Some solutions to complete the marketing mix for bravia LCD TV series of sony vietnam in 2012

Analysis of current situation of Marketing-mix for Bravia LCD TV Series of Sony Vietnam: 3.1.2.. Reasons to choose this topic Sony Vietnam introduced its Bravia LCD TV series and consid

VIETNAM NATIONAL UNIVERSITY, HANOI

SCHOOL OF BUSINESS

VU XUAN TUNG

SOME SOLUTIONS TO COMPLETE THE

MARKETING-MIX FOR BRAVIA LCD TV SERIES

OF SONY VIETNAM IN 2012

Major: Business Administration Code: 60 34 05

MASTER OF BUSINESS ADMINISTRATION THESIS

Supervisor: Dr Tran Doan Kim

Hanoi – 2012

1 Reasons to choose this topic

2 Objectives of the Study

3 Subjects and Scope of the Study

4 Methods of study and process of data

5 Significance of the Topic:

6 Structure of the Thesis:

CHAPTER 1: LITERATURE REVIEW

1.2.1 Political and legal environment

1.2.2 Economic and Demographic environment

1.2.3 Cultural - Social environment

1.2.4 Technological and Natural environment

1.3 Target Market Identification

2.1 General introduction of Sony Vietnam

2.1.1 Overview of the Company

2.1.2 Objectives and Purposes of the Company

2.1.3 Main products of the Company

2.1.4 Activities and Sale performance of Bravia LCD TV Series

2.2 Target markets of Sony Vietnam:

2.3 Analysis of Marketing environment of Sony Vietnam

2.3.1 Macro-environment

2.3.2 Micro-environment

2.4 Analysis of product positioning strategy of Bravia LCD TV:

2.5 Analysis of current situation of Marketing-mix for Bravia LCD TV Series of Sony Vietnam:

3.1.2 Marketing objectives of Sony Vietnam

3.2 Some solutions of Marketing-mix plan for Bravia LCD TV Series of Sony Vietnam 3.2.1 Product:

3.2.2 Price:

3.2.3 Place/Distribution:

3.2.4 Promotion

3.2.5 Some support measures:

3.3 Marketing Action Plan from June to December, 2012

SOME SOLUTIONS TO COMPLETE THE MARKETING-MIX FOR BRAVIA LCD TV SERIES

OF SONY VIETNAM IN 2012

VU XUAN TUNG MBA candidate, 2009 - 2011

School of Business Vietnam National University, Ha Noi Supervisor: Dr Tran Doan Kim

INTRODUCTION

1 Reasons to choose this topic

Sony Vietnam introduced its Bravia LCD TV series and considered this to be the strategic product line of the Company This is also the reason why the author decide to carry out the dissertation: "Some solutions to complete the Marketing-mix for Bravia LCD

TV series of Sony Vietnam in 2012"

2 Objectives of the Study

mix and methods to develop Marketing mix strategy for a product;

both globally and in Vietnam;

TV series of Sony Electronics Vietnam;

Bravia LCD TV series of Sony Electronics Vietnam

3 Subjects and Scope of the Study

Bravia LCD TV Series and Marketing environments (internal and external of Sony Vietnam)

4 Methods of study and process of data

expert method, summary, statistics, comparison method, etc

by selective sampling method to identify consumers' opinions on factors that affect on Marketing mix strategy (product, price, place, and promotion)

be suggested to complete Marketing mix strategy for Bravia LCD TV Series of Sony Electronics Vietnam

5 Significance of the Topic:

Series of the Company, its ability to cope with internal and external influencing factors, and its competitive status compared to other rivals in the market;

their opinion on factors affecting on Marketing mix for Bravia LCD TV Series of the Company;

marketing managers to know and understand better about current situation of LCD TV market as well as the positioning of Bravia LCD Series of Sony Vietnam In addition, strategies of product, price, place and promotion for Bravia LCD TV Series as suggested are practical for business situation that of Bravia LCD TV Series now occupies

6 Structure of the Thesis:

In addition to the Introduction and Conclusion parts, the Thesis is consisted of three parts:

Chapter 1: Literature review

Chapter 2: Analysis of Marketing environment and current situation of

Marketing-mix for Bravia LCD TV Series of Sony Vietnam

Chapter 3: Some solutions to the Marketing-mix for Bravia LCD TV Series of Sony

Vietnam in 2012

CHAPTER 1: LITERATURE REVIEW 1.1 Overview of Marketing

1.1.1 The Formation and Development of Marketing

1.1.2 Definitions of Marketing

Marketing is considered a science, an art of business It never ceases to be useful and has been supplemented and developed constantly; therefore, there have been a number of definitions of Marketing by various authors and scientists:

- Definition by Philip Kotler (U.S.) - President of World Marketing Association:

“Marketing is the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit Marketing identifies unfulfilled needs and desires It defines measures and quantifies the size of the identified market and the profit potential It pinpoints which segments the company is capable of serving best and it designs and

The differences between traditional and modern Marketing are shown in the following diagram:

"golden key", "secret of success in business", etc

Adopt comprehensive Marketing strategies

needs

1.2 Marketing Environment

Marketing environment is understood as follows:

The set of active entities and external forces of the company that affect on the control

of marketing unit, establishment and maintenance of good cooperative relationships with target customers

Marketing environment consists of micro and macro-environment The Marketing

environment may be analyzed under PEST model, which comprises the following factors:

Political-legal, Economic, Social, Technological and Natural factors (or environments) In

order to succeed, enterprises must be able to adapt to the changing Marketing environment while not resisting those trends [4]

1.2.1 Political and legal environment

Government, interested parties (in some other countries), public interest protection groups, etc are those affecting the political environment, which, in turn, cause policy makers to enact new laws and regulations impacting on consumers and enterprises These enacted laws, directly or indirectly, influence the practical implementation of marketing policies of a company, such as: anti-monopoly law, environment law, consumer protection law, etc

1.2.2 Economic and Demographic environment

Factors of economic environment affecting Marketing activities include income and distribution of income, price, consumption and savings-investment, debt and borrowing capacity, debt payment, and expenditure pattern

Development level and model of the economy are fundamental factors of the economic environment

In addition, population scale, structure and growth rate are having considerable influence on the marketers Population together with economic growth is the measurement

of market scale

In the demographic environment, age structure, race, education level and others are factors to divide the market into segments of different scales and characteristics Expenditure pattern of families of two or more generations as well as type of products/services that they choose tends to be decided on basis of people community preferences The movement of living places and among people groups will also affect the changes of needs; therefore, marketing policy should also adapt

1.2.3 Cultural - Social environment

The society where people grew up defines the basic believes, values and standards There are three aspects that should be considered in cultural - social environment:

Core values: it is necessary to define the belief or core values that tend to last for long and identify which are vulnerable to change

Cultural branches: a group of people share values acquired from certain living experience and conditions Religions have influence on the consumption of goods and services defined by religious rules and social traditions

1.2.4 Technological and Natural environment

Natural environment results in changing trends of production materials, energy cost, environmental pollution level and attitude of governments toward environmental protection Technological environment is always the most important force to improve the quality of life for humans, as it becomes more effective at harnessing the natural environment’s resources

1.3 Target Market Identification

1.3.1 Concept of market:

Under marketing concept, a market is the actual and potential buyer of a certain

product/service A market consists of buyers while an industry consists of sellers

Phillip Kotler’s definition: “A market is the set of actual and potential buyers of a product These buyers share a particular need or want that can be satisfied thought the

1.3.2 Market Classification

1.3.2.1 Reasons of market segmentation and market targeting

A market consists of buyers that are different in single or many aspects; for example, they may be different from each other by their desire, purchasing power, location, purchasing attitude and pattern No company has the capacity to satisfy the needs of all of its potential customers In addition, there are many other rival companies in the market so, it has to face the challenges posed by competitors Anyway, each company has strengths in certain aspects so that it can use such strengths to satisfy part of market needs

Segmentation basis Segmentation criteria

district, commune, etc

profession, education level, religion, ethnicity, etc

Consumption

behavior

Purchasing reason, desired benefit, consumer status, loyalty level, readiness stage, and attitude toward products

1.3.2.3 Market targeting

“Market targeting is the process of evaluating each market segment’s attractiveness

Coverage of the whole market:

satisfy too many segments

abundant needs, changing consumption style, few competitive threats, high profit, favorable macro-environment

- Suitable to resources of the organization

1.4 Positioning

1.4.1 Definitions

Although there are different definitions of positioning, probably the most common is:

“Arranging for a product to occupy a clear, distinctive and desirable place relative to competing products in the minds of target consumers Formulating competitive positioning

- By price and quality

1.4.3 Stages of market positioning:

- Summarize brands and attributes of products (important attributes to consumers)

- Find out about consumers' awareness of such attributes

- Analyze current status of such attributes of products compared to those of competitors and products of the organization

- Identify a unique selling proposition (USP)

Market positioning should also identify a company’s competitors In devising a positioning strategy, a company must understand the weaknesses of its competitors so that its own positioning can become a competitive advantages

Product pricing is a crucial matter to a company since it directly affects revenue and profit

 Factors affecting pricing:

- Market and needs

- Competition

- Other external factors include legal and political environments

 Pricing methods:

 Bid pricing

Pricing strategy is mostly decided by target market segments and positioning objectives of the company Pricing will affect and be influenced by decisions on products, place, and promotion Therefore, pricing decisions should be considered carefully and coordinated with other factors within Marketing-mix in developing a marketing strategy

1.5.3 Place (distribution) strategy

 Definition

“Place (distribution) involves activities related to the organization, operation and

 Distribution channels

Type of Distribution channel

 Direct Channel Channel Lv 1 Channel Lv 2 Channel Lv 3

1.5.4 Promotion strategy

This strategy involves various activities including: Advertisement, promotion, offer,

dissemination, and public relation to satisfy and promote the needs of customers

Manufacturer Manufacturer Manufacturer Manufacturer

Wholesale agent

Retailers

Retailers

Consumer

Wholesale ssagent

Retailers

Consumer

Retailers

Consumer Consumer

According to the American Marketing Association (AMA): “The placement of announcements and persuasive messages in time or space purchased in any of the mass media by business firms, non-profit organizations, government agencies, and individuals who seek to inform and/ or persuade members of a particular target market or audience

 Roles: In commercial markets, advertisements play the role of a guide, informer, and salesman to sell more products and satisfy the needs of purchasers:

- Customer-oriented consumption

- Customer support

- Development and promotion of product demands

- Introduction to matters in relation to the products, support for sales activities

 Help consumers save time buying products

 Encourage consumers to improve their living standards and use new products instead of old ones

A decision on advertising is made on basis of 5 "M" of advertising strategy, which is Mission, Message, Media, Money, and Measurement

- To motivate intermediaries to push the sale of products to consumers for trial purpose or for ongoing consumption

1.5.4.3 Public Relation

 Definition

Public relation (PR) is a broad and diversified area involving many activities in addition to communicating information to potential customers and factors affecting the purchase of products PR is also used to demonstrate that the behavior of the company benefits the society in which it is operating This concept implies that the company has a clear accountability to increase social welfare

 Role of public relation

To develop and improve a positive image of the company in the opinion of related parties, to persuade related parties that the company is an ethical organization, that they should do a transaction with the company

Certainly, a positive image of the company in customers' opinion will be very helpful

at a greater level in affecting their final purchase decision-making In fact, this is clearly one

of the ultimate objectives of any relation campaign

1.5.4.4 Dissemination

Dissemination is the communication activity carried out to make public aware of the positive effects of company activities by publishing news or images on newspapers, local news or television

1.5.4.5 Direct sale

 Definition:

Direct sale is a direct promotion method between the salespeople and customers with the purpose of persuading the customers to buy products This method is carried out on face-to-face basis In recent times, direct sale being implemented over the telephone call or online has become widespread in many countries

 Role of direct sale

Direct sale allows marketers to tailor their communications to influence individual customers (or the people around them who influence their purchase decision)

Salespeople become the main source of information communicated to those customers that are intending to buy a product Even the customers may rely largely on salespeople for provision of fundamental information for their purchase decision-making

1.6 The relationships between product and other remaining factors of Marketing-mix:

Product plays an especially important role because it must meet the needs and perceptions of the customers, if it does not deliver the expected benefits then the entire Marketing strategy would be undermined Therefore, product is the sharpest weapon of competition in the market

Product strategy ensures to allow the company to carry out some fundamental objectives of a Marketing strategy: