Great entrepreneurs build strong international brands, their successors greatly damage

If you're of a certain age remember vividly the following names: Helena Rubenstein, Faberge, Germain Monteil, Trigere, Revlon, Elizabeth Arden, Max Factor, Schwinn, WT Grant, Montgomery Ward and Chuck Taylor. Each name has been a very successful brand of consumer products.

Each of these brands has been grown from the seed of an entrepreneurial visionary. Unfortunately, each was subsequently abused, in many cases terminal, non-visionary corporate accountants.
A classic example is Revlon. Revlon is educational because it remains in the news, mostly for being a haunted shell of its former glorious self. Founded in 1930 by Charles Revson, Revlon was the largest cosmetics company in the world until 1980. Last, Norell, Charlie, Bill Blass and Eterna 27 divisions were controlled under the umbrella company Revlon. The finest department and specialty stores around the world has struggled to bring these products to luxury, elegant. Revlon was widely respected as an arbiter of taste for fashionable women. Fire and Ice, lips and suggestions and that humans are just some examples of marketing campaigns for products that were ubiquitous in the consumer culture of the time.

Charles Revson was one of the best-known entrepreneurs of his time. Books have been written about his life, business strategy and the legendary brutal arrogance of his management staff. He paid his people very well and expects a full commitment to his company. The drive to stay ahead of the competition by constant innovation and creativity was complete for Mr. Revson. Nothing was allowed to hinder his constant quest for being number one. His famous mantra department store, "success requires space, location, and the demonstration" is a fact followed by successful merchants to this day. Someone once asked how he could justify paying $ 5 for $ 0.40 cents a lipstick? His famous reply: "I do not sell lipstick, I sell hope" is an accurate reflection of a businessman who knew his customer and how to please them.

While Mr. Revson year, saw the need to tackle his succession, as crucial to his legacy and the future of Revlon. After conducting a well-known executive search well documented, has hired Michel Bergerac by IBM. Mr. Bergerac was a brilliant executive. He inherited a billion dollars, with operations worldwide. Revlon has dominated the men's and women's fragrance, color cosmetics and skin care.

Unfortunately, the corporate culture of the years 1980 and 1990 did not value creativity and innovation, as the distribution of resources. Mr. Bergerac was excellent during the distribution of goods. For a number of years Revlon held the king of the category. However, the inevitable began to happen slowly. Launch of new products has begun to freeze. The Company has begun to follow the success of competitive products with me-too look-alikes. Lancome, L'Oreal and Estee Lauder, under the guidance of business owners, became innovators in the field and took the lead in space historically dominated by Revlon.

It's been 15 years since he left the company Revlon stock. Mr. Bergerac was awarded a lucrative "golden parachutes" when financier Ronald Pearlman took control of Revlon in a hostile takeover company. Under the ownership of Mr. Pearlman Revlon is a constant money loser. Product innovation is non-existent. Revlon products are sold in drug chains and supermarkets and are regularly promoted with good prices out. Charles Revson was livid. But it was not only as a founding entrepreneur, nurse of a great brand and still, unfortunately, the work of a life diminished or extinguished by successors lacking the gene innovative.

Great entrepreneurs like WT Grant, Montgomery Ward and Pauline Trigere are rare. The ability to create, innovate, manage and grow a business is rarely found in one package. Calvin Klein is a creative genius in the fashion business. His partner, Barry Schwartz is the invisible activities / management half the success of Klein. They complement and balance each other. If their successors can continue to provide clothing designs that consumers want is an open question.

It 'was easier for Germain Monteil to build its line of skin care from scratch than it was for the Squibb pharmaceutical company, after buying this brand growing, to keep it. Germain Monteil products are no longer for sale. There are too many examples of these.

In my work with entrepreneurs are constantly faced with examples of ambition is not parallel reality. As Clint Eastwood joked in a famous movie Dirty Harry, "a man must know his limitations." It is rare that a person has a range of skills and successfully launch a product is built. Capacity constraints or experience, however, do not close the door to potential success. The right partner, the team or alliance can make the difference between success and failure. Charles Revson was the whole package. His successors have been shown not to be of his caliber.

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