Name:
Lienchau Huynh
Date:
November 19, 2010
Paper:
Case Study
Title:
A local Utah Company, a domestic company with headquarters in USA
a foreign company with headquarter outside of the USA.
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In recent years, it is really hard for businesses to struggle when the economic from all
over the world went down. Some companies have to be bankruptcy; other companies are still
stable, while some of companies are successful. Why they are successful now, what make them
different from their competitors, and why they will be successful in the future? Let’s learn their
experiences, what principles do they apply in their business?
Below are three examples from three successful companies: a local Utah Company, A
domestic company with headquarters in USA, and a foreign company with headquarter outside
of the USA.
The local Utah Company
The Nu Skin Enterprise was founded by Brock Blake and is a registered 501(c) (3) non-profit
organization in the United States in 1984, with the headquartered in Provo, Utah. The company offers
over 150 skin, hair, cosmetic, oral care, general nutritional, weigh management, and botanical products.
Nu Skin Enterprises' mission has been to improve people's lives—through quality
products, rewarding business opportunities and an uplifting and enriching culture. A donation of 25 cents
from the sale of each Epoch product was directed to preserve the environments, languages, lifestyles, and
traditions of indigenous people around the world. (Nu Skin web page.2010).
The Nu Skin Enterprises started in 1984 in Provo, Utah and after the normal struggles of
a new company started to really take off in 1989 expanding quickly to become the worldwide
organization that it is today. On November 2, 2010 Nu Skin reported third quarter earnings per share of
$0.55, beating the Zacks Consensus Estimate by 7 cents. It was a 38% increase over the same quarter in
2009.Total revenue grew an impressive 14.8%, driven by excellent growth throughout Asia. Sales in
greater China improved 16%, while growth in the South Asia/Pacific region jumped a stellar 55%.
Revenue in the United States increased a solid 8 %.(NUS – Snapshot Report. 2010)
So what is the Nu Skin business really all made up of? The core company itself was created in
1984 and markets top of the line for women and men hair and skin hair and skin care products. Let’s dig a
little deeper into what kind of goods and products does NuSkin sell?

Nu Skin has over 100 scientists on staff and several labs to constantly be producing and
perfecting their product line. Nu Skin was the first company to produce a line with humectants
which are a combination of myaluranic acid and sodium PCA to help skin to stay hydrated and
stay plump. Their extensive line includes anti-aging, cleansers, toners, moisturizes, face specific
targeted treatments, peels, masks, scrubs, hair care, oral care, sun protection, and cosmetics. “This
is about the fullest line of personal care products I have seen in a long time” (Lori Giffey. 2010).
So, are the Nu Skin’s products good? It’s actually a really good company with excellent products
and a decent pay plan.

Nu Skin has 550,000 distributors in 30 markets worldwide. This is a very stable company that
people are still becoming distributors in and is actually still growing. In fact 66% of the new top
qualifiers with the company have been with the company for 5 years or less. A new distributor in
the Nu Skin Company earns over 1 million in commissions every 10 days. (Lori Giffey. 2010).
These are very dedicated people in the home based business field because you need to be very
ambitious in growing your business and the direct selling of.

Nu Skin also has many companies under its wing, Photomap and Big Planet. This company is a
network marketing company and therefore it does not only provide these health and wellness
products, they also offer a business opportunity.
NuSkin Enterprises is a health and wellness company, and they focus specifically on anti-aging Actually the company was founded back in 1984, and it has grown into a publicly traded network
marketing company. We can start growing our own Nu Skin Enterprises business by becoming a
distributor and sell these products and also find new distributors. This is exactly why this company has
become worth over billions with more than 550.000 distributors and customers.
Overall, NuSkin Enterprises looks like a great company with good products and the opportunity
to grow your own business; it can certainly succeed with it.
Nu Skin Enterprises has concentrated to the quality, made good products for their customers. In
addition, they initiated a marketing system with a lot of distributors in the worldwide to sell their
products directly to their customers. According to Peter and Robert H. Waterman in the book “In Search
of excellence”, staying to the customers, creating good ideas to take an action in the distribution
marketing. Those are the best way lead Nu Skin to the success.
A domestic company with headquarter in USA
Sunflower Farmers Market is the supermarkets, which used the slogan “Serious food at
silly prices”, that mean they sell natural and organic food and offer at low prices, beating another
grocery in states. Sunflower Farmers Market is a pioneer in developing the natural and organic
foods retailing industry in America.
Sunflower Farmers Market was founded in 2002 and now hosts stores in Colorado, Arizona,
New Mexico, Nevada, and now, two stores in Utah (Rette Speight. 2008). So how Sunflower
Farmers Market able to offer the same natural, organic products as a competitor at low prices?

“Building stores a lot cheaper than anybody”. Gillard, the owner said, “no fancy light
fixtures or high rent, no corporate headquarter. Just regular people, looking for the best
deal they can find” (Lindsay. 2010).

Buy used items, probably at a third or less of the price of equipment, but still quality.
Keep overhead by utilizing used equipment as much as in it stores. Keep the stores’
building simple, the traditional location is approximately 28,000 square feet, about a half
of size of a convention markets, it still able to offer a good assortment of products, and
customers can enjoy the convenience (Lindsay. 2010).

Focus on getting the freshest ingredients at the best prices possible. To do this, the stores
concentrate on sourcing directly, paying vendor quickly, buying almost everything by the
pallet of truck load. Sunflower Farmers Market also doesn’t charge vendor “slotting
allowance” or fees, and simply concentrates on negotiating at the lowest prices.

Most of their products are coming in 2 or 3 times a week, so the customers can enjoy
fresh products from the stores

Having our own private Sunflower label on 400 or 500 different brand products, able to
compete with such large chains because they produce most of their own foods.
By the ways simply form their stores building and directly transportation product from the
farms for reducing their selling cost, and bring fresh food to the customers. Sunflower Farmers
Markets have stayed close to the customers-learning his preferences and catering to them. Those
are some methods in Eight Basic Principles for the best run American companies that Thomas J.
Peter and Robert H. Waterman mentioned in the book “In Search of excellence”
In a world go green, it seems that the choice not only necessarily organic, but also what low
the price is. That was what Sunflower Farmers Markets did to be successful in their business.
The foreign company with their headquarter outside of the USA
Sony is one of the world's most widely known electronics companies. Founded in Japan
in May 1946 with headquarter in Tokio, the company has grown from humble roots to a
multinational giant.
Sony has a long history of introducing technologies. Since it was established shortly after
World War II, Sony has introduced a stream of revolutionary products, including the transistor
radio, the Trinitron television, the Betamax VCR, and the Walkman portable cassette player.
Sony maintains a number of joint ventures, including one with Union Carbide to manufacture
Eveready batteries in Japan. The company also operates a life-insurance company in association
with the Prudential Life Insurance Company and, with PepsiCo, runs a company that imports and
markets Wilson sports equipment (Ads by Google.2010).The Sony Corporation as a "venture
business", which had produced several generations and whose primary business remained the 64
year-old company.
As of March 2009, Sony employed more than 171,000 people. The company's annual
revenue in 2009 was almost $8 billion, with almost $1.5 billion in profit (Mark Kennan. 2009)
Why does Sony be successful, and what makes them different from the competitors?

Having capabilities created new technology for consumer products marketed worldwide

Producing high quality products which enabled it to sell its products at a premium to their
competitors.

Constantly searching for new technological advances.

Having a reputation for influencing public adoption of consumer technologies and

Consumer electronics.
The basis of its success is its readiness for innovation on all levels from introduction of
absolutely new products to experiments in management structure. Sticking to the knittingremain with the business the company know best, capabilities, and staying with consumers ,
which are the ways keep Sony alive against its competitors.
Three examples above, a local Utah Company, a domestic company with headquarter in
USA, and a foreign company with their headquarter outside of the USA has been successful,
because they has applied some of principles in business that Thomas J. Peter and Robert H.
Waterman wrote in the book “In Search of excellence”. They involve in people, customers, and
actions. They were successful, they are successful, and of course they will be successful in the
future.
References
Linsay Sport. A Blooming Market. Shopping Center Business. Retail review, May 2010.
http://www.sfmarkets.com/images/stosanries/inthenews/shoppingcenterbusiness_com_may_201
0_a_blooming_market_sunflower_farmers_market_offers_natural_organic_food_at_lower.jpg.
Rette Speight. Sunflower market debuts next week in Orem . Ads by Yahoo. © Copyright 2010,
Daily Herald, Provo, UT. Posted in Local on Wednesday, September 3, 2008
http://www.heraldextra.com/news/local/article_4c41f9cf-dfb4-52cc-af79-51998d83895a.html
Thomas J. Peter and Robert H. In Search of excellence. Copy right@1982.Warner books, Inc.
Newyork, NY 10103.
Nu Skin web page. Nu-Skin-Enterprises, Inc. Ads by Google.2010..
http://www.fundinguniverse.com/company-histories/Nu-Skin-Enterprises-Inc-CompanyHistory.html
Snapshot. NUS – Snapshot Report. 2010 Forbes.com LLC™.
http://blogs.forbes.com/zacks/2010/11/15/global-growth-lifts-nu-skinhigher/?boxes=marketschannelnews
Lori Giffey. Nu Skin Review-Tips For A Profitable Business. articlecue.com. 2010.
http://www.articlecue.com/Art/344171/227/Nu-Skin-Review-Tips-For-A-ProfitableBusiness.html
Mark Kennan, Sony Corporation History & Background. eHow. 2009
http://www.ehow.com/about_5176244_sony-corporation-history-background.html
Sony web page.Sony-Corporation. Ads by Google.
http://www.fundinguniverse.com/company-histories/Sony-Corporation-Company-History.html
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