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Lakme as a franchisee Module

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  1. 1. <ul><li>Presented by </li></ul><ul><li>VARSHA RANA </li></ul><ul><li>PG-06-095 </li></ul>
  2. 2. <ul><li>Lakmé is an Indian brand of cosmetics, owned by Unilever. Lakme started as a 100% subsidiary of Tata Group </li></ul><ul><li>It was named after the French opera Lakme. </li></ul><ul><li>At the time of its establishment,30 years ago Indian cosmetic industry was rather nacent, and there was a very small market base. </li></ul><ul><li>Simone Tata joined the company as director, and went on to become its chairman. </li></ul><ul><li>When Tata's saw a bigger growth potential in the retail market, and greater competition from global companies in cosmetics, they enetered into a 50-50 joint venture with Hindustan Lever Limited (the Indian subsidiary of Unilever) in 1995 to form Lakme Lever. </li></ul><ul><li>In 1998 Tata sold of there stakes in Lakmé Lever to to HLL, for Rs 200 Crore (45 million US$), and went on to create Trent and Westside. </li></ul>
  3. 3. <ul><li>Founded 1973 F irst organised retail in beauty industry Registered Name Lakme lever, a subsidiary of Hindustan Lever Limit Company description Lakme Beauty Salons offer a full range of the latest beauty and grooming services in the areas of hair care, skin care and beauty. </li></ul>
  4. 4. <ul><li>Estimated Total Cost </li></ul><ul><li>RS 25 lacs - RS 30 lacs </li></ul><ul><li>Term of Agreement </li></ul><ul><li>5 year </li></ul><ul><li>Qualifications Required (If any) </li></ul><ul><li>N.a. </li></ul><ul><li>Initial Franchise Fee </li></ul><ul><li>Rs. 6 lacs plus taxes (included in the initial investment) </li></ul><ul><li>Contributions </li></ul><ul><li>Royalty: 15 % </li></ul><ul><li>Training </li></ul><ul><li>Salon strat-up training and ongoing training provided </li></ul>
  5. 5. <ul><li>Premises Required 1000 sq ft, preferably rectangular units. </li></ul><ul><li>Employees 12 per salon </li></ul><ul><li>Target Cities- </li></ul><ul><li>All over India </li></ul><ul><li>Locations 98 locations in 33 Indian cities </li></ul>Thank you!!!!!!!!!

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