The Chinese cosmetics market used to be dominated by the foreign cosmetics brands, while Chinese cosmetics brands has been growing rapidly since 2020. Reviewing the related research implies that there are multifaceted factors influencing Chinese consumers’ preference towards domestic or foreign brands. Generally, Chinese consumers show high intention to purchase Western products, as they perceive those products of high quality and value. However, from the case study of the success of Perfect Diary in the Chinese market in recent years, it is noticed that this new cosmetics brand is highly competitive in the market comparing to other Western brands. The marketing strategy adopted by Perfect Diary contributes to the sales and business success. Perfect Diary’s skincare and cosmetics products are well perceived by the Chinese consumers, as they tend to produce the products to fit the local demands. Western cosmetics brands tend to only provide standardized products to the customers in China, which is the reason why the competitive advantage of the products is challenged now in the Chinese market. The competitive pricing strategy of Perfect Diary also makes the brand competitive in the Chinese market compared to Western brands. However, it is important for Chinese cosmetics brands to improve their marketing strategies in the Chinese market to sustain their market competitiveness.