Case Analysis: “Mistine: Direct Selling in the Thai Cosmetic Market”
To help you better understand the concepts of Marketing Analysis, you will be asked to complete a case study for each weekly assignment. To prepare for this level of analysis, first read “How to Analyze a Case” in the W1 lesson folder.
This Week’s Case
“Mistine: Direct Selling in the Thai Cosmetic Market” (located in textbook appendix)
After reading, reviewing and analyzing the case study write a paper on the current positon and strategies of strategic planning of Mistine. Within your paper be sure to answer the following questions:
1. Based on the SWOT analysis provided in the case, what are two or three factors that Mistine should stress in its strategic planning as it looks to continue growth and dominance in the Thai market?
2. How can Mistine match its strength with its market opportunities to create competitive advantages moving forwards?
3. How can Better Way stay on top in Thailand while it looks to expand internationally?
4. How does Mistine strategies compare to Mary Kay Cosmetics in the US?
The requirements below must be met for your paper to be accepted and graded:
· Write between 750 – 1,250 words (approximately 3 – 5 pages) using Microsoft Word in APA style (download an APA sample paper from the Purdue OWL here).
· Use font size 12 and 1” margins.
· Include cover page and reference page.
· At least 80% of your paper must be original content/writing.
· No more than 20% of your content/information may come from references.
· Use an appropriate number of references to support your position, and defend your arguments. The following are examples of primary and secondary sources that may be used, and non-credible and opinion based sources that may not be used.Mistine
A case study analysis
Suthasina Chaolertseree (4802641060)
Nutnaree Chaisirivichien (4802640583)
Jirawat Mahatraiphop (4802640302)
David Eberle (5102940037)
Mistine: A case study analysis
MK 413: Group 5
Page 2 of 5
1. Company background and analysis
Mistine is a well-known cosmetics brand in Thailand and belongs to Better Way. Its
mission is to create a better way of life. It is also considered as the largest cosmetics
depot in Southeast Asia. Mistine uses the direct-selling method and cares about its
representatives to be able to induce a desire to its employees to make Mistine the
number one cosmetics brand. Therefore, its employees are more active in helping
the company to grow. Mistine decided to partner with top business leaders in
Thailand, which provides Better Way a useful relations network and resources.
Further, the company is thus able to access high quality manufactures and its R&D
team can benefit from the partner’s knowledge. In addition, the company makes a
win-win partnership with Dtac to set up a call center that allows its salespeople to call
for free within the Dtac network – which lowers costs both for employees and the
company – and Dtac gets new customers from Mistine in return.
Although Mistine divides its target markets into five categories, the core targets are
females who are looking for an affordable product that yet possesses a good quality.
Mistine also positions itself to be the number one Asian brand for Asian females.
Because the salespeople belong mainly to the customer’s target group, they can
identify themselves with the products and the customers can identify themselves with
the salespeople. This is one factor why Mistine dominates the direct sales market in
Thailand. The assurance of full refunding if the customer is not satisfied with the
product is a strategic move to convince low-income households to at least try the
product. Because of the good quality, which is achieved through pre-selling
inspection, the customers rarely get disappointed and stay loyal to the brand.
The company uses only salespeople to sell its products to customers; on the other
hand, its competitors have established their own shops as an additional distribution
channel. However, using only the direct sales force gives Better Way a lot of
• It provides convenience to customers since they do not need to travel to
stores to buy cosmetics.
• It makes salespeople feel that that they are important to the company since
they help generate revenues to the firm. So the salespeople will but more
effort into their job.
• It also strengthens the relationship with both customers and sales force, which
results in higher loyalty and thus higher revenues.
• Mistine has lower fixed costs than its competitors since it does not need to
pay for store operating expenditures.
Instead of using only word-of-mouth promotion like other direct-selling brands,