Luận Văn How to develop the effective marketing strategies for International Beverage Company in HoChiMinh ci

TABLE OF CONTENT​

Chapter Title Page

Title Page i
Acknowledgment ii
Abstract iii
Table of Contents iv
List of Figures vi
List of Tables vii
Abbreviations viii

1. Introduction 1
1.1. Background 1
1.2. Problem Statement 1
1.3. Objectives of the Research Study 2
1.4. Scope and Limitations of the Research Study 2
1.5. Organization of the Research Study 3

2. Literature Review 4
2.1. Concept of Marketing Strategy 4
2.2. Link between Marketing strategy and Corporate Strategy 4
2.3. Strategic Marketing Planning Process 5
2.3.1. Market Situation Analysis 5
2.3.2. Marketing Strategy Design 7
2.3.3 Marketing Program Development 10
2.3.4 Implementing and Managing Marketing Strategy 16

3. Research Methodology 18
3.1. Analysis Framework 18
3.2. Information Needed 20
3.3. Data Sources 20
3.4. Data Collection Methodology 21

4. External Analysis 23
4.1. An Overview of the Vietnamese Economy 23
4.2. Some Economic Achievements of HCMC 25
4.3. Vietnamese Soft Drinks Market 26
4.3.1. Production 26
4.3.2. Flavor Split 28
4.3.3. Packaging Types 28
4.3.4. Forecast Production and Consumption of Soft Drinks to 2000 28
4.4. Consumption Pattern and Consumer Preference 30
4.4.1. Consumption Pattern 30
4.4.2. Consumer Preference 31
4.5. Competition on the Vietnamese Soft Drinks Market 31
4.6. Analysis of the Main Competitors of IBC in HCMC 32
4.6.1 Coca Cola Indochina Pte Ltd 32
4.6.2. Tribeco-Saigon Soft Drink Company Ltd 35
4.7. Substitutes 36
4.8. Summary of Opportunities and Threats for IBC 37

5. Internal Analysis 38
5.1. Profile of International Beverage Company 38
5.2. Mission of IBC 38
5.3. Marketing Objective of IBC 39
5.4. Production and Business Results 39
5.4.1. Production Capacity 39
5.4.2. Market Share and Sales Volume 40
5.4.3. Financial Results 40
5.5. Analysis of IBC’s Marketing Activities 43
5.5.1. Product 43
5.5.2. Price 45
5.5.3. IBC’s Distribution Channels System 47
5.5.4. Promotion Activities 51
5.6. Results and Discussions of Consumer Survey 53
5.6.1. Brand Preference 54
5.6.2. Words of Mouth 54
5.6.3. How Choose to Buy a Soft Drink 55
5.6.4. Attributes of Soft Drink Brands 55
5.6.5. Prices of Soft Drink Brands 58
5.6.6. Places of Consumption 59
5.6.7. Promotion Activities 60
5.7. Summary of IBC’s Strengths and Weaknesses 61

6. Conclusion and Recommendations 63
6.1. Conclusion 63
6.2. Recommendations on Developing the Marketing Strategies for IBC 64
6.2.1. Market Segmentation 64
6.2.2. IBC’s Market Targeting 65
6.2.3. Positioning Strategy 65
6.2.4. Developing Marketing Mix Strategy for IBC in HCMC 66
6.3. Recommendation for further research 70

References 71
Appendices 74


INTRODUCTION​

1.1. Background


Transition from a centrally-planed economy to market-economic structure, the Vietnamese market becomes more dynamic. All business and production activities are encouraged investment to contribute into economic growth and stabilization of the nation. Like other light industries, investment in soft drink production locally is welcomed and facilitated. The Vietnamese soft drink industry has rapidly developed. Together with rising the living standard, demand for soft drinks quickly increases and high quality brands are much preferred.


More and more foreign soft drink producers enter into the Vietnamese market. At present, all players are facing the fierce competition between local and foreign brands. There are 25 local producers who produce more than 30 soft drink brands including cola, orange, soda, sarsi, lemonade lime and other flavors, and plus presence of the giants in soft drinks market such as Pepsi, Coke and Schweppes.


Most of the producers try to exploit their distinctive competencies to gain competitive advantages and select the appropriate competitive strategies. They face the need of designing marketing strategies in order to attract the consumers to buy their products. In this situation, International Beverage Company (IBC) recognizes that development of effective marketing strategies have to be considered as a priority in order to protect its leading position in HoChiMinh city (HCMC) soft drinks market. Through developing marketing strategies help the company to identify its target markets, position its products in the consumer’s mind and develop marketing mix strategies in order to achieve its marketing objectives and meet consumer needs and wants in a better way than its competitors. Thus, the company needs to identify its strengths and weaknesses as well as find out opportunities and threats in the marketplace in which it operates.


In such a context, this research study deals with the development of marketing strategies for International Beverage Company in HCMC. IBC, a joint venture between Saigon Processing Company (S.P.Co), Macondray and Company Inc., Hong Kong, and Pepsi Company Inc, Holland produces and distributes well-known soft drink brands such as Pepsi Cola, 7-Up, Schweppes and Crush.






1.2. Problem Statement


As competition rises, developing effective marketing strategies for a company is the key to success in its target market. But how can the company develop such a marketing strategy, identify the target market or proper niches for its products, and consolidate its position in the target market? Regarding the case of IBC, last year, IBC obtained the highest market share of 28 percent in total national market and 42 percent of HCMC market. At present, IBC is facing the intensified competition from Coke, the question is how can IBC protect its position in Vietnam in general, and HCMC in particular? To answer this question, IBC needs to develop the marketing mix program for each local market to defend its current market share.


This research study examines how to develop the effective marketing strategies for International Beverage Company in HoChiMinh city in order to increase the market share, and protect its leading position in this soft drink market.






1.3. Objectives of the Research Study


The objectives of this research cover the following issues:


1. To analyze the business environment of the Vietnamese soft drinks market including production and consumption of soft drinks, consumer preference, governmental policies on the soft drink industry and competitors of IBC.

2. To analyze and assess the current situation of IBC in term of strengths and weaknesses of its production capacity, market share, and marketing activities including products, price, distribution and promotion.

3. To develop the marketing strategies for IBC in HCMC which consist of market segmentation, market targeting, positioning strategy and marketing mix strategies. The specific marketing mix strategies for products, price, distribution, and promotion will be developed to implement the selected positioning strategy.



1.4. Scope and Limitation of the Research Study


This research study is conducted at International Beverage Company in HoChiMinh city, Vietnam. The study has been undertaken purely from a viewpoint of marketing relating to develop the marketing strategies for IBC in HoChiMinh city.


This research relates to the development of the marketing strategies including market targeting, positioning strategy and marketing mix for products, price, distribution, and promotion.


Regarding product strategy, the research does not discuss the development of new products because IBC has not planned yet for developing new products.


In the area of distribution, the physical distribution channels such as inventory, logistic, warehouse, and transportation are not included


Data are collected just in HoChiMinh city which is the key soft drink area in the Vietnamese market.


1.5. Organization of the Research Study


This research is organized in six chapters, as follows:


ã Chapter 1 provides an introduction including background, problem statement, objectives, scope and limitation of the research study.

ã Chapter 2 presents the literature review of the study and summarizes the work of previous studies, it relates to the fundamental ideas on designing marketing strategies including marketing situation analysis, marketing strategy design, marketing program development for products, price, distribution and promotion and implementing and managing marketing strategy.

ã Chapter 3 discusses research methodology including the framework of research, information needed, methodology of data collection, sampling size and data analysis.

ã Chapter 4 analyzes external factors covering the soft drinks market situation and competitors in order to find out opportunities and threats in the environment in which the company operates.

ã Chapter 5 analyzes and assesses the current position of the company regarding strengths and weaknesses of IBC about production capacity, market share and marketing activities.

ã Chapter 6 presents conclusion and recommendations for developing the marketing strategies for IBC in HCMC including market targeting, positioning strategy and develops marketing mix strategies.