Integrating Technology, Marketing and Management Innovation

Abstract

OVERVIEW:The Korean cosmetics company Amore-Pacific illustrates how a company in a technologically-developing country can compete against ones in more advanced countries by focusing on multiple dimensions of innovation. AmorePacific has developed and delivered an innovative, authentic product line in terms of content and design in the Korean market, where the fiercest battles are fought between domestic and imported cosmetics. In response to customer demand for products with natural origins and anti-aging functions, the firm developed an herbal medicinal cosmetic after years of scientific research on capturing the pharmacological essence of the ingredients used in traditional Korean medicine. AmorePacific also employed a unique marketing strategy of commercializing the beauty of the Korean culture. The firm has also adopted a new product development process, the brand manager system, an efficient organizational form, and a performance-based personnel system.

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