ENTREPRENEURSHIP PROJECT

EXECUTIVE SUMMARY

We are a makeup manufacturing and retail business dedicated to helping eliminate animal cruelty in
the cosmetic industry.  We stride to make women feel beautiful while helping them to make moral,
informed decisions. There is an ugly truth behind the beauty products so many women have grown to
love and we feel it’s time to bring that to light. Bella is not interested in dissections or injections, because
women are beautiful on their own. We aim to enhance nature, naturally, and save some animals in the
pursuit.

Bella will be located at Ahmedabad one mall in Ahmedabad. I selected this location due to various factors
such as: customers, location cost, personal factors etc. professional skilled employees will be hired.
Those employees will be attracted by competitive salary and discounts on products and services.

India’s cosmetic market has been growing with a CAGR of 17% over a period of five years. According to
the latest estimates, the industry is valued at around USD 950 million and is expected to nearly treble to
approximately USD 2.68 billion by 2020.  According to Market Research Future, globally, the ‘cruelty-free’
cosmetics market is set to grow by 6.1% from 2017 – 2023, with India projected to be one of the top
exporters of these cosmetics. As ethical beauty continues to inspire consumer choices, one can expect
the market for cruelty-free and vegan products to grow faster than the broader market.

In conclusion, the main objective of Bella is to provide best quality of products and services to its
customers. It is compatible to its mission and vision in order to achieve the goals of the company. Bella
will have well performance after the business started. The crucial factors that lead to well performance of
Bella are marketing plan, financial plan, operational plan and human resources plan. In terms of
competitors there are a lot of competitors in makeup industry. Therefore, the company should always
observe its competitors and conduct market surveys to improve its services and products.

BUSINESS IDEA

The reasons why I selected cosmetics as my business are:

According to a research report, the Indian cosmetics industry holds promising growth prospects for both
existing and new players. The forecast for hair and beauty industry is pegged at a per capita annual
spend of USD1.2 which is expected to grow to USD 6.2. The country’s cosmetic sector has, in fact,
emerged as one of the markets holding immense growth potential. The future outlook seems
exceptionally bright due to new product launches which are catering to consumers’ growing requirements
and will fuel growth in the industry.  

According to the latest research report, the Indian cosmetics market registered impressive sales, and with
rising purchasing power and growing fashion consciousness, the industry is estimated to expand at an
annual growth rate of around 17%.

Based on an analysis of consumer behaviour, it has been observed that many consumers are
increasingly shifting towards ‘natural’ and ‘herbal’ cosmetic products as they are associated with bio-
active ingredients and safe for human skin. In addition to this, it is noticed that women are spending more
on cosmetics as they are actively earning and spending money on grooming themselves.  
 The beauty and personal care market in India has a huge growth potential as a large number of products
still, have only limited penetration in the country. With increasing awareness about health and well-being,
the business of beauty is all set for an exponential growth.

The major driving factors for the growth are increased disposable incomes, more product penetration,
an increase of the growth of modern retailers,  raising awareness of beauty and personal care products,
the rising aspirations of consumers, and last but not least the impact of strong economic growth. As a
result, overall beauty and personal care constant value growth over the coming days.

TAGLINE: BE YOUR OWN KIND OF BEAUTIFUL

NAME: BELLA

LOGO:

COMPETETIVE ADVANTAGE
Niche Marketing

Owning a small cosmetics business makes it easier for us to target specific niches, compared to larger

companies that may feel the profit margin is too low to sell specialty cosmetics. For instance, I may want

to focus on creating a line of makeup products for people who prefer vegan makeup. This helps us build a

brand people remember when they need more cosmetic products or want to refer people with similar

needs.

Personalized Customer Service

Providing personalized customer service is a key advantage of owning a small cosmetics company. For

instance, offering instruction on how to use the cosmetics and helping customers create the best ones to

match their skin type and tone gives us a way to build customer loyalty.

Easy to Showcase

Unlike some businesses, the cosmetic industry is all about how a product looks and works on someone’s

skin. The advantage of this concept is that it’s easy to showcase the product in multiple ways, such as in

its product packaging as well as in before and after photos showing people who use it.

OBJECTIVES

One of the objectives of reputable cosmetics manufacturers is to ensure that products have no side

effects.
 to offer a product range in each niche to fit various clients' needs.

Apart from typical marketing tactics such as quality packaging, wide product ranges, and reasonable

price-points, manufacturers and retailers in the industry have to develop strategies and techniques to gain

entry into new target markets and maintain their loyal base.

 delivers products that consumers need and want.

 distribute & promote the perfume & cosmetics brands with greater efficiency for making them available to

end consumers conveniently.

We aim to continuously enhance the value of the company through the ongoing growth and development.

To facilitate management innovation and promote a unified direction for our Company

MARKET ACCEPTANCE
- Increasing Demand for Natural and Organic Ingredients. The constant demand for new beauty products
is leading to exciting new innovations , natural products, multifunctional ingredients

-the desire for more natural ingredients is one of the fastest growing around the world.

- Multifunctional Busy, cash-strapped consumers are demanding smarter products that provide more
than one benefit. As a result, there is increased focus in the industry to create products that perform at
least two functions.

Ayurveda and herbal brands are finding high acceptance. Example forest essential and kama.

PERMISSIONS AND LICENSES

In India the Drugs and Cosmetic Act (1940) & Rules (1945) operates the regulations of cosmetics. A
license is required for the manufacture of cosmetics for sale/ distribution. This license is issued by the
concerned state regulatory authorities (State Food and drugs administration). The product can enter the
Indian market only when the registration and licenses are issued.

CHANNEL OF DISTRIBUTION

A distribution channel is a chain of businesses or intermediaries through which a good or service

The reason for the selection of this channels are:

Using direct distribution eliminates the expense of using the middleman. Not only must you pay a
commission when you partner with an intermediary, you also have service costs.
When you use direct distribution, you interact directly with your customers beyond making a sale. You
have a more vested interest in their happiness than a middleman does, so you can provide better
customer support, including decreased wait times for customers to get an answer, better product
knowledge, and more sympathetic responses to complaints.

When you sell direct to customers, you have more control over how products are displayed, promoted,
delivered and returned. If you put your product in a retail store, you are at the mercy of the retailer,
which has hundreds or thousands of other products to manage, promote and sell.

SWOT ANALYSIS

Strength

-Chemical free

-Good quality products

-Competitive price

Opportunities

-Target the bottom of the pyramid where more opportunities lies

-Shift in consumer behavior

-Increase in per capita income

Weakness

-Cosmetic Market occupied by established players, both Indian and foreign

-Lack of differentiation

-Limited products available

Threats

- Economic recession

- Large number of competitors in the market

- Rising costs of commodities