JAPAN: Domestic shipments of cosmetics dropped 1.2% to $11.2 billion in 2006 from the previous year. Shiseido Co. remained the industry leader due to its aggressive product releases as part of its “Megabrand Strategy,” which concentrates the firm’s advertising and other marketing resources on several major brands. Kanebo Cosmetics Inc., which became a wholly owned subsidiary of Kao Corp. in February 2006, held onto second position. Among the top five, only third-ranked Kosé Corp. lost market...