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Cosmetic Manufacturing Plant

Table of Contents
Section Page

Executive Summary .................................................................... 1

Background ................................................................................. 2

Vision Statement ......................................................................... 3

Value Proposition ........................................................................ 3

Key Activities ............................................................................... 5

Key Resources ............................................................................ 7

Key Partnerships ......................................................................... 9

Business Structure ...................................................................... 10

Key Strengths ............................................................................. 11

Key Weaknesses ........................................................................ 12

Summary ..................................................................................... 13



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Executive Summary
Our business is the development of new formulas for products that can then be sold to
name brand retailers as well as small local business and we collect a royalty from the units sold.
Make Me Beautiful (MMB) is a company focused on beauty innovation. We specialize in working
with brands and retailers on product development, creative services and strategic planning in
cosmetic, skin care, hair care, and fragrance and beauty accessories. Our first area of value is
our product formula. Our second area of value is our product packaging design. Our third area
of value is our product advertising strategies. The company's marketing strategy rests on the
belief that its products and services represent a value-added approach to cosmetics, health, and
beauty.
As a cosmetics manufacturer we have established our customer base, which is business
to business selling or (B2B) but we also must recognize the end user in order to develop
products that will be the most beneficial. Our targeted end user is between the ages of 24 and
65. These women must be aware of the manipulation that has taken place to influence them to
buy cosmetic products and they resort to using our products that are dedicated to their
empowerment. We will reach the consumer through three distinct reseller channels. Lifestyle
Retailers, Cosmetic Specialty Retailers, and Boutique Department Stores. We will specialize our
products specifically for individual brands, added value through their standards.
Our first area of strength that we have is the market familiarity. Our second area of
strength is the powerful connections that we have built and the ease at which we can build more
relationships. Our third area of strength is being a small company we are much more flexible
because we can adjust our strategies to best fit the market. Our first weakness is our small
customer base. Because our product is made to be sold in large quantities, our company is a
business-to-business retailer. Our second weakness is the possibility of theft. Because our
product is the formulas themselves, we would have to place patents on our products. Our third
weakness is our market penetration.

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Here are many different cosmetic products that we will produce

Background
We picked this business because it is an emerging market where there are very few
choices for retailers to pick to develop new products. We decided to combine our passions
Jamesons for marketing and Sophias for Womens health and cosmetic products. This
business will allow us to develop new safe beauty products for women and promote womens
empowerment as a whole.
Our business is the development of new formulas for products that can then be sold to
name brand retailers as well as small local business and we collect a royalty from the units sold.
There are similar businesses to us but none will be as committed to womens health and safety
in using products as we are. When we create the product the retailers will decide what price it
will be sold at. We also will have the capability to manufacture the formulas that we develop.
Our staff will consist of many chemists, dermatologists, and estheticians. These people will

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ensure the products do not harm the consumer and they provide the best benefit to both the
consumer and the business buying our formula.
In the beginning Jameson and Sophia will own all of the shares of the company in the
beginning to keep control of the company's success and control the areas that it will grow and
when we go public we will ensure ourselves a spot on the board of directors so that we have the
ultimate decision in major financial choices of the company.
As we looked into the cosmetology business we discovered that marketing to women
almost always is negative, telling them they have too many flaws and they must buy the product
to cover them up. We believe this is garbage, our products are made to enhance a woman's
beauty not to cover her beauty up with some fake imitation. This is what will set us apart from
our competition, our commitment to the promotion of womens natural beauty.
Vision Statement
Make Me Beautiful (MMB) is a company focused on beauty innovation. We specialize in
working with brands and retailers on product development, creative services and strategic
planning in cosmetic, skin care, hair care, and fragrance and beauty accessories. We also
specialize in custom, brand-focused projects. Our team of chemists, dermatologists, and
estheticians will ensure a safe product for any consumer. While the marketing team will find the
best way to design, package, and advertise the product specifically for each brand. We are an
accelerating business dedicated to the empowerment of women and their natural beauty, we
recognize that women have been degraded and objectified and we
must change the status quo.
Value proposition
MMB will occupy a unique market position. No other brand
offers a specialty line that includes skincare, and cosmetics that are
focused to the specific goal of women's empowerment. However,
We contribute to the
empowerment of women

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within each category significant brands do exist. Quality and price vary widely within each
group. MMB will be positioned as a quality brand. The U.S. cosmetics market has seen large
annual growth rates over the past decade. Last year alone, the market grew by over $1 billion.
Clear divisions between traditional categories are becoming blurred and new lines, such as
aromatherapy are also emerging, creating new openings for profit. We will take advantage of
the emerging opportunities
We add value to other business when they buy our products and services, thus adding
value to our business in return. We add value through our top-of the-line formulas and then we
add additional value through the services we provide such as the product packaging design,
product advertising strategies, and manufacturing capabilities. The four areas that we provide
value to our customers is the product formula, product packaging design, product advertising
strategies, and manufacturing capabilities.
Our strengths are the experienced staff we have employed, the limited competition, the
lack of commitment of big brand retailers allows us to advertise to all of them without committing
to a single one. Our weaknesses consist of us being a new company, so we dont have a
market share, and we have to compete with companies that already have a large market share.
Another weakness is that we dont sell the product ourselves, so we dont make as much profit,
and we also dont have brand recognition. We have the opportunity to establish ourselves as a
strong brand in whatever area we choose. We have the opportunity to establish new contacts
through trade shows and online marketing.
Finally, we have the opportunity to grow larger and gain more share of the market. Our
threats include competitors that have been in this industry for over 10 years. They have more
money than us, and can out-advertise us with their larger budgets. Another threat is the
constant changing market, and consumers opinions can change on a dime. The last threat is
the possibility of our product formula being stolen and copyright infringement laws that other
companies could sue us for.

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Our first area of value is our product formula. In our product formula we only use the
best ingredients that promote a woman's natural beauty, this allow us to charge more money
because its a better product. The product is also tested to ensure that it is hypoallergenic and it
won't react badly to different types of skin. This will be done by our team of chemists,
dermatologists, and estheticians. Because our product is intellectual property well have to deal
a lot with patents and nondisclosure agreements. We will have to have close connections to
patent attorneys to protect our product from thieves. Our goal in this area is to establish a close
relationship with an attorney that could protect us with patents and from patent lawsuits.
Our second area of value is our product packaging design. We offer brand-name
retailers the option for us to design the product package. Our professional marketing team
specializes in designing packaging for our products. We also offer name options for our product.
This adds value to our products because big brand retailers dont have to spend the money to
specifically design the packaging for the products.
Our third area of value is our product advertising strategies. This is similar to our second
area of value because big brand retailers wont have to spend the money to plan how they will
advertise the product they have purchased from us. Our goal for our second and third areas of
value are to improve the plans drastically. So then it would encourage the big brand retailer to
outsource the marketing process to our business.
Our fourth area of value is our manufacturing capabilities. We have the ability to create
the formula, mass produce the products, and package the formulas in the units we choose to
supply it. The ability to create the formula, happens in the lab where our chemists,
cosmetologists, and our estheticians can come together to create the formulas that represent
our company. Our ability to mass produce our own products is optional for big brand retailers if
they dont have the resources to manufacture our products in their own facilities. Our goal in this
area of value is to establish stronger means of distribution to get our products to the
warehouses of our customers.

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Key Activities
To be successful in this market we will need to accomplish many key activities to keep
our brand relevant and successful. Since we are just beginning we will need to establish a
strong market presence to begin. Here are three goals we have set to measure the success of
the company:
1. Launch MMB wholesale by the second quarter of Year 1.
2. Achieve an above median maintained margin rate by the end of Year 4.
3. Generate a return on equity by end of year 2019.
To launch our products, we plan on holding an event where name brands gather and
test our products, later individually meeting to discuss what needs to be changed specifically for
their brand. By doing this, we create more value in our partnership with these name brands. By
going the extra mile to improve our own products to meet the guideline of their standards will
further promote value in not only our partnership but also in our products. To benefit our
company further, we will place a service fee for the name brands that do want to make these
extra changes. After changes have been made, their specific changes will be filed separately
Three categories of cosmetic lines
Commercial Clinical Spa
MAC Kiels Private Label Bands
Origins Clinique
Philosophy, and Clarions
Erno Laszlo Dr. Hauscha
Shiseido

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An example of IMATS
from our standard formulas for future convenience use. Changed formulas will be protected with
patent laws for the name brands it was made for.
The company's marketing strategy rests on the belief that its products and services
represent a value-added approach to cosmetics, health, and beauty. To implement this strategy,
the company intends to place paid advertising banners on strategic websites in the cosmetic
fields and to utilize search engine portal and general media advertising. We also place strong
emphasis on person to person marketing throughout the year we will be participating in all
cosmetic-related conventions such as IMATS. IMATS is
the International Makeup Artist Trade Show where
thousands of makeup artists, vendors and enthusiasts
discuss, display and collect the best the industry has to
offer. IMATS also features a make-up museum and an
Afterglow party, where trade-show guests can socialize.
This provides a way to market our product and our
company through networking. Through IMATS we can further market to name brand
consumers who reside outside of the U.S.
Key Resources
As a cosmetics manufacturer we have established our customer base (B2B) but we also
must recognize the end user in order to develop products that will be the most beneficial. Our
targeted end user is between the ages of 24 and 65. They are female urban professionals with
at least some college education. This consumer has an active lifestyle. They are concerned
about social and environmental issues. Mind and body wellness are important to them. They
belong to a health club; take yoga, Pilates, or tai chi lessons. The effects of aging and the
maintenance of a youthful appearance are a part of their life. These women must be aware of
the manipulation that has taken place to influence them to buy cosmetic products and they
resort to using our products that are dedicated to their empowerment.

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There are a number of new demand trends that have impacted the market and created
greater opportunities. These trends include a returning to age old, time proven, natural
remedies; more consumers that are looking for more holistic and healing benefits from her skin
care products, and today's consumer being more informed and more inquisitive about the
benefits of her personal care products. Our target customers (businesses) for wholesale
distribution will be resellers who recognize the needs of this consumer and who she identifies
with. We have used the term resellers because they will not be limited to retailers. We will reach
the consumer through three distinct reseller channels. Lifestyle Retailers, Cosmetic Specialty
Retailers, and Boutique Department Stores.
To make this company successful we will need the following key resources:
1. A world-class management team with direct knowledge of the industry, extensive
research experience, and a unique perspective that B2B cosmetic company
needs.
2. Motivated and experienced professionals with areas of specialty in cosmetic
engineering and marketing.
3. The creation of a "buzz" about this brand among opinion leaders through a
combination of PR and product placement
4. Initial financing gained through investors buying shares of equity, and possibly
crowdsourcing campaigns.
Key Partnerships
Given the nature of the business key partnerships will be vital to our company's success.
By achieving these partnerships we will be able to sell our products. To achieve these
partnerships we will use the methods described in our Key Activities section. These include
attending cosmetic conventions with the expressed purpose of building business partnerships,
online social media campaigns to build professional networks, and through name brand
marketing. To further value our partnerships, we have described methods listed above in our

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Key Activities section. We will specialize our products specifically for individual brands, added
value through their standards. To build these relationships with other companies we have set
the following marketing goals:
1. Development of product packaging: Develop a packaging and labeling system that
communicates the MMB message.
2. Development of product brochures: Create a series of brochures that will function at
point of sale and at trade shows.
3. Creation of a MMB video: Develop a video that explains the connection between the
product and the companys success.
4. Selection of a PR Staff: Begin the selection process for a retained public relations staff in
April of 2015.
5. Selection of an advertising firm: Begin the selection process for an advertising agency in
March of 2015.
6. Development of our print campaign: Development of this campaign will begin
immediately after selecting an agency.
7. Creation of consumer seminars: Develop and implement these programs by July 2015.
8. Development of bonus week programs and products: Ms. Sophia Ge will work with
Estheticians to develop and source these products by October 2015. Our first bonus
Week event will be December 2015.

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Business Structure
Our business structure is very unique because it is a business to business retailer and
we manufacture and invent the products and we sell formulas and legal rights to the distributer
of the product, because of this we will have two major divisions in our business- the research
and manufacturing department dedicated to the development of a safe effective product, and
the Marketing department which will be dedicated to the promotion of our great product and
getting these key partnerships built. The relationship between these two departments must be
extremely close- at least at the beginning. In the future we may want more of a division between
the two. The interaction will mostly be through email or face to face communication. Because
we will have a small business we cannot afford to have a human relations department at least
until we grow into a larger company, so as the executives of this business Sophia and Jameson
will take complaints and other miscellaneous communication.
Partnerships will be vital to our success

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Key Strengths
The key to our business will be these strengths that will help us accomplish the goals we
have set for this business. We must use our strengths to boost our business to make it great.
These strengths are listed below:
Strength 1: Our first area of strength that we have is the market familiarity. Sophia and
Jameson are only a bit younger than their target market segment. That means they have special
insight into the minds of their consumers.
Goal 1: To keep this advantage we will conduct over 300 market research studies a year
to stay relevant with this target market.
Goal 2: We will continue to hire young motivated people who will continue to bring fresh
insights to the market, to do this we will conduct specific attitude based interview
to evaluate their motivation for joining our company.
Strength 2: Our second area of strength is the powerful connections that we have built
and the ease at which we can build more relationships. This will be vital especially in this market
to be successful.
Jameson
Marketing
Director
Sophia CEO
Marketing
Department
R&D department
(Manufacturing)

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Goal 1: We are young and much less threatening to older executives of other widow
companies and we will use this advantage to build trade partnerships with these
executive to get better deals on purchases and sales.
Goal 2: We have not burned any bridges because we are so new we have not built any
negative relationships. We can maintain this advantage by putting people first
and treating customers and suppliers as people rather than just resources.
Strength 3: Being a small company we are much more flexible because we can adjust
our strategies to best fit the market.
Goal 1: We will follow the concepts brought together in the Good to Great that will allow
us to move around obstacles standing in the way of our success. These concepts
include avoiding the cumbersome bureaucracy that takes place naturally when a
company grows too large; to avoid it we will manage people directly until they
can manage themselves.
Goal 2: Without becoming so big that we trip over ourselves we will grow as an agile
company. This includes adaptability to a new market; to do this we will keep
operating lines of credit with our investors to be able to afford the changes that
are necessary.
Start Up Expenses
Legal 2500
Stationary and paper supplies 3000
Brochures 10000
Estheticians 15,000
Research and development 30,000
Expensed equipment 60,000
Miscellaneous 50,000
Total 170,500



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Key Weaknesses
The key to improving our business is acknowledging the brutal facts. By acknowledging
our weaknesses and defining goals to improve them, we will prolong the success of our
company.
Weakness 1: Our first weakness is our small customer base. Because our product is
made to be sold in large quantities, our company is a business-to-business retailer.
Goal 1: Our first goal is create brand loyalty with our existing customers. By doing so, we
have less risk of losing who are already buying from us, and can only expand
from that point. We hope to acquire at least 10 new business customers in the
early years and build that number as we expand as a company.
Goal 2: Our second goal is to build rapport through word of mouth. The best form of
advertising is testimonials. By having our customers advertise us to other
companies, it gives our company better credibility. We will conduct customer
satisfaction tests that will ask where they heard about us from, we hope at least
60% of our new business comes from word of mouth
Weakness 1: Our second weakness is the possibility of theft. Because our product is the
formulas themselves, we would have to place patents on our products.
Goal 1: Our first goal is to build strong relationships with reliable patent attorneys. By
building a relationship with them, gives our company a greater advantage
through mutual respect and a more personalized relationship.
Goal 2: Our second goal is to create a written contract for our intellectual property. This
is done by placing all of our staff and customers on a contract protecting the
secrecy our formulas.




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Weakness 3: Our third weakness is our market penetration.
Goal 1: Because our company is a business-to
business retailer, our first goal is to strive for
guerilla marketing. Guerilla marketing is both time
intensive and cost effective. In the beginning 100%
of our marketing efforts will be guerilla rather than
traditional methods like television or radio.
Goal 2: Our second goal is to build key
partnerships with companies who will provide
marketing opportunities. By doing this, it gives our
company more options to expand and to be represented. We hope to build at least 300
leads to partnerships in the first 5 years of our beginning.
Summary
We feel our business will be successful because it is both efficient and cost
effective. Giving the opportunity for name brand labels to speed the pace of having to
create the formula for their product, we do it for them. We give the option for brands to
customize the formulas to their
specific standards. We also give
brands the opportunity to speed past
packaging by providing that service
with our company. We understand
what our strengths and weaknesses
are. Our weaknesses compose of our
small customer base, the possibility
We could be the company that manufactures these products
These weaknesses could seriously hold us back

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of theft, and our market penetration. Our strengths compose of being around the
general age group of our target consumer base, being able to create key relationships
as an upcoming company, and being small.