Research on the investment value of Oriflame based on SWOT, PESTEL and financial analysis

Abstract

The cosmetics industry has historically been a cornerstone of personal image enhancement, evolving alongside technological advancements and shifts in consumer behavior. Within this dynamic landscape, Oriflame, a direct selling cosmetic brand founded in 1967, has emerged as a leader in sustainability and product excellence. This study undertakes a comprehensive analysis of Oriflame's strategic positioning, employing a blend of qualitative and quantitative methodologies across SWOT and PESTEL frameworks, financial assessments, and market strategies. The findings illuminate Oriflame's robust strengths in direct selling and its diverse product portfolio, while also uncovering opportunities stemming from advancements in technology and evolving consumer preferences. However, the company faces challenges such as economic uncertainties and regulatory complexities, which could potentially impact its growth trajectory. Noteworthy successes include the implementation of digital sales models and the integration of AI technology, yet external factors like geopolitical tensions present threats to profitability. Moving forward, recommendations for Oriflame's continued growth emphasize leveraging social media for enhanced engagement and tailoring strategies to meet the unique demands of emerging markets. This study serves as a valuable resource for industry stakeholders seeking to navigate the complexities of the cosmetics market, emphasizing the importance of adaptability and strategic foresight in driving sustainable success.