Area of investigation | Opportunities | Threats |
| % Reason | % Reason |
Current Sales Trends | 2.7% | This one of the leading departments in the Lush industry and has gained popularity in both the United States (US) and worldwide (Thompson, Strickland, Gamble, and Gao 509). Its current sales are increasing compared with 2014, implying that consumers are satisfied with its products. Many customers are attracted by its natural products because they do not contain preservatives. According to Lush (par. 5), it focuses on offering the freshest products to its customers, increasing sales. | 1.0% | One of the major threats to the Lush Bath Department is poor packaging, which faces competition from other companies that produce similar products. The global supply chain has been challenged, whereby products are delivered on the same day or take the shortest time to other companies. Brand names are not used appropriately, and since names have different meanings in different countries, they might lead to a decline in the sale of goods. |
Fashion | 2.1% | Lush Company is on top with regard to fashions. This is facilitated through the designing of various brand names. Its products have different shapes and sizes. This has resulted in an increase in its profits. Attractive colors and scents also have been used to attract the youths | 0.2% | Other companies have many brand names, but not as attractive as Lush. |
Current Economic Trends | 1.6% | According to (Decareau 50), there has been an increase in the cosmetics industry despite the fact that there is inflation in the US economy. The Lush Bath Department is recessed globally due to its strategy of dividing its segments, such as bath and shower, natural and organic, and skin and the sun care. | 0.1 | Lush has not adopted some of the international market strategies, which is a threat to its products. |
Promotions | 3.1% | According to Thompson (513), Lush Bath has continued to give different promotions on its products, such as Lush Life, where customers meet with their firm of choice, and living with Lush where buyers get jobs in the Lush Company (Lush par. 1). The Company is g good public relations, advertising, conducting a SWOT analysis, and personal selling. Strengths imply developing a powerful brand for buyers and indicate being green, luxuriant, and fertile (Lush par. 1) | 1.1% | However, it is critical to point out that Lush Department should be careful when designing their brands because some names have bad meanings, such as “free sex in the Bathtub,” making it unpopular. |
Competition | 2.3% | According to Thompson (510), the Lush Bath department faces competition from Rocky Mountain Soap and Eminence Organics, which produce similar products. However, this has been an opportunity for Lush because of its high-quality products (Decareau et al.78). It concentrates on quality and not quantity. Prices are affordable as compared with companies, such as Body Shops. | 0.9% | The closest competitor, Rocky Mountain, claims 44 employees. Notably, this might be a threat to the Company if it would not be keen on motivating its consumers. However, Lush is working on this by holding a Lush life where customers meet and air their grievances regarding the quality of products. |
Expansion | | Lush is opening many stores in the world. For example, it has opened stores in Argentina and will continue to do the same in 2016 Okonkwo (, 287). This has led to the creation of employment for many citizens. This has been facilitated by its production of a variety of brands that results from experienced manufacturers, leading to the production of valuable products. | 0.5% | Okonkwo (289) has indicated that all malls that are global will be taxed higher than others will. This has threatened the establishment of new malls in the world. |
Political/Social | 2.7% | The business environment of Lush is favorable, although most of the countries where its products are sold experience climatic changes. One of the social obligations of a business is to protect the environment, which is one of the objectives of the Lush Company (Lush par. 4). Lush products are also affordable, as stated earlier, making them attract many customers. It issues cheques with funding campaigns that advocate human freedom and animal rights. | 0.8 | According to Lush (par.3), many of its customers are reluctant with regard to disposing of its Bath wrappers (Hjelmgaard par. 2). This has compelled the government to warn it many times. |
Legal Trends | 1.6% | According to Thompson and colleagues (509), in 2011, consumers were incited to boycott Lush commodities people from Israel because it advocated freedom for Palestine. Conversely, this became an opportunity where it advertised its products. It has been supporting anti-tax groups. | 0.2 % | Although the payment of tax is a legal obligation, Lush campaigns for a unified tax for both internal and external marketing, this makes it receive threats from the government. |
Employment trend | 2.0 | According to Lush (par. 2), the firm was named as one of the 50 best employers in the world. Due to the continued rise in the number of stores, it is expected that the number of stores will increase by 2016. Notably, many people who become employees are their customers. | 1.0 | However, the number of jobs has increased, making it hard for the firm to get workers. |
Total | 21% | | 5.8% | |
% increase or decrease | | 17% | -4% | |