While the line will still be available in over 70 countries, Proctor and Gamble is planning to phase out Max Factor cosmetics stateside by 2010.
Known as “The Makeup of Makeup Artists,†this legendary line has been around since 1909, making it a century old! The recession is being blamed for this decision, and it's a shame that this is happening to Max Factor.
Implications - When a recession hits, many companies take hits and causes some of the classic, iconic fore fathers of categories to suffer and possibly close down. By monitoring and cutting expenses before a recession hits, a company can prep themselves for the credit crunch and have a safety net to fall back on.
Cosmetic Line Closures
Max Factor Makeup to be Phased Out by 2010 due to Economy
Trend Themes
1. Recession Impact - The recession can cause classic, iconic brands to suffer and potentially close down.
2. Expense Monitoring - Companies can prepare for a recession by monitoring and cutting expenses before it hits.
3. Safety Net Planning - Having a financial safety net in place can help companies withstand the impact of a recession.
Industry Implications
1. Cosmetics - The cosmetics industry may experience closures of iconic brands during a recession.
2. Consumer Goods - Companies in the consumer goods industry should monitor expenses and prepare for economic downturns.
3. Retail - Retailers can benefit from having a safety net in place to overcome the challenges posed by a recession.