Shaping the Competitiveness of Family Businesses, Exemplified in Cases of Cosmetics Industry Cover Image

Kształtowanie konkurencyjności firm rodzinnych na przykładzie sektora kosmetyków
Shaping the Competitiveness of Family Businesses, Exemplified in Cases of Cosmetics Industry

Author(s): Beata Żelazko
Subject(s): Business Economy / Management, Micro-Economics, Policy, planning, forecast and speculation
Published by: Społeczna Akademia Nauk
Keywords: competitiveness; family business; cosmetics industry; competitive strategy; brand; sectors

Summary/Abstract: The article deals with the problem of shaping the competitiveness of family firms on the Polish cosmetics market. On the supply side of this market, due to a large variety of offered products, are identified four sectors. The competitiveness of the firms is analyzed within each of them. In at least two of these sectors, the position of family firms, relative to other producers (including foreign companies), is strong. The competitiveness of the enterprise is the result of decisions concerning he development of the competitiveness potential, as well as the decisions concerning the choice of the competition strategy and the choice of tools used in the implementation of this strategy. The research of the anti-age cosmetics sector shows that Polish family businesses, just as non-family businesses, most often realize a strategy of differentiation. The strategic behavior of the family and non-family firms is very similar. There is no difference in the set of instruments that are used by entrepreneurs in both of the groups, but some differences can be seen in the area of capacity building competitiveness. The instruments most commonly used by companies in the process of the strategy implementation in the cosmetics sector are: a brand, an innovation and an advertising. The family businesses form their competitiveness mainly by building confidence in the brand. These companies use the emotional values associated with the word „family” as the basic factors that constitute the product brand.

  • Issue Year: 16/2015
  • Issue No: 7.2
  • Page Range: 31-45
  • Page Count: 15
  • Language: Polish