Download - Project IM
International management
Business project
Mc Donald’sFirm from US and a famous brand
about fast food all over the world
OUTLINEI. INTRODUCTION
II.VIETNAM MARKET ANALYSIS
III.SWOT ANALYSIS
IV.MARKET PRESENTATION STRATEGY
V.CONCLUSION
I. INTRODUCTION
64 million customers daily
I. INTRODUCTION
PRODUCT
I. INTRODUCTION
REASON?
II. VIETNAM MARKET ANALYSIS
POLITICAL- OPEN TO FOREIGN INVESTMENT
- Government is paying more attention to the benefits and interests
of customers
- Business firms must meet the requirements on product safety,
labor laws, truth in adverts, environmental issues, and customer’s
interest and so on
II. VIETNAM MARKET ANALYSIS
ECONOMICMEMBER OF WTO11.01.2007Conduct tariff reduction
Bind all tariff linesRemove non-tariff barriers in a
time certain
II. VIETNAM MARKET ANALYSIS
ECONOMICSTEADY ECONOMIC
GROWTH
In 2012, Ha Noi at around $ 2,200 /personIn Ho Chi Minh City is $ 3,600 / person
II. VIETNAM MARKET ANALYSIS
ECONOMICEmerging market
Ground floor and growing opportunitiesfor foreign exporters and
investors
In 2020: Stabilize the economy
Build world-class infrastructure
Create a skilled labor force
Strengthen market-based institutions
II. VIETNAM MARKET ANALYSIS
SOCIAL – CULTURECulture
Population = 89.2 millionFood is a very important part of Vietnamese culture
II. VIETNAM MARKET ANALYSIS
SOCIAL - CULTUREConsumption habits
- Vietnamese like to buy at a cheap price- Careful in buying decision- Not loyal to one product, but some are likely to choose the products they trust- Vietnamese prefer to try products by themselves than to believe salespersons
II. VIETNAM MARKET ANALYSIS
TECHNOLOGY- Vietnam is a rapidly developing country in technology.- Modern and high-tech equipment are in use- Standard of living has improved is offered various products and services on demand
II. VIETNAM MARKET ANALYSIS
LEGISLATION-Enacted Constitution in 1992-The Law on Investment in Viet Nam-The Law on Enterprises in Vietnam-Weak and evolving legal system-Judiciary is controlled by the ruling party (CPV).-Potential government interference to satisfy their own agenda
II. VIETNAM MARKET ANALYSIS
COMPETITION
The Vietnamese competitors: sidewalk bakeries
II. VIETNAM MARKET ANALYSIS
COMPETITIONThe foreign competitors: KFCOperated for 16 years in Vietnam (1997)
134 shopsYoung population and children
II. VIETNAM MARKET ANALYSIS
COMPETITIONThe foreign competitors:LoatteriaInvested in Vietnam from 1998146 restaurantsSteady expansion strategy
II. VIETNAM MARKET ANALYSIS
The cost of franchisingRegarding the franchising fees, the initial fee would be no less than
$45.000 Become a mcdonald’s partners , they must be very rich.
III. SWOT ANALYSISSTRENGTHes
-Brand equity…..world wide
-Enthusiastic and responsible staffs
-Strong public relations strategies
-Good quality assurance and good customer service
-Low price of products
-Ability to learn from competitors’ mistakes
III. SWOT ANALYSIS
WEAKNESSes
-Late Entry
-Disgruntled franchises
-Limited Menus than competitors
-Contribution to obesity
III. SWOT ANALYSISOPPORTUNITies
-International expansion
-Increase in demand for fast food in Vietnam
-Innovation in product and services
-Fast food penetration still low which is --an
opportunity for growth
-Huge pool of skilled labor force
III. SWOT ANALYSISTHREATS
-Strength of existing competitors
-More local and foreign competitors rising quickly
-Government policies on fast food and healthy
meal
-Outbreak of bird flu
IV. MARKET PRESENTATION STRATEGY
PRODUCT STRATEGIES1. Permanent Product Strategy
2. Temporary Product Strategy
3. Local Product Development Strategy
4. Local Adaptation Strategy
IV. MARKET PRESENTATION STRATEGY
PRODUCT STRATEGIES1.Permanent Product Strategy-Menu is permanent
-There is always something familiar for consumers on the menu
IV. MARKET PRESENTATION STRATEGY
PRODUCT STRATEGIES2.Temporary Product Strategy-The McRib - product is offered only seasonally
-The Big Ocean was offered only for a few months in 2007
IV. MARKET PRESENTATION STRATEGY
PRODUCT STRATEGIES3. Local Product Development
Strategy
Local customers have foods to
fit their tastes.
IV. MARKET PRESENTATION STRATEGY
PRODUCT STRATEGIES
4. Local Adaptation Strategy
-Quality breakfast -Convenience
-Menu additions -Value for money
-Delivery services
IV. MARKET PRESENTATION STRATEGY
PRICE STRATEGIES-Cheaper rate
-Competitive price
-Combo packs
IV. MARKET PRESENTATION STRATEGY
PROMOTION STRATEGIESSpokesman - Ronald McDonald
Radio and television advertising
"Healthy" menu items
IV. MARKET PRESENTATION STRATEGY
DISTRIBUTION STRATEGIES-HCM city is the first best city conditions restaurant to open
-Expending in other large urban centers
-McDonald’s will partner with the Vietnamese Ministry of Agriculture
IV. MARKET PRESENTATION STRATEGY
PLANT OF IMPLEMENTATION---Using a scheme that will satisfy Vietnamese employees---Conducting a comprehensive market survey of competitors’ store locations in Vietnam combined with demographic data---Continuing to have the right products at the right price---Distributing outlets into showplaces---Keep promoting the brand in Vietnam
IV. CONCLUSION
Maintaining the core strengthsEmphasis on consistency and
qualityTesting with innovative optionsMcDonald’s fast-food image
Thank you for loving
mC donald’s