In April 1998, when the Chinese central government prohibits all forms of direct sales in China in April 1998, the leaders of Avon in China have to decide how to respond. The first direct sales company in China after it opened to outsiders, Avon has aroused interest in the direct sales of the Chinese. Just like Avon is about to complete a new $ 40 million plant in Guangzhou, however, the government cracked down on abuses by local direct sales from a ban on all forms of practice. Avon have to decide whether to give up their traditional business model in the face of these events. "Hide
by Lynn Sharp Paine, Jennifer Benqing Gui Source: Harvard Business School 27 pages. Publication Date: December 22, 1999. Prod. #: 300053-PDF-ENG