Chetana’s hazarimal somani college of com. & eco.

&smt. Kusumtai chaudhari college of arts

Topic: amway. Pvt. Ltd. CoGroup. No: 7

Presented to: prof. kedar

sheral

Priti

SANDESH

Neha yogesh

sonal

Group members

Agenda:•What is Amway?................................Sheral•Introduction……………………....…Sheral•History of Amway……………...............Priti•Center of Amway………………………Priti•Global markets of Amway…………Sandesh•Hierarchy of Amway in India…….Sandesh

•Products of Amway in India………….Neha•Budget study of Amway in India……..Neha•Objective of Amway…………………Yogesh •Goal setting of Amway………………Yogesh•Vision and values of Amway…………Sonal•Case study……………………………..Sonal•Conclusion…………………….............Sheral

Agenda:

What is Amway…….? What does the word Amway mean? Amway is an abbreviation for "American Way “and was coined in 1959 by company founders, Jay Van Andel and Richard Devos. Short, unique and easy to remember, Amway has been registered as a corporate name and trademark ever since.

Introduction to Amway:

Direct selling company and multi level marketing.

Founded in 1959

Founders of Amway: Rich Devos , Jay Van Andel.

Head quarters in Ada, Michigan, United States.

Contd…….

Area Served is Worldwide

Key people of Amway is : Steve Van Andel (Chairman) Doug DeVos (President)

Products are Household cleaners, glister, Health & Beauty, Nutrilite, espring, Atmosphere.

Employees are twenty thousand

Amway is a business that operates on the basis of pyramid selling.

History:

Founding:Rich Devos and Jay Van Andel initially founded the Ja-Ri Corporation, a multi-level marketing distributorship for Nutrilite products, in 1949. Ja-Ri was incorporated in 1959, and changed its name to "Amway" in 1963.

As of 2007, Amway operates in more than 80 countries around the world. In 1999, the founders of the Amway Corporation launched a sister Internet-based Company named Quixtar.

Quixtar replaced the North American business of Amway in 2001 after the majority of the distributors moved to Quixtar, with Amway operating in the rest of the world.

International expansion: Amway expanded

overseas to Australia in 1971.

To Europe in 1973.To parts of Asia in

1974.To Japan in 1979.To Latin America in

1985.To China in 1995.To Africa in 1997.To India and

Scandinavia in 1998.To Russia in 2005.And to Vietnam in

2008.

Contd……

Quixtar:

In 1999 the founders of the Amway Corporation established a new holding company, named Alitcor, and launched three new companies: a sister (and separate) Internet-focused company named Quixtar ,Access Bussiness Group, and Pyxis Innovations.

With Quixtar, Amway used the same marketing concept as it did in its traditional business: distributors purchased products at volume discounts and earned commissions on the sales and bonuses from the sales of new recruits.

Apart from Quixtar's business being conducted electronically, the greatest difference between Amway and its new company was the conspicuous absence of the Amway name.

Center of Amway:

Amway Center is one of the most technologically advanced venues in the world.

Inside the building, a unique center hung installation, manufactured by Daktronics of Brookings, South Dakota, is the tallest in any NBA venue.

The Amway Center is a high-visibility, world-class facility that proudly displays the Amway name on the building’s exterior, the roof.

And throughout the complex, including on the tallest, HD (high definition) scoreboard in an NBA venue, measuring 42 feet by 41 feet by 41 feet.

It maximizes creative programming options by using high resolution, 6mm-pixel technology on each of the 18 displays, including two digital ring displays and four tapered corners.

Contd…

Global markets:

Amway In Australia

Amway In China

Amway In UK

Amway In India

Amway In Australia:

Amway Australia began in 1971, and was the first affiliate to open outside North America.

The company launched quickly, registering more than 400 distributors in its first month of operation. 

Amway Australia

Local Name: Amway of Australia

Launch: April, 1971

Website: http://www.amway.com.au

Est. # IBOs: 100,000 (2006)

Est. Sales: A$150,000,000

Amway In China:

Amway grew quickly in China from its market launch in 1995.

China introduced new direct selling laws in December 2005, and in December 2006 Amway was one of the first companies to receive a license to resume direct sales.

Amway China 安利中国

Local Name: Amway China

Launch: April, 1995

Website: http://www.amway.com.cn

Est. # IBOs:

Est. Sales: RMB22 billion (2010)

Amway In UK:

Amway (UK) Limited was established in 1973 and was one of the first affiliates to be launched worldwide, and the first in Europe.

The administrative headquarters are based in Milton Keynes, Buckingham shire and provide a support mechanism for Independent Business Owners

Amway United Kingdom & Republic of Ireland

Local Name:Amway United Kingdom & Republic of

Ireland

Launch: UK 1973, ROI 1979

Website: http://www.amway.co.uk

Est. # IBOs: >20,000 (2007)

Est. Sales:

Amway in India:

Amway India, a wholly owned subsidiary of Amway Corporation, was established in August 1995 after approval by India's Foreign Investment Promotion Board (FIPB). The Company is headquartered at the National Capital Region of India - New Delhi.Amway India provides free and unlimited training to all its distributors to help them grow their business. Amway India has 400 full time employees and has generated indirect employment for 1,650 persons at all the contract manufacturer locations.

Amway India

Local Name: Amway India

Launch: May 5, 1995

Website: http://www.amwayindia.com

Est. # IBOs: >450,000

Est. Sales: Rs. 2130Cr (2011)

Products of Amway in India

SA8 Dish Drops LOC

Household cleaners

Nutrilite

Artistry (Beauty products)

Espring (water purifier)

Atmosphere

Budget study of Amway in India:

Amway India, the largest direct selling FMCG company of India and a wholly owned subsidiary of Amway Corporation, has clocked a turnover of Rs 2130 crores for the fiscal year 2011

Amway registered a growth of 19% over the previous fiscal when it recorded a turnover of Rs 1790 crores.

From a turnover of 99 crores back in 1998 to the robust turnover of Rs 2130 crores - Amway India has grown twenty times.

The company aims to cross the Rs 2500 crore mark in 2012. Amway India, the Indian arm of Amway Corporation, will

invest Rs 400 crore in India in the next two years on a manufacturing facility and for its headquarters in Delhi.

Objective of Amway:Objective of the study is to understand the Amway’s operations in international marketing with respect to PESTLE analysis, SWOT analysis.

To understand the former part, the company have visited Amway India and gathered appropriate information with regards to project.

Goal setting:

Short term goals

Personal

Goals

Short-term goals expect accomplishment in a short period of time, such as trying to get a bill paid in the next few days.

Individuals can set personal goals. A student may set a goal of a high mark in an exam.

Partnership

• Amway is built on the concept of partnership between the founders.

• The partnership that exists among the founding families, employees, and business owners is our most prized possession.

Integrit

y

• Integrity is essential to our business success. They do what is right, not just whatever "works."

• Amway’s success is measured not only in economic terms, but by the respect, trust and credibility we earn.

Personal Wealth

• It also acknowledge the uniqueness created in each individual. Every person is worthy of respect, and deserves fair treatment and the opportunity to succeed to the fullest extent of his or her potential.

Vision And Values

Achievemen

ts

• They are builders and encouragers. They strive for excellence in all they do.

• They anticipate change, respond swiftly to it, take action to get the job done, and gain from our experiences.

Personal

Responsibility

• Each individual is responsible and accountable for achieving personal goals, as well as giving 100 percent effort in helping achieve corporate or team goals.

• They also have a responsibility to be good citizens in the communities where we live and work.

Enterprise

• They are proud advocates of freedom and free enterprise. • Human economic advancement is clearly proven to be best

achieved in a free market economy.

Case study:In 1983, Amway pleaded guilty to criminal tax evasion and customs fraud in Canada, resulting in a fine of $25 million CAD, the largest fine ever imposed in Canada at the time.

In 1989 the company settled the outstanding customs duties for $45 million CAD.

In a 1994 interview, Amway co-founder Rich DeVos stated that this incident had been his greatest "moral or spiritual challenge", first in "soul searching as to whether they had done anything wrong" and then for pleading guilty for technical reasons, despite believing they were innocent of the charges. DeVos stated he believed that the case had been motivated by "political reasons".