New website 'Kazmaier, Genealogy & More'

This site will not be updated anymore.

The site was moved to Kazmaier, Genealogy & More.

As well the genealogy sections as the business sections were massively extended.

Thank you for visiting.

The Importance of Corporate Governance

 

So far, there is no worldwide recognized definition or understanding of what ‘Corporate Governance’ is. The German company ThyssenKrupp (ThyssenKrupp AG, 2014) defines it very well:
"The term corporate governance stands for responsible management geared to long-term value creation and control of companies. Efficient cooperation between the Executive Board and supervisory board, respect for shareholder interests, openness and transparency of corporate communications are key aspects of good corporate governance."
Generally it can be said that Corporate Governance is the aggregate of shareholder interest-oriented principles, which strive for transparency and a balance of management and control while maintaining decision-making capacity and efficiency at the highest corporate level (v. Werder, n.d.). In general spoken Corporate Governance is the manner in which companies are led, managed and controlled (Solomon & Solomon, 2004, p. 1). Since dealing with Corporate Governance in Europe for a long time was a primarily academic discipline, Corporate Governance is highly topical on the European continent at the latest since Enron and Vivendi Universal. International capital market-related conditions were set with the publication of the OECD’s ‘Principles of Corporate Governance’ in 1999, which are essential for the pursuit of good governance in the corporate sector. An intense debate is also still required to meet the micro - and macro-economic importance of the issue. In the following, four issues will be discussed which may be considered the core elements to realize the importance of Corporate Governance:

• Integrity
• The regulatory framework
• Bonus culture
• Directors' training

INTEGRITY

The perception is in the eye of the beholder, and while corporate governance is rather a technical term for accountants, lawyers and the like, buzzwords such as honesty, decency, and fairness are well-known among the readers of the popular newspapers. What the professional in this field would call questionable practice the public would rather name with critical words like rip-off or scam. The central question today in the area of corporate governance is not whether the big companies comply with various provisions of the Combined Code, Sarbanes-Oxley, King, etc. The point is rather whether the top management of large companies especially, but actually the business world in general is considered ethically in the eyes of the public (McDonough, 2002). The policies, procedures and standards of ethics, honesty and integrity throughout the company, promoted and adopted by the management, should be designed to follow the ethical tenor set by the organization’s board (Deloitte Risk Journal, 2013). And it is exactly this integrity – the perceived and the real one – which emphasize the importance of Corporate Governance, because it represents the tool with which integrity can be encouraged, measured and projected (Applied-Corporate-Governance, 2014).

THE REGULATORY FRAMEWORK

One can certainly debate if the ‘The Importance of Corporate Governance’ may be rephrased as ‘The Importance of Good Management’. But in simple words, one could just say good governance is good management and failures in governance just reflect bad management (Lipman & Lipman, 2006, pp. 3-8). The regulatory framework, consisting of mandatory laws and rules, such as in Ireland, the Companies Acts 1963 to 2003, and non-mandatory codes, policies and procedures is the base on which organizations operate their corporate governance. In the face of the recent financial crisis it still seems that reforms are necessary although it is quite clear that more regulation does not automatically mean better regulation. The excellent legislation that is already in place, which forced companies to generally act in a fair manner, disclose information and reduce costs and charges should be utilized to build upon instead of inventing more legislation which can simply be checked off (Aggarwal & Williamson, 2006).

BONUS CULTURE

Director’s remuneration and bonus culture are often discussed in the media and again the perception is in the eye of the beholder. While a normal workman will never understand how a single person can get a year’s end bonus in a dimension of what he would never be able to earn in all his life time of hard labour, in a well-run organization good performance has to be rewarded to attract talent, high performance and people dedicated to improving performance. The OECD also recognizes in its Principles of Corporate Governance (OECD, 2004, p. 11) that “(. . .) proper incentives for the board and management [should be provided] to pursue objectives that are in the interests of the company and its shareholders (. . .)”. So it is not about the principle which needs to be discussed but the execution and realization. While a board, management and perhaps even shareholders may feel that remunerations in two-digit millions height may sound appropriate it is quite obvious that such corporate policies may not be in accordance with the public judgement.

DIRECTOR’S TRAINING

Following the OECD’s Principles of Corporate Governance “Board members should act on a fully informed basis (. . .)” (OECD, 2004, p. 59). This requires at least a basic level of competence and experience which certainly varies on the size of the company, the type of business and the complexity of the organization. The required competency to be ‘fully informed’ therefore should comprise basic financial literacy, a comprehension of the strategic planning process and an insight of human resource formation. Some Asian countries require director training to support the fulfilment of such requirement. Such Training and education should not be limited to director’s basic legal and governance duties but also include the fields of developing business strategies, budgets, risk policies and the understanding and monitoring of internal control systems (OECD, 2011, p. 39). In Europe there has never been a formal requirement for a qualification to run a company or to be a director although in the recent past qualifications like the ‘Chartered Director’ have been introduced. It may seem obvious that the ‘Importance of Corporate Governance’ will have a major influence on developments like this. Corporate Governance is very well accentuated by the ‘Institute of Directors in Ireland’ as a significant element in their qualifications (IoD, 2014). Corporate Governance is a highly complex issue and although there is still the need for a clear and precise definition the principles and those who are the responsible for its operational execution are clear (Anand, 2008). All of the above points to one central point in the discussion about the importance of corporate governance. Christine Mallin expresses brief but accurately, proper corporate governance “therefore helps a firm to be sustainable in the longer term” (Mallin, 2006, p. 3).

REFERENCES

Aggarwal, R. & Williamson, R., 2006. Did New Regulations Target the Relevant Corporate Governance Attributes?. Available at: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=859264

Anand, S., 2008. Essentials of corporate governance. 1st ed. Hoboken(NJ): John Wiley & Sons, Inc..

Applied-Corporate-Governance, 2014. Applied Corporate Governance. Available at: http://www.applied-corporate-governance.com/importance-of-corporate-governance.html

Deloitte Risk Journal, 2013. The Role and Benefits of a Corporate Governance Framework. Available at: http://deloitte.wsj.com/riskandcompliance/2013/05/24/the-role-and-benefits-of-a-corporate-governance-framework/

IoD, 2014. Bespoke Board Training in Corporate Governance. Available at: https://www.iodireland.ie/director-development/bespoke-board-training-in-corporate-governance

Lipman, F. D. & Lipman, L., 2006. Corporate Governance Best Practices: Strategies for Public, Private, and Not-For-Profit Organizations. 1st ed. Hoboken(NJ): John Wiley & Sons, Inc.

Mallin, C. A., 2006. Handbook on International Corporate Governance - Country Analyses. 1st ed. Cheltenham: Edward Elgar Publishing Ltd.

McDonough, W. J., 2002. Issues in Corporate Governance. Current Issues in Economics and Finance, 09, 8(8).

OECD, 2004. OECD Principles of Corporate Governance. Available at: http://www.oecd.org/corporate/ca/corporategovernanceprinciples/31557724.pdf

OECD, 2011. Reform Priorities in Asia: Taking Corporate Governance to a Higher Level. Available at: http://www.oecd.org/corporate/ca/49801431.pdf

Solomon, J. & Solomon, A., 2004. Corporate Governance and Accountability. 1st ed. Chichester: John Wiley & Sons Ltd.

ThyssenKrupp AG, 2014. Corporate Governance. Available at: http://www.thyssenkrupp.com/en/investor/corporate-governance.html

v. Werder, A., n.d. Corporate Governance. Available at: http://wirtschaftslexikon.gabler.de/Archiv/55268/corporate-governance-v7.html

Brooklyn Bridge, NYC

Brooklyn Bridge for me is one of the most exciting buildings in New York. Spanning over the East River it connects New York's boroughs Manhattan and Brooklyn. The bridge is 486m long, 84m high and is the first steel-wire suspension bridge ever constructed. By the US government it was designated a National Historic Landmark by the National Park Service in 1964, a New York City Landmark by the Landmarks Preservation Commission in 1967 and a National Historic Civil Engineering Landmark in 1972.

Construction of the bridge began as early as in 1869 and it was initially designed by a German-born, how else could it be, engineer, Johann August Roebling. Roebling never saw his bridge, he died after an accident in the early time of construction. His son, Washington Roebling, finished the supervision of the construction after his father’s death.

The bridge was opened for public use on May 24, 1883. Emily Warren Roebling, Johann August’s widow and Washington Roebling’s mother was the first to cross the bridge. On that day it was the only land passage between Manhattan and Brooklyn and 1,800 vehicles and 150,300 people crossed the bridge. Six days later rumors were spread that the bridge is collapsing which caused a stampede and at least twelve people died. P.T. Barnum helped to squelch doubts about the bridge’s stability – on May 17, 1884 one of his most famous attractions, Jumbo, led a parade of 21 elephants over the Brooklyn Bridge.

 

In the days of its opening, and for a long time afterwards, Brooklyn Bridge was the longest suspension bridge in the world. Today more than 120,000 vehicles, 4,000 pedestrians and 3,100 bicyclists cross the Brooklyn Bridge every day.

Every time I visit New York I spend the first morning, jet-lagged, crossing the bridge by foot at sunrise. The best views from Manhattan’s skyline and of course of Brooklyn’s can be caught from there …

Brooklyn Bridge at sunrise

Manhattan's Skyline, view from Brooklyn Bridge




Brooklyn, view from Brooklyn Bridge

Patrician families of Munich

According to Titus Livius Patavinus in ancient Rome it was the first 100 men appointed senators by Romulus that were called the fathers (patres) and their descendants became the patrician class. Originally referring to these ruling class families, they were distinct from the plebeians because they had wider political influence in ancient Rome, the term patrician (Latin: patricius, Greek: πατρίκιος, patrikios) was re-defined in medieval times and subsequently in many countries became a vague term for aristocrats and the higher bourgeoisie.

In medieval German cities the patrician class emerged in the 11^th century from the former local nobility or the local ministerials. They called themselves "Geschlechter", German for families or tribes but in old Latin documents this was translated to "patricius". These families occupied the Council and other important municipal offices and tried to maintain an exclusive right to these. It was only by the early 16^th century that the term patrician was used to clearly distinct the noble urban families and many of these were nobilitated by German sovereigns.

In Munich the political and social elite of the city arose from the members of the city council. The patrician families mostly came from the merchant class and even from richer craftsmen. This closed, exclusive circle of patricians, for the membership, the election to the Inner Council was a decisive criterion, ruled the city for a long time. Since the 17th century the Bavarian sovereigns bestowed hereditary "Patriziatsdiplome" and the last time such a privilege was granted in 1800.

The creation of this upper-class civil community and the emergence of the Munich Council went hand in hand. For the first time the city council of Munich was mentioned in a document from 1286 ("consules civitatis Monacensis"). In the "Rudolfinum" from 1294, the oldest surviving town charter, the council is already the central "authority" of the city and in possession of the statutes of autonomy, the police and lower judiciary.
Basically the patriciate always consisted of about 20 to 30 closely related families. Their names are preserved in the oldest council lists since 1295: these are old families of Munich like the Sendlinger (since 1170), the Pütrich (since 1189), the Rudolf (since 1237), the Guldein (Aureus) (since 1239), the Wilbrecht (since 1239/42), the Freimanner (since 1253), the Draechsel (since 1269), the Ligsalz (since 1269), the Schrenck (since 1269), the Schluder (since 1271), the Bart (since 1272) and the Ridler (since 1295). Some other names and families already vanished again from Munich dying out like the Katzmair (1533), the Astaler (1475), the Tulbeck (1476), the Gießer (1494), the Tömlinger (1519/25), the Wilbrecht (1526/48), the Schluder (1535) and the Pötschner (1541).

These families, represented inside the council, mostly married amongst each other, many of them were related by marriage, so for example the Katzmair with the Schrenck, the Rudolf, the Schluder and the Pötschner. However, the corporative unity and exclusivity has never been as great as for example in Nuremberg. Marriage connections with the "Reichspatriziat" of Regensburg, Nuremberg and Augsburg were not uncommon, as well with the squirearchy in the 14th century.

The Katzmair of Munich

Katzmair Crest of Arms

The Katzmair once were one of Munich’s most influencial and important families. They were part of the patrician elite that “ruled” the city being members of the city’s inner and outer council. As some of the other families like the Astaler or the Pötschner the family died out in 1533 although there was an illegitimate son mentioned in the early 16^th century who may have kept the surname Katzmair and preserved the name.

1. Martin I¹ Katzmair was born about 1286 in Munich, Bavaria, Germany and he died about 1336 in Munich. He married Sophie Küchel, from Munich, the daughter of Ludwig I Küchel who was mentioned as a member of Munich's council on 25.02.1335. She had three brothers, Heinrich, Liebhart and Ludwig II.

From 10.02.1318 Martin I appears as a member of the council in Munich and in 1319 he was mentioned as "Pfleger des Salzes" (lit. 'guardian of the salt'). From about 1329 he was the chamberlain of the city and on 24.08.1334 he acts as a member of the inner council while on 25.02.1335 he is mentioned being in the sworn council in Munich.

Children of Martin I Katzmair and Sophie Küchel were:

2 i Anna² Katzmair was born Munich and died there. After 1353 she married Heinrich II Rudolph, born 1310 in Munich and died between Feb 22 1378 and Mar 26 1378 in Munich. In he was first mentioned in Munich on 22.01.1333. Between 1334 and 1340 he was Munich's chamberlain and between 1365 and 1374 he acted as mayor of Munich. In 1377 he is mentioned as Grand-Master of the "Heiliggeistspital". In the years 1367-1369 and 1375 he was taxed as the second richest citizen of Munich. He was the son of Heinrich I Rudolph, who since 10.02.1318 appeared to be a member of the outer council and from 1320 in the inner council, and Katharina Weissenfelder. Anna was his second wife. His first wife Katharina Pötschner died 14 Aug 1353. The Rudolph family appears as well as one of Munich's most influential families. Finally in 1533 they will be the ones to inherit all the Katzmairs property and belongings after the family dies with Georg III. 

3 ii Jakob² Katzmair , born and died in Munich.

4 iii Johannes I² Katzmair , born in Munich and died 30 Nov 1384 in Munich. He married Elisabeth Rudolph .

5 iv Konrad² Katzmair , born in Munich and died 29 Dec 1346 in Munich. Between 1337 and 1346 he acts several times as a member of the council of Munich and on the 12.08.1346 he appears as a member of the sworn council.

Generation 2

4. Johannes I² Katzmair (Martin I¹), born in Munich, died 30 Nov 1384 in Munich, Bavaria, Germany. He married Elisabeth Rudolph , from Munich, she died 2 Jul 1405 in Munich. Since 1362 Johannes repeatedly appeared to be a member in the inner and outer council of Munich. In 1367 he was Church Provost and from 1372 he was a member of the sworn council. He was a merchant, trading with wine and horses. Johannes Katzmair bought Lake Wörth including the island and the entire vicinity on the 8th September 1369.

Children of Johannes I Katzmair and Elisabeth Rudolph were as follows:

6 i Agnes I³ Katzmair , born in Munich, she died between Sep 1415 and Nov 1416 in Munich. She married Heinrich Schluder , born in Munich, died abt 1369 in Munich. Heinrich and his father Konrad were banned from Munich in 1317 after disputes about the city council's constitution. After Heinrich died in 1369 Agnes returned to Munich re-married again aroun 1370/71. Her second husband was Erwart Herwart, born in Augsburg, Bavaria, Germany and he died about 1375 in Munich.

7 ii Georg `Joerg`³ Katzmair , born in Munich, died 5 Mar 1417 in Munich. He married Katharina Käuzl .

8 iii Hans II³ Katzmair , born aft 1364 in Munich, died before 1384 in Munich.

9 iv Martin II³ Katzmair , born in Munich, died before 1384 in Munich.

Generation 3

7. Georg `Joerg`³ Katzmair (Johannes I², Martin I¹), born in Munich and died 5 Mar 1417 in Munich. He married Katharina Käuzl , born in Salzburg, Bavaria (yes, there was no Austria at that time !!), and she died 14 Apr 1427 in Munich. Since 1386 ‘Joerg’ appears as member of the inner council and several times as mayor of the city of Munich. Most famous he became with the report he wrote on the riots in the city of Munich between 1397 and 1403. He had to flee the city on 03.08.1398, lost most of his real estate and possessions, and sought refuge at the court of the Dukes Ernest and William. It was only 1403 he could return to the city being reinstated to all his offices and receiving back his wealth.

Children of Georg `Joerg` Katzmair and Katharina Käuzl were:

10 i Agnes II⁴ Katzmair , born bef 1424 in Munich. Agnes appeared to be a nun in the Franciscan monastery "St. Jakob am Anger" as part of the "Order of St. Clare". Since the early 13th century this was the start of the Bavarian part of the "Camiño de Santiago" the way of the apostle St. James to Santiago de Compostela.

Kloster St. Klara bei St. Jakob am Anger

11 ii Hans III⁴ Katzmair , born abt 1398 in Munich and died about 1420 in Munich. 

12 iii Martin III⁴ Katzmair , born abt 1401 in Munich and died 4 Nov 1481 in Munich. He married Anna Pötschner .

Generation 4

12. Martin III⁴ Katzmair (Georg `Joerg`³, Johannes I², Martin I¹) was born about 1401 in Munich where he died on 4 Nov 1481. He married Anna Pötschner , born and died in Munich, the daughter of Peter Pötschner and Anna Schrenck . Martin II. 1429 was a member of Munich's council and from 1430 acted as the first chamberlain of the council. In May 1431 he held the first time the mayor's office and as such denied the officials of the Corpus Christi procession the "Geyrenmall and Fressgeltt". Katzmair had caused a scandal by subband those hitherto usual strength at the expense of the city.

In the documents of the 1430s Katzmair occurs variously as legal spokesperson at the "Hofgericht" and as co-decider ("veriecher") in arbitration cases.

Castle Wörth

1446 a castle was built on his behalf on the island in Lake Wörth which was acquired by his grandfather Johannes in 1396 from the Greifenberger family. 

In 1468, still being a member of Munich's council, he was mentioned as church provost ("kirchenpropst Martein Katzmair von innderm rat").

Children of Martin III Katzmair and Anna Pötschner were as follows:

13 i Anna⁵ Katzmair , born abt 1425 in Munichand died in Munich. She married Balthasar I Ridler , born about 1410 in Munich, died abt 1491 in Munich.

14 ii Georg II⁵ Katzmair , born abt 1430 in Munich, died 24 Jun 1485 in Munich. He married (1) Beatrix von Hausen and after her death (2) Dorothea Stupf .

15 iii Hans IV⁵ Katzmair , born about 1435 in Munich, died aft 1494 in Munich. He married Clara Ridler , born in Munich, died aft 28 Jul 1536 in Munich. Hans IV was a member of the outer council of Munich between 1484 and 1486.

Generation 5

14. Georg II⁵ Katzmair (Martin III⁴, Georg `Joerg`³, Johannes I², Martin I¹), born about 1430 in Munich, died 24 Jun 1485 in Munich. He married (1) Dorothea Stupf before 1450 in Munich and after she died on 19 Dec 1471 he married (2) Beatrix von Hausen , died about 1485 in Munich.

Children of Georg II Katzmair and Beatrix von Hausen were as follows:

16 i Jakob II⁶ Katzmair , born abt 1472 in Munich, died in Munich. His wife’s name remains unknown.

17 ii Niklas⁶ Katzmair , born aft 1471 in Munich, died abt 1523 in Munich. He married Katharina Rudolph.

Children of Georg II Katzmair and Dorothea Stupf were as follows:

18 i Hans V⁶ Katzmair , born between 1450 and 1471 in Munich, died about 1515 in Munich. He was married to the daughter of Hans Schluder zu Weilbach .

19 ii N.N.⁶ Katzmair , born in Munich, died in Munich, Bavaria, Germany. She married Albrecht Fröschel .

Generation 6

16. Jakob II⁶ Katzmair (Georg II⁵, Martin III⁴, Georg `Joerg`³, Johannes I², Martin I¹), born about 1472 in Munich, died in Munich. A contract from 27.01.1506 indicates that Jakob was mentally ill "plödigkeitshalber seins leibs". His brother Hans (18) committed in the contract to take care of him and his illegitimate son. At that time they live at Rindermarkt 7B. Jakob’s son, his given name remains unknown, must have been born about 1506 in Munich. We can not rule out that he kept his father's name and carried it forward. In young years he was living with his uncle Hans V. Katzmair. After his cousin Georg III Katzmair died in 1533 he was most probably the last living Katzmair of Munich. However he was excluded from Georg's inheritance which went completely to the Rudolph family, namely Paul Rudolph and his sister Margaretha, being his cousins from his mother's side.

17. Niklas⁶ Katzmair (Georg II⁵, Martin III⁴, Georg `Joerg`³, Johannes I², Martin I¹), born aft 1471 in Munich, died abt 1523 in Munich. He married Katharina Rudolph , born and died in Munich, daughter of Thomas I Rudolph and Veronica Schluder .

Children of Niklas Katzmair and Katharina Rudolph were as follows:

21 i Barbara⁷ Katzmair , born in Munich, died 10 Aug 1520 in Munich. From her gravestone: "anno 1520 des 10. tages octobris starb jungfrau Barbara, Niclas Kaczmars dochter"

22 ii Georg III⁷ Katzmair , born bef 1523 in Munich, died about 1533 in Munich.

 

The Kazmaiers in America

 

The Kazmaier family today is very widespread over many states of the USA. It appears they first arrived in the USA in the middle of the 19th century. There are at least half a dozen independent lines to be found in the US. Several Kazmaiers left Germany over the past 200 years to find their luck abroad. It was the American Dream and poor political conditions in the rural parts of Germany that drew people away from their hometowns. However they had to save large amounts of money for the ship and some of them had to leave their families back until they could afford to buy them tickets.

ALL Kazmaiers in the USA are related to the original Kazmaier family in Germany. In Germany research shows that the common forefather of all Kazmaiers in Wuerttemberg was Balthasar II Katzmayr (1611-1685). His death is recorded in the little village of Honau below Castle Lichtenstein. From Honau, and from this Balthasar Katzmayr all known Kazmaiers descend from.

Until his death Balthasar II Katzmayr was "Schultheiss" of Honau. As official it was his duty to order his assigned village, Honau, to pay the taxes and perform the services due to the ruler. The name originates from this function: “Schuld” = 'debt' + “heißen” = ‘to order'. In this function he as well was the highest judge of the village. Later, the title was also used for the head of a town, the mayor. In Wuerttembergian villages still today the people refer to their mayor as the "Schultes".

Burial Notes from his death record: “Den 26. April nachts umb 11 uhren ist in Gott seelig entschlafen Balthas Katzmayr, Schultheiss und Heylgenpfleger (Verwalter von Klostereigentum) allhier seines allters 74 jahr und den 28. ehrlich zur erden bestattet worden welchen Gott mit frewden zum ewigen leben aufferweckhen wolle, Offertorium erat 22x.”

It can be assumed that Balthasar was not born in Honau. Birth records for Honau are not available anymore as all the old documents were destroyed in the Thirty Years' War, one of the longest and most destructive conflicts in European history. Basically wide areas of the Swabian Jura were depopulated, men were drafted for war, troups of all participating forces were marching through the area, murdering, plundering and pillaging. The Black Death did the rest.

Most probably Balthasar came to the area during war time. We assume he is of Bavarian origin and his family for long centuries served the catholic rulers of Bavaria. Most probably he descends from from Balthasar I Katzmair (1562-1642) who most probably belongs to the Dettendorfer Katzmair line. He was was nobilitated from Rudolf II of Hapsburg. Probably it was the war that brought our Balthasar to Wuerttemberg as the Katzmairs in Bavaria were a noble family with long catholic and imperial background serving the Hapsburg family since the 13^th century. In 1634, at the time of one the most important catholic victories over the Protestants Balthasar was 21 years of age and for an unmarried catholic, Bavarian son of a noble family it would have been likely that Balthasar fought in Noerdlingen for the imperial army.

The Battle of Noerdlingen, was fought out on September 6^th 1634 only about 60 miles away from Honau. The Roman Catholic Imperial army under Ferdinand II of Hapsburg, about 18,000 Spanish and Italian soldiers, won a crushing victory over the combined Protestant armies of Sweden and their German-Protestant allies (Heilbronn Alliance). Unfortunately that victory brought France into that war and started the bloodiest chapter of this European butchery.

Georg Ferchl refers to the "wife of the reigning sovereign", Elisabeth Renata of Lorraine, the wife of Maximilian I., Duke of Bavaria, as godmother of Balthasar I Katzmair's 4 children. From 1591-1593 Balthasar was the Valet of Duke Albrecht VI. of Bayern-Leuchtenberg. 1594-1597 he was assigned as "Hofkammerkanzlist" at the court of Duke William V. of Bayern in Munich/Bavaria. Finally he was made Country Judge ("Landrichter") in Dorfen on September 26^th 1598 until June 2^nd 1602 … “woselbst er bis bis Ende des Jahres 1602 noch zu verbleiben hatte, um in diesem Vierteljahre beide Gerichte zu versehen” – he had to serve both courts, Dorfen and Marktl, until the end of the year. On the 1^st of July 1602 he became 29.09.1608 Judge, Bursary Officer and Tax Collector ("Richter, Kastner und Mautner") in Marktl am Inn where he remained until September 29^th 1608. On December 10^th Balthasar was nobilitated in Vienna by Rudolf II of Hapsburg, the emperor of the Holy Roman Empire and the king of Bohemia and Hungary. According to Ferchl Balthasar I Katzmayr died 1642 "in der Fasten" (fasting period between Easter and Pentecost) after 50 years of service at the age of 80.

 

Ohio

It appears that the first Kazmaiers arrived in the USA in 1846. It was Andreas Kazmaier who in winter 1845/46, together with his wife Anna Maria and their seven children, the youngest only a few months old, left his hometown Grabenstetten, a tiny little village in the Swabian Jura in the German kingdom of Württemberg.

They arrived in New York early in 1846, trekked on to Liverpool, Medina County in Ohio and settled there. The next year, in summer 1847 it was their eight child that was the first Kazmaier born on American soil, the first American citizen to carry the ancient German name Kazmaier. They named him Andrew to honour his father’s name and their ancestor's name as it was Andreas Kazmaier (*1646, +1702), the mayor of Honau/Lichtenstein whose son in 1704 brought the name Kazmaier from Honau to Grabenstetten when he married the mayors daughter.

In 1866 the family, they had fourteen kids now, came to Perrysburg, Wood County, and located on eighty acres of land in Middleton township.

1. Andreas Kazmaier was born on April 29th 1815 in Grabenstetten, Kingdom of Württemberg, Germany and he died August 19th 1891 in Perrysburg, Wood County, OH, USA. He was the son Johannes Kazmaier and Sophia Schempp Vater. On May 5th 1840 he married Anna Maria Renz in Erkenbrechtsweiler, Kingdom of Württemberg, Germany. Anna Maria was born October 24th 1819 in Erkenbrechtsweiler and she died December 22nd 1910 in Perrysburg. She was the daughter of Conrad Renz and Anna Maria Schwenkel.

Andreas and Maria had 14 children:

2. I Elisabeth Kazmaier, born 19 Nov 1833 in Erkenbrechtsweiler, Kingdom of Württemberg, Germany.

3. II Johann Jakob Kazmaier, born 28 Dec 1835 in Erkenbrechtsweiler; died 18 Oct 1910.

4. III Sophia Margarethe Kazmaier, born 19 Sep 1837 in Erkenbrechtsweiler; died 10 Aug 1922.

5. IV Johannes Conrad Kazmaier, born 9 Feb 1841 in Erkenbrechtsweiler; died 23 May 1934 in Perrysburg, Wood County, Ohio. He married Mary Agnes Harthneck.

6. V Theresa Juditha Kazmaier, born 2 Sep 1842 in Erkenbrechtsweiler; died 29 Aug 1875. She married on 27 Dec 1863 in Liverpool, Medina County, Ohio Gottlieb Mutschler.

7. VI August Carl Friedrich Kazmaier, born 17 Feb 1844 in Erkenbrechtsweiler; died 21 Sep 1873 in Perrysburg. He married Mary Schlecht.

8. VII Anna Kazmaier, born 16 Nov 1845 in Erkenbrechtsweiler; died 15 Feb 1866.

9. VIII Andrew Kazmaier, born 7 Aug 1847 in Perrysburg; died 16 Jan 1935 in Perrysburg. He married Anna Mary Renz.

10. IX Ann Mary Kazmaier, born 13 Oct 1848; died 28 Jun 1885.

11. X Anna Katherine Kazmaier, born 3 Aug 1850.

12. XI Christian Emanuel Kazmaier, born 25 Dec 1851 in Liverpool, Medina County, Ohio, died 3 Feb 1909.

13. XII George Martin Kazmaier, born 14 Jul 1853 in East-Liverpool, Columbiana County, Ohio died 27 Oct 1940 in Perrysburg. He married Christine Katharine Kopp.

14. XIII Eva Helen Kazmaier, born 17 Aug 1855, died 16 Jun 1911.

15. XIV William Kazmaier, born 18 Jun 1857 in Perrysburg; died 19 Apr 1936 in Perrysburg, buried in Fort Meigs Cemetary. He married in 1881 in Perrysburg Anna Sarah Renz, born 1 Jan 1858 in Liverpool, Medina, OH, died Jan 1945 in Perrysburg, buried in Fort Meigs Cemetary.

3. Andreas’ oldest son was Johann Jakob Kazmaier (1835-1910) and although he grew old we know nothing about him not even if he was married and had children.

5. Andreas second oldest son Johannes Conrad (1841-1934), who was still born in the imperial Germany should be the one who contributed most to Ohio’s modern Kazmaier population. He and his wife Mary Agnes Harthneck are to have eleven children. From this Kazmaier line the founder of today’s Kazmaier markets in Perrysburg and Maumee, Henry A. Kazmaier, descends. It is as well Richard ‘Dick’ Kazmaier, the famous American football player, who descends from John C. as he was known in Perrysburg. When the family moved to Wood County in 1866 John C. was already married to his wife Mary Agnes Harthneck. He bought some timber land in Middleton Township which he cleared and cultivated. He was a self-made man, and, by perseverance and industry has accumulated a comfortable fortune. He owned 174 acres of excellent farm land in Wood County and was a Democrat in politics, and an active member of the Lutheran Church.

Johannes Conrad Kazmaier was born February 9th 1841 in Erkenbrechtsweiler, Kingdom of Württemberg, Germany and he died on May 23rd 1934 in Perrysburg. In 1864 he married Mary Agnes Harthneck, born on September 18th 1844 in Liverpool, Ohio. She died on May 23rd 1934 in Liverpool. Mary was the daughter of Johann Georg Harthneck and Rosina Sophia Catharina Renz, both from Echterdingen, Kingdom of Württemberg, Germany.

Children of Johannes Conrad Kazmaier and Mary Agnes Harthneck were as follows:

16. I Charles Frederick Kazmaier, born 25 Feb 1865 in Perrysburg; died 4 Mar 1958 in Perrysburg. He married Alice Goodman.

17. II George John Kazmaier, born 3 Nov 1866 in Perrysburg; died 6 Oct 1957; buried in Fort Meigs Cemetary. He married Emma M Shider.

18. III Albert A. Kazmaier, born 28 Jul 1869 in Perrysburg; died 16 Jun 1947 in Perrysburg; buried in Fort Meigs Cemetary. He married Frances Jane Frusher.

19. IV John William Kazmaier, born 11 Jun 1871 in Perrysburg; died 25 Jan 1950 in Perrysburg; buried in Fort Meigs Cemetary. He married Mazie E. Walter.

20. V Henry A. Kazmaier, born 11 Mar 1874 in Perrysburg; died 3 Feb 1938 in Toledo, Ohio, USA. He married on 11 May 1899 Katherine E Betz, born 1878.

Henry A. is the founder of Kazmaier's Groceries in Perrysburg in 1898. He expanded the original store on Louisiana Avenue in Perrysburg buying the meat market next door. With Henry’s diligence and care for quality and value the business quickly grew before he sold it in 1915 to his brother Robert who unfortunately died four years after and so the market was sold to their other brother Harvey in 1919 who operated the market until 1938 when his nephews, Robert’s sons Robert and Allen bought the business back from their uncle. Finally Kazmair’s markets are truly a family run business for almost 120 years.

21. VI Frank Herman Kazmaier, born 4 Jan 1876 in Perrysburg; died 16 Nov 1946 in Perrysburg. He married Anna R Moser.

22. VII Andrew C. Kazmaier, born 18 Nov 1877 in Perrysburg; died 18 Aug 1962. He married Leona Estella Carter.

23. VIII Harrison (Harry) R Kazmaier, born 1 Sep 1879 in Perrysburg; died May 1958 in Perrysburg. He married Mayme (Mary) Neiderhouse.

Harry is the grandfather of the famous football player for Princeton University from 1941 through 1951, Dick Kazmaier. He was named an All American as well as winning the Maxwell Award and the Heisman Trophy in 1951.

24. IX Harvey Julius Kazmaier, born 6 Oct 1881 in Perrysburg; died 27 Sep 1968 in Perrysburg; buried in Fort Meigs Cemetary. He married Minnie Cathryn Kaeding.

25. X Rosa Kazmaier, born 10 Oct 1884 in Perrysburg; died 31 Jan 1979 in Toledo, Ohio, USA. She married Lester B Carter.

26. XI Robert F. Kazmaier, born 5 Jun 1887 in Perrysburg; died 19 Jan 1919 in Perrysburg; buried in Fort Meigs Cemetary. He married Lulu E Schneider.

7. Andreas’ third son was August Carl Friedrich Kazmaier (1844-1873). Not much is known about him, he not even reached the age of 30. As his brother John C. he was born as well in the old world on February 17th 1844 in Erkenbrechtsweiler and he died on September 21st 1873 in Perrysburg. On 31 Jan 1867 he married Mary Schlecht, born 1848 in Germany, died 5 Mar 1889 in Perrysburg.

August Carl Friedrich and Mary had two children:

27. I Frederick Charles Kazmaier, born 15 Mar 1873 in Perrysburg, died 30 Mar 1940 in Perrysburg, buried 4 Apr 1940. He married Emma Burchee.

28. II Sophia Marguerite Katherine Kazmaier, born 1867 in Perrysburg.

9. Andreas’ fourth son is the first Kazmaier born on American soil. Andrew Kazmaier (1847-1935) was born on August 7th 1847 in Perrysburg and he died on January 16th 1935 in Perrysburg. Unfortunately about him, although he reached an old age of 88, not much is known too. On December 1st 1872 he married Anna Mary Renz, the daughter of Johann Andreas Renz and Eva Bauer, in Liverpool. She was born on February 8th 1855 in Liverpool and she died in November 1937 in Perrysburg.

Children of Andrew Kazmaier and Anna Mary Renz were as follows:

29. I Edward Charles Kazmaier, born 27 Sep 1873 in Perrysburg, died 8 Aug 1934 in Perrysburg.

30. II Ida Helen Kazmaier. She married Leonard Darius Carter.

12. About Andreas’ fifth son Christian Emanuel Kazmaier (1851-1909) not much is known either.

13. George Martin was Andreas’ sixth son. George Martin Kazmaier was born July 14th 1853 in East-Liverpool, Columbiana County, Ohio and he died on October 27th 1940 in Perrysburg. He married Christine Katharine Kopp, the daughter of John Kopp and Margaretha Wecht. She was born on May 14th 1854 in New York and died on September 9th 1923 in Perrysburg.

George Martin Kazmaier and Christine Katharine Kopp had five children:

31. I Arthur Kazmaier, born between 1880 and 1885.

32. II August John Kazmaier, born 1 Sep 1890 in Perrysburg, died 5 Sep 1970 in Toledo, Lucas County, Ohio.

33. III Kate Kazmaier, born 1878.

34. IV Russell F. Kazmaier, born 1886 in Perrysburg, died 1956 in Perrysburg. His wife’s name was Julia, born 1882, died 1921, but her maiden name is unknown.

35. V William J. Kazmaier, born 6 May 1877 in Perrysburg, died 23 Apr 1919 in Perrysburg. He married on 17 Oct 1908 in Perrysburg Minnie Stephens.

14. And finally William was Andreas’ seventh son and his 14th child. We find him and his wife Anna Sarah Renz buried on Fort Meigs Cemetary but that is all that is known about William, it occurs he did not have children. William Kazmaier, born 18 Jun 1857 in Perrysburg, died 19 Apr 1936 in Perrysburg. 1881 he married Anna Sarah Renz in Perrysburg, born 1 Jan 1858 in Liverpool, died Jan 1945 in Perrysburg.

 

Pennsylvania

Two years after the first Andreas Kazmaier another Kazmaier arrived. Andreas was a very common name in Germany at that time and obviously it was very common in the Kazmaier family. The second Andreas Kazmaier (1823-1900) came from Grabenstetten as well. They were 3rd cousins 1 time removed. Their common ancestors are Clemens Kazmaier and Anna Blankenhorn. He arrived in Castle Garden, New York City in 1848 and finally settled in Erie County Pennsylvania.

1. Andreas Kazmaier, was born on the 27^th of September 1823 in Grabenstetten and he died in 1900 in Millcreek Twp., Erie County, Pennsylvania. He was the son of Johann Georg Kazmaier and Rosina Staiger. On February 12^th 1850 he married Anna Barbara Renz in Gomaringen, born 13 Dec 1824 in Gomaringen, died 1894 in USA, the daughter of Johann Georg Renz and Anna Margaretha Ulmer.

They had 8 children together:

2. I Andreas Kazmaier, born 30 May 1850 in Gomaringen; died 11 Jul 1928 in College Park, Clayton, Georgia. He married (1) Katherine Baldwin; (2) Hanna E N.N.

3. II Laeza Kazmaier, born 1851 in Pennsylvania.

4. III Pauline Kazmaier, born 1854 in Pennsylvania.

5. IV Mary Kazmaier, born 1855 in Pennsylvania.

6. V Rosa Kazmaier, born 1858 in Pennsylvania.

7. VI John Kazmaier Sr., born 25 Apr 1861 in Erie, PA, USA; died 3 May 1931 in Blair, Altoona, PA, USA; buried in Oak Ridge Cemetary, Altoona, PA. He married (1) Barbara Louisa Buck; (2) Nellie Kemp.

8. VII Gottlob Kazmaier, born 23 Jul 1865 in Erie, PA, USA; died 11 Dec 1937 in Erie, PA, USA. He married Anna Meyer.

9. VIII William Bartholomew I Kazmaier, born 27 May 1871 in Erie, PA, USA; died 26 May 1913 in Milwaukee, Wisconsin, USA. He married Mary Elisabeth Weisser.

2. People may say Germans are crazy but Andreas (1823-1900) named his first son Andreas (1850-1928). He was married twice. About 1872 he married Hanna E, her maiden name remains unknown, but we know she was born 1854 in Maryland and she probably died young in the late 80s of that century. Andreas then in 1890 married Katherine Baldwin in Maryland, born Aug 1859 in Maryland, she died 19 Sep 1944 in College Park, Clayton, Georgia.

With Hanna Andreas had one son and three daughters:

10. I William A Kazmaier, born 1873 in Maryland.

11. II Katherine Kazmaier, born 1875 in Maryland.

12. III Mary B Kazmaier, born 1877 in Maryland.

13. IV Josephine Kazmaier, born 1879 in Maryland.

Together with Katherine Baldwin Andreas had another son and two more girls.

14. I Latha Luise Kazmaier, born Sep 1891 in Maryland. She married Humphrey Charles Wilson.

15. II Georgia Kazmaier, born Apr 1893 in Georgia.

16. III William Andrew Kazmaier, born 5 Oct 1894 in North Atlanta, Georgia; died 1920 in College Park, Clayton, Georgia.

7. Andreas’ second son was named John. John Kazmaier Sr. was born on the 25^th of April 1861 in Erie, Pennsylvania and he died on May 3^rd 1931 in Altoona, Blair County, Pennsylvania. John was married twice. 1880 in Maryland he married Barbara Louisa Buck, born 18 Mar 1860 in Wuerttemberg, died 16 Nov 1904 in Altoona, in Maryland. After her death he took a second wife, Nellie Kemp, born 1872 in Dunfermline, Fife, Scotland, died 30 Oct 1957 in Altoona. She was the daughter John Charles Kemp and Mary Jeffry. We find all of them buried in Oak Ridge Cemetery, Altoona.

Upon receiving his education in the public schools of Erie County, Mr. Kazmaier was sent to Germany by his father to learn the brewery business from the old German brew masters. He remained in Germany for three years and upon his return to America, in 1879, worked in Baltimore, Philadelphia and Johnstown for some years, later establishing a brewery in Columbia. He came to Altoona, in 1896, and bought the Germania Brewery, which had been established in 1852. It was reorganized and equipped with modern machinery and was operated by John Kazmaier until the passage of the Eighteenth Amendment. Since that time he has devoted his time to his duties as director of the Mountain City and Central Trust Companies and to a number of building and loan associations with which he was connected. He was a man of generous disposition, giving largely to all benevolences. His last large benefaction was the gift of the Franklin Hotel to the Altoona Rescue Mission. He was deeply interested in the welfare of his community and a backer of many movements for the betterment of Altoona. He was a member of the various Masonic bodies, and has been honored by the Jaffa Shrine Temple. He was also a member of the Royal Order of Jesters, Benevolent Protective Order of Elks, Fraternal Order of Eagles, and the various German societies. He was an active member of the Grace Lutheran Church. In social affiliations, he belonged to the Medina Athletic Club, Chicago, the Spruce Creek Rod and Gun Club, the Blairmont Country Club, the Altoona Cricket Club, and the Juniata Valley Colony Club.

John and Barbara Louisa had two daughters:

17. I Amelia Louise Kazmaier, born 8 Sep 1881 in Baltimore, Maryland, died 14 Aug 1949 in Los Angeles, CA. She married Emil Herman Hoerl.

18. II Elizabeth Kazmaier, born 16 Nov 1904 in Blair, Altoona, PA, USA, died 17 Nov 1904 in Blair, Altoona, PA, USA.

Together with Nellie Kemp John had one son, John Kazmaier, Jr., who died when seven years of age, in 1918, during the Flu epidemic. John Kazmaier, Jr. was born 11 Jun 1911 in Altoona and died 21 Dec 1918 in Altoona at the family home in Allegheny township of influenza and pneumonia.

Nellie Kemp had another son before she was married to John Sr., Jacob Kemp Kazmaier, born before 1906 in New York City. He died 26 Sep 1971 in Altoona. He is buried in Alto Reste Burial Park, Altoona and he was married to Jane E. Patterson.

8. Andreas’ third son was Gottlob Kazmaier, born 23 Jul 1865 in Erie, died 11 Dec 1937 in Erie. He married Anna Meyer, born Nov 1866, died 7 Apr 1934 in Erie, daughter of Andrew Meyer and Elizabeth N.N..

Gottlob and Anna were born three sons:

21. I Arthur Kazmaier, born Sep 1889.

22. II Otto Kazmaier, born 12 Apr 1893 in Erie, died 1 Oct 1971 in Erie.

23. III Howard Kazmaier, born May 1896 in Erie, died 22 Apr 1962 in Niagara Falls. He married Florence Johnson.

9. And finally Andreas’ fourth son was William Bartholomew I. Kazmaier, born 27 May 1871 in Erie, died 26 May 1913 in Milwaukee, Wisconsin. He married on 18 Nov 1894 in Columbia, Lancaster County, Pennsylvania, Mary Elisabeth Weisser, born Oct 1868 in Marietta, Lancaster County, died 12 Jun 1939 in Milwaukee, Wisconsin.

William Bartholomew I. Kazmaier and Mary Elisabeth Weisser had two sons and one daughter:

24. I William Bartholomew II. Sr. Kazmaier, born 25 Feb 1895 in Lancaster, died 24 May 1971 in Burlington, Racine, Wisconsin. He married (1) Martha Bertha Piepenburg; (2) Florence L Steinhoff.

William Batholomew II is the grandfather of the "the strongest man who ever lived", William Kazmaier (born 1953). Today he is a former world champion powerlifter, world champion strongman and professional wrestler. During the 1970s and 1980s, he set numerous powerlifting and strongman world records, and won two International Powerlifting Federation (IPF) World Championships and three World's Strongest Man titles. In the 1980s Kazmaier became famous for his claim to be "the strongest man who ever lived" by equalling and surpassing spectacular and versatile feats of strength of famous strongmen of the 20th century. He is widely considered to be one of the all-time greatest competitors in strength competitions.

25. II Marion Josephine Kazmaier, born 7 Jul 1896 in Lancaster, died 9 Mar 1998 in West Allis, Milwaukee, Wisconsin.

26. III Emil Victor Kazmaier, born 11 Aug 1904 in Altoona, died 9 Sep 1981 in Greenbay, Brown, Wisconsin.

 

Kansas & Missouri

Roughly about 20 years later another Kazmaier, named as well Andreas – this was a quite common first name in Germany at that time – embarked on a similar journey. Born in Honau in 1845, a neighbouring village of the before mentioned Grabenstetten, he left his fatherland on the search for freedom. Interestingly they were 5th cousins 1 time removed and their shared ancestors go as far back as 1669 when Andreas Katzmayr (the name was very common in Germany) married Anna Maria Braendle in Honau although we almost can be sure that they never knew of each other. Probably the second Andreas heard that family emigrated from Honau and Grabenstetten and found a new homeland in the country of almost unconditional freedom.

From stories told we can assume that he deserted from the army and fled to the north of Germany where he set of to America. He departed from Hamburg on the “Harmonia” and arrived in New York on the 19^th of November 1868.

Presumably he didn’t spend long time in New York but left heading west. He may have heard of a little community in Zoar founded by German religious dissenters called the Society of Separatists of Zoar in 1817. That’s where we find him again settling in the early 70s. In Zoar he probably met Wilhelmina, his first wife and they married on March 14^th 1875 in Zoar, Tuscarawas County, Ohio.

1. Andreas Kazmaier was born July 27^th 1845 in Honau, Kingdom of Wuerttemberg, Germany and he died April 7^th 1896 in Great Bend, Barton County, Kansas. He was the son of Andreas Kazmaier (1808-1856) and Magdalena Rehm (1810-1868). On March 14^th 1875 he married Wilhelmina Damm in Zoar, Tuscarawas County, Ohio. Wilhelmina was born March 21^st 1854 in Prussia and she died February 14^th 1886 in Great Bend, Barton, Kansas.

Andreas and Wilhelmina had two children:

2. i Clara Kazmaier, born 23 Jan 1876 in Tuscarawas County, Ohio; died 13 Jun 1951 in Great Bend, Barton, Kansas. She married John Welch.

3. ii Albert Andrew Kazmaier, born 16 Jun 1877 in Tuscarawas County, Ohio; died 29 May 1962 in Bartlesville, Washington, Oklahoma; buried in Wellsville, Franklin, Kansas. He married Maud Gertrude Harrison.

After Wilhelmina died in 1886, it appears the poor girl died from a rusty nail in her foot, Andrew, as he changed his name by then, married again. His second wife was Sophia Krueger, originally from Wuerttemberg as well. She was born November 27^th 1863 in Wuerttemberg and died July 16^th 1898 in Ellinwood, Barton County, Kansas

Together with Sophia Andrew had another 4 children:

4. i William Kazmaier, born 16 Mar 1887 in Great Bend, Barton, Kansas; died 4 Feb 1979 in Larned, Pawnee, Kansas. He married Mary Velmer May Spencer.

5. ii Minnie Kazmaier, born 1889 in Great Bend, Barton, Kansas; died 24 Jan 1963 in Great Bend, Barton, Kansas. She married on 17 Oct 1928 in Great Bend, Barton, Kansas, Alfred Adam Spaniol, born 8 Jan 1897 in Flanagan, Livingston, Illinois; died 6 Dec 1928 in Great Bend, Barton, Kansas; and in 1935 in Great Bend, Barton, Kansas Bert A. Luse, born May 1885 in Great Bend, Barton, Kansas, USA; died 24 Mar 1958 in Great Bend, Barton, Kansas.

6. iii Louis Kazmaier, born 18 Jan 1891 in Barton County, Kansas; died 21 Mar 1918 in Barton County, Kansas.

7. iv Lena Kazmaier, born 1 Oct 1892 in Barton County, Kansas; died 30 Mar 1981 in Great Bend, Barton, Kansas. She married on 17 Sep 1913 in Barton County, Kansas, USA John Edward Jurgensen, born 3 Aug 1888 in Kansas; died 17 Nov 1956 in Barton County, Kansas.

It shall be Andrews’s and Albert Andrew’s descendants who today maintain the name Kazmaier in the state of Kansas.

2. Clara Kazmaier, born 23 Jan 1876 in Tuscarawas County, Ohio, died 13 Jun 1951 in Great Bend, Barton County, Kansas. She married on 18 Jan 1894 in Great Bend John Welch, born 28 Apr 1857 in New Orleans, Jefferson, Louisiana, died 17 Sep 1933 in Great Bend.

Clara and John had seven children: Clara Pauline Welch, born 7 Mar 1912, Clarence Edward Welch, born 2 Jun 1905, Ethel Minnie Welch, born 21 Sep 1896, John Albert Welch, born 19 Aug 1899, John William Welch, born 27 Aug 1909, Mary Irene Welch, born 29 May 1914, and Michael Andrew Welch, born 17 Oct 1894.

3. Albert Andrew Kazmaier was born on June 16^th 1877 in Tuscarawas County, Ohio and he died May 29^th 1962 in Bartlesville, Washington County, Oklahoma. He is buried in Wellsville, Franklin County, Kansas. On January 18^th 1899 he married Maud Gertrude Harrison, born 13 Apr 1880 in Wellsville, Franklin, Kansas, died July 1^st 1947 in Wellsville. She was the daughter of John R Harrison and Anna Eliza Watkins.

They had three children together:

8. I Anita P Kazmaier, born 30 Jan 1900 in Wellsville, died 15 Oct 1954 in San Mateo, California, USA. She married Chester Eugene Graves.

9. Ii Clara Laurene Kazmaier, born 17 May 1902 in Wellsville, died 19 Jun 1992 in Grove, Delware, Oklahoma. She married John Tilford Barnard.

10. Iii John Andrew Kazmaier, born 28 Nov 1911 in Wellsville, died 9 Aug 1999 in Eudora, Douglas County, Kansas. He married (1) Martha Ruth Cordell; (2) Dorothy Weixeldorfer.

4. William Kazmaier, born 16 Mar 1887 in Great Bend, died 4 Feb 1979 in Larned, Pawnee County, Kansas. He married on 22 Sep 1920 in Great Bend Mary Velmer May Spencer, born 3 Jul 1901 in Spearville, Ford County, Kansas, died 13 Aug 1976 in Larned. Mary was the daughter of Albert Burr Spencer and Lillie Imel.

William and Mary were born five children:

11. I Catherine Irene Kazmaier, born 12 May 1934 in Kansas. She married on 3 Jun 1951 David Eldon Hammond, born 18 Mar 1932 in Kansas, died 1 Mar 2009 in Colorado Springs, El Paso, Colorado.

12. II Mary Darlene Kazmaier, born 10 Jun 1927. She married (1) Clovis Charles Gossett; (2) Milton Scott English.

13. III Robert Lee Kazmaier, born 31 Jan 1923 in Garfield, Pawnee County, Kansas, died 26 Sep 2012 in Stow, Summit County, Ohio. He married Jean Marie Williams.

14. IV Vineta Marcile Kazmaier, born 24 Dec 1928 in Belpre, Pawnee County, Kansas. She married Donald Keith King.

15. V William Andrew Kazmaier, born 27 Jun 1921 in Garfield, died 24 Jan 2010 in Larned, Pawnee County, Kansas. He married Wilma Ruth Grove.

Genetic study reveals 30% of white British DNA has German ancestry

A genetic study shows 30% of our British neighbors are of German descent

 

In the Guardian, I recently found a very interesting article about a genetic long-term study showing that 30% of all white Britons have German ancestors. Studies over a period of more than 20 years reveal the strong influence of the Angles and Saxons (Anglo-Saxons) on the colonization of the island. French and Danish DNA has been increasingly detected in earlier stages of colonization.

From the 5th century the Anglo-Saxons, settled together with strains of the Jutes, Frisians and Lower Franconia in Britain. From an ethnic point of view, our British neighbors are therefore the result of several waves of immigration of Germanic tribes who mixed with the Celtic-Roman native population and were supplemented with the beginning of the 11th century by immigration from Scandinavia. Francophone Normans completing the ethnic diversity and so the English, British nation evolved in the Middle Ages.

Next to the German share of DNA the population of South and Central England today shares French (40%), Danish (11%) and Belgium (9%) DNA of which the French share is not due to the Norman invasion of 1066 but by a wave of migration at the end of the last ice age nearly 10,000 years ago from a region that today is widely called 'Doggerland' (here a very interesting article in the National Geographic about Doggerland), namely the then dry part of the North Sea.

The Romans, Vikings and Normans may have ruled the islands for hundreds of years but from a genetic point of view they have left only small traces. The study shows that it was the Germans, the Angles, Saxons and Frisians, who largely rebuilt by your influence, today original British DNA.

This as well explains the origin of the English language as an originally Germanic language and the close relationship to the Frisian and Low German languages. The word 'English' most probably derives from the name of one of the Germanic tribes conquering the island, the Angles. The influence of both the West and North Germanic languages as well as classic Latin and French have helped that English today has an exceptionally rich vocabulary.

That reminded me of a college research paper I had to submit last year which was about the relevance of DNA testing in modern genealogical research. The following will only show the executive summary as the complete paper would be to extensive …

GENETIC GENEALOGY – THE RELEVANCE OF DNA TESTING IN MODERN GENEALOGY AS AN ALTERNATIVE TO TRADITIONAL GENEALOGICAL RESEARCH

 

Family History research or Genealogy (from Greek genea: race, generation, family and logia: study, science) is the study of families and their lineages by tracing a person’s ancestors (Sorenson Molecular Genealogy Foundation, 2014a). The traditional way to do this is tracing – generation by generation - your parents, grandparents, great-grandparents and so on. Primary sources for this are church books, census data, old documents, oral interviews etc. Everything that contains details about someone’s ancestor by going back from generation to generation is of interest. Genealogy is helpful in providing knowledge about pedigrees and kinships of family members. Once the information is acquired, it may be displayed in the form of a tree which is a kind of family tree or it is also written in the form of narratives. Every researcher will, at one point hit a brick wall where no further information might be available to him to study. Over the centuries wars destroyed primary sources and documents were lost forever. In early history written documentation was rare as most people could not read or write.

At this point a researcher might consider the help of genetic methods to connect with other researchers that might have information which is inaccessible for him. In the last 15 years DNA tests opened ways to trace ancestors genetically by analysing a person’s mitochondrial DNA to trace their maternal line and their Y-DNA to trace their paternal lineage which is `typically interpreted within the context of a surname study` (Kennett, 2013). ‘A patrilineal surname is inherited in the same way as the non-recombining region of the Y chromosome and there should, therefore, be a correlation between the two’ (King & Jobling, 2009).

`Molecular Genealogy (also called "Genetic Genealogy") is the application of DNA to traditional genealogical research` (Sorenson Molecular Genealogy Foundation, 2014b). In that sense two researcher researching the same surname and assuming an ancestral relation might be able to interconnect their research gained traditionally by comparing their DNA and in case of a match much more effectively increase the size of their own pedigree by incorporating the other researcher’s pedigree.

This research report is designed to show how DNA testing can be used and whether is it relevant or not. The research report also highlights some companies that support and promote DNA testing to show how these tests could be used in genealogical researches. This research undertakes a scientific approach for research which makes use of quantitative analysis. A randomly sampled group of 100 participants would be used to obtain data from which then would be analysed. However, this research has some limitations which are partially but greatly based on ethical concerns of the people. The ethical concerns of people are discussed in the later sections of this research report. After analysis of the literature, it was found that DNA testing is relevant and can very well be considered a complementation to the traditional method of genealogical researches where genealogical researchers face difficulties in acquiring greater knowledge about a subject.

References

Devlin, H., 2015. Genetic study reveals 30% of white British DNA has German ancestry. [Online]  Available at: http://www.theguardian.com/science/2015/mar/18/genetic-study-30-percent-white-british-dna-german-ancestry

King, T. E. & Jobling, M. A., 2009. What’s in a name? Y chromosomes, surnames and the genetic genealogy revolution. Trends in Genetics, 7 8.

Leslie, S. et al., 2015. The fines-cale genetic structure of the British population. [Online] Available at: http://www.nature.com/articles/nature14230.epdf?referrer_access_token=_fVMkT1eZ7n_oOrpITxS2tRgN0jAjWel9jnR3ZoTv0MiE0_B2kFTYAb64eH_EPxJeiJzg7Mfl6MEBC6p_EUzUubrkOhRuO_XsZgBdONzb7JHIJr0qWq47bqvybwXlZOl6rT8e6_ZLRFU5Y1Usu-VzWwuPgZJTD4dXKpUe-mYsGEs0ilrxQAsV2B2u

Sorenson Molecular Genealogy Foundation, 2014a. What is Genealogy?. [Online] Available at: http://www.smgf.org/pages/genealogy.jspx [Accessed 22 10 2014].

Sorenson Molecular Genealogy Foundation, 2014b. Why Molecular Genealogy?. [Online] Available at: http://www.smgf.org/pages/why_genetic_genealogy.jspx [Accessed 22 10 2014].

Spinney, L., 2012. Searching for Doggerland. [Online] Available at: http://ngm.nationalgeographic.com/2012/12/doggerland/spinney-text

L’Oreal’s expansion to China

 Introduction

This report will focus on L'Oréal and its expansion to China. It will show how global strategies can open ways to grow new business opportunities. In the following report, the motives behind L'Oréal's expansion into China will be identified and discussed. Furthermore, an extensive examination of the external environment will be undertaken using a PESTLE analysis, which will be followed up with a breakdown of the industry sector using the Porter's Five Forces analysis. Finally, market entry strategies will be identified by undertaking a SWOT analysis. The report will take a closer look at the Chinese cultural environment, with L'Oréal's organizational structure described and interpreted, outlining the staffing policies, and identifying potential leadership, motivational and communication issues. Finally, the report will examine special control issues which are of concern to L'Oréal, and potential concerns from the view of the local government and community. Adoptive measures to be undertaken by L'Oréal ensuring long-term, co-operative relationships in China will close the report. 

L'ORÉAL – The Company

L'Oréal S.A. is a French cosmetics manufacturer, headquartered in Clichy, France, and is currently the world's largest cosmetics manufacturer (Forbes, 2014), followed closely by companies such as "Unilever", "Procter & Gamble" and "Estée Lauder" (Women's Wear Daily, 2014). However, L'Oréal focus exclusively on beauty and personal care, as opposed to main competitors, Procter & Gamble and Unilever, which are not only involved in beauty and personal care, but also in home care.  The company was founded by a young French chemist, Eugène Schueller. Schueller had already started a small commercial business called "Auréole" in 1907, which produced hair care products (The Telegraph, 2006), purchased by Parisian hairdressers. In 1908, he patented the product and, in 1909, founded his company "Société Française des Teintures Inoffensives pour Cheveux" (L'Oréal, 2014d). In 1939, the company simply became known as L'Oréal (L'Oréal, 2014d). L'Oréal operates in 130 countries across the globe and has approximately 77,400 employees, with 45 factories and 71 distribution centres (L'Oréal, 2014c). By 1928, the company had established the subsidiary "Monsavon", and over the coming decades established several others, such as the Brazilian "Faproco" in 1959, "Lancome" in 1964, "Garnier" in 1965 and "Biotherm" in 1970 (L'Oréal, 2014d). By 1963, the L'Oréal Group was listed on the Paris Stock Exchange, and its market capitalization has increased more than 750 times since then.According to L'Oréal's annual results release (L'Oréal Finance, 2014a), in 2013 they made an operating profit of €3.875bn, with annual revenue of €22.98bn in consolidated sales.Today, L'Oréal operate regional research and development centres on 4 continents in order to enable a better understanding of local preferences, thus developing products more suited to the locale. For example, the research centre in China studied Chinese hair types and hair care customs for three years, eventually leading to the development of a range of hair care products designed for Chinese hair based on local preferences and hair care practices (Euromonitor, 2012).In operations, L'Oréal splits primarily into four divisions: "Professional Products", "Consumer Products", "L'Oréal Luxe" and "Active Cosmetics" (L'Oréal, 2014c).In order to better meet the requirements of consumers and to grasp local opportunities, L'Oréal is increasingly opening up to the local suppliers by creating regional ecosystems. In Asia, for example, the purchase of local raw materials has soared by 85% in 2 years.

L'ORÉAL – The Product

L'Oréal has an extensive range of beauty products and cosmetics, such as colour cosmetics, skin care, hair care, men's grooming, fragrances and sun care, with some products catered towards specific markets and cultures. L'Oréal's "Professional Products", with its number one brand "Kérastase", build the luxury hair care segment. The division "Consumer Products" aims to cater for all corners of the world with their best innovations of cosmetic produce, and the products - colouring, hair care, makeup and skincare - are distributed through mass retailing channels. "L'Oréal Luxe" products are available not only in cosmetic and department stores, but also in their own-brand boutiques and committed online stores, which built L'Oréal's luxury division.The "Active Cosmetics" division focuses on skincare needs, and is the current dermo-cosmetic world leader (L'Oréal, 2014c). With the acquisition of "The Body Shop" in 2006 (The Independent, 2006), which had a reputation for natural products and ethical values, L'Oréal pledged to incorporate some 21st-century values, "defending the environment, fair trading, and social responsibility" (L'Oréal, 2014c). "The Body Shop" is currently operating in more than 60 countries, with over 2,800 stores. But due to their stance on animal rights, legal aspects impeded "The Body Shop" from establishing itself on the Chinese market.

L'Oréal's opportunities on an emerging market

There are several reasons for companies entering emerging markets. The main reasons being the increased market share and a certainty of increased financial gains. The list below is a non-exhaustive enumeration of reasons why entering an emerging market is a great opportunity for L'Oreal.

1. Strengthen the company's market portfolio
2. Gain access to the local markets and to the local capital
3. Take advantage of where the growth is today and for the foreseeable future
4. Expand the company's footprint in the skin care and hair care segments
5. L'Oréal would benefit from an expansion in China, as it is expected that by 2016 China will have overtaken the US in regards to purchasing power.
6. Access to the growth opportunities is invaluable for L'Oréal in regards to their comparatively narrow focus.
7. Gain confidence with domestic customers while expanding to an emerging market
8. Meet the customer's demand for affordable beauty and personal care products
9. The company could utilize the young working age populations of most emerging markets, and keep the retired population from government run workhouses.
10. Currency appreciation may add to the value of doing business in a different country, alongside lower taxation rates on capital

L'Oréal's Focus on entering the Chinese market

By the year 2020, L'Oréal hopes to have achieved a customer base of two billion, up from one billion, and they have made this their key objective (Asia Corporate News Network, 2014). The company has been targeting emerging markets and is well on track. China has the third largest cosmetics trade in the world (see Figure 1), and L'Oréal have found great success here (Pandexa Global Trading, 2014), with increased penetration through both luxury and mass brands.

Figure 1 - Cosmetic Sales Ranking Worldwide (Pandexa Global Trading, 2014) China is a land of change. Rapid industrialisation, improved education and increasing incomes have contributed to the rising change, meaning the average Chinese consumer has a higher income, and more money to expend. According to a McKinsey report (Atsmon & Magni, 2012, pp. 42-49) the number of so-called "mainstream" consumers (s. Figure 2) will dramatically increase by 2020.Until a few years ago, a globally operating company had two choices: target the "mainstream" customer, which was represented in 2010 by 6% of households, or target the "value" customer group with a household share of 82% in 2010. The former meant they targeted a relatively small group, and the latter that their products needed to be cheaper. Statistically, the "mainstream" consumer group is to increase to 51% by 2020, representing a market of about 400 million potential customers, while the share of "value" customer is predicted to continually decrease until 2020 to 36%. China provides a target market of approximately 700 million potential customers in both the "value" and the "mainstream" households.

Figure 2 - The share of Chinese household income (Atsmon & Magni, 2012, p. 43) With the changes in the Chinese consumer's increasing affordability taken into consideration, L'Oréal is finding optimal conditions to place its mid and lower-tier mass brands, L'Oréal Paris, Garnier, Maybelline and Clarisonic.Not only that, the Chinese consumer will have a growing amount of income at their disposal; according to the international consulting firm Hafezi Capital the Demand remains high for foreign products even when they are considered a luxury product within the emerging market. The main reasons are the Foreign Brand attractiveness and representation of financial and consumption power, the potential for inferior products within the domestic market, and/or product uniqueness (Hafezi Capital, 2014).The consumer group between 18 and 39 is generally well-educated and grew up in a more open environment than their parents (Qiu, 2011). According to Qiu (Qiu, 2011), the average Chinese consumer still does not have a high consumption of personal care products, but there is an increasing potential for growth in this area. As income is rising and shifting, more Chinese consumers will be in the position to spend their discretionary income for non-essential body care products, for example wearing cologne is not very common amongst Chinese men, allowing L'Oréal an opportunity to take advantage of this niche (Qiu, 2011).The spending pattern of an aging Chinese population is also a very important factor for future planning. Generally speaking, Qiu argues that the consumer generation over 40 is a difficult one, as they grew up during the Cultural Revolution (1966-76) and early stages of the reform era (Qiu, 2011). They usually spend large proportions of their earnings to take care of their children and parents. According to Atsmon and Magni these 'tendencies will probably be much less apparent in 2020' (Atsmon & Magni, 2012).

External Environmental Analysis

Compared to Western markets, the Chinese market is vastly different. To highlight this, a PESTLE analysis will be undertaken. This will define the environment which L'Oréal is to operate in, while highlighting critical operational factors.

Political Environment Analysis

China's political system is a major factor to be taken into account when entering this market. As one of few socialist countries, it publicly aligns itself with communism. The "socialist market economy" concept was first recorded in the party statutes, and later in March 1993, was included in the Chinese Constitution. Finally, in March 1999, it was further clarified with constitutional amendments added (Federal Foreign Office of the Federal Republic of Germany, 2014). Despite both human rights violations and socio-political issues, China is deemed politically stable.

Economic Environment Analysis

Extensive economic and social reforms were announced in November 2013 by the Central Committee of the Communist Party of China. These reforms are to be phased in over time, and fully implemented by 2020. If successful, the financial sector will become liberalised. The role of the market should be bolstered as a result, as will the private sector (Federal Foreign Office of the Federal Republic of Germany, 2014). Additionally, as a partner in the ASEAN Free Trade Area, China has created positive investment conditions.

Social Environment Analysis

To understand and evaluate the Chinese social environment, demographic factors are critical. In 2012, the population of China was 1.354 billion (National Bureau of Statistics of China, 2013). The annual population growth rate for that same year was 0.49 % (Statista Inc., 2014) and the unemployment rate was 4.1 %, (National Bureau of Statistics of China, 2013). There are social implications and consequences involved if western companies choose to sell their products in China, or outsource production there. It is imperative for success that western companies understand the culture of the Chinese market. In order to attain a level of insurance for success in China, "Guanxi" - meaning 'relationships' - is a concept that must be embraced. Connections are vital in China. The level of connections, or networking, that a western company has in China is directly linked to how successfully disputes regarding contractual agreements are resolved. Depending on whether the western company is actually selling products in China or just outsourcing production determines the amount of "Guanxiwang" (social networking) required; selling in China requires a high level of Guanxiwang, outsourcing requires less. Another value to be considered is "Mianzi". This is a vital agreement which means a western company must not lose face, nor allow the Chinese partners to lose face. Chinese mentality and behaviour in business have been moulded by its traditional historic culture. A western company must not view China as one single market, due to resilient regional differences. Family security is very important for the Chinese. Workers are driven to constantly find better jobs and opportunities (Prof. Tiehua, 2006). Recruitment, localisation and retention of staff are now top priority for companies in China. L'Oréal, with 3000 people in China, say that staff turnover in its marketing department is approximately 15%. 'A lot of fresh graduates leave. We lose almost all we hire in the first three years', says Daisy Dai, L'Oréal's human-resources director (The Economist, 2005). Consequences of these social implications mean that L'Oréal must: 

• Provide health cover for its employees, which is aligned with best practice
• Provide financial protection for all employees if unexpected life events, such as incapacity or permanent disability, occur.
• Continuously provide training to employees due to high retention or turnover
• Adapt its company structure according to Chinese culture

Technological Environment Analysis

China presents great technological opportunities, particularly due to its growing "tech savvy" population (Chen, et al., 2013). The L'Oreal Group has a developed online shopping system on its official website, and also at www.luxurybeauty.com, fitting perfectly with China's increasing online shopping habits, providing greater opportunities (Switzerland Global Enterprise, 2012).

Legal Environment Analysis

Taxes for importing cosmetics are a factor to be considered. At present there is:

• Import tariff at 6.5%,
• VAT at 17% equal to home grown companies, and
• Consumption tax at 30% for eleven types of beauty products such as eye and lip make-up preparation.

From a legal point of view, there would be nothing to stop L'Oréal from entering China's market.

Environmental Analysis

Weather, climate, geographical position, climate change and insurance are all factors that must be assessed. Environmental protection was not a high priority in the past in China, but environmental protection education has recently commenced. In a recent poll of the 'Top 20 most polluted cities in the world', China does not feature anymore (Park, 2014). L'Oréal's ambition is to:

• Reduce CO² emissions at their plants and distribution centres by 60%, from a 2005 baseline.
• Reduce their water consumption by 60% per finished product unit, from a 2005 baseline.
• Reduce waste by 60% per finished product unit, from a 2005 baseline.
• Send zero waste to landfill.
• Reduce CO² emissions from transportation of products by 20 % per finished product unit from a 2011 baseline.

L'Oréal will be operating on the Environmental and Social implications. The issues surrounding environmental protection have become increasingly important in recent years as the implications of under-regulated economic activity are seen today. The major current environmental issues in China are: air pollution from over-reliance on coal, water shortages, water pollution from untreated wastes, deforestation, a 20% loss of agricultural land since 1949, and desertification. Deforestation has been a major contributor to China's most significant natural disaster, flooding. China's national CO² emissions are among the highest in the world and increasing annually. The CO² emissions in 1991 were estimated at 2.4 billion tons. By 2000, that level, according to United Nations (UN) statistics, had increased by 16% to nearly 2.8 billion tons. L'Oréal is taking the necessary measures to address these issues.

PESTLE Analysis Conclusion

Firstly, very stable political conditions and rapid economic growth has made industrial investment in China very attractive to investors. Secondly, positive technological, legal and environmental factors provide a very attractive climate for L'Oréal to situate business in China.

Porter's Five Forces Analysis

According to the authors of Free Management eBooks Whilst understanding the macro-environment is essential for developing a strategy, [after having completed a PESTLE analysis] it only gives half of the picture. To have a thorough understanding of the competitors and the impact they can have on the company there is the need to conduct Porter's Five Forces Analysis(Team FME, 2013a, p. 7). Porter's model is based on the idea that the attractiveness of an industry is determined by the expression of the five main competitive forces:

1. The intensity of competitive rivalry among businesses in the industry;
2. The threat of potential new entrants to the industry;
3. The threat of substitute products;
4. The bargaining power of suppliers; (to business in the industry)
5. The bargaining power of buyers or customers;

Force 1 – Rivalry among businesses in the industry

The Chinese cosmetics market is highly concentrated, with most major brands, such as "Procter & Gamble", "Unilever", "Shiseido", "Amway", "Mary Kay", "Estee Lauder" etc., being represented there. The CR7 index, including the aforementioned companies and L'Oréal, was 45.1% in 2012 (Fung Business Intelligence Centre, 2014, p. 11). Larger companies more often have their own production facilities, as L'Oréal does, which results in high fixed costs. Retailers regularly stock all major brands, resulting in high competition on price. L'Oréal, as market leader, may be in the position to win potential price wars that could result from the competition. However, the degree of rivalry must be assessed as high due to the elevated level of competition.

Force 2 – The threat of new entrants to the industry

The threat of new entrants can be considered fairly low due to the strong competition. The leading market position of L'Oreal and its competitors and the business start-up costs could have an impact on the success of new market entrants, coupled with the fact that the market leaders have generated brand loyalty from customers, building successful relationships based on trust. This has enabled them to achieve good financial results. L'Oréal's total group sales for 2013 were €22.98 billion (L'Oréal, 2014a, p. 12). Significant entry barriers, like government regulations, patent regulations, cost disadvantages independent of scale or barriers to exit do not exist in China.

Force 3 – The threat of substitute products

Substitute products on the market are rather scarce. In China, some people rely on Traditional Chinese Medicine, which also covers cosmetic products. Herbal and natural products, like Henna, are still quite common. These products are not considered serious threats but result in indirect competition as they are believed to be allergy free, free of harmful chemicals and preservatives. The Chinese government's consideration of laws regarding animal testing for cosmetic products might draw producers of natural cosmetics attention to China. For example, Louise Terry, The Body Shop's spokeswoman, said 'We have campaigned against animal testing for over 20 years and we look forward to selling our products in China one day.' (Dayu, 2013) Even though The Body Shop is part of the L'Oréal-Group and therefore cannot be considered a threat, other companies may think upon similar lines and could become future threats. Overall, the threat of substitutes can be assessed as weak at the moment.

Force 4 – The bargaining power of suppliers

L'Oréal is the biggest cosmetic company in the world. Their negotiating power on the market is of notable significance. They have their own factories not only in China, but also in India, with a total of 42 globally (Fangfang, 2013) to secure their supply-chain. The new factory in Hubei will be the largest production plant in the Asia-Pacific region (Lei, 2013). According to Alexis Perakis-Valat, the Executive Vice-President L'Oréal Asia Pacific L'Oréal is locally producing almost all of the L'Oreal Paris, Maybelline and Yue-Sai-branded products that we sell in China. By building its largest Asia-Pacific production base in China and moving its Asia-Pacific headquarters to Shanghai in July, the company has shown its confidence in the market in the region(Perakis-Valat, 2013). As many of L'Oréal's products are sold through retailers, such as department stores or supermarkets, depending on size, these chains suppliers could be in the position to put pressure on L'Oréal. Close relationships with these chains could provide opportunity to guard against any potential threats. These factors, with the well-developed online distribution channels that L'Oréal operates through, the threat through the bargaining powers of suppliers can be considered very moderate.

Force 5 – The bargaining power of buyers or customers

According to new research by Bionsen 'British women spend up to £40,000 in a lifetime on her hair and £100,000 on cosmetics' (Sharkey, 2014) and almost half of the women studied will not leave the home without applying make-up or perfume. The industry sector of global cosmetics is a highly competitive one, involving major international organizations (Procter & Gamble, Shiseido, etc.). The market is becoming even more competitive, with the consumer not only considering the image of the product, but the price. Increasing competition may force market price reductions which results in smaller profit margins and could even cause the loss of market share. With an increase in consumer knowledge regarding cosmetics in the past 15 years and the fact that consumers can easily switch to a competitor's product, the buyer's power has to be considered the strongest threat factor.

Conclusion

According to Michael Porter the five competitive forces jointly determine the strength of industry competition and profitability. The strongest force (or forces) rules and should be the focal point of any industry analysis and resulting competitive strategy (Porter, 1998, pp. 3-5). The discussion above clearly shows that L'Oréal's external environment is displaying great opportunities. L'Oréal, as market leader, should be able to vindicate their position, considering only the 'rivalry' factor and the 'buyer's power' factor is evaluated as high. Other factors are not to be underestimated, and the 'substitute' factor requires continuous assessment as consumer awareness about natural products may be increasing with the changing Chinese society.

Market Entry Strategies

To evaluate internal factors, it is advisable to conduct a SWOT analysis of L'Oréal's strengths, weaknesses, opportunities and threats to compliment the PESTLE and Porter's Five Forces analysis. According to Prunckun (Prunckun, 2010, p. 138) the PESTLE analysis 'could be seen as the macro scene, and SWOT is the micro perspective'. Therefore, a PESTLE and Porter analysis should usually feed into a SWOT analysis. Taking this into account, below is a SWOT analysis for L'Oréal.

Strengths

• The Executive Vice President of Research and Innovation, Laurent Attal, stated that 'Research has always been at the heart of L'Oréal's growth, with three major drivers of innovation: active ingredients, formulation, evaluation' (L'Oréal, 2014f).
  L'Oréal's Research & Innovation model is based on three areas
  (L'Oréal, 2014f): (1) Advanced Research, (2) Applied Research and (3) Development.                
• L'Oréal continually concentrates on increasing their market share. To increase market share in hair care and skincare, L'Oréal launched its own line called "L'Oréal Paris" (L'Oréal, 2014a, p. 37).
• In recent years, L'Oréal has placed more emphasis on environmental awareness. By 2020 L'Oréal have pledged that 100% of their products will carry a social and/or an environmental advantage (L'Oréal, 2014a, p. 86).
• To ensure delivery of their products, L'Oréal relies on an efficient supply chain management service. As quality and meeting deadlines are key to success in China, it is vital to have the right supply chain partner. They now use DKHS, a market expansion services group, Asia being their focus point (DKSH, 2014)

Weaknesses

• In China, L'Oréal's hair care has not taken off as planned, losing out to Unilever and P&G. In January 2014, L'Oréal announced the pulling of the Garnier brand from mainland China, the brand accounting for only 1% of L'Oréal's 2012 sales (Saigol & Waldmeir, 2014) (McDougall, 2014). This highlighted a significant need to refocus the market strategy.
• With a continual need for innovation, L'Oréal also has very high R&D costs. For example, in a presumed attempt to improve hair care sales in China, they spent three years studying Chinese hair types in order to develop a hair care range specific to the culture (Euromonitor, 2012). The constant investment warrants a high risk of failure.
• The company's organisational structure by divisions is very much decentralised, with L'Oréal owning an extensive range of brands such as "Essie", "Urban Decay", "Maybelline", "Diesel Fragrance", "Kiehl's" and "Biotherm". Owning so many brands means that L'Oréal rely on third party retailers, and the lack of centralised structure makes the company more difficult to control, with a slower rate of production (Telphon, et al., 2014).

In order to overcome these weaknesses, it might be advisable for L'Oréal to refocus their strategy on marketing skin care products. And in order to reduce R&D costs, they could look for new markets in developing countries so that new R&D ventures are not necessary. Also, given that it would be incredibly difficult for L'Oréal to 'centralize', they could consider organising authority of brands and divisions according to the geography of the company, accelerating production and decision processes (Telphon, et al., 2014).

Opportunities

The cosmetics industry is going from strength to strength, with a higher customer demand every year. Innovation is an immense opportunity for L'Oréal as products and services expand, with a niche market for organic and natural cosmetics.

• L'Oréal is aware that globally the consumer is attracted to anti-wrinkle products, skin pigmentation products, skincare etc. This is a promising market, expanding constantly as the population ages (Euromonitor, 2012).
• L'Oreal's advanced research, applied research and product development, enabled the creation of technological successes like Fructis. Each stage has its own unique functions to perform in order to create successful innovations (Moore, 2014).
• L'Oréal Paris recently launched their Makeup Genius app. The app allows the potential consumer to test the products virtually using a smart phone, with realistic results. Consumers from all corners of the world can now try L'Oréal products. The consumer can place an order for the virtually tested product(s) and save time, with no need to leave the home (Reeder, 2014).
• The company is one step ahead of its competitor in market share, thanks to the large patents registered by the company (MBASkool, 2013).

In order to take full advantage of the opportunities, L'Oréal should focus on enhancing and developing existing products in order to gain a bigger market share.

Threats

• Competition is rising in emerging markets. Rivalry is becoming more intense with new competitors, but L'Oréal continues excel in terms of expansion, with "Estée Lauder" and "Coty" both targeting China (Euromonitor, 2012). L'Oréal is also facing competition from "Proctor & Gamble" in the skin care market in China.
• Economic adversity has been at the forefront of most business decisions in recent years. The debt crisis in the Euro zone has darkened economic forecasts, while at the same time emerging markets, such as China, are reportedly cooling down (Euromonitor, 2012).
• Fluctuating exchange rates between the Euro and Chinese Yuan may pose a threat with potential loss of profit margin.

Conclusion

Strengths and opportunities outweigh the weaknesses and threats. L'Oréal's main strength is their constant research and innovation, enabling them to remain the market leader despite strong competition. Their decentralized divisional organizational structure may be considered their leading weakness. L'Oréal's ability to capitalize on opportunities may be rewarded with increasing profits and decreasing costs. L'Oréal should prepare for the threats that the future may hold, threats that every company may face e.g. economic crisis, economic downfall and changes in market demand. All of these threats require continuous monitoring and evaluation.

A Cultural Profile of China

China, with a population of almost 1.4 billion people (World Population Review, 2014), is not only the most populated country in the world but the third largest, with an area of 9.6 million km² (Consulate General of The PRC, 2010). Chinese culture spans 4000 years, diversity evident in every corner of the country. The five largest cities are in the east of China and account for more than 100 million people. Although there are 56 different ethnic groups, 91.5% of the population are Han Chinese (World Population Review, 2014) and the official language, although not exclusive, is Mandarin (Consulate General of The PRC, 2010). Officially an atheist country, the culture has been influenced within the past millennium by Taoism, Buddhism and Confucianism. Exploring China's culture through Hofstede's 6-D Model (The Hofstede Centre, 2014) can provide an interesting overview Figure 3 - China, in comparison with Ireland and France (The Hofstede Centre, 2014)

Power Distance Index

As seen in Hofstede's model, China scores an 80 in the PDI, implying that unequal treatments are widely accepted resulting in a society very obedient to authority.

Individualism

Having a very low Individualism score with 20, China can be considered a highly collectivist culture where people mainly act in the interest of a group.

Masculinity

With a score of 66, China proves to be a very masculine society, defined and driven by success, competition and achievement.

Uncertainty Avoidance Index

The UAI of 30 testifies that the Chinese are quite comfortable with ambiguity, being adaptable and entrepreneurial, which is shown by the majority of Chinese business sizes being small to medium sized and family run.

Pragmatism

China generally has a very pragmatic culture, scoring 87, with a strong inclination to frugality and ambition. The long-term orientation in Chinese culture results in a very pragmatic integration of morals and customs adjusting traditions deftly to changed conditions.

Indulgence

A low score of 24 indicates that China is a very reticent society. Unlike indulgent cultures, restrained societies do not put much emphasis on their spare time and control the satisfaction of their demands.

Reception from suppliers, government, distributors and workers

The Supplier

Suppliers in China often pirate the products or produce extra quantities that are, over a period of time, transferred for sale elsewhere.

They produce products for competitors despite non-competition clauses in purchasing agreements. This may pose a problem for L'Oréal in regards to loss of sales

The Government

For L'Oréal to be successful in China, strong, lasting relationships must be built not only with the central government, but with local governments as well. The initial move to China has been smooth, however in the last year there has been significant evidence to suggest that the powers in China have been targeting multinational companies amid the economic slowdown, including L'Oréal rival, "Johnson & Johnson", the accusations spanning price fixing, 'monopolistic behaviour' , and minimum pricing. It seems that China is favouring national business, and tensions are on the rise (Cendrowski, 2014)

The Distributor

'Good distribution channels give L'Oreal a platform to sell its products without adding too much to cost.' (Bloomberg, 2014) According to Biotech Services China, distribution in China is one of the most notorious challenges that face multi-national companies. They can be difficult to manage, as they have their own ideas in regards to fairness, honour and integrity relating to business agreements (Biotech Services China, n.d.). Distributors can offer to register trademarks, and with the signed affidavits in hand continue to register these trademarks in their own name, this potentially going unnoticed for years at a time (Björkstén & Hägglund, 2010, p. 168). There will be no shortage of distributors for L'Oréal to work with, however managing and directing this aspect of business will be challenging compared to other markets.

The Employees and Workers

There is a challenge of attracting and retaining skilled staff in China. As stated in section 2.6, L'Oréal struggles to retain graduate staff, with the marketing department losing almost all skilled staff in their first three years. Paolo Gasparrini, the former head of L'Oréal in China once stated: 'To find good people in China is not easy. Technically and in administration they are very good. But in marketing—a crucial discipline—there are just a few people with short experience and everyone is competing for them' (The Economist, 2005). Considering the high level of turnover in China, L'Oreal should balance between skilled labour and unskilled labour (The Economist, 2005).

L'Oréal's Organizational Structure

Figures 4 and 5 demonstrate that the organizational structure of L'Oréal is not clearly definable as a functional, divisional or metric structure. L'Oréal's organisational structure is a mixture of divisional and functional structures. The company is structured as such considering the functions of work, as well as divisions, which can be seen from the functional aspects through titles such as CIO, Finance & Administration, Operations, etc. However, the divisional structure can clearly be recognised through the structuration by country divisions e.g. Americas, Europe, Asia, etc., and by product divisions, such as Luxury Products, Consumer Products, etc. Figure 4 - Divisional Organization Structure The organizational structure of L'Oréal is therefore a rather sophisticated one, which is due to its worldwide influence, and the fact that L'Oréal is a well-established organization (Telphon, et al., 2014, pp. 18-19) Figure 5 - Functional Organization Structure 'L'Oréal achieves organizational structure through combining both functional and divisional structures to ensure efficiency throughout the world' (Telphon, et al., 2014, p. 19). This combined structure was chosen to utilise the advantages that both functional and divisional structures offer. The functional structure leads to specialisation as each profession is divided into different sections, resulting in increased levels of productivity in the work environment. Another advantage observed in the functional structure is that all the employees working within a department are experts in their field, which is beneficial for coordination at branch level (Pujari, 2014). Although the decentralized divisional structure may be considered as a weakness as discussed in section 4.2. it has the advantage of specialisation in products as well as in countries and markets.

L'Oréal's Staffing Policies

Diversity is one of the founding values at L'Oréal and is assumed to be one of their keys to success as this is considered to promote creativity and a better appreciation of the consumer's desires, enabling L'Oréal to create products that meet the customer's demands (L'Oréal, 2010). Generally the orientation of L'Oréal's Human Resource strategy is international and therefore requires cross-cultural competencies. L'Oréal seeks to attract people with the desire to work on global markets, in international environments and different countries, considering this essential for career development. On a managerial level, L'Oréal's managers are moved to new locations every 3-4 years, resulting in more diverse backgrounds in terms of culture, job skills, professional experience and experience of different brands (Morrison, 2009). To have highly diverse teams from various cultures is seen as an important company asset, as the rate of generating new ideas in such teams is much higher than in homogenous teams (Aycan, et al., 2014). Following Jean-Paul Agon's words tday, we live and work in an increasingly diverse world, a world of individuals with different cultural and ethnic backgrounds, unique styles, perspectives, values and beliefs. A diverse workforce in all functions and levels enhances our creativity and our understanding of consumers and allows us to develop and market products that are relevant to their wants and needs (L'Oréal, 2010, p. 3). L'Oréal's staffing policy for top-level manager in China is of a diverse nature, which is evident from the positions and functions in the top-management-level at L'Oréal, China. L'Oréal's focus on the emerging Asian markets, which have greater scope for growth than the mature markets of Western Europe and North America, proves it essential for staff to have multi-diverse management teams.

Leadership & Motivational Systems

According to Terence Jackson (Jackson, 1998), classic western motivational theories do not work in typical Chinese culture due to the individualistic nature of the models, and China being more loyal to a group focus. As can be seen in figure 3, section 5.1, China scores very high in Hofstede's PDI. However recent studies are claiming change, some stating that China now is on par with the US, scoring approximately 40 on the scale (King-Metters & Metters, 2008). Previously, it had been assumed that the Chinese workforce was motivated by money. Now change seems evident, with the desire to be part of a team, and obtain benefits such as training and days off. The Western world does not always acknowledge the cultural shift in China. L'Oréal have launched a new programme called "L'Oréal and Me", with an aim of increasing the relationships between management and the employees, giving the employees more control over their career and development within the company (Palomeres, 2014). L'Oréal could use this technique as continued motivation for their Chinese workforce. According to L'Oréal's website (L'Oréal, 2014b), they are ranked in the global top 20 for leadership development. Their aim is to coach, develop and reward success, nurturing talent, looking at the long term view of the company's success.

Communications problems in China's working environment

China has a collectivist culture that emphasises commitments between individuals and organizations. The Chinese obey group values and initiatives. Hierarchy is important. Top managers of small groups are backed up by the collectivist culture.

Hierarchical Power Structure

Chinese management systems consist of authorities that are centralized in directive and
hierarchical structures as a result of the high power distance and paternalistic culture. China has a bureaucratic and arbitrary organizational culture. The manager has complete power, meaning he cannot be challenged by a subordinate who will not defend themselves against power abuse. The manager makes the important decisions, while the staff do not feel comfortable with decision-making. Chinese leaders would rarely consult a knowledgeable subordinate, which can cause of lot of difficulties and leads to project failure. For the hierarchy management organization, information is power. Communication of valuable information is meticulously protected, and is considered a personal asset to maintain power.

Uncertainty Tolerance

The Chinese are a secretive society, expressing themselves indirectly and ambiguously, unlike Europeans, who would be accustomed to direct and explicit communication. In China, people would be expected to read between the lines in a discussion. Indirect communication is more diplomatic. This is crucial in order to avoid losing face in public and maintaining manager power, as it cannot be challenged by an individual of lower rank.

Intuitive Decision Making

The Chinese would generally make decisions based on comparison, expert management judgement, and instinct, even for the most critical problem. Therefore, the decision-making actions are quick and involve minimal participants. However, in the West, decisions would be made based on investigation and logical knowledge gathered through impartial qualitative and quantitative processes (Lu & Heng, 2014).

Possible Solutions for Communication Problems

The best possible approach to the issues listed above is adaptation, as it involves less time to manage than other strategies. The adaptation process should start at recruitment level, by ensuring that the potential candidate has knowledge of the local language, culture and the type of communication problems which employees might face in the Chinese work environment (MSG, 2013). To educate and train managers to face these possible communication problems, L'Oréal has put in place a special management development programme for 6 to 18 months (depending on the country) to ensure a successful career within the company. L'Oréal's Management Trainee Programme helps young managers to learn about L'Oréal's various posts and work environment (L'Oréal, 2014e).

Control issues for L'Oréal's overseas operations

The special control issues L'Oréal face in China include:

• High Labour costs
• Air Pollution

As mentioned in section 6.4, L'Oréal struggle to retain graduates. When the graduates leave the organisation, this results in higher training and human resource costs, with immense quality control troubles (Beamish, 2014). One way of retaining graduates is to offer one year graduate programmes ('Management Trainee Scheme' as L'Oreal calls them), such as supply chain, and commerce & marketing (L'Oréal UK, 2014), potentially reducing HR costs and improving the quality of the workforce. Around two-thirds of Earth's greenhouse gases are a consequence of burning of coal and petroleum. With the Chinese economy expanding, the country now burns more coal than Japan, Europe and the USA combined (Spire Research and Consulting, 2007). In 2003, L'Oreal unveiled a scheme to combat the effects of pollution on skin and hair (Spire Research and Consulting, 2007).

China's government and community concerns about L'Oréal's operations

L'Oréal's operations in China represent a windfall for the host country as well as the local community in terms of employment and economic growth with the local partners. Nevertheless, the company's operations can cause accidents, structural deficiency, provoke dangerous consequences and affect the locals. The local community may endure damage to their natural resources, and face disease. The host country and the local community may have concerns about health, safety, and the security of the public and it is the responsibility of the authorities to mitigate or prevent those risks from the business operations. Regarding infrastructure and equipment safety, the company needs to ensure that the business operates without harming the locals, keeping any hazardous substances or equipment from being exposed to the community, such as the dangerous goods on public roads. Hazardous materials safety is paramount. Disposal of dangerous raw materials and waste needs to be controlled by the company to ensure it does not pose any threat to the public, for example disease through water borne toxins. Environmental and natural resource issues should be continuously monitored as changes to the soil, water and natural resources due to the operations could be detrimental to the natural environment and carry serious repercussions to the livelihood of the locale. Another consideration is a higher volume of traffic passing through the area. Accidents may occur due to constructions or heavy load equipment on the road, potentially harming the community and creating a bad reputation for the company. In order for L'Oréal to enter China as an emerging market with a unique and dynamic culture, it is vital that these risks are delicately managed. If they are ignored or bypassed, it may lead to conflict with the local community or the host country. The operations can be affected, failing to run smoothly, thus damaging the company's reputation (FIRST for Sustainability, n.d.).

Measures to be adopted to ensure a long-term co-operative relationship

For L'Oréal to ensure a long-term co-operative relationship there must be mutual trust, and a combination of cooperation, coordination and collaboration. Trust is a key measure of business-to-business relationships that L'Oréal can adopt, as trust enables co-operative behaviour, promotes improved relationships, reduces harmful conflict and allows effective response in a crisis (Doney & Cannon, 1997), both parties acting in the best interest of the business. Trust requires risk (Cowles, 1997), uncertainty, interdependence and choice as essential conditions (Doney & Cannon, 1997) to establish a long term co-operative relationship. Along with trust, there must be a combination of cooperation, coordination and collaboration. This behaviour is defined as a comprehensive work to bring resources to a necessary relationship in order to achieve efficient operations in harmony with the objectives of the parties (Humphries & Wilding, 2003). With low trust and a low combination of cooperative, coordinative and collaborative behaviour, there is no chance to ensure a long term cooperative relationship as the atmosphere will promote defence and protectiveness. These ideas are shown below in Figure 6 below suggests that there is likely to be a correlation between these factors (Wilding, 2010). Figure 6 - Multiplying the benefits: C3 behaviour and trust (Wilding, 2010) The relationship between a combination of cooperative, coordinative and collaborative behaviour and trust provides a dynamic business environment, within which both parties can seek increasing rewards and a long-term cooperative relationship (Doney & Cannon, 1997).

Conclusions

Therefore, it is clear that L'Oréal can plausibly enter the emerging market of China, as there is a significant demand for the wide variety of produce and brands they produce. As discretionary income increases in China, L'Oréal is set to profit more than ever before. Also, the company would largely benefit from increased market share and a certainty of enhanced financial gains, while strengthening their market portfolio. With L'Oréal promoting the creation of regional eco-systems in Asia through the purchase of local raw materials, they have supported a boost in economic growth. The continual regional research and development demonstrate a willingness to increase their understanding of local preferences, going as far as developing a hair care range specific to Chinese hair type. Having conducted a PESTEL analysis, it is clear that the conditions for the company are more than favourable with little risk economically and politically, although it is noteworthy that political tensions have been on the rise throughout 2014, with the country seemingly favouring national business. Sociological factors in China are a challenge, yet one that L'Oréal have acknowledged, having regard for the importance placed on family values, honour and 'keeping face'. The Hofstede model provides a valuable insight as to what is to be expected in the work environment. While facing threats, such as market rivalry and subsequent buyer power, L'Oréal has many strengths and opportunities which outweigh these risks and propel them forward. Although there is no shortage of distributors, suppliers and work force in China, they can be notoriously difficult to manage, from the theft of trademarks and the pirating of goods, to a difficulty to retain staff for more than three years. This is an important consideration for the future of the company, and L'Oréal has started a programme called 'L'Oréal and me', with the intention of increasing employee relations with management, giving them more control over career development while keeping the future of the company in mind. This is a direct example of the company's functional organisational structure, a complex and sophisticated structure, which actively promotes diversity in culture, skills and experience across brands, developing highly diverse teams. Motivational and communication systems are consistently being developed and addressed, in order to develop and view the long- term success of the company. With China having the third largest cosmetic trade in the world, L'Oréal has already triumphed through both luxury and mass brands. Given the company's intensive local R&D focus, and the importance they place on cultural issues, L'Oréal has been well received, both politically and by consumers. They should continually assess and address potential government and community concerns, which is conducive to remaining in a favourable position. The weaknesses and threats facing the company should not be taken lightly, however they are not of major significance. Using a sophisticated functional organisational structure that balances most aspects of the business, L'Oréal seems to be in control of current and future operations. Hence, it is clear that L'Oréal has successfully entered China's emerging market.

Bibliography

Asia Corporate News Network, 2014. How L'Oreal is Planning to Double its Customer Base to 2 Billion by 2020. [Online] Available at: http://www.acnnewswire.com/press-release/english/16921/how-l'oreal-is-planning-to-double-its-customer-base-to-2-billion-by-2020 [Accessed 30 10 2014].

Atsmon, Y. & Magni, M., 2012. Winning the 30 trillion decathlon-Going for Gold in emerging markets, New York, NY: McKinsey Publishing. Aycan, Z., Kanungo, R. N. & Mendonca, M., 2014.

Organizations and Management in Cross-Cultural Context. 1st ed. London: SAGE Publications Ltd. Beamish, P. W., 2014. The High Cost of Cheap Chinese Labor. [Online] Available at: https://hbr.org/2006/06/the-high-cost-of-cheap-chinese-labor [Accessed 19 12 2014].

Biotech Services China, n.d. Distribution. [Online] Available at: http://www.bs-china.net/distributor.html [Accessed 26 11 2014].

Björkstén, J. & Hägglund, A., 2010. How to manage a successful business in China. Singapore: World Scientific. Bloomberg, 2014. L'Oreal Buys China's Yue-Sai Cosmetics From Coty. [Online] Available at: http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aBi4EPJZO80Q [Accessed 24 11 2014].

Cendrowski, S., 2014. Cold War on Business: Beijing pulls back the welcome mat. [Online] Available at: http://fortune.com/2014/10/08/cold-war-on-business-china/ [Accessed 26 11 2014]. Chandon, P., n.d.

Case Centre. [Online] Available at: http://www.thecasecentre.org/educators/ordering/selecting/featuredcases/yuesai [Accessed 2 November 2014].

Chen, Y., Matzinger, S. & Woetzel, J., 2013. Chinese infrastructure: The big picture. [Online] Available at: http://www.mckinsey.com/insights/winning_in_emerging_markets/chinese_infrastructure_the_big_picture [Accessed 03 11 2014].

Consulate General of The PRC, 2010. Fast Facts about China. [Online] Available at: http://losangeles.china-consulate.org/eng/culture/acc/t80661.htm [Accessed 24 11 2014].

Cowles, D., 1997. The role of trust in customer relationships: asking the right questions. Management Decision, 35(4), pp. 273-282.

Dayu, Z., 2013. China considers end to mandatory animal testing on cosmetics. [Online] Available at: http://edition.cnn.com/2013/11/15/world/asia/china-cosmetics-testing/ [Accessed 07 11 2014].

DKSH, 2014. A sound foundation for excellence. [Online] Available at: http://www.dksh.com/indonesia/htm/622/en_ID/A-sound-foundation-for-excellence.htm?Id=296885 [Accessed 14 11 2014].

Doney, P. M. & Cannon, J. P., 1997. An Examination of the Nature of Trust in Buyer-Seller Relationships. Journal of Marketing, 61(2), pp. 35-51.

Euromonitor, 2012. L'ORÉAL Company Profile - SWOT Analysis. [Online] Available at: http://www.euromonitor.com//medialibrary/PDF/LOreal-Company-Profile-SWOT-Analysis.pdf [Accessed 16 11 2014].

Fangfang, L., 2013. L'Oreal expands factory, bets on rosy future in China. [Online] Available at: http://usa.chinadaily.com.cn/epaper/2013-11/19/content_17116446.htm [Accessed 9 11 2014].

Federal Foreign Office of the Federal Republic of Germany, 2014. Innenpolitik der Volksrepublik China. [Online] Available at: http://www.auswaertiges-amt.de/DE/Aussenpolitik/Laender/Laenderinfos/China/Innenpolitik_node.html [Accessed 3 11 2014].

FIRST for Sustainability, n.d. Community Health, Safety and Security. [Online] Available at: http://firstforsustainability.org/risk-management/understanding-environmental-and-social-risk/environmental-and-social-issues/community-health-safety-and-security/ [Accessed 30 12 2014]. Forbes, 2014.

Forbes.com. [Online] Available at: http://www.forbes.com/sites/greatspeculations/2014/04/09/china-to-remain-a-challenge-for-global-beauty-players/ [Accessed 19 10 2014].

Fung Business Intelligence Centre, 2014. China's cosmetics market, Hong Kong: Fung Group.

Hafezi Capital, 2014. Top reasons to enter the International Market. [Online] Available at: http://hafezicapital.com/international-market-entry/top-reasons-to-enter-the-international-market/ [Accessed 02 11 2014].

Humphries, A. & Wilding, R. D., 2003. Sustained Monopolistic Business Relationships: An Interdisciplinarity Case. British Journal of Management, 14(4), pp. 323-338. Jackson, T., 1998.

Foreign companies and Chinese workers: employee motivation in the People's Republic of China, Shanghai: MCB University Press. Jing Daily, 2013.

Fast-Growing China Market "Heart" Of L'Oréal's Focus. [Online] Available at: http://jingdaily.com/fast-growing-china-market-heart-of-loreals-focus/ [Accessed 03 11 2014].

King-Metters, K. & Metters, R., 2008. Misunderstanding the Chinese Worker. [Online] Available at: http://www.wsj.com/articles/SB121441282707703883 [Accessed 10 December 2014].

L'Oréal Finance, 2014a. L'Oréal Finance - Annual Results 2013. [Online] Available at: http://www.loreal-finance.com/_docs/fichiers_contenu/0000000786/LOREAL_Results_2013_GB_10_02_2014.pdf [Accessed 19 10 2014].

L'Oréal Finance, 2014b. L'Oréal's acquisition of Magic Holdings. [Online] Available at: http://www.loreal-finance.com/eng/news-release/loreals-acquisition-of-magic-holdings-marks-firms-biggest-investment-in-chinese-beauty-market-961.htm [Accessed 03 11 2014].

L'Oréal UK, 2014. Programmes. [Online] Available at: http://lorealbusinessclass.co.uk/programmes/ [Accessed 19 December 2014].

L'Oréal, 2010. Diversity at L'Oréal. [Online] Available at: http://developpementdurable09.loreal.com/talent/diversities-actions-report.pdf [Accessed 06 12 2014].

L'Oréal, 2014a. Annual Report 2013. [Online] Available at: http://www.loreal-finance.com/_docs/pdf/rapport-annuel/2013/LOREAL_Rapport-Activite-2013_GB.pdf [Accessed 07 11 2014].

L'Oréal, 2014b. In the International TOP 20 for Leader Development. [Online] Available at: http://www.loreal.com/who-we-are/awards-recognitions/in-the-international-top-20-for-leader-development.aspx [Accessed 10 12 2014].

L'Oréal, 2014c. L'Oréal - Brands. [Online] Available at: http://www.loreal.com/brands/brands-homepage.aspx [Accessed 19 10 2014].

L'Oréal, 2014d. L'Oréal - History. [Online] Available at: http://www.loreal.com/group/history/1909-1956.aspx [Accessed 19 10 2014].

L'Oréal, 2014e. Management Trainee Programme. [Online] Available at: http://www.loreal.com/a-thrilling-experience-a-culture-of-excellence/student-graduates/management-trainee-programme.aspx [Accessed 16 12 2014].

L'Oréal, 2014f. Reserach and Innovation. [Online] Available at: http://www.loreal.com/research-innovation/our-innovation-model.aspx [Accessed 14 11 2014].

Lei, T., 2013. L'Oréal's new Hubei factory begins production. [Online] Available at: http://www.globaltimes.cn/content/825870.shtml [Accessed 9 11 2014].

Lu, X.-H. & Heng, M. S. H., 2014. Cultural Aspects of Information Management in China. [Online] Available at: https://laofutze.wordpress.com/category/hofstede/

MBASkool, 2013. L'Oréal Paris. [Online] Available at: http://www.mbaskool.com/brandguide/fmcg/1122-loreal-paris.html [Accessed 19 11 2014]. McDougall, A., 2014.

Cosmetic Design Asia. [Online] Available at: http://www.cosmeticsdesign-asia.com/Business-Financial/L-Oreal-pulls-Garnier-brand-out-of-China [Accessed 17 11 2014].

Moore, E., 2014. Why is new product development so important for a company like L'Oreal?. [Online] Available at: http://yourworthit13.blogspot.ie/2011_04_01_archive.html [Accessed 19 11 2014].

Morrison, J., 2009. International Business: Challenges in a Changing World. 1st ed. London: Palgrave Macmillan.

Morrison, M., 2013. Factsheets - PESTLE analysis. [Online] Available at: http://www.cipd.co.uk/hr-resources/factsheets/pestle-analysis.aspx [Accessed 02 11 2014].

MSG, 2013. Overcoming Communication Barriers. [Online] Available at: http://www.managementstudyguide.com/overcoming-communication-barriers.htm [Accessed 16 12 2014].

National Bureau of Statistics of China, 2013. China Statistical Yearbook 2013. [Online] Available at: http://www.stats.gov.cn/tjsj/ndsj/2013/indexeh.htm [Accessed 03 11 2014].

National Bureau of Statistics of China, 2013. Statistical Communiqué of the People's Republic of China on the 2012 National Economic and Social Development. [Online] Available at: http://www.stats.gov.cn/english/StatisticalCommuniqu/201302/t20130222_61456.html [Accessed 03 11 2014].

Palomeres, I., 2014. Motivation, Leadership and Communication. [Online] Available at: http://bafinalproject.blogspot.ie/2014/03/motivation-leadership-and-communication.html [Accessed 10 12 2014].

Pandexa Global Trading, 2014. 2013 China Cosmetic Market Study. [Online] Available at: https://www.pandexa.com/system/industry_reports/attachments/000/000/012/original/ChinaCosmeticMarketReport2013.pdf?1408665932 [Accessed 03 11 2014].

Park, M., 2014. Top 20 most polluted cities in the world. [Online] Available at: http://edition.cnn.com/2014/05/08/world/asia/india-pollution-who/ [Accessed 03 11 2014].

Perakis-Valat, A., 2013. L'Oreal expands factory [Interview] (11 2013).

Porter, M. E., 1998. Competitive Strategy: Techniques for Analyzing Industries and Competitors. 1st ed. New York, NY: Free Press. Prof. Tiehua, F., 2006.

Outsourcing Production to China - Risks and Benefits Based on Cases [Interview] (21 05 2006).

Prunckun, H., 2010. Handbook of Scientific Methods of Inquiry for Intelligence Analysis. 1st ed.

Lanham, Maryland: Scarecrow Press. Pujari, S., 2014. 6 Important Advantages of Functional Organisation. [Online] Available at: http://www.yourarticlelibrary.com/organization/6-important-advantages-of-functional-organisation/968/ [Accessed 3 12 2014].

Qiu, Y., 2011. Understanding Chinese Consumers. [Online] Available at: http://www.chinabusinessreview.com/understanding-chinese-consumers/ [Accessed 02 11 2014].

Reeder, A., 2014. L'Oréal Paris's Makeup Genius is Bringing Us into a New Era of Beauty. [Online] Available at: http://www.vanityfair.com/online/beauty/2014/june/l-oreal-paris-makeup-genius-is-bringing-us-into-a-new-era-of-beauty [Accessed 19 11 2014].

Saigol, L. & Waldmeir, P., 2014. L'Oreal pulls back from China market. [Online] Available at: http://www.ft.com/intl/cms/s/0/8f188216-782b-11e3-a148-00144feabdc0.html#axzz3JKoQ2smj [Accessed 17 11 2014].

Sharkey, L., 2014. Average British woman spends £140,000 on hair and cosmetics in her lifetime. [Online] Available at: http://www.independent.co.uk/life-style/fashion/news/the-staggering-average-lifetime-spend-on-cosmetics-and-grooming-revealed-9709654.html [Accessed 09 11 2014].

Spire Research and Consulting, 2007. Air Pollution – China's public health danger. [Online] Available at: http://www.spireresearch.com//wp-content/uploads/2012/02/EJ_Air_Pollution.pdf?910799 [Accessed 19 12 2014].

Statista Inc., 2014. Population growth in China from 2002 to 2012. [Online] Available at: http://www.statista.com/statistics/270129/population-growth-in-china/ [Accessed 03 11 2014].

Switzerland Global Enterprise, 2012. http://www.s-ge.com. [Online] Available at: http://www.s-ge.com/en/filefield-private/files/44368/field_blog_public_files/22215 [Accessed 03 11 2014].

Team FME, 2013a. Porter's Five Forces - Strategy Skills. [Online] Available at: http://www.free-management-ebooks.com/dldebk/dlst-porter.htm [Accessed 07 11 2014].

Team FME, 2013b. PESTLE Analysis - Strategy Skills. [Online] Available at: http://www.free-management-ebooks.com/dldebk-pdf/fme-pestle-analysis.pdf [Accessed 10 11 2014].

Telphon, T., Huang, S., Hong, R. & Soetarso, A., 2014. L'Oréal - Strategic Management Report. [Online] Available at: http://www.thana-telphon.com/wp-content/uploads/2013/02/LOreal-Global-Business-Strategy-Analysis.pdf [Accessed 19 11 2014].

The Case Centre, 2014. L'Oréal in China: Marketing Strategies for Turning Around Chinese Luxury Cosmetic Brand Yue Sai. [Online] Available at: http://www.thecasecentre.org/educators/ordering/selecting/featuredcases/yuesai [Accessed 03 11 2014].

The Economist, 2005. China's people problem. [Online] Available at: http://www.economist.com/node/3868539 [Accessed 25 11 2014].

The Hofstede Centre, 2014. Country Comparison. [Online] Available at: http://geert-hofstede.com/china.html [Accessed 21 11 2014].

The Independent, 2006. The Independent.co.uk. [Online] Available at: http://www.independent.co.uk/news/business/news/loreal-buys-body-shop-for-pound652m-470244.html [Accessed 19 10 2014].

The Official Board, 2014. L'Oreal. [Online] Available at: http://www.theofficialboard.com/org-chart/l-oreal [Accessed 26 11 2014].

The Telegraph, 2006. The Telegraph. [Online] Available at: http://www.telegraph.co.uk/finance/2932582/History-of-LOreal.html [Accessed 19 10 2014].

Wilding, R., 2010. The SEVEN T's of Highly Effective Supply Chains. [Online] Available at: https://www.delegate.com/content/sap/ukforum/2012/documents/The_Seven_Ts_for_a_Highly_Effective_Supply_Chain_SAP_-_Prof_Richard_Wilding_May2012.pdf [Accessed 28 12 2014].

Women's Wear Daily, 2014. Women's Wear Daily. [Online] Available at: http://www.wwd.com/beauty-industry-news/beauty-features/the-2013-beauty-inc-top-100-7824155 [Accessed 19 10 2014].

World Population Review, 2014. China Population 2014. [Online] Available at: http://worldpopulationreview.com/countries/china-population/ [Accessed 22 11 2014].