MINITRY OF FINANCE
UNIVERSITY OF FINANCE AND MARKETING
Project:
INTERNATIONAL MARKETING PLAN FOR HAO HAO
INSTANT NOODLE OF ACECOOK VIETNAM JOINT STOCK
COMPANY IN THAILAND Major: Marketing
Speacialization: International Marketing
Name Student’s Code 1 Luu Phuong Ha 1921000737 2 Nguyen Thanh Nhu Ngoc 1921005561 3 Huynh Ho Bao Tran 1921000967
4 Bui Ha Vy 1921003851
Ho Chi Minh City, 2021
Trang 2TABLE OF CONTENTS
I EXCUTIVE SUMMARY 1 Il SITUATION ANALYSIS 2 1 Company Analysis cố 2 Vy 0ï 0 in on nh ẽ 3 pin nh 3 Il ANALYSIS OF THE INTERNAL ENVIRONMENT 5 1 Analyze the factor of the internal environment of the cOmpany . - ác S se 5 P.00 còi cài nh 6
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Trang 4I EXCUTIVE SUMMARY
The purpose of this report is to provide an international marketing plan for Acecook's Hao Hao noodles to the Thai market Hao Hao noodles first appeared in 2000 by Acecook Vietnam Nearly 20 years have passed, the sour and sour shrimp flavor of Hao Hao has become too familiar and still occupies a high position in the hearts of Vietnamese consumers Acecook Vietnam has brought its
products to many countries around the world from the US, France, Germany, the Netherlands, even
Asian countries such as South Korea, Hong Kong, Japan, Up to now, Acecook Vietnam wants to turn to Southeast Asia and realizes that the Thai market is very potential and suitable for the company to promote its Hao Hao noodle products in the next 5 years
Firstly, according to data from the World Instant Noodle Association, Thailand is in the Top 10 countries that consume the largest packaged noodles The amount of noodles consumed in this country has also skyrocketed in recent times due to the COVID-19 pandemic Our company found that the rate of instant noodle use in Thailand is 93% of which 37% of Thais eat packaged noodles 2- 3 times a week for convenience Therefore, we believe that Hao Hao instant noodles will be easily accessible to easy-going consumers because this is a popular product
Secondly, SWOT analysis indicates that, although Hao Hao noodles have some batriers to entering the Thai market such as a lack of brand awareness, this will be an opportunity to join new close friends to neighboring international friends An overview of Thailand's instant noodle industry trends and the growth of the mayor gives Hao Hao an opportunity to make a profit in the future According to the assessment, the brand awareness level in Thailand will reach 20%, the profit margin of 20-30% even 40% if COVID-19 is still in the business and the market share of 5% - 10% will be achieved in the medium to long term respectively
Trang 5IL SITUATION ANALYSIS
1 Company Analysis
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AC©COOK
Picture 1: Acecook Logo
Since its establishment on December 15th, 1993, and official inauguration in 1995, Acecook
Vietnam Joint Stock Company has been constantly developing and becoming a leading manufacturer of foodstuffs in Vietnam Acecook Vietnam has attained a strong position in the market while providing instant processed products with high quality and nutritional values
Hao Hao noodles first appeared and were first joined in 2000 by Acecook Vietnam The product has quickly gained popularity among many consumers, becoming the most familiar dish to consumers in urban and rural areas As a Japanese instant noodle manufacturer, Acecook has pioneered investments in the Vietnamese market As a result of that investment process, acecook Vietnam was established on January 18, 2008
Mission and Vision:
* To become a leading manufacturer of foodstuffs in Vietnam whose management capacity is commensurate with globalization
* To bring new culinary consumption concepts to local and foreign consumers through manufacturing and supplying high-quality products Through the production and sales of high-quality products and services to meet the modern demand and: Bring satisfaction to the consumers, Bring sustainable life and growth to employees, Attain a strong position and support all over the world
Trang 6markets Acecook Vietnam products are exported to 47 countries and territories, from the Americas
(USA, Canada) to Europe (UK, France, Germany, Netherlands) to Asia such as Korea, Taiwan,
Malaysia However, in these markets, Acecook’s upcoming orientation is to expand the audience of local customers using Acecook products originating from Vietnam
2 The Current Market Situation
Over the past 3 years, Hao Hao noodle brand has been growing in the market Especially in the context of the complex COVID-19 epidemic, Acecook's revenue is even more “terrible” with more than VND9,800 billion in 2019 Profits also increased at an average rate of about 20% per year to
more than 1,300 billion in 2018 In 2018 alone, the revenue of Hao Hao noodles helped Acecook double Masan (VND 4,636 billion), 16 times more than Miliket (VND 608 billion) In particular, at
the time of social distancing, Acecook has increased production with an increase of about 30% to meet the demand of the market Every day, the company can produce 400,000-450,000 cartons of produce, equivalent to 12-13 million packets of noodles
In the market, there are many products corresponding to the same type, competing with Hao Hao Direct competitors with Hao Hao are other popular packaged noodle brands such as 3 Regions,
Kokomi, Miliket, Omachi Indirect competitors are noodles (rice noodles, sorghum, pasta, ), other
instant foods (Korean rice cakes, rice balls, sausages) It can be seen that the trend of consumers using instant noodles has increased in recent years due to the impact of the COVID-19 pandemic During the epidemic, limiting going out, packaged, frozen foods, typically instant noodles are the most chosen because they are easy to store, has a long shelf life In particular, the rate of increase in instant noodle consumption in the current context is 67% Other factors affecting the Hao Hao instant noodle consumption market such as gender, preferences, income, health, convenience needs, frequency of shopping, geography (rural, urban)
3 Market size
The global demand of instant noodles assessment for 2017-2020 shows that Thailand is ranked no 9 Consumer demand in the country increases year by year In 2018, 3,460 packages were consumed, 3,570 packages in 2019 and 3,710 packages in 2020 The outbreak of covid-19 in recent years has made Thailand's Fast Moving Consumer market 25.24% higher than other Southeast Asian
Trang 7TOP CONSUMERS *Million Ầ servings eaten per year 6.060 5,780 3200 4400 3980 3820 3.460 2370 i859 1.820 Se ` & i = UVeEtY
Indonesia Japan ‘orea | Brazil Nigeria | Malaysia
& Homa Nong @ India 0 Vietnam o Philippines o Thailand © Russia ® Nepal ® Mexico o e 9 © Qo đ đ â Source: World instant Noodles Association (WINA] BANGMHOK POST GRAPHK'S = Picture 2: Global Demand of Insstant Noodles in 2017-2020 (Source: World Instant Noodles Association (WINA)) Compared to the Thai market, there are not many special instant noodle products, the entry is a good opportunity to develop products as well as develop the country’s culture It can first be piloted in several small provinces so customers can identify the brand, then expand to Thailand's two largest cities
Udon Thani is the largest province of northeastern Thailand, the largest vietnamese-born province in Thailand, with about 15,000 people This would be the ideal place to distribute the first product This province has many Vietnamese people living to facilitate the development and identity of the brand They will recommend Hao Hao instant noodles to friends and relatives This makes it easy for Thai people to identify their brands Tom yum, Thai suki, and mince pork flavors are popular in Thailand Generally, spicy flavors with chili are preferred A wide variety of products use rice vermicelli and pho
Trang 8Ill ANALYSIS OF THE INTERNAL ENVIRONMENT
1 Analyze the factor of the internal environment of the company
The company owns 10 manufacturing plants, 300 distribution agents in Vietnam and many overseas representative offices Acecook invests in a modern high-capacity line, equipped with quality control systems such as weighing machines, Xray machines In addition, the company also has a laboratory built and installed modern equipment to ensure the results of inspection of raw materials and finished products quickly, accurately, honestly and objectively
The company currently has nearly 6,000 employees (office and production teams) Acecook employees are always ready to coordinate to complete production processes that bring customers quality products
¢ Ordinary workers are manufacturing workers at Acecook factories They are highly trained, equipped with the necessary knowledge about the use of modern machinery and handling situations that arise during the working process
* Research group: has a master's degree, graduated from schools or majored in chemistry, microbiology and nutrition, has had previous research experience
* Technical team: is a team of IT professionals, engineers who are qualified in their field of work They all have experience in installing, repairing, designing machinery for the factory as well as electronic applications for internal and marketing
¢ Business team: is a team that is invested in both expertise, capacity, and enthusiastic working spirit, ready to conquer all difficulties, bringing the company's products further * Corporate governance group: 100% graduated in the right majors with employment positions from leading universities in Vietnam and internationally This group of human resources has very good expertise in business administration in general from the application process until the official staff
Acecook Vietnam's core capacity is strong financial resources, well-known and long-standing brands that are well known to many people There is modern equipment technology, manufactured according to Japanese technology, products of international standards The company’s products are diverse in types, flavors, and affordable prices These points give a competitive advantage in the
Trang 92 The Firm’s competitive advantage
2.1 Constructing a competitive advantage
Benefit: The company’s products are always evaluated for quality, manufactured in a closed process, using the most modern technology in Southeast Asia: ISO 9001:2008, ISO 14001:2004, HACCP Acecook Vietnam is the first Southeast Asian company to meet international food standards (IFS, BRC) Having a development strategy, a wide distribution network in foreign markets, affirming the Vietnamese noodle brand in the international market The enterprise has 100% foreign investment capital, strong financial potential, if spending advertising money continuously will help the company easily increase its market share
2.2 Constructing a strategy
Cost: about $50 million per plant By perfecting the production process and automation, Acecook can save costs, making it possible for consumers to enjoy high-quality instant noodles at reasonable prices
Difference: Delicious taste, variety, ensuring nutrition are the available characteristics of the product has created a distinct impression that attracts consumers from easy to difficult, from domestic to international market In addition, as competitors entering the noodle market are increasingly crowded and become fierce, Acecook Vietnam has turned up along with the advantage of the increasingly advanced noodle production process, higher technology with the leading criteria — ensuring consumers’ health and safety The biggest difference of the company is that it relies on experience, know-how and technological superiority to continuously improve the quality, improve the taste of noodles, and create many new tastes
3 The Success of current marketing programs
Trang 10word-of-mouth advertising In addition, the company funds charitable programs to promote the brand identity process
Marketing channels: PR, Social Media ( TV, Youtube, Facebook, Instagram, ), Ads, Banners
in supermarkets, grocery
4 The market knowledge
Acecook can increase production by 30% to meet the growth rate of the Thai market Acecook actively joint ventures, linking with other enterprises, foreign enterprises to have strong capital sources, creating conditions for the company to develop to easily increase the market size
Acecook constantly examines the business strategies and marketing strategies of direct and indirect competitors in the Thai market From there, the company offers other, bolder strategies that demonstrate the superiority of the company’s Hao Hao products Strengthen marketing strategies, promotions to boost market purchasing power
The Thai instant noodle market is a volatile market, Acecook company always has to regularly survey the market to capture the tastes of consumers, serving a variety of audiences The company offers surveys, observation methods, testing methods to be able to respond promptly to market changes
IV ANALYSIS OF THE EXTERNAL ENVIRONMENT
1 Political:
CPTPP is a new generation free trade agreement (FTA) with 11 member countries: Australia,
Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam The
CPTPP Agreement was launched in 2019 to remove trade barriers between | 1 member countries; The consumer population of the group of countries participating in the CPTPP Agreement reached 500 million people In April 2020, the Thai cabinet temporarily considered the decision to join the CPTPP due to decisions from politicians, social groups and experts for reasons that would affect the economy, specifically the economic sector agriculture and health In May 2020, the Thai cabinet decided to set up a study committee to join the CPTPP