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CASE 18- Avon Embraces Diversity
Synopsis: Avon, the largest cosmetics firm in the United States, sells primarily through the direct-
selling method using more than 6 million independent sales representatives in more than
70 countries around the world. The case describes Avon’s turnaround strategy since the
1970s when it started actively promoting diversity, by including more women and
minorities in the top and middle management levels.
Use:
Chapter 3 Describes the multichannel strategies of a large cosmetics firm, using a combination of
direct-selling and retail sales approaches.
Discussion Questions
1. Why is Avon so committed to diversity?
Avon’s target market is women consumers for all its cosmetics lines. It is to be expected that
women decision-makers would be able to understand the needs of women and explore new
2. Select another retailer that also values diversity. How does this commitment affect its
financial results?
Other retailers do not pursue the same target markets or use the
same direct-selling approaches as Avon does. But, in general, it is pragmatic for more retailers to
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3. What values have helped Avon be a successful company even after 125 years?
Avon has been able to uncover new market opportunities, especially the cosmetics needs of
working and professional women. Women have also been instrumental in ensuring that the
firm’s push into international markets was done right. Diversity – in terms of more women,