Read the below Information, and explain how this affects what they mean for the Este Lauder Economic: inflation and exchange rate - analyze yourself Technological:

Read the below Information, and explain how this affects what they mean for the Estée Lauder 

• Economic: inflation and exchange rate - analyze yourself
• Technological: 3D or e-make-up. sell/purchase products online, targeted e-commerce.
• Socio-Cultural Trends Several trends in the cosmetics industry have had a major impact on sales. The distribution channel for cosmetics is still primarily through grocery retailers (21.5%). There has been an approximate gain of 3% in the use of internet retailing with the majority of online sales in skincare. The increase of the senior population is influencing retail trends, with 22% of the U.S. population estimated to be over 60 years by 2030. The senior market also is more appreciative of higher-quality goods, such as luxury cosmetics. Additionally the millennial generation, with an estimated $200 billion in annual buying power, will require that retailers reevaluate how best to address their specific needs and preferences. The preference for natural and organic cosmetics has shown increasing growth worldwide to approximately $15 billion by the end of 2017. Forecasts are even more optimistic with sales expected to double by 2024. i Lastly, the sales of male cosmetics are additionally showing gains, most notably in the skincare segment.
• Political: Read the information below and answer
• Legal: Read the information below and answer

Governmental Regulations The federal agency most often involved in regulatory encounters with the cosmetics industry is the U.S. Food and Drug Administration (FDA). The FDA requires that color additives be tested and approved before use. It bans or restricts the use of some specific ingredients, including mercury compounds, chloroform, and methylene chloride. Other regulations dictate that cosmetics contain no poisonous or harmful substances and no filthy, putrid, or decomposed substances; they must also be made and held under sanitary conditions. The FDA also has instituted labeling requirements that compel manufacturers to list cosmetic ingredients in descending order according to the quantity used, with some flexibility allowed for the protection of trade secrets. The FDA also has the authority to take legal action against cosmetic companies if problems develop with the safety of products already on the market. To do so, the agency is required to prove in court that the product is harmful or misbranded.

The FDA does not require the same type of premarket approval for cosmetics as was required for drugs. According to a report published in FDA Consumer, cosmetics are legally defined as "articles other than soap that are applied to the human body for cleansing, beautifying, promoting attractiveness, or altering the appearance." The FDA recognizes 13 categories of cosmetics: skin care products, fragrances, manicure products, eye makeup, makeup other than eye makeup, hair coloring preparations, shampoos and other hair products, deodorants, shaving products, baby products, bath oils and bubble baths, mouthwashes, and sunscreens. Although cosmetic products seldom cause serious injury, some problems do occur. Most common among them were eye infections (caused by scratching the eyeball with a contaminated mascara wand) and allergic reactions. Fragrance additives were often blamed as a source of allergic responses.
 

3.0 Industry analysis

 

3.1 Brief description of the life cycle stage of the industry - what is Estée Lauder belong to? The beauty care industry is mature, growing or dead industry.

 

3.2 Porter's 5 forces analysis relating to the Beauty care industry. - conclusion regarding attractiveness