Clorox Inc

In October 2007, Clorox announced that it would buy Burt’s Bees for $925 million – more than five times Burt’s Bees’ annual sales. Clorox’s move caught many in the industry by surprise. The company was known for bleach, auto polish and other synthetic chemical cleaners. On the other hand, the much smaller Burt’s Bees was best known for its trademark natural lip balm. The company, founded by two people making beeswax candles in the backwoods of Maine, had emerged as a leader in the natural personal care products category with revenue climbing steadily from $23 million in 2000 to $164 million in 2007.Nonetheless, Burt’s Bees retained its folksy image and natural appeal with consumers. Could such a brand find a home within a company best known for a toxic cleanser? There was no doubt that the entire natural personal care products market had been changing. Like Burt’s Bees, many of these small companies had been founded by feisty nonconformists for whom their companies were an extension o