TALENT

INNOVATIVE BEAUTY

REPORT

BUS251 | Business Communication | Section-18| Group-4

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 NORTH SOUTH UNIVERSITY

BUS251 | Business Communication | Section-18

Submitted To

Hamida Mosharraf Moniea (HMM1)

Submitted By: Group: 4

Name ID

Bayzied Hasan 1420027030

Md. Arif Kamal 1430595030

Touhidul Alam 1530259630

K.M. Fazle Rabbi 1610890030

Md. Forid Hassan Chowdhury 1620977030

Sakibul Haque Fahim 1620494030

Jannat E Nur Wahida Jesy 1811045030

Department of Management| North South University| SBE

Date of Submission: 20th December, 2019

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 Acknowledgement

First of all we would like to thank almightly Allah (SWT), for it is his blessings and guidance that
we have succeessfully completed our work and responsibilities within the due time, Alhamdulillah.
We take this opportunity to express our profound gratitude and deep regards to our respected and
honorable instructor Ms. Hamida Mosharraf Moniea, who has helped us with our report work to a
great extent for his exemplary guidance, monitoring and constant encouragement throughout the
course. The blessing, help and guidance given by her time to time shall carry us a long way in the
journey of life on which we are about to embark. We are very obliged to those who have been a
part of this research starting from our driver to our friends and everyone who took the trouble to
get our project done. Without their generous co-operation this could not have been possible. We
are really very glad to them for helping us in completing our final report.

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December 20, 2019

Hamida Mosharraf Moniea

Lecturer

Department of Management

North South University.

Subject: Report Submission on Talent innovative Beauty.

Dear Miss,

We are pleased to present you our group project, which involved doing this report on “Talent
Innovative Beauty”. We focused mainly on the Business communication, especially industry
analysis and successful strategies of “Talent innovative Beauty” as well as how the company
promote their products and provide services. This report is to describe our observation, research,
learning, recommendation based on the knowledge and the experiences gained during the course
under your supervision.

We have tried to cover all the requirements according to the guideline you provided us for this
project. If you have any inquiry or need for clarification regarding this project, please let us know.

Thank you for your time, guidance, and for providing us with this opportunity to learn.

Sincerely,

Bayzied Hasan

Md. Arif Kamal

Touhidul Alam

K.M. Fazle Rabbi

Md. Forid Hassan Chowdhury

Sakibul Haque Fahim

Jannat E Nur Wahida Jesy

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Executive Summary
This group project initially focuses on how Talent Cosmetics operates businesses and
communicate with customers in domestic and international markets. We compared and discussed
all the process and how they run their business in different country.

According to our project requirements, we emphasized on PESTEL analysis. As a result, we can

gather all the valuable information about political, economic, social, technological, environmental
and legal which are very significance information to know the actual what are the problems they
faced running their business and how could they adapt with the different culture in different
countries. In this project, we discussed the operational analysis through SWOT which helps us to
know and identify the strength, weakness, opportunity and threats

Finally, we described all the successful strategy and criteria followed for run their business in
different countries. We concluded our project with recommendation and also added our own
perspective assuming the fact. We expect from this project is beneficial in terms of understanding
how Talent cosmetics operates their business.

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Contents
Introduction ............................................................................................................................................ 8
Company Background.............................................................................................................................. 9
Mission.................................................................................................................................................. 10
Vision .................................................................................................................................................... 10
PESTEL Analysis ..................................................................................................................................... 10
Political Factor ................................................................................................................................... 10
Economic Factor ................................................................................................................................ 10
Social Factor ...................................................................................................................................... 10
Technological Factor .......................................................................................................................... 11
Legal Factor ....................................................................................................................................... 11
Environmental Factor ........................................................................................................................ 11
SWOT Analysis....................................................................................................................................... 11
Strength ............................................................................................................................................ 11
Weakness .......................................................................................................................................... 12
Opportunities .................................................................................................................................... 12
Threats .............................................................................................................................................. 13
Marketing plan ...................................................................................................................................... 13
Product ............................................................................................................................................. 13
Place.................................................................................................................................................. 14
Online Shopping Mall..................................................................................................................... 14
Stores ............................................................................................................................................ 14
Promotion ......................................................................................................................................... 14
Celebrity Endorsement .................................................................................................................. 14
Public Relation ............................................................................................................................... 14
Packaging .......................................................................................................................................... 15
Position ............................................................................................................................................. 15
People ............................................................................................................................................... 15
Successful Strategies ............................................................................................................................. 15
Achievements........................................................................................................................................ 16
Problems ............................................................................................................................................... 17
Recommendation .................................................................................................................................. 17

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Conclusion............................................................................................................................................. 18
References ............................................................................................................................................ 19

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Introduction
Talent Cosmetics is established in 1980. Talent cosmetics established and founded first in South
Korea. At first the company name was Chungmoo but when they decide to extend the business
they changed their name Chungmoo to Talent Cosmetics in 1997. A qualified company
specializing in skincare and cosmetics. They constantly use their knowledge and technical skills
to spread a good and healthy glow to women. In 2016, the principal of Talent Cosmetics has
selected KBEAUTY Malaysia as the certified licensee to distribute, market, and sell of Talent
cosmetic’s brand in the region of Malaysia and Singapore.
By 2010, they opened their authorized store all among the world. They have their store in Japan,
Malaysia, Russia and China. In 2008 they started o selling their products in Amazon. They have
around of 550 plus products in the market. Their marketing strategy is to provide halal makeup
line with religious beliefs in Muslim countries. Halal cosmetics are body and skin care products
which are known to be free from the resources that are prohibited by the Islamic society. They
have more than 51 halal cosmetics in the market. They designed their products keep in mind about
Asian skin types and the region.
By selling thousands their product, Talent cosmetic is boosting up the country’s economic situation
and Talent cosmetic is trying to improve the ill effects and do their business in an environmental-
friendly way.

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Company Background
Talent cosmetics started their journey in 1980. They have been selling cosmetic products and
serving customers all over the world. They have total of 550 plus products in the market. Their
marketing strategy is to provide halal makeup line with religious beliefs in Muslim countries. They
have more than 147 halal cosmetics in the market.

 In1997, they changed the name from Chungmoo to Talent Cosmetics.

 In 2000-2002, opened second Myeong-dong store in South Korea.
 In 2008, they signed a contract with Ida as a distributor. In addition, they started selling in
Amazon website. As a result, customers can buy their products all over the world through
online.
 In 2010, they opened a Japanese website to get the Japanese customers. Although they have
authorized shops in china, Japan, Russia, France and Malaysia.
 In 2012, they founded a Chinese branch and it’s a duty free shop.
 In 2013, they started export to south-east Asian countries including Hong Kong, Thailand,
Vietnam, Indonesia and Singapore.
 In 2014, they get halal certification from Malaysia Jakim in 2014 (SKIN CARE, MAKE-
UP, MASK etc.) and store opened there. Talent was the fast Korean brand get the halal
certification from JAKIM. Moreover, it will help them to increase their markets other
Muslim countries. (Aziz, Muslim, & Zaidi, 2009).
 In 2015, they get CFDA in Dubai beauty expo and in 2016, they signed with a Polish
company.

Moreover, Halal cosmetic has a significant demand among Muslim consumers as these adhere to
their religious loyalties. So, Talent cosmetics designed their products keep in mind about Asian
skin types and the region. Also, in the middle-east countries women are very rich and ready to buy
halal good products. In near future, the global halal cosmetic products market is going to reach a
value of USD $54164 million by 2022.

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Mission
To make sure the full satisfaction and comfort of their customers, developed high-performance
cosmetics and promoting innovation, highest efficiency, competitiveness and social responsibility.
Talent cosmetics aim to be known by always trying to reach a compromise between one's beauty
and well-being. Beauty is a language. Talent Cosmetics has set itself the mission of present all
women worldwide the best of cosmetics innovation in terms of excellence, efficiency and safety.

Vision
To make a global brand that is dedicated to enhancing the natural beauty of women by always
providing the best and Halal products and services worldwide and to be a company known by the
quality of their beauty products.

PESTEL Analysis
The beauty industry is diverse, comprising more than just makeup and skin care products. Even
though products in this industry are endless, they all focus on one specific idea which is ‘a better
you’. Every company selling beauty products have to follow strict regulations and the PESTLE
analysis of Talent Innovative Beauty confirms dives deeper into these facts.

Political Factor
There are few strict guidelines that every industry needs to follow. They are required to follow
political and legal requirements in whichever country they are in. Talent cosmetic is also following
those rules and regulations. They need to report ingredient statements to show that they are keeping
it halal and their product is safe.

Economic Factor
Unlike many others, the beauty industry is quite resistant to economic recessions. Beauty products
have become a necessity. By selling thousands their product, Talent cosmetic is boosting up the
country’s economic situation. As for employment, thousands of people got employed in the
company which also creates an impact on the economy.

Social Factor
Brand loyalty is a common social factor that affects a business. Customers are always looking for
products until they find the one. After that they stop looking and become brand loyalists. Talent
Innovative Beauty has several popular products that have attracted a huge number of customers

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which make them loyal towards the brand. And that is why people are buying other related
products of the same company as they have already liked one of the products of the company.
Since it’s a halal brand so it attracts more customers.

Technological Factor
The internet really did revolutionize the beauty industry. People can buy any product and get it
delivered to their home in a day or two. Now a day’s people do not even go to a retail store to buy
these products. Talent cosmetic is selling their products on their website. Also they are using
advanced technology to make their products better.

Legal Factor
Ingredients in the beauty industry is very tricky. There are few legal factors that Talent cosmetic
is following. They are not using any haram or harmful ingredients and their packaging and labeling
is also quite fair.

Environmental Factor
Besides other industry, beauty industry is also focusing on going green. Their packaging is
becoming more eco-friendly. But there is still a growing issue of heavy plastic usage within the
cosmetic and skin care segment. Talent cosmetic is trying to improve the ill effects and do their
business in an environmental-friendly way.

SWOT Analysis
Strength
Halal certification: Talent cosmetics have acquired halal certification mark from the official
certification body of the Malaysian government called ‘JAKIM’. This is official government that
is recognized globally. This certification attracts many South Asian Muslim women to buy their
products as this offers a satisfaction that from raw material to production facilities all are halal,
which is allowed in Islam.

First halal cosmetics in Korea: Talent cosmetics introduced the first certified halal cosmetics in
Korea. Talent cosmetics’ “Sunwoo Cosme” product line acquired first Halal certification among
other Korean cosmetic products.

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Product diversity: Talent cosmetics have different range of products lines for the diversified
women in the world. Cosmetic products for women all around the world are manufactured by
Talent cosmetics by ensuring quality and severe safety testing. Various product line includes:
Sunwoo Cosme, Levenne, HUIHUANG, JAC skin, SABASA; each targeting different types of
women’s cosmetic and skincare needs.

Long run in the cosmetic market: Talent cosmetics started its journey in 1980 in the name of
TALENT in Seoul. They have been selling cosmetic products and serving customers over the last
30 years.

Weakness
High priced halal products: Talent cosmetics’ Halal product line costs much more than the other
product lines. This is because to ensure the material and process used are 100% halal. However,
this might create a negative effect in the sales of halal products.

Less consumer awareness: Talent cosmetics have less market share compared to other Korean
cosmetics product, even though it is in the market for several years. Talent Cosmetics is not found
in top 10 cosmetic company in Korea.

Less global exposure: Talent cosmetics only have expanded in South Asian countries like Korea,
Taiwan, Malaysia and Indonesia. Globally Talent cosmetics is still not recognizable. There is a
lack of brand identity.

Weak marketing strategies: Talent cosmetics used only Korean models as their brand
ambassadors. It is not expressed properly that they have products for all kinds of women around
the world. Only using Korean models are attracting Korean women rather than globally. Therefore,
the customer base is very limited.

Opportunities
Emerging market in Halal cosmetics: Global Halal Cosmetics Market is expected to reach
$54,164 million by 2022, from $20,247 million in 2015, registering a CAGR of 15.2% during the
forecast period (Report by Ashmita Ray). There is a significant adaption rate of halal cosmetics in
the Muslim consumer market. Talent cosmetics having the Halal certification would allow the
consumers to trust more on them and hence increasing their revenue.

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Beauty concern lifestyle: The YWMCA reported that $7 billion is spent each year on cosmetics
(Beauty at Any Cost, 2008, p. 7). The craze of being beautiful is increasing exponentially. Talent
cosmetics have a huge range of product line to help all those beauty concern people around the
global.

New innovations: Talent cosmetics can innovate new products and product line. New Innovations
in marketing strategies can boost up revenue from around the globe.

Entering new markets: Apart from the south Asian countries, Talent cosmetics can enter the
Muslim hub of the world, like UAE, Bangladesh, Saudi Arabia, Indonesia, Turkey and other
majority Muslim countries.

Threats
Competitors: Talent cosmetics’ competitors are already holding huge market shares in the global
market. They are well recognized globally. Competitors are offering almost same function for each
of product. Talent cosmetics should recognize their competitive advantage to get over the
international competitors like Amara Cosmetics, Iba Halal Care, Inika and Saaf Skincare.

Increased use of cosmetic surgery: Cosmetic surgery is very common among Korea and other
south Asian countries. The rate of cosmetic surgery is gradually increasing and therefore, a
downfall in skincare cosmetics is expected.

Maintaining Halal standards: Halal standards can be hard and expensive to maintain. Not all
ingredients or process can be used in Halal cosmetics, therefore the cost might increase.

Fake and Counterfeit products: Fake and counterfeit products are continuously being produced
every day. Talent cosmetics’ products can be easily copied and the use of cheap raw materials can
deteriorate the brand’s value.

Marketing plan
Product
Talent cosmetic have total of 550 plus product, mostly women oriented in the market including
147 halal cosmetics provides halal makeup line with religious beliefs in Muslim countries. The
company has good fame for providing beauty products worldwide.

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Place
Online Shopping Mall
“Talent cosmetic” is very much successful to reach customers through Online Store. Building their
site attractive using full width images with minimalist design to keep information clear and easily
comprehensive. Information including contact address, social media links for reviews and
feedback to keep visitors engaged all the time. They support at all stages of shopping experience
to build relationship and to making purchase again. Also allow customers to create an account and
offer a wide variety of payment option.

Stores
In 2000 “Talent cosmetics” stared with their first physical store in Myeongdong and in 2002 they
opened the second store in Myeongdong. Since then it has gotten a lot of attention from the
domestic and international markets like Taiwan and Malaysia, China, Japan through exporting
products and with establishment of new branches.

Promotion
Celebrity Endorsement
As a global beauty brand, “Talent Cosmetics” attempt to be one step ahead to inform their products
by taking actions to associate with the Korean wave and working with variety of celebrities.
Currently, a South Korean girl group LPG, and Ai Haruna are active members of their company.

Public Relation
Talent cosmetics is so much active to build strong profile with target audience and can
communicate through this strategic communication process. Through this technique they market
their products and influence attitude toward the company. Recent tools they used are the following.

 Taiwan beauty professional broadcasting.

 Japanese Broadcasting.
 Sponsor of the 2015 Supermodel International contest.
 Malaysia Home Shopping Broadcasting.
 Lakumall TV, the famous home shopping in Malaysia.
 Japanese magazine introduction

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Packaging
Halal logo on product significantly influence targeted Muslim consumer positive perception that
eventually lead them to make a decision to purchase halal cosmetic products.

Position
For Muslim consumer “Talent cosmetics” position themselves through Halal Branding. Halal in
Arabic means “that allowed” and halal certification can only be achieved through strict and
rigorous assessment process covering from raw materials to production facilities. Through Halal
Branding they are growing as a leader in halal cosmetics around the world.

People
Mostly women and kids oriented products for different segments and target customers according
to their likes and preferences.

Successful Strategies
Maintaining a proper a strategy in any kind of business plan plays an important role when it comes
to achieve specific goals and achievements with a secure position in the market. Without a concrete
strategy in a business plan often it looks like half the way in a blue ocean. To maintain a proper
strategy it needs some guidelines so that difficulties can reduce at minimum level. After
researching the internal and external factors using SWOT analysis, PESTEL analysis and 6P’s we
found that South Korean company Talent Cosmetics mainly focuses on two strategies, those give
them a better competitive advantages against other competitors in that industry. That’s why they
are growing rapidly. The strategies are given below-

1. The corporates of Talent Cosmetics focus on creating a business plan with the proper
guidelines which indicates what are their specific short term and long term goals and how
can they achieve those goals. In a nutshell we can say that it gives a specific idea about
their missions, vision and objectives.
2. The role of Line managers and stuff managers is to observe day to day activities and outputs
so that they can fulfil the specific short term and long term goals which is set by the
corporates.

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To maintain those strategies South Korean company Talent Cosmetics formed different units of
different departments. All the departments have different activities. Those departments are given
below-

 Finance Department: This department of Talent Cosmetics works on two different sides.
They monitors all the expenses and bills. On the other hand, they do budgeting then they
find the sources and collect the amount by using loans and investors’ money and then they
decide to allocate the amount in different sectors.

 Brands and Development Departments: This department always focuses on creating

better quality cosmetics products in the market to gain success against competitors. They
do their activities with the combination of marketing team. Positioning their quality
products by creating a strong brand value of their cosmetics products on consumers mind
is their main goal.
 Operations Department: The main roles of this department are to collect all of the
resources and to use the resources properly in day to day activities. This activities reflect
on total outputs in Talent Cosmetics Company.

 Supply Chain Department: This department maintains a series of making products to

distributing which involves in planning, sourcing raw materials, buying, manufacturing
and supplying the products so that full operation can go smoothly from beginning to the
end.

 Marketing Department: To maintain a sustainable growth this department and

development department works together. The main role of this department is to convey the
proper details about the consumers’ needs to the development department. They do social
media marketing, social networking, brochure promotions, sales promotions etc.

Achievements
Talent Cosmetics Company is the first cosmetics brand company in South Korea who got the
Malaysian governments Halal Certificate. This certificate was issued by the Department of Islamic
Development of Malaysia. They recognize the products in a way that those are approved halal

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products by the Islamic Law. According to Talent Cosmetics Company, out of total 550 cosmetics
products its 147 products have received the certification. This company is also certified Halal by
JAKIM which is an official government authority.

Problems
 Halal cosmetics are misunderstood as being manufactured are offered to Muslim
consumers only. Therefore a large Non-Muslim consumer base in not engaged in
halal cosmetics products.
 Ironically halal cosmetics are being rejected by Muslim consumer because of
misperception that halal cosmetics don’t provide the same product quality as they
offered globally.
 About 24 to 30 percent Muslims believe that halal should only be used in food
industry which is practically impossible to manufacture halal cosmetics without the
ingredients of non-halal ingredients.
 Muslims consumer are doubtful about the Halal of the product.

Recommendation
 Promotion about halal products in order to create awareness globally.
 Promotional campaigns in according to different nation’s culture.
 Benefits of using halal products can be transmitted by brochures.
 They should increase their operational efficiency so that they can serve more
consumer in a short time.
 Different strategy for different type of consumer demand.
 They ought to hire Muslim people from low labour cost countries such as Pakistan,
Bangladesh, India. It will reduce hire cost.
 In Muslim country they should offer promotional offers in Muslim big festivals like
‘Eid’ holidays and different occasions.
 Halal products prices can be decreased to satisfy the consumer globally.
 Halal products actions for each type of halal products can be determined by
components authorities.

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  Quality attributes required by Islamic standards for halal products should be
consistent with the needs and preferences of consumers.
 Local Government and Non-governmental organisation and educational
institutions etc. should be more involved to the subject and create a common
structure.

Conclusion
Advancement of Halal items, Halal beauty care products needs the co-activity and obligation of
all the inventory network players and utilization of the Halal arrangement detectability framework.
They can give high caliber of Halal beautifying agents by controlling of crude materials choice,
creation forms, stockpiling, appropriation, buy or potentially request of items by retailers yet it
ought to be viewed as that the improvement of Halal beautifiers in Islamic markets. They will be
accomplished if buyer certainty is attracted to the upsides of these items and their propensity
increment to search for these items at these business sectors. Lastly the respondents accepted that
the Halal beauty care products makers and Islamic governments have greater obligation towards
acquainting and advancing these items with the individuals.

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References
1. TALENT COSMETIC. from http://talentcosme.net/
2. Research, A. M. (2019, January 19). Halal Cosmetics Market Expected to Reach $54,164
Million, Globally, by 2022- Allied Market Research
3. Sugibayashi, K. (n.d.). Halal Cosmetics: A Review on Ingredients, Production, and Testing
Methods.
4. You, C. (n.d.). Identifying the Determinant Attributes of Halal Cosmetics Product That
Influence Its Positioning Strategy in Malaysia Market.
5. Aziz, A., Muslim, A., & Zaidi, I. (2009). The perception to choose Halal Cosmetics
products: An empirical study for Malaysian consumer. European Journal of Marketing. 28
(5): 27-33.
6. Hashim, A. J. bt C. M., & Musa, R. (n.d.). Factors Influencing Attitude Towards Halal
Cosmetic Among Young Adult Urban Muslim Women: A Focus Group Analysis. Retrieved
from www.sciencedirect.com
7. Krueger, R.A. and Casey, M.A. (2000). Focus Groups: A Practical Guide for Applied
Research. Sage, Thousand Oaks, CA. Kumar, S. and Beattie, J. (2004), Comparative
innovative business strategies of major players in cosmetic industry. Vol. 104 No. 1,
8. Hyun, S. G. (2014, December 10). Talent Cosmetics attains halal certification. Retrieved
from http://www.koreaherald.com/view.php?ud=20141210001001

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