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Chapter 1

Introduction

1.1 Background and Signification of the Project

Nowadays, the consumer especially women concern beauty, healthy and nature

product that safe to the consumer, not become the pollution after used to environmental, and

reduce chemical. Through the general cosmetic product in the market most compound with

chemical mainly which faster result but might have negative effect in the long time.

The cosmetics industry is one of the fastest growing sectors not only in Thailand, but

the entire Asian region as well. The year 2006 saw the fastest growth period in the cosmetic

industry, with a growth rate of 20 percent. Although the economic crisis has had a negative

impact on consumption levels, results during 2008-2009 show the cosmetics industrys

growth rate is at 15 percent with an average market value of approximately 10,800 million

Baht.

During the initial stages of industrial development, there were very few manufacturers

of cleansing and skin-care cosmetics. Most manufacturers were foreign companies who

established a production base in Thailand. The majority of cleansing, skin-care products, and

cosmetics that were distributed to the market were imported. The only customers who had the

means to afford these products were the upper-class who had a high degree of purchasing

power. The high price of imported products was a weakness as they were too expensive for

middle and lower class customers. However, this lack of affordability presented an

opportunity for investors to establish a cosmetics production base in order to meet the desire

of those less affluent customers. In this way, the production of cleansing and skin-care

cosmetics in Thailand has expanded and developed continually.

The company decided to production in domestic of Chiang Rai province that critical from:

- Lower cost of hire local labor

(Average revenue of Chiang Rai people 31,448 per year/ 2,620 per mouth),

- Cheaper investment of land and factory building,

- Accessibility to raw material from local agriculture supplier.

- Chiang Rai is the gate of trade aboard with other countries,

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- Strong advantage competition industry,

- High natural quality resource base.

1.2 Project Objective

1. To analyze and research consumer behavior and competitors.

2. To know and identify the potential and trend of market.

3. To know and expand new target market group and attract to the new customer

group.

4. To know or perform the system and learn the process in term of professional.

1.3 Benefits of Project

1. The members have effective and efficiency production process and outcome.

2. The members can create business plan and market strategy.

3. The members can evaluate the advantage from competition in the market.

4. The members can analyze the project in term of financial to evaluate the

business profit.

1.4 Activities / Time Frame

Gantt chart and Time frame of the study

Team Manager

Figure-1.1: Organization of one Herb Company

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Managing Director

R&D Manager Financial Manager Sales Manager

Procurement Manager Marketing Manager


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Process operations

Figure-1.2: Operation method of one Herb Company

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Medical Sciences Research and

product

development

Herbal extracts &

Packaging

Check the

packaging order

Sampling for

testing

chemistry

Marketing Sales PurchasingDepartment

Check and sent to

the warehouse

Cosmetics plant


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Project Development

Marketing Development QA testing

Figure-1.3: Gantt chart of one Herb Company

Qtr 1 Qtr 2 Qtr 3 Qtr 4

Project steps Jan Feb Mir Apr May Jun Jul Aug Sep Oct Nov Dec

Explore MarketNeed

DevelopConcept forProduct

BeginDevelopmentCycle

Develop GUI

User InterfaceTest Evaluation

QualityAssuranceTsting1

Fix OutstandingProblem fromAlpha

Beta VersionRelease

QualityAssurance

Testing Phase 2

Fix OutstandingProblems

Begin AdvanceAdvertisingCampaign.

Final QualityAssuranceTesting

Production andPackaging

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Chapter 2

Industry Profile

2.1 Nature of Industry

History of Cosmetics

20th century face powder label

Cosmetics have been used since Egyptian times. They were also

commonplace in Ancient Greece and the Roman Empire. The idea of using

cosmetics to enhance the appearance has not changed since these times.

Using cosmetics is still designed to capture the appearance of youth in perfect health.

Colorful cosmetics hide the appearance of pale cheeks, pale lips and fingernails and dull hair.

Many of the cosmetics used contained dangerous ingredients. There was often more

importance put on the application of cosmetics rather than washing and cleaning the skin.

Cosmetic practices

From the 1400s onwards whitening the face was one of the most common cosmetic

practices. This was still popular in the 1800s. A mixture composed of carbonate, hydroxide,and lead oxide was commonly used. This could lead to muscle paralysis or death when used

repeatedly. It was replaced by zinc oxide in the 1800s.Another way to have whiter skin was

to bleed yourself. This was done by using the widespread medical practice of using leeches or

occasionally a more extreme method called cupping. This involved drawing blood by heating

air in a glass cup while having it pressed against the skin. When the heat source is removed

the cooling air causes a vacuum.

Mid 20th centuryleg tan label

In the 1920s having tanned skin became popular when Coco Chanel was

seen with a tan on the Duke of Westminsters yacht. The idea of having

brown skin became more attractive and products were produced that could

create this color artificially.

Nail varnish label dating

from the early 20th century

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Nails and hair

Staining of the fingernails has been used in cosmetics for a long time. The first

examples date from 3000BC in China. They used gum arabic, egg whites, gelatine and

beeswax to create the varnish. The royal family in China used gold and silver nail colours. Inthe first century AD black and red were also used. The lower ranks were only allowed to

wear pale colours. In Egypt the colour of nail varnish used also represented social class.

Henna was used to dye the nails. Modern nail varnish comes in a variety of colours and is

actually a variation of car paint.

Label for hair cream dating

from the early 20th century

Hair dye and dressing hair is not new. The Romans, Ancient Egyptians and Greeks

were all involved in elaborate forms of hairdressing and dyeing. Most of the early

hair dyes, such as henna, indigo, sage and camomile, could only darken the hair. Roman

women would show off their dark shiny tresses that had been dyed with a mixture of boiled

walnuts and leeks. They also used blond dyes made from goats fat and ashes. In the

Renaissance, blond was also popular as it was considered angelic and mixtures of black

sulphur, alum and honey were painted onto the hair and left to work in the sun. It was in 1907

that the first synthetic dye was created by French chemist Eugene Schueller. It was originallycalled Aureole, but later it was renamed LOreal. By the middle of the 20th century,

cosmetics were in widespread use by women in nearly all industrial societies around the world.

Cosmetics have been in use for thousands of years. The absence ofregulation of the

manufacture and use of cosmetics has led to negative side effects, deformities, blindness, and

even death through the ages. Examples of this were the prevalent use ofceruse (white lead), to

cover the face during theRenaissance, and blindness caused by the mascara Lash Lure during

the early 1900s.The worldwide annual expenditures for cosmetics today are estimated at U.S.

$19 billion. Of the major firms, the oldest and the largest is L'Oral, which was founded by

Eugene Schueller in 1909 as the French Harmless Hair Coloring Company (now owned by

Liliane Bettencourt 26% and Nestl 28%, with the remaining 46% are publicly traded). The

market was developed in the USA during the 1910s by Elizabeth Arden, Helena Rubinstein, and

Max Factor. These firms were joined byRevlon just before World War IIand Este Lauderjust

after. Beauty products are now widely available from dedicated internet-only retailers, who

have more recently been joined online by established outlets, including the major department

stores and traditional bricks and mortar beauty retailers. Like most industries, cosmetic

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companies resist regulation by government agencies like the FDA, and have lobbied against

this throughout the years.

Top Uses for Herbs

Lotion, facial scrubs, bath products, shampoos and lip products top the list of most

sought after herbal cosmetic preparations. These products normally require an oil or liquid for

the base. Vegetable products like almond oil, avocado oil, castor oil and coconut oil are used

to make lotions and soap. Beeswax, cocoa butter and glycerin are also common components.

Herbal extracts and oils are normally used in cosmetic skin and Hair product because fresh or

dried herbs will not dissolve in a base. Bath products include herbal oils and dried herbs. You

can buy or make sachet bags to hold the herbs and keep them from being washed down the

drain. Many long-forgotten herbal cosmetics are gaining popularity with consumers. Health

and beauty companies are taking their cues from customers. Mineral makeup, though not

actually herbal, provides a natural choice in cosmetics that enhances skin, without clogging

pores. Look around inside and outside your home. You can use flowers, fruits, oatmeal,

lemon juice, vinegar, baking soda and salt to make herbal and natural cosmetics.

Herb

1. Centella asiatica in cosmetic skin care use

General

Apart from the beauty use of Centella asiatica, it is also of great help when

used on post-operation and trauma scars, as it promotes healing, yet helps to

prevent the formation of excess scar tissue.

Its historic use was in the healing of leprosy wounds, as well as ulcerated skin, wounds, burns

and ulcers. Research has shown that asiaticoside can also help provide treatment for leprosy

and skin tuberculosis, as the bacteria are coated in a wax-like substance that the body's

immune system cannot penetrate, but this waxy coating is dissolved by centella, thereby

allowing the body's immune system to destroy the bacteria.Centella asiatica extract is an

extract of the leaves and roots of the Hydrocotyle Centella asiatica. It is classed as a

biological product and is used as a miscellaneous skin-conditioning agent.It is also known as

extract of hydrocotyle, Fo-ti-tieng extract, gotu kola extract, hydrocotyl extract, hydrocotyle

asiatica extract, Asiatic pennywort, Indian pennywort, hydrocotyle, Mandukaparni (Hindi),

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luei gong gen (Chinese) and is an aromatic creeping perennial that is indigenous to both

tropical and subtropical areas and is found in India, Pakistan, Sri Lanka, Madagascar and

South Africa.The word "gotu kola" means "cup-shaped leaf" in Singhalese - the language of

Sri Lanka. Gotu kola is NOT related to cola or kola nut and contains no caffeine.It is such a

magnificent herbal ingredient that it is used as one of our "signature"ingredients, and used in

almost every product, as it has a positive effect on nearly any type of skin and skin condition.

Historic use of Centella asiatica

This herbal compound has been used in Ayurvedic medicine for a long time, but has

become very popular in the past couple of years for both internal use as well as topical

application - although the cosmetic application is relatively new.In Ayurvedic practice it also

has a valuable and sought-after Vayasthapana effect - helping to retard the aging process.

Active ingredients in Centella asiatica

The main active ingredients contained in Centella asiatica are triterpenes asiatic acid

and madecassic acid, together with triterpenoid ester glycosides - known as asiaticoside and

brahminoside.A volatile oil with p-cymol, b-caryophyllene and farnesene is also found in the

plant.

Reason why Centella asiatica is included in skin care cosmetics

The asiaticosides and triterpenes extracted from the plant have modulating properties

on the development and metabolism of connective tissue, improve the synthesis of collagen

and other tissue proteins by modulating the action of fibroblasts in the vein wall, and

stimulate collagen remodeling in and around the venous wall. It is especially the triterpenoids

that are thought to stimulate the production of collagen I and assist with wound healing. They

therefore improve wound repair, with a better re-epithialisation and a normalization of

perivascular connective tissue, thus allowing an improvement of the venous wall tone and

elasticity. It is found that in poor connective tissue conditions, the triterpenes in Centella

asiatica are able to renew the collagen, in quantity and quality, and restore tissue firmness and

skin elasticity, improving skin appearance and comfort. Apart from this it also has anti-

psoriatic properties. These saponins also help prevent excessive scar formation, by

modulating and slowing down the excessive production of collagen (the material that makes

up connective tissue), at the wound site and also increases the concentration of antioxidants

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in wounds. Various studies have supported these actions of centella and furthermore have

been shown it to be effective in treating surgical wounds, skin grafts, gangrene, traumatic

injuries, burns, chronic skin lesions, ulcers and even leprosy wounds. It has great importance

in preventing and correcting venous insufficiency. Taken internally it appears to exert its

anxiolytic and anti-stress activity by depressant action on the central nervous system (CNS)

involving an increase in the concentration of GABA (gamma-aminobutyric acid) in the brain.

Furthermore, it also is helpful to minimize varicose veins, as it appears to enhance blood

flow, increasing the tone of the connective tissue sheath that surrounds the veins, and helps to

maintain the suppleness of the veins. In a clinical trial it was also shown that asiaticoside

significantly improved wound healing. After reading about all the positive effects that

centella asiatica have on your skin and various skin conditions, it is easy to understand why it

is found in the majority of Dermaxime skin care products.

2. Lemon peel essential oil to help remove cellulite

Lemon peel essential oil acts as a natural astringent, antiseptic, and

bactericide on the skin, which is of particular benefit to people with

problem and acne skin. The rubefacient and diuretic properties are

also used to bring balance to the fluids in the cells and ensuring

optimum circulation - which is needed to remove cellulite.

Cosmetic benefits of lemon peel essential oil.

There are various benefits of lemon peel essential oil as it is an excellent natural astringent,

antiseptic, and bactericide which are of particular benefit to people with problem skin and to

remove cellulite. The rubefacient and diuretic properties are of great value, as it balances the

fluids in the cells and ensure optimum circulation. It further has the ability to stimulate the

white corpuscles in the blood, which defends the body and fights infection. It is also used to

balance the pH of the skin, by counteracting acidity on its surface and acts as a very mild

natural bleach or lightener on the skin, which enables it to brighten dull skin color and calm

redness, as well as the irritation of an inflamed skin.

General information on lemon peel essential oil

It is extracted from Citrus limonum (also known as Citrus Limon) of the Rutaceae

family and is also known as cedro oil (which refers to oil which contains no terpene

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compounds).It is pressed from the outer rind of lemons. It has a crisp and fresh smell and is

pale greenish-yellow in color with a watery viscosity. This essential oil, just as most other

essential oil, should never be used neat and undiluted on the skin, and although it contains

some amazing therapeutic properties, must be formulated with great care into skin care

cosmetics as it can have a phototoxic effect on the skin. It is non-toxic oil, but if used in too

high concentration may cause skin irritation and sensitizing in some individuals. It can have a

photo toxic effect on the skin and it should not be used (even in low dilution) before exposing

the skin to the sun. It is therefore recommended that no product containing lemon oil should

be applied before sun tanning, as it could cause dermal irritation. This effect is not as

pronounced in "wash-off" products such as facial scrubs or skin washes, yet due care should

be taken.

Composition of lemon essential oil

The typical composition of lemon oil contains alpha-pinene, camphene, beta-pinene,

sabinene, myrcene, alpha-terpinene, linalool, beta-bisabolene, limonene, trans-alpha-

bergamotene, nerol as well as neural. It has antimicrobial, antiseptic, astringent, bactericidal,

cicatrisant, depurative, diaphoretic, diuretic, febrifuge, haemostatic, rubefacient, tonic, as

well as vermifuge therapeutic properties on the skin.

Classification of lemon peel essential oil in cosmetics

Citrus medica limonum peel oil is the volatile oil obtained from the fresh peel of

Citrus medica limonum and is classified as an essential oil. It is used as a fragrance ingredient

and is known as cold pressed or distilled lemon oil, as well as citrus lemon oil.

3. Melissa (Melissa officinalis) to help create a clear complexion

This herb has a long history of medical use, with wide antioxidant, antiviral,

antibacterial and anti-tumo Description of Melissa, also known as lemon

balm, balm, bee balm, and sweet balm, is a herbaceous perennial growing to

nearly 1 meter, with angular stems and rugosely veined leaves in opposite

pairs, with cream to white flowers. It originated in the eastern Mediterranean regions and

Asia Minor, with current commercial cultivation centered in southwestern, central and

Eastern Europe.

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Parts used

The dried leaves are normally used, but a superior essential oil is also extracted fromthe fresh plant material.

Compounds found in Melissa

It contains rosmarinic acid, phenolic acids, triterpenes, monoterpene glycosides and

flavonoids. The essential oil contains citronellal, citral, germacrene and caryophyllene.

Recent studies have shown that it also contains flavonoids containing luteolin, luteolin 7-O-

beta-D-glucopyranoside, apigenin 7-O-beta-D-glucopyranoside, and luteolin 7-O-beta-D-

glucuronopyranoside, luteolin 3-O- beta-D-glucuronopyranoside and luteolin 7- O beta-D-

glucopyranoside- 3'-Obeta-D-glucuronopyranoside. The last three glycosides have only been

found in lemon balm recently and luteolin 7-O-beta- D-glucopyranoside-3'-O-beta- D-

glucuronopyranoside is a new compound found in the plant.

Effect of Melissa on the skin

Clinical studies have conclusively shown that Melissa has exceptional antioxidant

properties - which directly influence the health of the skin when applied topically. The

antioxidant action prevents free radicals from causing damage to the skin, causing premature

aging, and is also active in preventing lipid peroxidation. Apart from these very positive

effects on the skin, it shows great activity against tumors as well as great anti-microbial and

anti-viral activity. On top of this, it has excellent antibacterial properties. This, and all of the

above, helps to prevent infection, inflammation and skin imperfections - all contributing to a

clear complexion and even colored skin.Furthermore, it was shown in various clinical studies

to be effective against the Herpes virus. With all the above in mind, it is clear to see why our

researchers included the Melissa extract in ourRejuvenating Toner.

4. Black pepper essential oil as a cosmetic ingredient

Black pepper essential oil has good rubefacient and analgesic properties for

skin care and therefore has a warming effect, which stimulates blood flow

while reducing pain. It is also most effective in dispersing bruising.

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General information on black pepper essential oil

Black pepper essential oil is strong and has a sharp, spicy smell, and is faintly

reminiscent of clove oil, yet more refined. It can range in color from light amber to yellow-

green and has a watery viscosity.The essential oil is composed of various chemical

constituents and includes thujone, A-pinene, camphene, sabinene, B-pinene, A-phellandrene,

myrcene, limonene, caryophyllene, B-farnesene, B-bisabolene, linalool and terpine-4-ol.

Black pepper oil can be used to help in the treatment of pain relief, rheumatism, chills, flu,

colds, to increase circulation, relieve exhaustion, calm muscular aches, physical and

emotional coldness, as a nerve tonic and to relieve fevers.It is especially effective when

treating bruises on the skin, and it rubefacient property makes it very valuable when you wish

to increase circulation to the skin and the supportive tissue underneath the skin.Due to fact

that black pepper essential oil helps to boost circulation and has a "warming" action on the

skin, it was included in our cellulite cream.

Classification of black pepper essential oil as a cosmetic ingredient

Piper nigrum fruit oil is the volatile oil distilled from the dried ripe fruit of Piper

nigrum. It is classed as an essential oil and is used as a fragrance ingredient. It is known as

black pepper oil, while Piper nigrum seed extract is extracted from the seeds of black pepper

and classed as an essential oil and used as a fragrance ingredient.

5. Lime essential oil and its use in cosmetics and skin care products

The astringent action of lime essential oil helps to increase and improve the

tone of the skin and the anti-scorbutic properties help to detoxify and clear

the skin of any accumulated waste material and especially for fighting

cellulite.

Cosmetic use of lime essential oil

Its antiseptic and infection busting properties, coupled to the astringent effect that this

oil has, makes it valuable in assisting with poor or compromised circulation and to clear oily

skin, while fighting problem and acne skin in general. It is also most helpful in areas where

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circulation is a problem; such is the case with cellulite. The therapeutic properties of lime oil

in skincare are anti-scorbutic, antiseptic, antiviral, disinfectant, bactericidal, astringent,

restorative and tonic.The oil is non-toxic, non-irritant and non-sensitizing and although the oil

obtained from cold expression does not have any phototoxic effect on the skin, it is still not

advisable to use strong concentrations of it on your skin before sunbathing. Our inclusion rate

of the oil is low enough not to cause any sunbathing problems and the oil we use is cold

expressed oil. We do however suggest that any person with a problem or acne skin do not

expose their skin to extended periods of sun tanning.

General information on lime essential oil

It is extracted from Citrus aurantifolia (also known as Citrus medica, subspecies acidaand Citrus latifolia) of the Rutaceae family. It is also known as Mexican and West Indian

lime, as well as sour lime and is used in specialized skincare products. It has a sharp citrus

peel smell and is pale yellow to light olive in color.

Classification of lime essential oil in cosmetic use

Citrus aurantifolia oil is the volatile oil obtained from Citrus aurantifolia. It is classed

as an essential oil. It is used as a fragrance ingredient and is known as cold pressed lime oil,

as well as West Indian lime oil.

6. Peppermint oil as used in preparations to treat aching feet

Peppermint oil has great analgesic and anesthetic effects which are great for

relieving foot pain, as well as aching feet, rheumatism, neuralgia and

muscular pains. It furthermore has good stimulant action which is most useful

as it assists and boosts blood circulation.

Cosmetic benefits of peppermint

According to Greek mythology, the nymph Mentha was hotly pursued by Pluto,

whose jealous wife Persephone then trod Mentha into the ground. Pluto then turned her into a

herb for people to appreciate her for years to come. Peppermint is ideal for use in skin

preparations designed for the feet, as it has good antiseptic properties. The vasoconstrictor

action helps to reduce redness of the skin and reduce dilated capillaries. An increase in

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circulation helps to relieve itching and removes toxic congestion. The cooling effect on the

skin is a welcome bonus for tired, swollen and achy feet. Although peppermint essential oil

can be used for the inflammation of acne and problem skin, we have opted to only use it in

our foot preparations, since it is strong smelling oil, and contact between it and the skin, as

well as mucus membranes, can cause irritation if used in too high concentrations. It should

also be kept away from the eyes. This refreshing herb has found a foothold in many

household items ranging from toothpaste to air fresheners, skin care and hygiene products.

General information on peppermint oil

The therapeutic properties of this volatile essential oil on the skin are analgesic,

anesthetic, antiphlogistic, antiseptic, astringent, anti-infectious, decongestant, stimulant andvasoconstrictor.The main constituents are menthol, menthone, 1,8-cineole, methyl acetate,

methofuran, isomenthone, limonene, beta-pinene, alpha-pinene, germacrene-d, trans-sabinene

hydrate and pulegone.

Classification of peppermint oil as a cosmetic ingredient

Mentha piperita oil is a volatile oil obtained from the plant Mentha piperita (Labiatae

family) and classified as an essential oil. It is used as a miscellaneous skin-conditioning agent

and fragrance ingredient and is also known as brandy mint and balm mint.

7. Pumpkin seed in cosmetics and combating fine lines

Pumpkin seed oil is highly nourishing and lubricating oil, and is useful for all

skin types. It is especially good if used to combat fine lines and superficial

dryness and to prevent moisture loss.

Benefits of pumpkin seed oil in skin care products

This is highly nourishing oil that helps prevent excess moisture loss and also combats

fine lines.The typical analysis of the fatty acids contained in pumpkin seed oil is as follows -

palmitic, stearic, oleic, linoleic, linolenic, alpha linolenic, arachidic, eicos-11-enoic and

erucic. It is high in protein, zinc, as well as polyunsaturated fats. It is made from the common

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pumpkin - Cucurbita pepo - and although some people use it orally for the treatment of

urinary tract infections, it also makes a great addition to skincare products because of its high

concentration of protein, zinc and polyunsaturated fats.

Classification of pumpkin seed oil as a cosmetic ingredient

Cucurbita pepo seed oil is an oil expressed from the seeds of the pumpkin (Cucurbita

pepo) and is classified as a fat and oil. It is used as an occlusive skin-conditioning agent and

is known as pumpkin seed oil.

8. Rose is used in many forms in cosmetic products and helps to create a youthful

complexion

Rose extract and rose oil have a host of beneficial effects on the skin and are

great for promoting a youthful complexion with good tone, elasticity and an

even colored complexion.

Rosa damascena oil

Rosa damascena oil is the volatile oil obtained from the flowers of Rosa damascena

and is classified as an essential oil. It is used as a fragrance ingredient and is known as rose

oil, absolute and concrete. It has a deep yet fresh, rosy aroma, and the color of the oil ranges

from clear to a pale yellow or with a greenish tint (while the absolute has a more reddish

orange tint). It has an extremely complex chemical composition with more than 300 separate

compounds, but the main constituents are citronellol, phenyl ethanol, geraniol, nerol,

farnesol, stearpoten plus traces of nonanol, linalool, nonanal, phenylacetaldehyde, citral,carvone, citronellyl acetate, 2-phenylmethyl acetate, methyl eugenol, eugenol and rose

oxide.The main therapeutic properties for skincare are antiphlogistic, antiseptic, antiviral,

astringent, bactericidal, cicatrisant, depurative and a general tonic. It has excellent emollient

and hydrating properties, which helps the skin to stay soft and properly moisturized and fight

any dryness and dehydration. The stimulating action of it on the other hand is a boon for

fighting aging and maintaining a soft, dewy and youthful complexion. It is an extremely

expensive ingredient to produce, as it takes about 4,000 kilograms (about 8,800 pounds) of

flowers to yield 1 liter (about 33.81 fluid ounces) of rose otto or about 30 roses to yield one

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drop of oil.The cicatrisant properties help with normal scar tissue formation - without any

excess keloids or fibrous matter. The cicatrisant properties and its great antiseptic, antiviral

and bactericidal properties, cause it to be a great ingredient to help heal the skin after any

trauma and stress and help speed up healing in general. The farnesol contained in the oil has

bacteriostatic as well as exceptional dermatophile properties and is also very helpful in

reducing broken capillaries and thread veins, as well as boosting poor circulation. This results

in a more evenly colored complexion, that is well toned and healthy looking. It also has great

value when used to calm an irritated skin and in general promotes a younger looking skin

with good tone, elasticity and color. It is a soothing, non-toxic, non-irritant and non-

sensitizing ingredient, and although gentle, has a profound effect on the quality of the skin

when used.

Rosa centifolia extract

Rosa centifolia flower extract is an extract of the flowers of the cabbage rose, Rosa

centifolia. It is classed as a biological product and is used as a miscellaneous skin-

conditioning agent and fragrance ingredient. It is known as cabbage rose extract as well as

rose extract. This aqueous extract is not as concentrated as its volatile oil cousin, yet has the

same benefits and therapeutic effects on the skin, with minor variances, as there is a slight

difference in the chemical composition of the flowers. The aqueous extract also contains a bit

of tannin as well as a bitter principle, which translates into it having a more toning effect,

which is helpful in tightening the skin. The differences are more pronounced between the

Rosa damascena otto and the Rosa centifolia absolute, and can be simplified on average as

follows, 44 % less citronellol, 2,000% more phenyl ethanol, 35% less geraniol as well as

nerol and 55% less stearpoten.

Classification of rose extract and rose oil as cosmetic ingredients

Rosa damascena as well as Rosa centifolia are both used in our range - the distilled

volatile principle from the one, and the extract of the other. We have information about both

these compounds on this page, which you can view by clicking the hyperlinks Rosa

damascena and Rosa centifolia.

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10. Aloe Vera

Aloe vera (Aloe Vera) is a succulent from the Asphodelaceae (Asphodelaceae).

The plant has a short, woody stem of 30-50 cm high, which forms the base

runners or branching. The leaves are often crowded. They are blue-green, very

succulent, 40-50 cm long and 7-8 cm wide at the base, then they narrow to a point. At the

bottom are the leaves and they have rounded on the edges spaced, triangular, pale green,

horny teeth.The Trossige inflorescence to 90 cm long. There are red and yellow flowers. The

young, unopened flowers upwards. The older flowers with their cylindrical-curved and fused

flower tubes down, making the inflorescence a pyramid-like shape. The slender flower tube

six stamens are hidden. The ovary has three carpels and grows into a capsule. Aloe is

probably originally from the Arabian Peninsula. Today he is among others also in the

Mediterranean Sea, Indonesia and West Indies. In Barbados there are many farms of this

plant. The sap can be used as a means wound and sunscreen. It is widely incorporated into

cosmetics. The extraction takes place by cutting off the leaves and the juice dripping from

this collection and in the air to dry.

11. Turmeric

Turmeric is another name for Curcuma. In countries like India and

Sri Lanka is much cultivated and used in almost all dishes. The active

ingredients in Curcuma would protect against prostate cancer,

Alzheimers and diabetes. In India they know that the herb does more

than just taste good. They gargle with it when they are cold and sprinkle it on an open wound.

In addition to suspect that turmeric also affect the emergence and growth of cancer.

Turmeric: biter, golden yellow and member of the ginger family. Turmeric is a striking

yellow herb and it tastes a little bitter. In the oriental cuisine is widely used. For the taste, but

also for the color. Moreover, its in every curry mixture. (curry is a blend of various

spices).Turmeric comes from the root of the curcuma longer. This plant belongs to the ginger

family. Turmeric is also a color. It is used to color textiles and paints to color. Turmeric as

inflammatory. Besides the use in the kitchen is in the Eastern countries seen as an

inflammatory. In places like Thailand, India, China and Indonesia is used in both internal

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and external inflammations, menstrual problems, jaundice, liver disease, intestinal disorders,

skin diseases and toothache.

12. Jasmine

Among the flowers, the sweet scent ofjasmine is one of the most intense,

exquisite and seductive; its essential oil is an aromatic ingredient of the

more popular and attractive out there. The jasmine plant is considered a

yang (male) in China, comes from a flowering shrub, often climbing (if you guide wires or

sticks), which usually lives in tropical and temperate environments, where the humidity

should be present. There are about 20 different kinds of jasmine, its showy clusters of white

flowers and brown, whose flowering is in summer (between January and March), used for

producing the binges, which are very typical compositions of jasmine in the city of Malaga

and of the Costa del SolJasmine essential oil This elegant flower is removed one of the most

popular essential oils ofaromatherapy, which has interesting properties both for health

and for the beauty and emotional harmony. Essential oils have many advantages, besides

helping in various conditions through the nose stimulate the hypothalamus, where odorant

molecules trigger stimuli very beneficial and healthy for the body. From this arises

aromatherapy, which helps to heal both the physical and the emotional and mental health ofthe person through the smells of plants and flowers.

Organic and natural ingredients

Even though many cosmetic products are regulated, there are still health concerns

regarding the presence of harmful chemicals within these products(citation needed). Aside

from color additives, cosmetic products and their ingredients are not subject to FDA

regulation prior to their release into the market. It is only when a product is found to violate

Federal Food, Drug, and Cosmetic Act (FD&C Act) and Fair Packaging and Labeling Act

(FPLA) after its release that the FDA may start taking action against this violation. With

many new products released into the market every season, it is hard to keep track of the

safety of every product. Some products carry carcinogenic contaminant 1, 4- dioxane. Many

cosmetic companies are coming out with "All natural" and "Organic" products. All natural

products contain mineral and plant ingredients and organic products are made withorganic

agricultural products. Products who claim they are organic are not, unless they are certified"USDA Organic.

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2.2 Situation of Industry

Situation

Nowadays, industry of Thailand have more use herbs for healthy such as food,

beverage, spa, cream, lotion, and many things for life then have export for herb. Herb is

usefully for every thing include people because it doesnt dangerous for skin. Everyone

knows about herb for healthy in nowadays. In Thailand have more cosmetic industry by use

herb for compound of products then reduce comical for produce the products.

The concept of beauty and cosmetics is as ancient as mankind and civilization.

Women are obsessed with looking beautiful. So, they use various beauty products that have

herbs to look charming and young. Indian herbs and its significance are popular worldwide.

Herbal Cosmetics have growing demand in the world market and is an invaluable gift of

nature. There are a wide range of Herbal Cosmetic Products to satisfy your beauty regime.

Adding Herbs in Cosmetics is very safe for your skin.

The global market for herbal cosmetics in 2005 is estimated at US$620-million and is

expected to grow approximately 3 percent to US$639-million in 2006.

Surprisingly, the Asia Pacific region will account for nearly a third of the market with sales

of US$206-million in 2005 growing to US$212-million in 2006.

And in the region, India is by far the sales leader with approximately US$100-million in sales

in 2004, according to a story on the Channel News Asia website. Sales will increase to

US$105-million in 2005 and to US$112-million in 2006

The manufacture of Cosmetics is by no means new methods adopted were used

several decades ago. The attempt made in this book is to improve the older methods and

provide the latest formulae and techniques to manufacture the different cosmetics like Hair

Preparations, Face Powders, Toilet Powders, and Cosmetics for the Skin, Cream, and Lotions

for various uses, Lipsticks, Shampoos, Dandruff Tonics, Nail Polishes etc. The book is highly

recommended to entrepreneurs, industrialists, research centers, technologist and libraries.

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The cosmetics industry is one of the fastest growing sectors not only in Thailand, but

the entire Asian region as well. The year 1997 saw the fastest growth period in the cosmetic

industry, with a growth rate of 20 percent. Although the economic crisis has had a negative

impact on consumption levels, results during 1999-2000 show the cosmetics industrys

growth rate is at 15 percent with an average market value of approximately 10,800 million

Baht.

During the initial stages of industrial development, there were very few manufacturers

of cleansing and skin-care cosmetics. Most manufacturers were foreign companies who

established a production base in Thailand. The majority of cleansing, skin-care products, and

cosmetics that were distributed to the market were imported. The only customers who had the

means to afford these products were the upper-class who had a high degree of purchasing

power. The high price of imported products was a weakness as they were too expensive for

middle and lower class customers. However, this lack of affordability presented an

opportunity for investors to establish a cosmetics production base in order to meet the desire

of those less affluent customers. In this way, the production of cleansing and skin-care

cosmetics in Thailand has expanded and developed continually.

The current situation regarding the production of cleansing and skin-care cosmetics is as

follows:

Cleansing and skin-care products have traditionally come from two sources: local

production and imports from overseas

Leading imported brand manufacturers were very interested in the development of a

production base in Thailand, with the objective of distributing the products domestically

as well as exporting to foreign countries

The development of a production base in Thailand by brand leaders encouraged Thai

personnel to improve their knowledge and skill in production and management

The current main target market for imported products are upper-class customers

followed by middle-class customers who have increased their purchasing power

The current main target market for locally produced products with Thai brand names are

middle-class and lower-income customers

*0 Readiness and suitability of officers involved directly and indirectly with the production

of cosmetics

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*1 Readiness and suitability of plant location, production equipment especially in the case of

specially controlled cosmetics production

*2 Quality of raw material used for production

Quality of containers for products

Clear explanation of label as prescribed by the Ministry

2.3 Product / Service

- Cosmetic Products

Skin and body care products will be developed and produced at our contract facilities.

Production of cosmetics herb will be managed through our contract manufacturer of Herb

industry. Production of accessories will be managed through a contract with a manufacturer

of quality accessories for the wholesale market.

One Herb Cosmetics will have two product lines, skin care herb and cleansing herb.

Within the skin care line we will offer a wide array of products including, cleansing creams,

facial scrubs and masks, spa, and body lotions. Within the cosmetics herb line we will offer

color cosmetics including brushes, belt, hair color, and dust dazzlers.

Our Product has 4 kinds

1. Herbal Face foam, treatment, scrub, toner

2. Herbal Soap

3. Herbal Bath

4. Body Lotion

Figure-2.1: Company Logo

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Name picture describe

Centella asiatica Toner for

a fresh clear skin

Ensures the pH ofyour skin is correct.

Contains activeingredients to boostthe health of yourskin.

It will help refine andminimize pore sizeand helps refine theskin texture.

Reduce redness andcalms the skin.

Improve circulation.

Lemon peel essential oil

Anti-Cellulite Cream

Economical as only asmall amount is used.

Non-tacky, non-oilyformula.

Easily absorbed.

Rapid resultsexperienced.

Melissa Toner for a fresh

clear skin

Ensures the pH ofyour skin is correct.

Contains activeingredients to boostthe health of yourskin.

It will help refine andminimize pore sizeand helps refine the

skin texture. Reduce redness and

calms the skin. Improve circulation.

Extremelyeconomical to use.

Black pepper Anti-Cellulite

Cream



Easily absorbed.

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Rapid results experienced

Lime essential oil Skin

Serum - a boost for a

younger looking

complexion

Extremelyeconomical, as only avery small amount is

applied. This product is a

high-performancetreatment serum thatwill boost the skinwhen required attimes of stress and tofight the ravages ofaging.

Oxidative stress frompollutants and

lifestyle areneutralized by the mixof super-anti-oxidants, while skinmoisture andhydration is correctedat all levels - startingfrom the deepest levelto the upper most - fora smooth youthfullooking complexion.

The formation ofcollagen is drasticallyand dramatically

boosted and thenprotected, whileelastin formation isalso improved.

The ingredients willfacilitate acceleratedcell renewal as wellas increasing skinenzyme activity,while reducing suninduced skinwrinkling and

preventing moistureloss and also

protecting againstcold weather.

Circulation is boosted

and the health andtone of the skin is also

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increased for ahealthy, vital andclear complexion.

Tea tree oil Face Scrub for

a clear youthful lookingskin

We use gentle and

smooth scrubbingcompounds that willnot damage or hurtthe skin and willcause no micro-wounds.

The enzymescontained in the scrubwill assist themechanical action ofthe scrubbing

compounds to notonly remove the skincells, but also boostthe skin's health ingeneral.

The other naturalingredients will helpto create a clearer,smoother and morehydrated skin, while

the other compoundsget rid of the deadskin cells.

It is economical, asonly a small amountis used, and onlyneeds to be applied, inmost cases, everythree to four weeks.

Apart from gentlyremoving the dead

skin cells it will alsopositively influencethe texture of the skinas well as the poresize.

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Nourishing and Refreshing

Foot Cream

Apply the Nourishingand Refreshing FootCream to clean feet.

The cream should bemassaged into the

entire foot area,giving specialattention to dry andcracked areas.

Use the Nourishingand Refreshing FootCream daily orwhenever necessary.

To remove dead skin,refine feet, and perk

up circulation, use thecream after using theRefining andRefreshing FootScrub.

Problem Skin Face Mask Removes excessoiliness, toxins andimpurities.

Reduces skin rednessand inflammation.

Helps fight skininfection, acne andpimples.

Promotes healing andhelps reduce scarring.

Boosts the formationof healthy skin cells.

Rejuvenating Face Scrub

for a clear youthful looking

skin

We use gentle andsmooth scrubbingcompounds that will

not damage or hurtthe skin and willcause no micro-wounds.

The enzymescontained in the scrubwill assist themechanical action ofthe scrubbingcompounds to notonly remove the skin

cells, but also boostthe skin's health in

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general. The other natural

ingredients will helpto create a clearer,smoother and more

hydrated skin, whilethe other compoundsget rid of the deadskin cells.

It is economical, asonly a small amountis used, and onlyneeds to be applied, inmost cases, everythree to four weeks.

Apart from gentlyremoving the deadskin cells it will also

positively influencethe texture of the skinas well as the poresize.

Purifying Face Mask to

purify your skin and banish

dull looking skin

Deeply cleanses yourskin and while

preventing minor skin

problems, will alsohelp clear up minorproblems.

Leaves the skinfeeling deeplycleansed, fresh andrejuvenated.

Adds a healthy glowto the complexion andalso helps to cleardull looking skin.

Helps to balance oilproduction andbrighten the skin.

Problem Skin Spot

Treatment

Highly effective anddoesnt sting.

Does not dry out theskin.

Reduces skin rednessand calms the skin.

Reduces painful areas

and promotes healing.

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Helps prevent andreduce swelling,discomfort and pain.

Rejuvenating Toner for a

fresh clear skin

Ensures the pH of

your skin is correct. Contains active

ingredients to boostthe health of yourskin.

It will help refine andCellumend Anti-Cellulite

Cream



Easily absorbed.

Rapid results experienced

Problem Skin Night Lotion Fights acne andpimples.

Non-greasy, yet highlymoisturizing.

Reduces skin oilinessand shiny skin.

Reduces pore size andrefines skin texture.

Sooths and calms theskin, while reducingskin redness.

Figure-2.2a: Company product

Ournatural herbal soap contains Thai herbs which have various good properties to

your skin. For example, Papaya pure natural soap contain blended fresh papaya, a tropical

fruit loaded with vitamin A, helps moisturize the skin, while natural AHA acids exfoliate and

brighten your skin. Ournatural herbal soap is suitable for who has sensitive skin because it

contains natural compound and also suitable for who has dry skin because it contains glycerinwhich moisture the skin.

name picture descirb

Black Pepper Pure Natural

Soap

Black pepper is an important

herb in traditional Thai

medicine. The blended black

pepper essential oils in this

soap stimulate your

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circulation and fight against

cellulite.

Papaya Pure Natural Soap Blended fresh papaya, a

tropical fruit loaded with

vitamin A, helps moisturize

the skin, while natural AHA

acids exfoliate and brighten

your skin. It is used widely in

tropical spas, and is rapidly

making inroads elsewhere.

Lemongrass Pure Natural

Soap

This soap highlights the

relaxing scent of lemongrass,

a famous Thai herb, which is

widely used to relieve stress.

Ginger Pure Natural Soap Ginger is an important herb

used in many oriental

remedies to raise energy

levels and stimulate

circulation. This soaps

ginger extracts do this, while

its refreshing aroma

One herb Herbal Bath

name picture Descirb

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Orange & Linden BlossomThis highly concentrated bath

treatment, featuring aroma-

intensive essential oils of

orange and linden blossom

extracts, harmonizes yourmind and body.

Rosemary This highly concentrated bath


intensive essential oil of

rosemary, exhilarates and

wakes up the system.

Melissa This highly concentrated bath


intensive Indian melissa oil

and extracts of lemon balm,

relaxes and soothes.

Figure-2.2b: Company product

2.4 Vision

Leader of one herb cosmetic brand and forward to another country in 5 year

2.5 Mission

To establish One Herb cosmetic as an important brand that represent quality in skin

care, and make up that accessories herb. We will accomplish this using high quality

manufactory and research, a creative marketing program, and comprehensive distribution

network using competitive advantage strategy. By utilizing this multi-channel approach we

will be able to reach the niche market for quality personal care product rapidly and

efficiently. It will allow us to develop one herb cosmetic as the brand for quality skin, bodycare and Herb cosmetics product within our target market.

2.6 Strategy:

Corporate Level

The company commissioned promotional posters from various graphic artists to

publicize the companys product. That brought about a new advertising medium, particularly

the movies. Today, the company takes on actresses or different personalities of all ages that

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best exudes the vision of the company. Famous personalities enable average to relate to

personal lives, that we can look as good and so ensure higher sales. Corporate level strategy

fundamentally is concerned with the selection of businesses in which the company should

compete and with the development and coordination of that portfolio of businesses.

Corporate level strategy is concerned with:

Reach - defining the issues that are corporate responsibilities; these might include

identifying the overall goals of the corporation, the types of businesses in which the

corporation should be involved, and the way in which businesses will be integrated

and managed.

Competitive Contact - defining where in the corporation competition is to belocalized. Take the case of insurance: In the mid-1990's, Aetna as a corporation was

clearly identified with its commercial and property casualty insurance products. The

conglomerate Textron was not. For Textron, competition in the insurance markets

took place specifically at the business unit level, through its subsidiary, Paul Revere.

(Textron divested itself of The Paul Revere Corporation in 1997.)

Managing Activities and Business Interrelationships - Corporate strategy seeks to

develop synergies by sharing and coordinating staff and other resources across

business units, investing financial resources across business units, and using business

units to complement other corporate business activities. Igor Ansoff introduced the

concept of synergy to corporate strategy.

Management Practices - Corporations decide how business units are to be governed:

through direct corporate intervention (centralization) or through more or less

autonomous government (decentralization) that relies on persuasion and rewards.

Corporations are responsible for creating value through their businesses. They do so by

managing their portfolio of businesses, ensuring that the businesses are successful over the

long-term, developing business units, and sometimes ensuring that each business is

compatible with others in the portfolio.

Business level

- A very vital aspect in the success of company our leaders handle and run the business.The Board director and the Board members are well aware of all company duty

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required by our respective functions and of collective mission for in hands that the

companys future depends on. The board members are also obliged to act with due

care responsibility. Board is the strategic orientation of the control and correct

running of the company

- Analysis of internal environment with a variety of internal factors found in the current

state-level competition in the herbal products industry not very serious and

environment-friendly cover director of person to go pop between the individual

owner. The company found that the advantage in product quality and meet customers

strategy to differentiate (Differentiation Strategy) is a strategic fit with the company.

Therefore, use of differentiating the product quality and reliability image and product

over the competition. And the different services was instrumental in the creation of

brand loyalty (Brand Loyalty), which allows companies to set prices high (Premium)

because customers will agree to pay the price increase this value to differ from other

products. Marketing which will create the potential to do Long-term profit to the

company.

A strategic business unit may be a division, product line, or other profit center that can be

planned independently from the other business units of the firm.

At the business unit level, the strategic issues are less about the coordination of operating

units and more about developing and sustaining a competitive advantage for the goods and

services that are produced. At the business level, the strategy formulation phase deals with:

positioning the business against rivals

anticipating changes in demand and technologies and adjusting the strategy to

accommodate them

influencing the nature of competition through strategic actions such as vertical

integration and through political actions such as lobbying.

Michael Porter identified three generic strategies (cost leadership, differentiation, and

focus) that can be implemented at the business unit level to create a competitive advantage

and defend against the adverse effects of the five forces.

Function level

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The vast majority of functional personal care regimes are incorporated by women, the

male category is also growing rapidly, albeit from a smaller base. Functional personal care

usage by males as part of a daily routine accounts for the vast majority of routines.

The functional level of the organization is the level of the operating divisions and

departments. The strategic issues at the functional level are related to business processes and

the value chain. Functional level strategies in marketing, finance, operations, human

resources, and R&D involve the development and coordination of resources through which

business unit level strategies can be executed efficiently and effectively.

Functional units of an organization are involved in higher level strategies by providing

input into the business unit level and corporate level strategy, such as providing informationon resources and capabilities on which the higher level strategies can be based. Once the

higher-level strategy is developed, the functional units translate it into discrete action-plans

that each department or division must accomplish for the strategy to succeed.

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Chapter 3

Market Feasibility Study

3.1 Market Analysis

3.1.1 General Environment Analysis

1. Political

Chiang Rai, local lack of enthusiasm, lack of legal knowledge, expense, and mistake in

communication improving knowledge of citizen improving the related laws and policies, and

finally, improving local officers attitudes toward the hill tribe. Our business has expend for

increase chain to comfortable in to customer then close service and our business will be

increase everywhere.

The Government support Labor Standard implementation to ease trade barriers. The

Government has been promoting and encouraging private sector to establish their labor

standard. The Cabinet Resolution of 18 December 2009 has granted the Project on Labor

Standard Development for Free Trade Promotion and budgeted 301.87 Million Baht over the

next 5 years (Fiscal Year 2010 2014.) The projects goal is to enable the private sector to

introduce and successfully implement their labor standard system which will gaininternational acceptance.

2. Economy

These organizations have expressed the possibility of financial support to reach the

Millennium development Goals, since resources are surely needed to expand public services,

including health care, education and to reduce poverty, an understanding of basic problems of

the grass root as well as the developing a strategy are essential for achievement, within theframe work to the bud set, importantly work for poverty reduction and build up a learning

society to enhance economic stability. For economy in Chiang Rai has low cost of living.

This place will be having more income from foreigner. Economy of Scale: Costs of herbal

product industry have small production scale. Therefore, business cannot get the advantage in

low cost in large production. And easily enter of new investors in industry. This will forward

result increasing of competition. Government Force: In the present, the government

encourage and more supporting to produce and trade the herbal goods from local

communities herbal goods.

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MINIMUM WAGE 2010 Announced minimum wage rate since 1 January 2010 Minimum

Wage Rate

Fingure-3.1: Minimum rate wage rate

Social and Environment

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That promotes learning social reform, justice and equity for everyone and enhancing

human dignity. FAO is involved in agriculture restructuring under changing market and trade

conditions, natural resource conversation, strengthening biosecurity for food security and

poverty reduction for farmers. FAO has worked through collaborated efforts with other UN

organizations Collaborated efforts to strengthen partnership among international

organizations in providing assistance to countries of the Upper Greater Mekong Sub-region

will importantly work for poverty reduction and build up a learning society to enhance

economic stability for people at the grass root level. This is more competitors in Chiang Rai

but nowadays the people have increase interest for healthy, beauty, and dresses. So, my group

wants to do about cosmetic for enough to customer wants and needs. That in our country

have variety of herbal natural environmental to use for company and it have few

disadvantage.

Figure-3.2: Social rate

4. Technology

Today the progress of technology is running so fast and Technology in our company has

use for sale, and checks the products. Our business has new technology for sell products such

as sell product by Internet zone to customer for comfortable.

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3.1.2 Competition Analysis (3C Analysis)

1. Competitor Analysis

- Oriental princess

Oriental Princess. The products are made of specially selected herbs and natural extracts.

These, including facial make up products, cause no irritation to the skin while nourishing and

purifying the beauty of hair, facial skin and body skin.

Cleansing Cream

A make-up removing cream with added cleansers which gently and smoothly wash the skin

to leave it thoroughly clear of dirt, for smoother, whiter skin.

Cleansing Foam

Carefully formulated gentle facial cleansing foam brimming with goodness for all skin types.

The special properties of fissions yeast help gradually improve the condition of the skin

during the cleansing process to leave it looking clearer.

Brightening Toner

A water-based facial toner which reduces dryness while acting as an astringent and

maintaining the skins natural moisture balance after washing to leave the skin looking

naturally whiter. Gentle cleansing, even in the most sensitive area around the eyes.

Whitening & Repairing Night Cream

A nutritive cream which restores the facial skin before resting at night time, with fissions

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Face Scrub Product

Whitening Cream

Foam Product

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-MFU

School of Cosmetic Science at Mae Fah Luang University provides fundamental and

advanced knowledge as well as skills in cosmetic science for students and Graduates wishing

to pursue their careers in the cosmetic industry. As a matter of fact, our School is the first

institution offering this kind of study programmed in Thailand and hence an ideal place for

students and people who are interested in pursuing their study in this field.

Mission

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1. Give advices of cosmetic science serve of the research and the development produce the

quality control including market conspiracy.

2. Sale ways give the graduate s have the ability s in applying knowledge all the remedy

including give advices of the cosmetic has in industry level.

3. Knowledge all lead come to apply for invent research and products development have

correctly and are born.

4. Give the knowledge to the community, for lead the knowledge of the cosmetic, go to apply

and develop give born topmost advantage.

Face and whitening cream product

Body Lotion product

Spa product

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-Mojula

Cream Mojula is the cream maintains

the face, there is the properties helps to

make in front white clear clearly has the

natural mannerly, decrease be vague hand

alkaline black dot and a trace become dull

and have the properties in sperm bacteria

accident cause murder of a pimple are

infected make a pimple is infected decrease the quantity and subside fast go up. Also cream

Mojola without quicksilver substance and acid retinoic at bad build skin state. Cream Mojola

herbs make of herbs is a principle such as curcuma slanting is white includes all vitamins thatare valuable such as vitamin A, vitamin C, and the vitamin E.

Special properties

Cream Mojola is the supernatural power helps to protect bacteria sperm make a pimple is

infected subside fast go up together with heal a wound and help well-fitting pore decrease

become dim a trace is vague hand alkaline black dot a trace becomes dull keep an eye on pale

down disclose white clear clearly clean smooth has the natural mannerly observe obviously in

2-3 week.

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Product of Mojula: Mojula cream

SWOT Analysis

To development a business strategy, company considers the strengths and

weaknesses of the business, including assesses opportunities and obstacles the

following:

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Figure-3.3: SWOT Analysis

Strength

1. Use of a range of these plants in spicing our food.

2. Knowledge on plants and their use in therapy and remedy Vast Biodiversity of

tropical, subtropical and temperate crop species.

3. Variable agro climatic conditions for year round production skilled, low cost

manpower.

Weakness

1. Unawareness of useful crop species to some people

2. Weak infrastructure

3. Fluctuating climate

Opportunity

1. Revival and renewal of global interest in traditional medicine

2. World demand for herbal product is increasing at rate of 10-15%.

3. Greater demand for export of medicinal crops.

4. Subsidies provided by government.

5. Large amount of lands available in some parts of the country.

Threat

1. Fluctuating market prices.

2. Unexpected climatic fluctuations.

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3. Lack of education amongst the farmers makes them very vulnerable especially in the hands

of unscrupulous people.

4. Indiscriminate shifting from cereals to cash crop can affect the food balance.

2. Customer Analysis

Figure-3.4: Company Segmentation

The consumer concern with healthy that to define the product which made from natural

environment extract for real benefit. The customers use many things for their beauty such as

face foam, scrub, lotion, soap, etc. Although, the customer aspect the fast result product, but

they need to use the product that low negative impact and look forward to the herbal product.

The customer trend desire more using of natural resource instead of cosmetics chemical

material that may did destroy and dangerous for user. There are a number of new demand

trends that have impacted the market and created greater opportunities. These trends include a

returning to age old, time proven, natural remedies; more consumers that are looking for

more holistic and healing benefits from her skin care products, and today's consumer being

more informed and more inquisitive about the benefits of her personal care products. In

Chiang Rai has people 2 classes for income. First class is high income and second class is

low income. For in Chiang, Rai will be having first class more than second class because

Chiang Rai will be top destinations for tourist.

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1.2 Brand Loyalty: For herb product industry have low loyalty consumer because many

alternative brand and less expense for switch cost. This make easy enter of new competitors.

1.3 Invest Cost: High cost investment in machine for production and regulation in quality of

production process follow the legal (GMP: Good Manufacturing Process) that why threat for

enter of competitors.

2. Rivalry among Established Companies:

2.1 Producer: There are many small business in the industry and have a little leader brand in

some specific product line.

2.2 Competitive advantage: have a large gap between leaders and follow business

competition. Therefore, reducing level of competitive because, small producer avoid fighting

with the big producer.

2.3 Demand Conditions: A increasingly grows about 20 % per year of the industry that

reduce high competitive because, each producer able to extend their sales in the market

without fighting to get market share from other producer.

2.4 Differentiate: The ability to create uniquely goods in term perception of customer. Now

present in little different from each other product. That why customer feel a little bit different

to state each brand product.

2.5 Exit Barriers: Reason of the low cost technology using in production. And machine can

be applied for producing other goods which effect to easy exit from industry and low

competitive.

3. The bargaining power of buyers

3.1 In the industry of natural product. Its compost of the small size distributor and the small

size of buyer. Selling and buying is in small amount, so the bargaining power of users is not

high.

3.2 Same product in market has similar quality and product of each producer is low level

different, so it makes brand loyalty is low level too. And the cost of changing buying from

one seller to another seller is low, so it can cause the bargaining power of buyers is low too.

4. The bargaining power of suppliers

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4.1 Suppliers: There are a lot of medium size and small size of distributors in the industry, so

the bargaining power of suppliers is quite low.

4.2 Distributors that have more quality of product will be have more the bargaining power

because the customer give more important about quality of product.

5. Threat of substitute products

5.1 In market, there are a lot of substitute products that use the chemical substantial instead of

natural substantial to produce products, although the quality of product is not good equal the

product that produces from natural substantial.

5.2 Natural product that impact from other countries, it almost has the ingredient of plant or

herb that cannot grow in Thailand, so profit ability is still high because the competitive is not

intensive.

Internal factor analysis: Competitive advantage analysis

To study to competitive advantage of the organization two of the business in the

industry can be analyze follow these factor.

- Efficiency

The company that is small size and has more fluency, can be comforted and rapidly to

distribute the product to customers. Planning of delivery service, to increase the opportunity

of product distribution. Otherwise if can be connecting purchasing and marketing information

system together, to find the suitable quantity of product and to reduce the management cost of

inventory goods.

- Quality

Our product is mixed of Thai herb that in Thai life way, believe that Thai herb has the

effectiveness to healing and our product also pass the process of science and test of the

quality of healing medical science institute, so our product is safe to using.

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- Innovation

Our product is produce from adaptation of Thai herb knowledge in the past and mix

with the knowledge of research of science to find suitable kind of herb that match in each

symptom. These will be the introduction of the Thai herb to be famous to the person that did

not know about the quality of Thai herb before. Our company is more concentrate in the

innovation, and try to product new product to serve customers need and need to be create the

different to our product too.

- Customer Responsiveness

Our company care about customers need and satisfy. We start from doing marketing

research to find the need of customer, and then we present the product that match customers

need and try to make the easiest way to buying product. We choose the suitable way to sale,

such as delivery service and we also have the staffs to receive or listen to customers

problem.

From 4 factors that we have explanted, it all will be increase competitive advantage

for the organization.

3.2 STP Analysis

Todays skin care customer is looking for magic. We want to believe that there is a

potion in a bottle that will erase her wrinkles. Most manufacturers believe this is being driven

primarily by vanity. At One Herb Cosmetics we believe it is a result of a better educated

consumer base and easier access to information. We believe that you only need to look at the

proliferation of personal trainers, spa and cosmetics, the awareness of vitamins and the

benefits of eating and living healthy for both mind and body. These indicators are not

unrelated and we believe them a signal a change in values and lifestyle rather than just a

fashion trend. While it may well have been spurred on by the growth in the stock market and

the general economy, we do not believe that is dependent upon the continued rapid growth of

these factors. Once the consumer has recognized the benefits of these products they will not

be willing to simply give them up.

This new generation of creams is more scientifically advanced than anything previous

manufacturers brought to market. Research has shown that alpha hydroxyl acids, retinol and

anti-oxidants can smooth out wrinkles and even out irregular pigmentation. Other natural

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ingredients can speed up the regeneration process of skin cells, tone the skin, clarify the

complexion, and reduce wrinkles as well. They have many people begun to shift formulation

to vitamins, anti-oxidants and herbal extracts.

Many manufacturers site the high cost of research as a major reason for the high price

of their products. However this manufacturers site the high cost of research as a major reason

for the high price of their products. However this "new" trend is more a returning to age old,

time proven, natural remedies than new science. One noted chemist and cosmetics researcher

recently stated that charging more than $100 for a vial (ounce) of any serum is unwarranted.

She stated that while there are some very special ingredients that are costly, when prices go

above this level it is just maxing out snob appeal. When you combine these facts with the

rapidly increasing level of consumer education and the demand for a price-value equation,

you can begin to see the market niche that is developing for high-quality skin care at price

points reflective of their ingredients and value.

Market Segmentation

- Healthy lifestyle retailers: This is the shop focus on selling healthy and wellness product

like herb cosmetic which made of natural extract plant.

- Cosmetic specialty retailers: This is the shop focus on selling only cosmetic cleansing

accessories product with prefers many type of beauty care.

- Spa club and hotel industry: This is group of spa and hotel service that use herb product to

be material of their service.

- Boutique department store: This is stores that sell the unique and fashion product in high

quality.

Target market

The healthy group people who most use our herbal cosmetic which support mental

natural life style and body treatment

Product Positioning

One herb cosmetic have high quality and luxury unique herbal accessories. The

company prefers many product options for alternative variety choice for consumer.

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- Company focus on quality of product and price that make different between our brand

and others competitors follow this table.

Figure-3.6: Positioning

- Company also focuses on variety of product that support competitions in the market

follow this table.

Marketing Strategy

One Herb Cosmetics will utilize a brand building (pull) strategy as the basis for our

marketing plan. We will position our print media spend in magazines that influence our target

consumer and validate the brand. These are the same publications retail buyers and trend

analysts scour to find emerging brands or trends. In addition to paid ads in regional issues of

the publications mentioned, we will retain a PR firm to develop a grass roots program for

obtaining product placement and celebrity/trainer endorsements. Our media and PR strategywill bring the brand to the forefront for the consumer and set the stage for our image

development. We will have a separate plan to market to spas and retailers at trade shows. In

addition we will develop a unique in-store graphic and communication package that explains

our products benefit and advantage at point of sale.

3.3 Marketing Mix

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Low price

High qualityLow quality

One herb cosmetic

Patummas

Khun Ying Mae(

Mho Jula (

High price

Oriental Princess

MFU


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wide. And can buy products easily, while investment is not too high, so the company is

planning the following distribution channels.

Promotion

The growth of the Body and Bath category and the Alternate channels is being driven

by three major marketinfluences:

- An acceleration of cross distribution creating new opportunities for branded

day herbal cosmetics and catalogues.

- Pampering has taken a front seat in the consumers mind and is viewed as a

need rather than a want. This has created an opportunity for new herbal

cosmetics lines, spa-oriented products encompassing aromatherapy and new

age positioning.

- The day cosmetics influence is creating consumer awareness of the benefits of

quality skin care and body &bath products.

Promotion Strategy

Pricing: We will not have price promotions in our own facilities and we will discourage our

wholesale customers from reducing prices. Instead we will have a quarterly bonus week.

During the bonus week consumers will receive a free gift with any One Herb Cosmetics

purchase over a pre set amount. The gift sets will consist of sample size One Herb Cosmetics

products from our most current launch in a specially designed tote or gym bag.

Consumer Mailers: We will have a monthly mailer for One Herb Cosmetics customers. It

will be designed to educate the consumer about the benefits of a particular product or

ingredient. The mailer will be redeemable for a sample of the product.

Seminars: Our point of sale system will track consumer sales and usage by customer. We

will invite our best customers to quarterly seminars on skin care and wellness.

Affiliations: We will outfit select female yoga and fitness instructors in key cities.

Public Relations: We will contract a top public relations firm to develop and execute a

gorilla campaign. The objective will be to secure product placement in key publications and

endorsements by opinion leaders.

Print Campaign: We will have a paid placement program that includes monthly placement

in regional issues of W, Vogue, Wallpaper, Cosmopolitan, Travel & Leisure, Vanity Fair,

Departures, In Style, Food & Wine, Shape, Town and Country and the New York Times

Sunday edition.

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Documents

One Herb paper