Abstract
L'Oreal is a well-known firm for its strategy focused on organic growth. The group has concentrated its efforts for a long while on the development of its own brands by undertaking a few targeted acquisitions. To acquire new competences, a large confidence is granted to the R&D centres present in France, in the US, in Japan and in China. Its "technology acquisitions" are almost entirely implemented in these centres. Alliances with other firms are also very rare. We will analyze the one with Nestle on Galderma.
Research became the base of the system of L'oreal as soon as the foundation of the firm was established. The scientific principles of Schueller and the devotion to the needs of the consumers have remained very strong. This spirit has maintained scientific training over the years by mainly two of the four CEOs of the company, that is to say, Francois Dalle from 1975 till 1984 and Charles Zviak from 1984 till 1988. Impulsion was therefore given historically in the highest level of the society. Even if it was certainly less with Owen-Jones whose strategy was largely focused on marketing, the latter maintained and even developed the R&D efforts of the company.
