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REVLON'S STRATEGIC ANALYSIS

Executive Summary

Revlon is a company leader in the cosmetic and personal products industry. The company produces goods under Revlon, Almay, and Ultima brand names. Product categories are skin care, cosmetic and personal products.

Revlon has implemented an aggressive R&D investment. This has resulted in positive aspects for the company such us brand recognition and increase in sales. It focuses on global expansion. Therefore, the firm is successful in markets like Africa and Latin America. However, the competition is intense. The company's top competitors are Procter & Gamble, L'Oreal, Estee Lauder, and Avon. These competitors represent a major threat for Revlon. They sell their products in international markets and have aggressive strategies to increase revenues.

Revlon has struggled with debt in resent years. Its long term debt was $1,308,200 for 2004. The company is not financially stable. The net income has been negative for the last three years. Its growth rates are below the industry rates.

The strategic analysis shows that the company has some internal and external problems. The company has low competitive advantage compared to top competitors. This means that the company will be in a poor position to change with the market. Revlon has a low rate of return and cash flow problems.

• The Internal and External Strategic Position and Action Evaluation shows that the company has a weak competitive position, a negative growth in a stable industry.
• The Boston Consulting Matrix demonstrates that the company's market share is in a medium position relative to the industry market share.
• The Internal-External Matrix shows that Revlon has average weighted scores.

Current Mission Statement

Revlon strives to provide our costumers with the latest and most innovative beauty products in the world. Revlon is the number one provider of cosmetic and personal care products worldwide,...