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Essay / Research Paper Abstract
A 4 page paper discussing the effects of Avon's transformation on its networking relationships and its representatives' ability to serve their customers. With product sales flat or nearly flat within the US for several years, until recently Avon focused on international sales and the expansion to new markets. It is not choosing now to ignore those markets, but it has transformed its global supply chain, which in turn has greatly assisted Avon's networking structure. Includes an outline. Bibliography lists 8 sources.
Page Count:
4 pages (~225 words per page)
File: CC6_KSmgmtAvon.rtf
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Unformatted sample text from the term paper:
sales and production cycles a. Sales promotions every three weeks i. Allows representatives a "reason" to contact customers frequently with new product offerings ii. Short "selling cycle is a cornerstone
of Avons direct-sales model" (Cohen and Roussel, 2004; p. 2) b. Production cycle was 12 weeks from sourcing to distribution c. Sales forecasting was difficult and inaccurate i. Translated to
many rush orders for top sellers ii. Avon had large quantities of slow sellers d. Production changeover costs were high e. Representatives were unable to supply their customers in a
timely manner B. Transformed system 1. Transformed supply chain includes a new distribution center in the Midwest a. Opening 2009 b. Technology-rich systems to speed order fulfillment (Avon to restructure
U.S. distribution operations, 2007) 2. Representatives growing in number a. Nine percent growth in 2007 (Owen, 2007) b. 4.4 million current representatives (Tsao, 2007) c. In "over 80% of offices
around America someone is an Avon representative" (Avon, The Net, And Glass Ceilings, 2006; p. 104) d. "Some 70% of Avon representatives do business online" (Avon, The Net, And Glass
Ceilings, 2006; p. 104) i. Paper order costs more than $1; online order costs 11 cents (Avon, The Net, And Glass Ceilings, 2006) ii. Internet allows combination of "high tech
and high touch" (Avon, The Net, And Glass Ceilings, 2006; p. 104) III. China will be a stand-alone business; North American and European markets will be integrated (Avon has announced
that it will manage its operations in China as a stand-alone business, 2006) IV. Conclusion
References Avon has announced that it will manage its operations in China as a stand-alone business. (2006,
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