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Avon Global Restructuring In 2007 Will Determine The Success Or Failure Jung - Avon, Direct

"We are concerned about whether there is any good brand or good acquisition opportunities

for the plant, the issue in the big treasure I can not answer YesorNo, may sell the brand to all or that we think have the potential of the brand Avon will be interested in in the past so the future will also be the case. "Avon (China) Co., Ltd. Executive of Suganggung recent public statements, to the outside world in the Avon interested in acquiring a large treasure of rumors on the left room for imagination.

"The Wall Street Journal," commented in 2007, is likely to decide the success of Avon's Andrea Jung, chairman and CEO of the year. December 2005, for turning the world including China, the four major market decline, Avon launched a 3-year estimated cost of 500 million U.S. dollars of global restructuring plan.

Re outgoing Avon's global restructuring plan including the restructuring of its Management Structure, the global production base, improve Purchase And distribution processes, while China plans to be in the Avon as one of the world's six separate business areas, directly to headquarters.

Newspaper has learned that the management of the current global level of Avon has been from the original 13 stories into seven layers, the biggest change after restructuring the company's decision-making faster, high Suganggung said: "Now 1-2 days you can do the decision, which in the past is hard to imagine. "

He said that after the restructuring of China's system of Avon to his satisfaction, "China did not cut so many people, but the role of staff were re-distribution and interpretation." Previously, Avon announced plans to tie lay off 1,300 people worldwide.

The recent media rumors of Avon is up for sale interested in acquiring a large treasure of information, high Suganggung noncommittal. While M & A market in China still have a few, but Avon's opponents have successfully done this for L'Oreal to Nurse, Yue-Sai the bag, after rumors that have interest in acquiring Yue-Sai Avon. If the rumors are true, Avon will cost more than 2.3 billion yuan from Johnson Wrests control of the Great Treasure.

Direct the second stage Far, Avon China, the country already has 5,400 sales and Service Network, to recruit 399,490 were direct seller, Avon This means that the original store has been 90% completed the transition to a service network.

It is understood that direct access to the second stage, Avon will focus on upgrading its direct marketing services and technology, specific measures include the introduction of the system in order " Mobile Orders "technology to increase the national" Call Center ", was expected to enable direct access to a nationwide product Distribution Shorten the time from 72 hours to 48 hours. Company said it plans to complete in July this year, this service upgrade program.

High Suganggung that made the first direct selling license in the future, with Avon for nearly a year to adapt to regulations, to adjust itself, is now ready to fully launch the second phase. Avon (China) Sun Changqing, vice president, said: "After getting a license, a lot of follow-up work to do, in addition to network-building, there are a lot of information the disclosure of details."

As the only authority to date nationwide direct sales company Avon direct sales model in China's new era of how and Amway Model is to rival the industry has been the focus of attention. In response, Chang-Qing Sun that "Avon single-level model is the most suitable for China's direct sales model." But there are also different views on the industry, direct marketing experts Hu Yuanjiang that "Amway China are likely to continue to direct the industry benchmark."

1 Avon declared a direct sales model, while the second phase, with China's national diving team Cooperation Also in the limelight, at the same time, invited Liu Xiangcheng Amway Nutrilite to its global brand spokesperson. Two giants in the marketing also indicates that the bump will upgrade competitive situation.

by: gaga
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