Core Viewpoint - Kose Group firmly asserts its commitment to the Chinese market, emphasizing its strategic importance for global operations and sustainable growth [2][4]. Group 1: Strategic Shift - Kose Group's three-year strategic plan for China has transitioned from a "defensive" to an "offensive" approach, aiming for long-term development [4][5]. - The company aims to redefine high-end value and enhance brand presence in the competitive Chinese cosmetics market [9][15]. Group 2: Brand Focus and Product Strategy - Kose is focusing on three high-end series, including Decorte AQ and SEKKISEI, to strengthen brand loyalty and consumer desire [9][15]. - The Decorte AQ series has seen significant online engagement, with a 109% increase in online average transaction value and a 125% increase in sales proportion for its three major series [12][15]. Group 3: Market Adaptation and Consumer Engagement - Kose is adapting to the evolving Chinese market by emphasizing localized research and development, as well as enhancing marketing strategies to resonate with local consumers [33][39]. - The company plans to introduce new products targeting high-end segments, including a lip essence and a quantum-computed formula for a new serum [15][22]. Group 4: Channel Expansion and Consumer Base - Kose is expanding its distribution channels, particularly in lower-tier markets, with plans to open 500 new stores by the end of the year and over 2,000 in the next three years [24][27]. - The company is also focusing on digital marketing and social media to engage a broader consumer base, including younger demographics and male consumers [20][21]. Group 5: Long-term Vision and Global Strategy - Kose's long-term vision includes a compound annual growth rate of over 5% by 2030, with a focus on expanding in Southeast Asian markets and India [30][32]. - The company is committed to a localized transformation in marketing and product development to meet diverse consumer needs in China [33][41].