FEASIBILITY ASSESSMENT FOR A MALE COSMETICS COMPANY

Open Access
Author:
Popa, Xydemor
Area of Honors:
Finance
Degree:
Bachelor of Science
Document Type:
Thesis
Thesis Supervisors:
  • Brian Davis, Thesis Supervisor
  • Brian Davis, Honors Advisor
  • Orie Barron, Faculty Reader
Keywords:
  • Entrepreneurship
  • Startup
  • Finance
  • Cosmetic
  • Business Plan
  • Feasibility Assessment
Abstract:
The cosmetic industry, dominated almost exclusively by women, may be positioning itself for a massive transformation in customer demographics, expanding the profitability function to include a new variable: selling cosmetic products to men. This thesis examines the feasibility of creating a male cosmetic company. The objective of this report is to investigate solutions to the questions, “Could there truly be a market for male cosmetics, and if so, how do you promote cosmetic adoption across genders?” Beginning with a literature review examining the history of cosmetics through time, the changing social dynamics and drivers supporting the cosmetic industry’s expansion, and the existence of male cosmetic trends internationally, the groundwork is laid in support of validating the author’s predictions on shifting market trends. What follows is a feasibility assessment, presented in the format of a business plan, dissecting various cosmetic industries, potential markets, customer analyses, sales strategies, and financial planning. Included within the financial planning segment are a startup cost projection, a three-year profit and loss pro forma, a Net Present Value (NPV) calculation, and a break-even analysis. In conclusion, a discussion of the concept’s feasibility and scale of impact is considered.