Final Report International Maketing Plan Of Biti's.pdf

Furthermore, Biti's Hunter, a Biti's sport shoe brand, was introduced to the market at the end of 2016with the unique feature "Light as Flying," offering the optimum comfort for consumer

TABLES OF CONTENTS

INTRODUCTION 4

MAKETING PLAN 5

I Current situation analysis 5

1 Micro Environment 5

2 Macro Environment 6

II SWOT Analysis 8

III Goals and objec琀椀ves of the entry mode 10

1 Company’s entry mode 10

2 Objec琀椀ve 11

IV Marke琀椀ng strategy in the Interna琀椀onal market 11

1 Segmenta琀椀on 11

2 Targe琀椀ng 12

3 Posi琀椀oning 12

V Marke琀椀ng Mix 14

1 Product 14

2 Place 15

3 Price 16

4 Promo琀椀on 17

VI Ac琀椀on program - projected marke琀椀ng budget for the company 18

VII Control program - action Programmer 1 Year for the company 20

CONCLUSION 22

REFERENCES 23

INDIVIDUAL CONTRIBUTION 24

Furthermore, Biti's Hunter, a Biti's sport shoe brand, was introduced to the market at the end of 2016with the unique feature "Light as Flying," offering the optimum comfort for consumers' life adventures.Biti's Hunter has become a well-known brand among the Vietnamese youth Biti’s product has alsoarrived in many other countries such as Russia, US andUAE (Biti’s 2009) In China, Biti's has set up 4Resident Representative Offices in Guangzhou, Kunming, Nanning and Hekou The trademark “Biti’s”was registered in the People's Republic of China in 1999, has the right of trade protection and has 25General Brands and more than 300 Brands.

b Supply

- Biti's imports 60% of its raw materials from outside the country and produces the remainder house: wire mesh, si PU, elastic fabric, and so on, depending on suppliers and global raw materialpricing

in Biti's also works with a number of foreign suppliers, including the leather joint stock company WeiTai, Tae Sung, and a few French firms

c Intermediaries in marketing

- With the strength of being Vietnam's most prominent footwear brand, Biti's has expanded its reach toinclude: + 1500 retail distribution agencies around the country, + 7 branch centers: Lao Cai, regionsNorth, Quang Ninh, Central Highlands, Da Nang, West, and South, and, + 156 marketing outlets

- Biti's currently collaborates with online distribution platforms such as Tiki, Shopee, Lazada, andothers to provide consumers with the most convenient shopping experience

e The general public

- Expressing a willingness to reach out to the community by supporting study promotion funds, socialcharity initiatives, and scholarship sponsorship "Biti's - Nurture Vietnamese Feet." The program's goal

is to establish company culture (internal PR) through jobs: communicate the mission and brand vision

to all employees; implement policies to boost employee morale; For recruiting employees, there is abrief training session

In addition to the general audience, Biti's Hunter line has been viewed as the brand's blood-changingrevolution since its inception in January 2016 with a completely different and pioneering marketingcampaign Biti is integrating its products into the products of musicians such as Son Tung and SoobinHoang Son, as well as viral video on social networks with the message, by leveraging the heat andcelebrity power The Hunter line, as well as this brand, has become more popular as a result of itsconnotation

f Customers

- Biti's consumers are diverse in terms of gender and age, ranging from men to women, children toteenagers, youth to middle-aged and elderly The company focuses on producing shoes that are suitablefor learning and entertaining for children aged 1 to 15 years old As a result, Biti's target marketincludes grandparents, parents, and those who wish to buy their children shoes that are both attractiveand durable

- Biti's Hunter line is aimed for teenagers, young people who are active, enjoy moving about, and want

to express themselves

- Biti's has been exported to 40 nations throughout the world, including China, Italy, France, the UnitedKingdom, the United States, Russia, Japan, and South America International customers such asDecathlon, Clarks, Speedo, Skechers, Uniqlo, Jack Wolfskin trust Biti's and choose to become aprocessing partner with numerous significant value orders

2 Macro Environment

a Demographic environment

- Vietnam's population is aging (the population aging rate is among the highest in the world), posingsignificant issues for the company when the target client demographic is children, potentially loweringrevenue and the market in the long run Biti's needs to devise a strategy for launching product linesaimed at middle-aged and senior individuals

b Economic environment

- Our country's GDP growth in 2018 was 7.08 percent (the highest since 2008), providing chances for

Bitis to expand their manufacturing and economic activities

- Not only did the economy achieve the dual target, but inflation also remained low in 2018, at less than4%, exactly 3.54 percent This allows the company to save money on things like electricity, water,middleman costs, production costs, and so on, while also increasing the number of items available

- A relatively steady currency rate aids in the promotion of exports and the formation of businessrelationships with worldwide brands

c Natural environment

The rising scarcity of raw materials and degradation of the environment instill a sense of environmentalresponsibility in firms that produce consumer goods and pay for waste treatment Furthermore,government action and regulatory regulations around the utilization of natural resources force thecorporation to seek for other raw materials

A better grasp of the state of the natural environment However, Biti's has boosted its efforts to assistenvironmental conservation in recent years, such as the "Go and Experience Green" project, whichaims to raise environmental consciousness at tourist locations by spending substantial quantities ofmoney on social activities,

d Technology environment

Biti's face significant hurdles as a result of modern scientific and technological progress Manyinnovative footwear approaches have emerged, such as the development of breathable shoes,particularly for sports shoes, with shoe design technology that can absorb maximum foot sweat As aresult, Biti's has had to increase product quality in order to sell goods to the EU, which is the targetmarket

At the same time, it provides Biti's with an opportunity to interact with and implement innovativetechnology in materials, designs, and other areas, allowing them to keep up with global trends andincrease their competitiveness with multinational brands

e Political and social environment

According to the state's export promotion strategy, footwear exporters in Vietnam benefit fromfavorable import tax on raw materials (for export items) and a 0% export tax on finished products.Biti's now has additional options to export its products internationally as a result of the aforesaid policy

Footwear is one of the National Major Trade Promotion Program's key industries As a result, Biti's isone of the state-sponsored firms producing this product, receiving preferential loans and commercialassistance.

II SWOT Analysis

 Strength

Bitis has a firm grasp of China’s legal system and customs business of this country’s merchants andfrom there can make the right decisions such as timely registration and protection of trademarks.Chinese merchants always want to have a special interest, enjoy preferential treatment over others andvice versa, they do not want to lose to anyone So, when dealing with them, Biti’s has been able topersistently convince customers with a unified business policy That makes Chinese entrepreneurs morerespect and believe in long-term stability in cooperation

Products and technology: Biti’s products are 100% Vietnamese shoes with high quality, diverse itemsand reasonable prices Biti’s has more than 40 years in shoe manufacturing and is the first company inthe footwear industry to invest in a technology line from Taiwan, and the first to launch high-qualityfootwear products in the market For many years, Biti’s has been voted by consumers as a high qualityVietnamese product Biti’s reputation is not only recognized in the domestic market but also has beenrecognized for its quality by prestigious foreign organizations such as BVQI,

Bitis is very concerned about the rights of workers and respects them to the fullest Making shoes is not

an easy job, to make a seemingly simple pair of scandals It’s simple but actually it takes more than 20stages of production, not to mention the design stages and through many hands of labor to complete In

the production team, it only takes one person to lose focus and those standards will become wasteproducts Therefore, creativity, professionalism, love of the job and especially a sense of responsibilityare the important factors contributing to the Biti’s of today.

That helps Biti’s products to be high quality, always delivered on time and meet the needs of customers

to the fullest even in orders with designs Here is one of the very important factors to contribute toimproving competitiveness of firms in the industry So, when entering the Chinese market, the Biti’sproducts can meet the design needs of this market

Experience in the international market: After many years of development in the international marketBitis has accumulated many lessons and experiences, that’s why when wearing footwear to a largefootwear export market like China, Biti’s has a place to stand firmly Moreover, these experiences don’t

just stop there, but are constantly drawn by Biti’s

 Weakness

Currently, the technological level of the Vietnamese leather and footwear industry, in general, is at anaverage level and premium level But it is quite dependent on foreign countries for equipment andmachinery

The ability to invest and transfer new technologies depends on limited financial resources, the team ofexperts with deep knowledge and technology updates is too small and has not met the developmentneeds of the business, experience and the ability to negotiate and sign contracts on technology is stilllimited This is one of the reasons for limiting labor productivity and efficiency in footwear productionand business

Moreover, the general situation of our country’s footwear industry is that it is not possible to take theinitiative in the source of input materials, but most of them have to be imported from countries in theregion with high prices, the product price depends greatly on fluctuations of the raw market auxiliarymaterials

 Opportunity

Opportunity:

-Preferential policies for border

trade activities in border areas,

preferential import tax for

W-O

-Biti’s can make new products with the new materials in order to make a difference

- Conduct more promotion

- China and Vietnam are

member of WTO

- Trade promotion has been

begun to be focused

- In recent years, the number of

consumers who shop online or

use e-commerce sites has

increased significantly Social

media is driving e-commerce

image of Vietnam’s footwearindustry as a potential footwear producer and exporter

- Biti’s sale method has had many innovations/ take advantage of the social media sites in China: forming many wholesalers and retailers networks, participating in distribution channels, developing forms ecommerce

campaigns to approach the international market as well

as the domestic market

- Providing better services

by training staff, and service after selling products

 Threat

Threat:

-The Chinese are inherently

capable of counterfeiting

- China’s low-cost production

has caused the production of

goods in many countries to

struggle, including Vietnam

- Moreover, famous international

competitors such as Adidas,

Nike, Italian and American

brands,…

S-T

-Chinese footwear looks nice, various and cheap but very low quality Biti’swith good quality,

fashionable design and still maintain good quality and reasonable price

W-T

-Attach Anti-counterfeiting stamps into products to prevent imitations from China

-Creating an interacting system withcustomers on Biti's website to get their opinions, thus the manager canknow what to improve and which need to be maintained

III Goals and objectives of the entry mode

1 Company’s entry mode

Biti’s will expand into the foreign market using direct exporting, direct sales and online sales

With preferential policies for border trade activities in border areas, preferential import tax forneighboring countries; trade promotion,…Biti’s has a great advantage for business selling in China

Biti’s is doing a great job in Southwest China The Southwest is a province with 420 million people but

is left open by China because they are too focused on exports People’s living standards here are lowerbut they need high-quality products This demand of Southwest consumers is completely consistentwith products manufactured on EVA material that Biti’s is having Therefore, Biti’s aims at quality,with diverse designs, products that are suitable for all climatic and geographical conditions here togradually conquer consumers in the Southwest provinces

Besides Southwest province, Biti’s will penetrate the footwear market of other provinces of China with

a new diversified model and products If China penetrates the Vietnamese market with a cheap price;Biti’s will launch a bolder move that is to conquer the opponent’s market with high quality andexpensive products

Because Biti’s has also imported some products to China, the company understands and isknowledgeable about the Chinese market so it is easier to build a stronger and more popular brand.Biti’s can take advantage of online sales channels to promote products such as live stream on douyin,douyin video, Taobao,…Biti’s can participate in trade fairs, conducting market research, findingdistributors, finding and serving customers, etc With the advantage of product design and quality, theapproach to customers and product promotion,… Biti’s will gradually be more accepted by Chinesepeople; in detail that is Chinese young people Biti’s will gradually establish national headquarters anddistribution centers

2 Objective

In the short run:

-Maintain current value of good quality footwear

with suitable price for segmented customers

- The monthly sales range from 500-800 pair of

shoes for online shopping and 1000- 1200 pairs

of shoes for direct sales in the first years

- Biti’s will reach break even point after 3 years

In the long run:

-Diversify designs of sandals with seasonalcollection in China

-Build a fashionable and good quality image byfrequent promotional campaigns

-Within the next 3 years, Biti’s can be compared

to famous shoe brands in China

IV Marketing strategy in the International market

1 Segmentation

a Geographic:

-Local market (Vietnam): quality

-Foreign market: Italy, France, UK, USA, Russia, Japan, South America, Mexico, Cambodia,

b Demographic:

- Age: 5-25 years old Generally, the younger generation have a tendency for time and want to assertthemselves They are attracted by the new trend, beautiful design

- Gender: male and female

- Income: medium income, working class and higher who are less price sensitive

c Psychographic:

-Personality: teenagers like to catch up with new fashion trends

- Social class: middle and upper middle class

- Life style: dynamic young people today love exploring, have a passion for tourism They are lookingfor quality sports shoes with fashionable design at reasonable price and proactive, convenient

d Behavioral:

-Occasions: Tet, Summer vacation, New school year

- Personal needs: When they buy a product, they often pay much attention to many styles, colors, andfashion Selecting shoes should suit your personality and lifestyle

- Work needs: The product is required to be highly specialized, comfortable, active, reliable and safefor users

- Communication peeds: The product must be polite and formal to the users

2 Targeting

Today's youthful customers want to exhibit their style and personalities via the brands they use And, inorder to draw customers' attention, BITI'S Hunter sports shoes with ideal characteristics for consumersare born So far, the majority of BITI's goods have been aimed towards clients in the lower middle andworking classes BITI'S Hunter is the company's offer to the medium and higher middle classes whoare less price sensitive, with a price range of 500,000- 1,000,000 VND (21.5 USD to 43 USD) In terms

of segmentation, we ultimately opt to employ Differentiated marketing and target the age and gendersegments Our target market consists of men and females aged 5 to 25, which represents a verypromising market owing to the vast market size

3 Positioning

3.1 Advantages of competitor's companies:

Direct competitors:

ADIDAS: