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New center to strengthen Avon's commitment to China market
Mar '10
Avon Products, Inc. announced that it plans to open a state-of-the-art regional Research and Development center in Shanghai in the People's Republic of China. The new regional R&D center in Shanghai will be Avon's largest R&D facility outside of the U.S. Located in the Jinqiao Hi-Tech Park, the stand-alone 40,000 sq.-ft building will span six floors and have additional capacity to expand Avon's overall scientific capabilities in China and Asia.

Avon said that the new regional R&D center will house scientific experts in the areas of product development, safety and quality testing, microbiology, chemical engineering and consumer research. In addition, the new center will enable Avon to grow and leverage its R&D alliances in China as well as hire and retain world-class scientists. The center is expected to open in late 2010.

Avon said that the new R&D center will primarily serve China but also support other markets in the Asia Pacific region, while reporting directly to the Global R&D Center located in Suffern, N.Y., (near New York City).

Avon's Chairman and Chief Executive Officer, Andrea Jung, said, "We're delighted to be opening our new R&D center in Shanghai. This reflects our continuing commitment to the China market, which remains a significant long-term growth opportunity. We believe that our expanded R&D presence in China will enable us to be closer to consumers and ensure that we leverage our scientific talent effectively to meet the needs of Chinese women."

Avon's Chief Scientific Officer, Janice Teal, PhD., said, "We're very pleased that this beautifully designed regional R&D center in Shanghai will allow us to continue our heritage of offering Chinese women first-to-market, breakthrough beauty technologies, including our highly successful line of Anew anti-aging skin care and Avon Color cosmetics products. In addition, it will enable us to build upon our innovation leadership position in China, particularly in the whitening category, and across the Asia Pacific region, well into the future."

Dr. Teal continued, "This new facility will also create a close integration and synergy with our regional brand marketing center in Shanghai, consumer research function in Asia and China, and our China marketing operations."

Avon also has regional research and development facilities located in Argentina, Brazil, China, Japan, Mexico, Poland and South Africa.

In China, Avon currently has a regional R&D facility in Guangzhou which conducts research activities for cosmetics and nutritional supplements. The research capability for cosmetics will move to the new regional R&D center in Shanghai, while research for nutritional supplements will remain in Guangzhou.

Avon said that new regional R&D center in Shanghai will feature state-of-the-art meeting rooms and laboratory spaces specially designed to create an environment of collaboration, team work, and creativity.

"We've learned through our experiences at our state-of-the-art R&D center in Suffern which opened in 2003, that a well-designed working environment stimulates scientific inquiry and helps generate the best and most innovative ideas in leveraging breakthrough technology for the benefit of consumers," said Dr. Teal.

Avon Products Inc

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