Elizabeth Arden will be sold to Revlon company in $870m. For those who do not know these companies, Elizabeth Arden sells the high expensive cream products but Revlon sells the hair care products mostly. This is very important merging issues because Elizabeth Arden is 106 years old business company and Revlon is 87 years old company. Also Elizabeth Arden worked with very popular famous people like Taylor Swift, Britney Spears…
According to their income profits, Elizabeth Arden is much greater than Revlon. However, with this successful strategic step, they will work together, by the way their products are sold in more than 120 countries. According to famous economical analysers, this association will be very good for both company. Thus marketing strategy will achieve a great achievement.
Fabian Garcia who is the chief executive officer of Revlon told that “We see great opportunities for growth where they are strong and we are not.”
“Revlon has an opportunity here to share its digital know-how through this deal and bring Elizabeth Arden up to speed and the combination will leverage Revlon’s scale across major vendors and manufacturing partners, improving distribution and procurement,” told she.
Actually I wonder the thought of Elizabeth Arden company because what was the wrong, why they decided to do? I am sure that the explanation will come soon. But of course there are some information about this selling process. According to the BBC news they have some debt which is huge number.
This provides people with so many advantages like new products vs. Also this is very nice for their economical growth. We hope that that enables marketing strategy to set a good examples to author companies. Although some banks offered a help for their debt, they decided to sell their company. Of course they know well. Anyway all of us are waiting for their merging process.