phân tích chiến lược marketing sản xuất và kinh doanh đồ nội thất ra thị trường quốc tế e

II- MARKETING STRATEGY 1- Market research and product development - Products manufactured by foreign countries.. Objectives of company Company identified a specific objective: For two ye

Phân tích chiến lược Marketing - Sản xuất và kinh doanh đồ nội thất ra thị trường

Quốc tế “Production and business of interior furniture in International market”

OUTLINE

I- INTRODUCTION OF COMPANY

II- MARKETING STRATEGY

1- Market research and product development

- Products manufactured by foreign countries

- Characteristics of production in Vietnam

- Needs of importers in Taiwan and Philippine Market Market approach method 2- Development and implementation of marketing plan

2.1- SWOT analysis and assessment

2.2- Target customers

2.3- 5P marketing strategy

2.4- Marketing strategy inspection

2.5- Difficulties in implementation of marketing strategy

2.6- Implementation of marketing strategy for period 2011 – 2012

2.7- Costs of implementation of marketing strategy for period 2011 – 2012 III- CONCLUSION

- Name of the company: G6 Ltd.,

- Line of business: Interior furniture of offices, families and schools.

- Year of establishment: 2001

- Head office: 100 Dai Co Viet, Hanoi

After ten years of establishment, Company G6 has been successful and created a strong position in local market Success of G6 is reflected in following main points:

- Local brand name

- Production of various products including interior furniture of offices, families and schools Products used for multi-purposes can meet needs of many customers

- Products of G6 can compete with products of Hoa Phat, Xuan Hoa

- Interior furniture for offices, families, plants and schools are manufactured by industrial line

- Production of many types of from high-grade goods to low-grade goods: Suitable for money expected to be paid by customers

- Design service for customers meeting needs of customers in term of goods category required by customers

- Officers for installation and maintenance

Sometimes, company’s customers are foreigners, but company has not exported goods to foreign countries So far, company expects to internationalize and integrate into global market, especially integration into regional countries including Taiwan and Philippine

Company decided to develop a short-term marketing strategy for two years 2011 and 2011for purpose of entering international market

Objectives of company

Company identified a specific objective: For two years 2011 and 2012, company will import some certain goods to Taiwan and Philippine

To achieve such objectives, company will develop a marketing strategy, research market, seek customers and produce goods meeting needs of purchasers

To achieve such targets, company decided to spend amount in developing marketing strategy including market study, development of suitable products, advertisement for seeking purchasers and participation in exhibition fair

1 Market study- product development

1.1 Goods manufactured in foreign countries.

Goods manufactured in foreign countries (mainly China, Taiwan, Thailand, and Malaysia) focusing on high-grade goods including:

+ Director chair

+ Office table

+ Office leather chair

+ High-grade meeting chair

+ Iron office cabinets

+ Iron office table

+ Iron and wood office table

+ High-grade file cabinet

Imported goods have following characteristics:

+ Perfect and harmonious design

+ Surface is painted using advanced technology

+ High-quality wood

+ High-grade accessories of various types including special types and multi-purpose types

+ Small design for convenient package, transport and easy assembly

+ More comfortable feeling for officers while sitting on imported working table than locally manufactured table While using computer’s keyboard, hands do not get tired Hands are not put in hard objects For locally manufactured table, place for putting keyboard is restricted making users’ hands get tired

+ Imported office table is very convenient, with all drawers storing office supplies and fine decoration Hinges of drawers are reliable and durable Locks are modern and safe

1.2 Characteristics of Vietnamese production

- Material: Main materials are exported Sheet iron and compressed plank has high quality

- Machine: Machines for production are imported

- Technology: more backward technology than that of China, Taiwan, Philippine

- Product’s design: Small local market; product’s design is not diversified

- Economy: Economy of our country is more backward than that of Taiwan and Philippine Market economy started a short time ago

- Subsidiary industry: No subsidiary industry Hinge, screw, lock and special types are imported

- Market size: Small market and consumption of few goods causing waste of samples

- Competition of preceding countries: Price of imported goods includes import tax and VAT and is a bit higher, even some lower, than that of locally manufactured goods

- Weak point of following countries: less developed than other developed regional countries

- Design for assembly is not completed and inconvenient for remote customers

1.3 Needs of importers in Taiwan and Philippine market Market approach method.

Needs of importers:

Some customers in Taiwan, Philippine and China visited Company and made order

- Maybe they will not buy goods manufactured by Vietnamese companies due to their unsuitable design and culture

- Goods which meet their requirements of quality and design are too expensive

- Goods ordered by foreign customers

- + Are too much more expensive than target price of customers

+ Lack accessories and do not have functions required by customers

+ Some goods as samples for many times do not meet requirements, but reasons have not found out yet

Via reality of the Company and studying the activities of interior companies, the company has remarks as follows:

- There is several plant specialized in manufacturing interior wood products in Vietnam, almost of them come from Taiwan, Singapore Their products are mainly made as per orders of the holding company

- There are several furniture manufacture bases of Vietnam as per traditional style, mostly exporting half-finished products to China, Taiwan, and then they will complete them and re-export to other countries

- Several manufacturers such as Hoa Phat and Xuan Hoa produce elements as part

of the interior set for the markets of Japan, U.S., and Taiwan

2 Set up, implement the Marketing plan

As well as labour export, firstly, the labours were sent to work abroad as the helper in families, nurse aide in the hospital, workers in plants Furthermore, it also exports engineers, doctors of philosophy to work abroad to bring foreign currency back to their father country This is important because G6 must know who it is and who will accept it

in the foreign countries The Marketing strategy in foreign country of the Company needs

to be prepared carefully and especially needs to be considered of specific factors of the foreign country

2.1- Evaluating and analyzing SWOT

a Strong point

- The Company has experience and firm position in the domestic market; manufacture machine and domestic distribution has been completed

- The expenditure platform in Vietnam is generally lower than in other countries

(labors, materials, etc); however, this advantage has been lost in oblivion and the Company should explore and discover other competitive advantages.

- Skillful workmanship of the Vietnamese people

b Weak points

- The labor staff lacks training and less professionally in general This is an inherent weak point of Vietnamese enterprises and needed to be recovered via training;

- Not having experience in approaching to the foreign market

- Much dependent on the imported raw materials;

c Opportunity

- Vietnam government pays attention to and gives many preferences for the development of wood industry, interior products for exporting;

- The development of information technology and the creative mind of Vietnamese people, if can be utilized well, will bring many innovative opportunities, increasing the product quality, the competitiveness on the market

d Challenge

- Strong competitiveness from products of China, India, Malaysia;

2.2- Target customer

The Company defines its target customers at Taiwan and Philippine as follows::

- Approaching manufacturers, importers of Taiwan and Philippine to sell products: + Elements made of wood, iron, steel or stainless steel for the interior set

+ Half-finished products, after being imported, the importer will finish products

by their machines and accessories

- In long term, trying to achieve the target of finished products for:

+ Individuals with average income in the society, having demand for buying interior products for serving their lives;

+ Companies, agencies having demands for purchasing interior products for their

working place;

2.3- 5P Marketing strategy

As analyzed above, the penetration into foreign market is a big plan, a complicated problem Therefore, the Company has built up for itself a 5P Marketing strategy, in which, adding one more P – Planning It is specifically as follows:

a Planning

The Company defines that this is the first P needed to be constructed The market penetration is a long term strategy and the Plan preparation phase plays the key role The market penetration plan will include 2 phases:

- Phase 1: (2011- 2012) in this phase, the Company will search manufacturers and traders wishing to order elements and half-finished products, aiming at penetrating, getting acquainted with the market, since then connecting to a manufacturer that supplying elements and half-finished products with a more competitive price than the products manufactured in their countries

- Phase 2: (expected since 2013 and over) depending on the situation, results of phase 1 to determine the ability of open direct distribution channel of the Company at Taiwan market and Philippine market to replace their simple products in their local market Manufacturers of Taiwan and Philippine mainly export high-grade products to the markets of U.S., Japan, and Europe

b Product

The Company will concentrate on developing 2 following product lines:

(1) Half-finished product, elements are components of a finished interior product (the phase of initially entering into the market)

(2) Finished product with full brand name of the Company (the latter phase)

Characteristics and trends for 2 kinds of products mentioned above:

- Products of handicraft trend: middle-ranking products, creative products combined of many materials, requiring the handicraft technique (to utilize the skillfulness, low-price labors in Vietnam, the same products in foreign countries often have higher price due to higher-price labors.)

- Products of industrial trend: Products of industrial trend have advantages by the source of materials is taken from Vietnam (wood, etc)

c Price policy

- Products of handicraft trend: this is the product of the Company with relative difference and also the strong point of the Company, excluding the case that in the first promotion phase for introducing products, the selling price will be at the level that can bring benefits to the company

- Products of industrial trend: the selling price will be competitive compared to the general plan of the market, in which revenues will be mainly from advantages of input expenses and the lower specificity of Vietnam (manpower, electricity, petrol and oil, wood is planted and popular in Vietnam, etc)

d. Policy of distribution (Place)

The potentiality of the Company is quite large in Vietnam but quite small in foreign country Meanwhile, characteristics of the distribution system in foreign countries like Taiwan and Philippine which have not got freedom like in developed countries, mainly in big distributor who can dominate the market

The investment in constructing the market system of the company will meet the following difficulties:

- Requiring large investment of establish the selling system;

- Ability of damages due to isolation from competitive activities of big distributors dominating the market

Base on the analysis above, the distribution system at the foreign market of the Company will be divided into 2 phases:

- Phase 1 (2011-2012): study, cooperate and combine with the indigenous manufacturers and distributors having demand for ordering half-finished elements and products

Target 1: within 03 months of choosing production partner and distributing main

products of the Company in each market is 02-05 partners In which, concentrating on the negotiation of policies for delivering goods, payments with partners Mode of implementation: working with several selected interior importers of Taiwan and Philippine, introducing to them about the company so that they can see the productive capacity of the Company

Target 2: distributing goods to partners and evaluating the goods selling,

collecting full information on market evaluations in term of products quality as

well as accompanied services to make a suitable adjustment plan (from April to September), ensuring full statistics for the activities of analyzing, evaluating, adjusting the goods allocation, developing suitable distribution channel for the real situation

Target 3: constructing, positioning successfully the product quality, accompanied

services of the Company for importers, distributors, businessmen (from October

to December)

- Phase 2: (expected from year 2013): based on the real result, after getting acquaintance to the market, evaluating the adaptation of the company and its product with the local market, studying the ability of developing office, private distribution channel of the company

e Promotion

- Stage 1: Strictly cooperate with importer, learning ways of promotion of

importer in the local market;

- Stage 2: construct individual promotion program of the company in the local market on the basic of experience collected from stage 1; take all advantages of online promotion to save costs while expanding the covered objects

2.4 Inspection of marketing strategy

To ensure the objective, the company shall hire external consultants who are experienced and knowledge in interior furniture operations in P and M to check marketing strategy Inspection shall be conducted monthly/ quarterly including following details:

- Check operation of marketing of enterprise whether it is tended as per the market

or not and level of feasibility of such duty

- Checking the suitability level of marketing targets with the competitive position, resources and opportunities of the enterprise

- The clarity and persuasiveness of the marketing strategy The suitability of the strategy with life cycle phases of the products Criteria for evaluating and choosing target market, characteristics of every such target market Allocating resources for elements of marketing-mix and their effectiveness

Company G6

Manufacturer and

importer

Retail

Consumer

Company G6

General agency (Importer)

Agency in retail (distribution company, trader

Retail

Consumer