mandatorily tested to warrant consumer safety and as part of the registration process, which vastly affected biodynamic companies like Jurlique.
Conclusion
The global business faces a lot of obstacles that require remaining alert and making calculated steps. The journey of Jurlique through the hands of different management reveals this. Every country has its regulation, which is different from the resident county. Being, Therefore, should companies aiming to provide natural products, it must first have certifications from its country of residence and meet the regulations of the international countries where it offers its services and products to avoid facing the challenges that Jurlique faces. Familiar with regulations in different countries regarding the product that a company produces is crucial to help the company strategize its compliance.
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Halliwell was passionate about environmental sustainability
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