Communications in Business

Communications

L'Oreal, the French cosmetics giant, is hoping to take advantage of one of the world's most fertile emerging markets. On the 20th floor of its China HQ in Shanghai is a bathroom where L'Oreal researchers have watched more than 600 women taking a shower. The study's purpose is to discover how Chinese consumers, unfamiliar until recently with western grooming, use the make-up and hair-and skin-care products the organization is introducing to a nation that has traditionally had little use for luxury.

“Pharmacies here have changed a lot over the past ten years, say Paolo Gasparini, Managing Director of L'Oreal China. It used to be dried animals and plants, but it's moving very fast. In the People's Republic, the use of deodorant and perfume is very unusual and pale skin is the beauty ideal women strive for. The people and culture are so different here that we have to be very prudent, says Gasparini. But the company - with brands that include L'Oreal Paris, Giorgio Armani fragrances, maybe line New York, and Lancôme make-up is determined to be at the forefront of China's latest Cultural Revolution. Unlike other aspirational western brands such as Coca-Cola and McDonald's, which offer a single cultural icon, L'Oreal can offer Asian consumers French chic, New York attitude, and Italian elegance. Already about 80% of L'Oreal's 7.5 bn turnover is generated outside France and 40% outside Europe. L'Oreal, like many other businesses expanding into China, believes the market has outstanding potential.

Despite its success, L'Oreal, like other western investors, is facing commercial and cultural hurdles in China. This country is not familiar with marketing, so it is a huge job to train and keep clever young people, say Gasparini. “My priority is to take care of our staff; the battle will be won by the company with the best people”.

Therefore the question is often posed: Are these problems of poor communications that face managers and professionals becoming more and more critical? The evidence suggests the answer to be yes- these problems are serious and are growing more and more serious everyday. John O. Morris, a Management Communications Consultant consolidates this problem into a single statement called the Morris Maxim. It states that “Communications problems grow much faster in any organization than the organization itself grows” (Morris 3). This maxim emphasizes the need for better communication in organizations such as big business through the implication of what would happen if that organization did not fix it's structure to better handle increasing communication needs. However, before dealing with a solution to the problem of communication in business, (frequently dubbed business speak) it is important to understand how big business operates. Therefore the question is often posed: Are these problems of poor communications that face managers and professionals becoming more and more critical? The evidence suggests the answer to be yes- these problems are serious and are growing more and more serious everyday. John O. Morris, a Management Communications Consultant consolidates this problem into a single statement called the Morris ...