Company presentation Just like artistic currents, beauty is transposed over years, in more and more expressive forms,

according to the century when they are shaped. Beauty canons change at an extremely rapid pace but there are things that resist over times, just like precious art objects. Started more than 1 ! years ago, "#$%&' activity is well(known nowadays, both in $omania and worldwide, company)s products being exported in countries from &urope, #sia and *orth #merica showing that there are some things beyond beauty. Environmental Scan of Farmec

FARMEC In & Out of Romania

+*,&$*#-. /ead0uarter. 'luj Branch offices. *eamt, Brasov, ,imis, #rges,

E'(ER)A*:
WW countries: #olan+, ,un-ar., Mol+ova, Ital., Ser ia, Spain, &reece, *e anon, /or+an, Ira0, Iran, Sau+i Ara ia, 1u2ait, 3AE, ($ailan+, /apan4

Bucuresti, Ilfov, Constanta Work points: Si iu, !ol", #ra$ova, %rancea, &alati

Company Purposes and Internal Competences ,he company)s modern history begins in 1123, when "#$%&' became the first manufacturer of 4erovital /5 prof. 6r. #na #slan creams and emulsions in $omania. ,he products are addressed to women in their 7!s, when the skin shows the first signs of ageing. ,oday "#$%&' produces over 7!! cosmetic products, covering a large range of usage. ,he originality and 0uality of "#$%&' products was officially recogni8ed in !! when the company was granted the +nternational 9uality 'ertificate +S: 1!!1. !!;. ,he active principles that use mainly come from nature. fruits rich in vitamins, not only tasty but also good for the beauty, autochthonous medicinal plants that you thought you would find only in teas but which regenerate y skin and hair, clay from the mountains which would have been only dirt if hadn)t found out what miracles it can do. -ast generation ingredients are added to all these, tested and combined by the specialists so that the customer will receive the best for beauty and health. ,he care for beauty and the respect towards tradition, health and environment, completed by the continuous research, originality and attention to its clients have turned "#$%&' into a highly esteemed producer over the years. *owadays, the company)s portfolio sums up hundreds of products, the most famous ranges of products being 4&$:<+,#- /5 prof. dr. #na #slan, 4&$:<+,#- /5 &<:-=,+:*, 4&$:<+,#- >-#*,, #S-#<+,#-, "#$%&', #S-#%&6, 6:+*#, #,/:S and :BS&S+&. +n order to reach its performance objectives and to maintain a top 0uality standard, "#$%&' has concluded partnerships with various famous partners. the $omanian Society of 'osmetology, +uliu /atieganu =niversity of %edicine and >harmacy of 'luj(*apoca, the 6ermatology 'linics of 'luj(*apoca and Bucharest, 'linics for testing the product)s efficiency, 6ermscan -aboratories form "rance and &vic +nternational $omania. 2011 is the year of product launching. #n entire series of products join the existing ones or change their appearance based on the market trends.

Gerovital Plant was moderni8ed following the ?green@, natural products trends, presenting preservatives free formulas, with hypoallergenic perfume and organic &delweiss extract. Gerovital Sun range has followed the same trend, its new formula being based on a protective bio complex, rich in organic pomegranate oil or certified &': extract, parabens and oxyben8one free. Gerovital ody Slim range is a completely new line of products. ,he 5 products, the #bdomen Shaping 'ream, the ,hermic Slimming 'ream and the 'ryo Slimming 4el are allies in the fight for body shaping. !he "os#uito and Insect repellent, the 1! shades of polish nails and the A types of li0uid soaps also belong in the category of new products.

#t the end of %arch !1 "armec launched a new range of products, #S-#<+,#%+*&$#-#',+<. ,he new range #S-#<+,#- %+*&$#-#',+< addresses sensitive skin is hypoallergenic products without parabens, ecocertificat for 4oji extract and 1!!B natural clay. 4erovital /5 &volution + completed a new product, hyaluronic acid ampoules. ,hey contain a rich serum Superoxide 6ismutase and pure /yaluronic #cid and liposomal with intense moisturi8ing and smoothing effects wrinkles. +n #pril it was launched range of insecticides unified under a brand new, insect(,:C. >roducts have instant action and long lasting. July brought a range of li0uid soaps, >ure 4erovital. ,he 7 foam li0uid soaps contain pomegranate extract and natural ingredients ecocertificat Dvegetable glycerine, blue, green teaE. >roducts are paraben free and dermatologically tested. #slamed is a complete range of oral care. ,reatment addresses specific problems Dtooth sensitivity, gingival periodontal diseaseE and contains natural ingredients. chamomile extract eco(certified, special clay, underbrush, sage.

E$pectations% #mong "#$%&' expectations can count.

,he creation of cosmetic products with new active principles, with maximum cosmetic effects, proven through professional efficacy tests ,he utili8ation of the most safe raw materials for the human health and for the environment ,he alignment of the formulations with the legal re0uests of the target markets D#merica, #sia, South #merica etc.E, in full agreement with the market tendencies and consumersF needs ,he satisfaction of consumers re0uests at the highest level ,he reali8ation and launching of new products within the estimated deadlines ,he information and education of consumers regarding the use of cosmetic products and their benefits ,he efficient and unitary communication of the companyFs image and portfolio products on the market ,he ideation, reali8ation, implementation, monitoring and reporting of all the activities of advertising

%ision:
Care for eaut. an+ t$e respect to2ar+s tra+ition, $ealt$ an+ environment

Mission:
+ncrease the trust of the customers in the "armec products

%alues:

"#$%&'

Continuous researc$, ori-inalit. an+ attention to its customers

Strate-ic &oals:
'ontinuous research that will turn "#$%&' into a highly esteemed producer over the years

Strategic options for the ne$t years%

#llowing the growth of the company)s fame and of the portfolio brands &fficient communication for the products and the company on the market ,he growth of the share markets of the commerciali8ed products ,he continuous adjustment of the products offer to the market re0uests 'ontinuous improvement of the productsF image on the market ,he development of an eco(certified organic cosmetic products line ,he development of an eco(certified household products %arket prospecting and identifying alternative suppliers for the raw materials of strategic importance for the company +ncreasing the physical sales and their value compared with the sales of the previous year. +ncreasing the number of commerciali8ed products according to the types of clients. +ncreasing the number of active clients compared with the previous year. 'ontinuous improvement of the customer relationship.

&ecommended Strategic directions% +nvest in research, marketing and distribution 9uality control Sales and >ost sales operations %arketing

Strategy implementation directions% "or the following years "#$%&' should invest a large amount of the profit into research and distribution as this will help improve the trust of the consumers on the existing markets and also will allow "#$%&' to do a better marketing campaign on the surrounding markets where the business and the products already exist and are growing. +t would also help to increase efficiency of the own auto fleet Dthrough the optimi8ation of the tracksE.

#lso a good help in expanding would be to pay attention to both sales and post sales operations, as most of the business partners are interested in purchasing the products fast and also to benefit from preferential payment terms Dif possibleE. #lso, it would be best for "#$%&' to increase the number of internal trainings so that there won)t be any mistakes in production, packaging and distribution. #s a conclusion, in order for "#$%&' to expand its prestige and products all over the world, it would be best to have a strong marketing campaign abroad $omania and also a good distribution network.