This report provides a comprehensive analysis of Loreal's business strategy. It begins with an introduction to business strategy and the chosen company, Loreal, a leading cosmetics and personal care brand. The report then delves into the macro environment, utilizing PESTLE analysis to examine political, economic, social, technological, environmental, and legal factors influencing Loreal's operations. Stakeholder analysis is also conducted to understand the impact of various stakeholders on the company. The report further analyzes Loreal's internal environment using SWOT analysis, identifying strengths, weaknesses, opportunities, and threats. The competitive environment is assessed through Porter's Five Forces model, evaluating the intensity of competition, the threat of new entrants, the bargaining power of suppliers and buyers, and the threat of substitutes. The report concludes by applying these models and theories to interpret strategic directions available to Loreal, providing insights into how the company can achieve its business objectives and maintain a competitive edge in the cosmetics industry. The report is a contribution by a student to be published on Desklib.