THUONG MAI UNIVERSITY ECONOMIC INFORMATION SYSTEMS AND E TRADE DEPARTMENT TOPIC SPORTS BUSINESS IN VIETNAM Group Class Lecturer 08 22151ENTI1011 Mrs Mai Annie Hanoi, 2022 CONTENTS Introduction 3 PART.
THUONG MAI UNIVERSITY ECONOMIC INFORMATION SYSTEMS AND E-TRADE DEPARTMENT TOPIC: SPORTS BUSINESS IN VIETNAM Group : 08 Class : 22151ENTI1011 Lecturer : Mrs Mai Annie Hanoi, 2022 CONTENTS Introduction .3 PART I: SPORTS BUSINES What is Sports Business General Introduction Sports business products 4 Development of the sports business 4.1 World .5 4.2 Vietnam PART II: SPECIFIC EXAMPLE – BITI’S .7 Introduction Main products and leading products Customer segment, goods, and warranty policy .7 Customer's feedback and perspectives after using bitis's products Conclusion 10 STUDENTS’ ASSESSMENT Seria l 39 40 41 42 43 44 Full Name Đỗ Thị Hồng Ngọc Lê Đình Nhật Hà Như Bảo Nhớ Tô Thị Mai Quy Đỗ Đức Thắng Đặng Thị Phương Thảo Rate Note B+ B+ A A+ A+ A+ Miss the deadline Miss the deadline Good Great Great Great INTRODUCTION Demands for entertainment, including sports, are in increased recently In light of this, businesses in the sports field have thrived and become more competitive than ever They must constantly improve their products to meet the needs of customers if they not want to be left behind This is both a challenge and an opportunity for companies in this business sector Our team is going to dissect the development of the sports business in Vietnam through the topic "Sports business in Vietnam" to understand more about what makes this industry highly successful and what are their difficulties In addition, we are going to also analyze Biti's - a leading enterprise in this sector PART I: SPORTS BUSINES What is Sports business The term “Sports business” refers to any off-field role related to managing or facilitating sports It incorporates several positions specific to the football and sports industry, including sponsorship, broadcasting, and athlete management General Introduction The sports industry is one of the largest and fastest-growing industries in the world (Plunkett, 2013) It is an industry with unparalleled global reach and power Globally, sport-related turn- over amounts to three percent of the world’s total economic activity In Vietnam alone, the sports industry is estimated to be more than $20 million, making it one of the 10 or 12 largest industries in the country At the same time, the corporate practices of this worldwide industry can and have a widespread impact, socially and environmentally In addition to the rapid growth of the sports industry, the nature of the sports business has changed as well Sport is now a major component of the entertainment industry, competing for the discretionary income of fans worldwide This increases the need for sound administrative and business practices, as well as for individuals specifically educated for the unique nature of the sports industry The sports business means many different things to different people. This is a truly global industry, and sports stir up deep passion among spectators and players in countries around the world. To one person, sports are a venue for gambling; to another, they are a mode of personal recreation and fitness, be it skiing, cycling, running, or playing tennis. To business people, sports provide a lucrative and continually growing marketplace worthy of immense investment. To athletes, sports may lead to high levels of personal achievement, and for professionals, sports can bring fame and fortune. Sports business products The sports business includes three organizational sectors: public, nonprofit, and commercial These are important categories for the different types of organizations involved in sports and are central to the creation and production of sports products, services, programs, and facilities The sports business industry consists of several different segments including sports tourism, sporting goods (manufacturing and retail), sports apparel, amateur participant sports, professional sports, recreation, high school, and college athletics, outdoor sports, sports businesses such as sport marketing firms, the sport sponsorship industry, and sport governing bodies. Development of the sports business The ability to pay for consumption and provide goods and services that can be enhanced by education and sports in society creates sufficient conditions for the economy to develop to a certain extent become an economic industry like other economic sectors in some countries that are considered sports powerhouses such as USA, China, UK, Germany sports activities are an industry, a business field (sports industry) returns jobs and incomes to many millions of workers as well as higher revenue and profits than many different economic sectors 4.1 World In many countries around the world, the sports economy has been a massive machine, creating jobs, profits, and income while also contributing significantly to the national budget In the US, the sports economy accounts for more than 2.4% of GDP, ranking 11th out of the top 25 business sectors in the country The total market size reaches 400–435 billion USD per year, twice that of the auto industry and times that of the movie industry In China, the world's largest producer of sporting goods; since 2011, the added value of Chinese sports enterprises has exceeded 300 billion yuan, accounting for 1.2% of GDP In the UK, the growth rate of the sports business has exceeded the overall growth rate of the UK economy in the last two decades, regularly contributing to the national budget of nearly 20 billion pounds a year In the Russian Federation, by 2015, more than 42 million people participated in sports training In 2011, Russia spent 1.3 million dollars investing in sports development Russia's existing sports infrastructure includes 123,100 training grounds; 68,600 gyms; 3,800 water surface works; 2,700 stadiums; 3,100 ski resorts; and 8,100 shooting ranges Sports infrastructure has increased by more than 5,300 sports facilities since 2007 Such a strong development of physical and technical facilities comes from the strategy and planning of the economic development of physical fitness 4.2 Vietnam In Vietnam, several sports, such as football, basketball, and volleyball, have initially turned professional The basic foundation of professional sports is the operating environment, which is formed and developed under the influence of the political, social, economic, and cultural environments and the enthusiastic cheers of the fans In the environment of professional tournaments, the product of business owners (clubs) is the quality of matches, products, and services provided to the market for fans to enjoy The sports economy contributes 2-2.5% of GDP Sports activities create more jobs, and income and bring about larger revenue, etc… In Vietnam, sports is considered a field of non-economic and non-business social activities A professional sports club can only make a profit, survive, and develop if it participates in the professional sports competition system Sports competition service is a special type of general service because it includes many types of services that are increasingly profitable in many countries: labor services (player transfers), travel services, advertising, radio, television, securities, etc The current law on physical training and sports considers physical training and sports to be activities of a non-business and public benefit nature without clearly defining the business nature of physical training and sports activities or encouraging organizations and individuals to participate in sports activities Therefore, in our country today, physical training and sports are being conceived as a field of noneconomic and non-business social activities Therefore, it is necessary to change the perception of the sports economy The right perception needs to be expressed and goes hand in hand with creating a clear and complete legal basis for development PART II: SPECIFIC EXAMPLE – BITI’S Introduction Biti’s was a small start-up established in 1982 with only 20 workers, but with their fierce determination and strong will, Biti's overcame the period of the subsidized economy and becomes a leading footwear brand in Vietnam Biti's has constantly improved and innovated for more than a third of a century They have gradually built itself as a diverse footwear brand in terms of forms and models In addition, the production and import/export strategy, the material resources, the financial resources, and the dynamic and enthusiastic human resources, are key to their success and help them compete with the big brands in the world Biti’s used to be a famous brand with durable sandals, capturing the minds of Vietnamese consumers of the first generation 8x, and 9x However, with Vietnam's rapid economic integration in recent years, the 9x and 10x generations have now turned to favorite sneakers from international brands If it continues to focus on traditional shoes and sandals, Biti's will gradually lose its connection with them, and the next generations of the sports shoe market in Vietnam Bitis realizes that the Vietnamese market is still in short supply of locally produced sneakers, with reasonable prices, high quality, and trend-setting designs That's why Biti's Hunter was born Not is only this filling a gap in the market, but this sneaker line is also an effort to help Bitis change the perception of customers, especially young people Main products and leading products Some of the main products that Biti's manufactures include: Hunter, Sandals, Sports shoes, Running Shoes, Soccer Shoes, Western shoes, etc… In particular, at the beginning of 2016, Biti's had a strong and impressive transformation when it launched a line of multi-purpose sports shoes called Biti's Hunter Bitis Hunter is currently divided into product lines for both men and women: Bitis Hunter Original, Bitis Hunter Liteknit and Bitis Hunter Feast (Bitis Hunter X), Bitis Hunter Core, and Bitis Hunter Street In each line, there will be collections and specially designed versions with a variety of colors for customers to choose from with youthful and healthy designs, comfortable materials, and extreme shapes Hunter represents a young dynamic group of Vietnamese people who are always progressive and love to explore and express themselves Therefore, Biti's Hunter has found its place in a very potential market: a mid-range shoe brand for the normal income group, with a brand name because before Biti's Hunter did not have a brand Famous at the price range of 500 - 800k / pair Customer segments, and warranty policy Customer segment: Biti’s currently produces sports shoes that are available in a wide range of styles and designs at suitable prices Biti’s is targeting all types of customers from workers with average salaries to the upper class in society, from middle-aged to children Biti's mission is expressed right in the slogan "Creating Vietnamese feet", Biti's wishes to bring the best service to Vietnamese consumers, becoming the first brand of Vietnam to serve Vietnamese people, with the slogan "Vietnamese people use Vietnamese goods" Furthermore, Biti's also develops and expands its product export activities to the international market Return and exchange policy: In case of an error from Biti's delivery of wrong product information (wrong size, wrong product), damage during transportation, or from the manufacturer, customers are completely free of the shipping fee for exchange Customer's feedback and perspectives after using bitis's products Biti’s shoes, recently, dominate the Vietnam market and there are some products reviews from customers about its standout features: Biti's shoes have a trendy design The first and most obvious feature of Biti's shoes is their fashionable design There is no extra detail on the top of the shoe Among women's shoes, Biti's has a soft toe and sole In particular, the design of men's shoes is more angular On the top of each shoe is a sharp Biti brand logo The brand logo highlights the beauty and personality of the user Biti's shoes have youthful colors When it comes to Biti shoes, you will be presented with a plethora of vibrant shoe models In particular, the most unique feature of Biti's shoes is the use of a unique color scheme to add more flair Thousands of users have been completely conquered by the youthful colors of Biti's shoes, such as red, blue, gray, black, blue, etc This product line further promotes the diversification of shoe shapes and colors, giving users many good choices Phylon shoe sole absorbs forces Biti's recently launched shoes have one thing in common: a super durable sole that uses high-quality Phylon material In addition, the grounding part made of rubber improves load-bearing capacity and is more effective against slippage Many customers are very satisfied with the ability to absorb the power of such a famous shoe line Although the sole is very light, it can withstand high pressure and ensure absolute durability People not feel tired when walking in shoes with light soles Biti's shoes are meticulously crafted down to the smallest detail One of the reasons why Biti's is a famous brand in the market is the excellent quality of the workmanship The toe has a steady needle line But the most unique are the seams between the body, sole, tongue, and lining, ensuring 100% accuracy Perhaps that's why such shoes always have perfect aesthetics and durability compared to high-end shoes on the market Biti's shoes with Litekit woven straps If the old Biti shoes used the old Air Mesh material to make the straps, the new Bitis shoes have now been replaced with Litekit braided material It is one of the most advanced technologies in the field of shoelace production in the world Thanks to Biti's innovation, users can easily clean their shoes, especially when the braided part of the shoe is very resistant to stains Biti's shoes are lightweight To give users a comfortable feeling when wearing shoes, Biti's is constantly researching and improving the weight of shoes Recently, this brand invested US$5 million in technology to produce Vietnam's number one high-quality sports shoes Among them, Biti's promoted the development of an "ultra-light" footwear production line with a weight of only about 225g With careful investment, this division has created millions of pairs of ultralight shoes The product offers the best user experience while creating a competitive edge for the brand itself The technology of Biti's Compared with other products, a difference in the production process of Biti shoes is the equipment that applies many modern technologies More specifically, Biti's has integrated new technology into textiles and shoe soles in each product line Some of the standout technologies include LiteKnit braiding technology Modern technology helps Biti's shoelaces have good elasticity and high breathability When you wear Biti shoes, you will never feel secretive or uneasy Teleflex technology is used to manufacture the sole This is an exclusive technology owned by the numberone shoe brand in Vietnam Based on cutting-edge technology, Biti uses ultralight Phylon material to create shoes that are as light as possible 10 Products using IP manufacturing technology always have excellent elasticity and flexibility In addition to the two outstanding technologies mentioned above, Biti's also uses technology to shape and support the heel Antibacterial technology is used inside the sole to help massage the user's feet naturally It is no exaggeration to say that Beatty's shoes are the crystallization of technology and transcendent human intelligence My own experiences when buying Bitis shoes: I own a pair of Biti’s Hunter Feast shoes several months ago Biti’s shoes are worth buying in terms of prices, qualities, and services Despite its advantages, it still exists some problems The shoe's body is a little hard, and the elasticity is low, so it can cause a secret feeling for the foot and isn't always as breathable as advertised The shoe body is made of mesh fabric and has a thin foam lining inside, which has a high chance of causing foot odor The midsole and outsole are made of Phylon material, completely removing the anti-slip rubber layer, making the shoe softer and lighter but reducing its durability of the shoe The form and body material evaluation of Biti's Hunter Feast shoes has not been perfectly processed, so it is still a bit stiff and not elastic, resulting in easy heel lift after a period of use. 11 CONCLUSION Thus, through the above analysis, it can be seen that the market the business industry is aiming at in Vietnam has been potential to develop However, the business must face numerous challenges in this highly competitive sector Like BITI'S, they struggled from production to building purchasing policies and warranties to have today’s success This is the article of group with the topic "Sports business in Vietnam" Through the group's article, we would like to share our certain knowledge about "Sports business" and BITI'S We look forward to receiving your comments and contributions to make our team's work more complete -End- 12 ... training and sports considers physical training and sports to be activities of a non -business and public benefit nature without clearly defining the business nature of physical training and sports. .. Miss the deadline Miss the deadline Good Great Great Great INTRODUCTION Demands for entertainment, including sports, are in increased recently In light of this, businesses in the sports field... leading enterprise in this sector PART I: SPORTS BUSINES What is Sports business The term ? ?Sports business? ?? refers to any off-field role related to managing or facilitating sports It incorporates several