1/3

Lusta Hair Business Reportzabq.in/lusta-hair-business-report

Introduction

The primary objective of this report is to highlight major products of Lusta Hair and to

sell its products in various markets to improve its number of customers and sales

collectively. Another significant objective of this report is to sell products like hair

straighteners to women but making them feel comfortable and confident. It is essential to

do that because most of the women do not feel confident and comfortable while buying or

selecting various fashion products. In the same manner, the company wants to become

the number one brand in the world. The report would highlight significant options for the

company that it can adopt or it can use for becoming the number one company.

Moreover, the company wants that natural disasters such as covid-19 does not impact its

performance and working (lustahair.com, 2020). The company sold only 50 units in the

last year. In the same manner, another significant target of the company is to brand its

products and services outside the hair market. In simple words, the company wants to

enter various related niche businesses with a primary aim to improve its number of

customers and to improve a variety of its products and services in the world along with

the quality of its products and services.

Identification of Challenges/ Opportunities

Some of the most significant and the most prominent challenges that the company is

facing in this regard include

Internet Marketplaces

One of the major challenge for Lusta Hair is that the company has its business on the

internet market place. The company does not have physical salons or other such options.

It is the primary reason that it is facing various issues regarding operating its business on

Instagram.

New Salons Operating in Area

Another significant challenge for the company is new saloons operating in area. Lusta

Hair is mostly doing its business online and it lacks physical stores and locations. Various

new saloons are operating in the area and these saloons have a direct impact on its

business activities such as they are reducing its sales. In the same manner, these saloons

are making it difficult for it to attract more customers.

Discouraging by Competitors

The company is facing serious discouraging by its competitors and the major reason

behind this fact is that its competitors claims that the company is offering various forms

of wigs to its customers. These wigs are not healthy and they can have negative impact on

https://zabq.in/lusta-hair-business-report/https://gedgetsworld.in/best-hair-straighteners-in-india/

2/3

human health and hair (COSTA, 2013).

Increased Cost of having Best Beauticians and Stylists

Another significant challenge for Lusta Hair is the high cost of having the best beauticians

and hairstylists. The company is new in the market and it faces immense competition

from its competitors. Therefore, it has to hire the best stylists.

Some of the significant opportunities for the company include

Strong market growth and brand recognition of the company

Male barbering and grooming option

Using internet marketing

Use branded tools like Philips hairdryer, etc

Developing special packages for its customers

Booking more people online

Having some local partners to have its physical existence and to enhance its

business collectively (COSTA, 2013).

PESTEL Analysis

Political Factors

Various government policies and other political factors have a direct impact on business

activities of Lusta Hair. The most significant thing for the company in this regard is that it

is not facing any type of challenge or barrier for entering the market. In the same manner,

the company is not facing any taxes and tariff and it is the primary reason that there is no

extra burden on the company and it is carrying out its activities in the best manner

(lustahair.com, 2020). However, its stock is low due to Covid-19. Moreover, the products

of Lusta Hair are customer free and the major reason behind this fact is that the US do

not take custom or it is good to say that the country does not take tax on imports. In

simple words, it is good to say that the political conditions for Lusta Hair are favorable

and the company can become successful while operating in the US with ease and

perfection (Pereira, 2015).

Economic Factors

Various economic factors such as exchange rate and inflation rate impact costs of product

of the company. The company has to buy its products in USD and it has to sell its

products in AUD and it results into loss of dollar for the company and it is not in its favor

at any cost. The next important thing in this regard is that the customers in the US pay in

USD and they receive products in AUD. It means that it is resulting into loss of revenue

for the company (Pereira, 2015). Moreover, it is good to say that exchange rate of USD

and AUD have negative influence on the company’s activities in the US. Moreover, the

company have not adjusted its prices and it is having a negative impact on its business.

References

https://gedgetsworld.in/best-hair-dryers-in-india/#1_Philips_BHD00720_Hair_Dryer

3/3

COSTA, A. P. (2013). Uma analise do curso de administracao do Centro Academico do

Agreste da Universidade Federal de Pernambuco com enfase na aplicacao da analise swot

a luz do projeto pedagogico do curso (Bachelor’s thesis).

lustahair.com. (2020).

Pereira, D. E. (2015). A digital communication strategy for Kiehl’s: Humanize an online

engagement (Doctoral dissertation).

ReadEssay provides a platform for UK students from all over the world to connect with

experienced and professional writers. You can benefit from our custom writing solutions

like we offer business assignment help, accounting assignment help, and many other

services.

https://www.readessay.com/assignment-help/business-assignment-help/https://readessay.com/assignment-help/accounting-assignment-help/