OIDA International Journal of Sustainable Development
Open-access peer-reviewed journal
https://doi.org/10.64211/oidaijsd190912
Sustainable Scaling of Small Cosmetic Brands in India: A Comparative Analysis of Capability Gaps and Platform Strategies
Meena Rani 1*, Asokan Vasudevan 2, Leah Maria3, Helen Tom 4, Hywin Rose Thomson 5, Wong Siew Fong 6
1 3,4 5 Xavier Institute of Management and Entrepreneurship, Bangalore, India;
2 Faculty of Business and Communications, INTI International University, Persiaran Perdana BBN Putra Nilai, 71800 Nilai, Negeri Sembilan, Malaysia.
6 Mila University, No 1, Persiaran MIU, Putra Nilai, 71800 Nilai, Negeri, Malaysia. Sembilan, Malaysia.
*Corresponding author: meenarani@xime.org
Volume 19, Issue 09, Pg. 195-210, 2026.
Abstract: The Indian cosmetics market, worth 1billion INR as of 2025, has undergone a transformative change with the e-commerce and omnichannel platforms that have made the breakthroughs. Brands such as Nykaa and Tira have set the market pace with their advanced business models and robust infrastructure. The small cosmetic brands have critical issues in scalability such as weak visibility, weak logistics, little technology adoption and lack of omnichannel integration. The study compared the business modes of Nykaa and Tira using a comparative approach, discussing market place inventory-based, direct-to-consumer, and omnichannel models to identify scalable pathways of adaption, and found that the main capability gaps were of 2.7 points (57% deficit) on average, with omnichannel integration posing the worst gap at 4.0 points. The analysis suggested a scalable hybrid approach to strategy development as the capability gap had critical common elements including selective market place participation, D2C excellence and partnership based presence.
Keywords: Small Brands, Cosmetic Brand, Scalability, Gap Analysis, Omni-channel model, Small enterprises
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