MGT-201

GROUP #3 PRESENTATION

FACULTY: MS. QANTARA KHALEDA KHAN

Name  ID
C O U R S E N A M E : P R I N C I P L E O F M A N A G E M E N T.                        
Sazzed Musa 1910293
COURSE ID: MGT 201, SECTION: 7                            Nur Mohammad Shahos  1920271
SEMESTER: SUMMER 2021                                   Ariful Islam Bhuiyan 1910872
Hasan Imam 1911027
Sirajum Monira Oishi 1830943
WE ARE PRESENTING ON:
INTRODUCTION

In the 20th century, people had a lot of innovation in technology, media and communication so
it affected their mind about beauty as well as lifestyle. To meet the demand of people, many
companies have developed skincare products which help people to protect their skin and make
them more beautiful so that people feel comfortable and confident when they go outside with
friends or family. One of the most famous skincare companies is the Body Shop, which have
products for both man and woman.
BUSINESS ENVIRONMENT

Business environment is a marketing term and refers to factors and forces that affect a firm’s
ability to build and maintain successful relationships with current and prospective customers.
The business environment is also known as the marketing environment. The marketing
environment factors can be internal (within the organization) or external (outside the
organization). The external factors can further be divided into micro and macro environment
factors. We divide the organizational environment into two sections they are,
1. Specific External factors.
2. General external factors
THE SPECIFIC EXTERNAL ENVIRONMENT FACTORS AND THEIR INFLUENCE

Customers: Every business revolves around fulfilling the customer’s needs and wants. Thus, each marketing
strategy is customer oriented that focuses on understanding the needs of the customers and offering the best
product that fulfills their needs and customer service. So, the customer class directly influences our
organization and its management.

Employees: Employees are the main component of a business who contributes significantly to its success.
The quality of employees depends on the training and motivation sessions and promotion opportunities given
to them. Training and development play a critical role in achieving a competitive edge; especially in Marketing.

Suppliers: Suppliers are the persons from whom the material is purchased to make a finished good and hence
are very important for the organization. A supplier’s behavior will directly impact the business.
THE SPECIFIC EXTERNAL ENVIRONMENT FACTORS AND THEIR INFLUENCE (CONTINUE…)

Shareholders: Apart from financial institutions, the public company can raise funds through shareholders. Therefore,
every public company has an objective of maximizing its shareholder’s wealth. Thus, marketing activities should be
undertaken keeping in mind the returns to shareholders and to strengthen the company's financial position.

Government: The Government departments make several policies with pricing policy, credit policy, education policy,
housing policy, etc. that do have an influence on the marketing strategies. A company has to keep track of these
policies and make the marketing programs accordingly.

General public (Society): The business has some social responsibility towards the society in which it is operating.
Thus, all the marketing activities should be designed that result in increased welfare of the society as a whole.
THE GENERAL EXTERNAL ENVIRONMENT FACTORS AND THEIR INFLUENCE
THE GENERAL EXTERNAL ENVIRONMENT FACTORS AND THEIR INFLUENCE (CONTINUE…)

Political factor:  These are all about how and to what degree a government intervenes in the economy.
This can include - government policy, political stability or instability, foreign trade policy, tax policy, labor
law, environmental law, trade restrictions and so on. It is clear from the list above that political factors often
have an impact on ease of doing business.

Environmental factor: The environment consists of a set of external conditions and forces that have the
potential to influence the organization.These factors include ecological and environmental aspects such as
weather, climate, environmental offsets and climate change which may especially affect industries.

Socio-cultural factor: These factors include-population growth, age distribution, health consciousness,
career attitudes and so on. These factors are of particular interest as they have a direct effect on how the
fashion industry understands customers. The fashion industry is one of those industries that may be most
affected by the impact of socio-cultural trends.
THE GENERAL EXTERNAL ENVIRONMENT FACTORS AND THEIR INFLUENCE (CONTINUE…)

Technological factor: The fashion industry has always been subject to technological changes and has
influenced the way in which apparel products are produced, supplied and delivered to customers. The
emergence of the Internet and improvements in communication technologies have facilitated and
accelerated the information flow of new trends and brands from the customer to the retailer, which
enables companies to respond more quickly to the latest market impulses.

Legal factor: Health and safety, equal opportunities, advertising standards, consumer rights and laws,
product labeling and product safety. It is clear that companies need to know what is and what is not legal in
order to trade successfully.

Economic factor: Indicators of economic conditions provide important insights to investors and
businesses. Investors use indicators of economic conditions to adjust their views on economic growth and
profitability. An improvement in economic conditions would lead investors to be more optimistic about the
future and potentially invest more as they expect positive returns.
STAKEHOLDERS OF THE BODY SHOP
IDENTIFYING CRITICAL STAKEHOLDERS
SWOT ANALYSIS
 SWOT ANALYSIS (CONTINUE…)
Strength :
Position-The products sold by the Body Shop are all made out of natural
ingredients which are dermatologically safe for all skin types. Even their
packaging is done using biodegradable material making it a very green and
sustainable brand. This unique positioning of The Body Shop is its biggest
strength.
Franchise-One of the biggest factors to help the company create is image
by franchising and for which it enables the company to take places in
various marketplaces in many countries and making the brand known to
the people which also helps to increase the market share.
Opportunities
Growing anxiety on health- With the internet creating phobia on the usage of
chemicals in products, customers are going natural in most of their daily wear
items. This can be a huge opportunity for The Body Shop which is already into
natural ingredient based makeup and cosmetics.
 
E-commerce- The number of online buyers are increasing and hence it can use
its website portal for sale and free delivery that will increase its market share
Weaknesses
Pricing- Most of the decisions are influenced by the mean of price, and any
amount paid by the customer is said to be for their self-satisfaction. The owner
of the company thought that the customers would be willing to pay for products
with natural ingredients, but as the competitors picked up the company faced
problems with the high prices and lost customers to the competitors. 
Loss of focus- The over-focus on the environment, protection of animals and
human rights diverted the attention of the company from its core business which
was cosmetics. The customer was also confused with whether the company was
into the cosmetics business or was championing green initiatives.
Threats
Competition-The main competitors of The Body Shop are Estee Lauder, Sephora,
Shiseido, and Revlon.  
Supplies-The products use some exquisite raw materials from all across the
world. So legislation or some problems in trade with supplier countries can
heavily impact its operations.
 
 ORGANOGRAM AND LEADERSHIP

What is Organogram?
An organogram is a graphical representation of an organization's structure. It’s used to
show hierarchical relationships between managers and the people who report to them, as well as
departments. An organogram is a useful tool for organization to both visualize reporting
relationships and communicate employees’ names, skills, and contact information.
ORGANOGRAM AND LEADERSHIP (CONTINUE…)
How organogram works for our company?
ORGANOGRAM AND LEADERSHIP (CONTINUE…)
staff # of staff  # english speaking
Management  20  3
Production  200

Regulatory affairs  1 1
R&D 9 1
Logistic  10

Purchasing  3

Quality  10 1
Marketing/ Sales  8 8
Administration  2

HR 1

Total  264 14
 ORGANOGRAM AND LEADERSHIP (CONTINUE…)
What sort of Market structure ‘The body shop’ is?
The Body Shop is a Mechanistic structure. Mechanistic organizations have centralized decision making and
formal, standardized control systems. Essentially, they are bureaucracies. Mechanistic organizations work
well in stable, simple environments. Managers integrate the activities of clearly defined departments
through formal channels and in formal meetings. Often, they feature many hierarchical layers and a focus on
reporting relationships. in the apparatus, a hierarchical ladder was created by subordinates and the
administrator is responsible. and control functions.  Such an organizational management will ensure the
unity of the order and eliminate duplication of powers and contradictory orders.
ORGANOGRAM AND LEADERSHIP (CONTINUE…)

Within functional and multidivisional

structures, vertical linkages between bosses and subordinates are central for decision
making, communications, and accountability. In contrast, rely heavily on horizontal
relationships (Kitchen & Short, 2011). In particular, these structures create cross-
functional teams that each work on a different project. This offers several
benefits: maximizing the organization’s flexibility, enhancing communication by
emphasizing both vertical (top-down) and horizontal communications across
functional lines, and supporting a stronger spirit of teamwork and collaboration.
ORGANOGRAM AND LEADERSHIP (CONTINUE…)
Leadership Styles:

Body shop follows a mechanistic organizational structure as every detail about the instruction needs to be
followed by the employees of the company. This leads the organization to follow democratic leadership
style, where delegation of work can be done by managers if needed, which will motivate the employees to
perform their best in the long run. On the other hand, this leadership style is not as liberal as laissez faire,
making it easier for the employers to control the tasks performed by the employees. Overall performance
may also improve, if there’s a good bonding between the managers and employees, which is possible, if
only the employers follow the democratic leadership style.
ORGANOGRAM AND LEADERSHIP (CONTINUE…)
Advantage and Disadvantage of types of Leadership styles:
Advantage
i. It helps in forming a strong team in an
organization
ii. In this case The Body Shop, it encourages
creativity among employees,
iii. It’s easier to follow
Disadvantage
It needs to be really well defined,
in order to achieve the expected goal by
The Body Shop, which is time consuming
and costly
It might lead to procrastination and the
employees might feel superior to the
employer/managers at some point.

iv.
  It improves job satisfaction and creates
strong commitment level in a team. 
 CONCLUSION

The Body Shop is a company aiming to create products that work for their customers, and the objective is to cause
minimal harm to the environment and the focus is on products that are said to be safe to use. . They aim on using all the
ingredients that are from nature and the ingredients of natural origin, and aim to use environmentally friendly. The
ingredients sources are ethical and of high quality and those are collected from thousands of producers such as farmers
and artisans across the world. The company even has recycling schemes which helps to reduce the waste.
The Body Shop successfully manufactured an image of being caring that is helping to protect the environment and
indigenous peoples, and preventing the suffering of animals- whilst selling ‘natural’ products. The BODYSHOP were
responsible for human and environment .If all the companies in the world like The Body Shop, the world will be better.

 
REFERENCES

https://www.google.com
https://www.thebodyshop.com/en-gb/
https://www.wikipedia.org/
https://www.facebook.com/