Realizing the business potential in this fertile market, TIEM GUOC brand launched a store in Ho Chi Minh City with the goal of expanding and developing more branches spread across the co
COMPANY OVERVIEW QQQ Q.0 HH nh HH hệt 9
Describe your product or service and the problem it is solving
In contrast to sports shoes, which are more concerned with comfort and practicality for everyday wear, high heels are a little pickier because some people are afraid of the sensation of wearing a pair of shoes that are too high and difficult to wear in commuting However, when wearing high heels, women gain significant height, not to mention increased femininity Furthermore, high heels are especially suitable for polite events, while some types of low-heel shoes can also be used for everyday walking
In recent years, the Vietnamese market has become very differentiated, with two main groups of high-heeled shoes, one of which is a group of low-priced high-heeled shoes with no brand, imported from Chinese merchants and purchased through retail stores Chinese floors, such as Tao Bao, frequently have very low prices with a variety of designs, but the downside is that the quality is very poor The rest of the group are high- end high-heeled shoes from famous fashion brands around the world, such as Gucci, Chanel, Christian Louboutin, and so on, with trendy designs, sophisticated finishing quality, but very high prices, which only a few people can afford
Recognizing this, we are determined to launch a mid-range high-heeled shoe brand to meet the needs of those seeking high-heeled shoes with beautiful design, good quality, and a reasonable price in comparison to the majority of Vietnamese people's income Furthermore, the brand emphasizes culture in its products; all products will be made directly in Vietnam and will have names and designs that are somewhat related to our country
In addition to selling shoes, the store will offer a service in which customers can ask employees to repair shoes they have purchased Editing can include adding more accessories (bows, stones, rivets, etc ), drawing more textures, changing the height of the base, and so on
The shop will also offer a 10-day return policy if the product is found to be defective, a 1-year warranty on all products, free sole stickers, and free retouching for shoes with peeling paint over time The above services will be charged for a one-year period
List current alternatives iií4Ả
Accompanied service: In addition to selling shoes, the store will offer a service in which customers can ask employees to repair shoes they have purchased Editing can include adding more accessories (bows, stones, rivets, etc ), drawing more textures, changing the height of the base, and so on
The shop will also offer a 10-day return policy if the product is found to be defective, a 1-year warranty on all products, free sole stickers, and free retouching for shoes with peeling paint over time The above services will be charged for a one-year period
The store will take care of cleaning and polishing so that the s retain their original color We also get restoration like gluing sq re-sewing soles, restoring skin color, and replacing linings damaged shoes
Cleaning and restoration of leather shoes services
In addition to receiving custom high heels, the shop accep other types of leather shoes if customers have a demand Cus can personalize their purchases by drawing, attaching rivets, more accessories, and so on
Table 1: List of alternative services
Discuss how you will differentiate yourself from competitors
e Price: Although the price of TIEM GUOC products is not too low but when compared with the products of the same type of other enterprises such as Trinnie, TIEM GUOC is confident that customers will buy quality products at a good price Or when compared to Vascara or Juno, we can show guests that at the same price or just a little higher but their choice will be more e Quality: With the criteria set from the beginning, TIEM GUOC ensures to bring products with high-end materials, quality accessories, new designs and the number of products produced each step should be thoroughly inspected e New product release time: Each quarter we will have 10 new designs equivalent to 1 year We will launch 40 designs and this number is three times more than TIEM GUOC’s competitors e Service: Each product of TIEM GUOC, if the customer needs to edit a few small details, we will support the customer because we have the production & design room right in the store TIEM GUOC is confident with this service because currently on the market, no store receives their ready-made shoe editing In addition, in the future we may add additional individual shoe design services on request for each customer That will make TIEM GUOC completely different from its current competitors
TIEM GUOC’s unique value proposifion cành seeee 12 5 Explain the nature of the industry 0ccccccceecsceeceeeeeeecceeeeeeeeeseeesnsaeeees 13
TIEM GUOC high heels products are designed and handcrafted by the shop's own workers under the direct supervision of the designer Every pair of shoes you receive comes with their enthusiasm and commitment me about product quality, sophistication and most importantly, your satisfaction
As a brand of Vietnam, the materials of the product are prioritized to be imported in the country and combined with traditional craft villages in Vietnam This is an attractive
12 point for TIEM GUOC's customers because Vietnamese people are very fond of "made in Vietnam" products With Vietnamese origin, customers will be somewhat more assured when using the product
5 Explain the nature of the industry Industry Position
According to a Vietnam report, the Vietnamese footwear market is in a growth phase and is becoming one of the largest markets in SoutheastAsia
Figure 4: Revenue structure of Vietnamese fashion products 2020
Figure 5: Turnover in Vietnam fashion market ( 2017-2021)
However, the high heel shoe market in Vietnam is a growing industry in recent years However, compared to other developed countries, this market in Vietnam is still not fully developed and does not have many big brands
Famous high heel shoe brands in the world such as Jimmy Choo, Christian Louboutin, Gucci, Valentino, are being loved and used by many Vietnamese consumers In addition, there are also many high-quality Vietnamese high-heeled shoes brands that are trusted and chosen by customers However, this market still has many opportunities for emerging brands to penetrate and develop, especially TIEM GUOC with high- heeled shoes
In recent years, the Vietnamese fashion market has recorded the landing of fashion brands in the world and received many positive business results It is the ability to allow customers to access the latest designs at affordable prices that has created the attraction of "fast fashion” with Vietnamese consumers However, the short life cycle that causes these “fast fashion” items to be thrown away early has had a negative impact on the environment, people and resources
Meanwhile, at TIEM GUOC adopting sustainable fashion — supplying, manufacturing and consuming fashion products designed in a way that ensures environmental, social and economic sustainability — is forecast to be an inevitable trend in the context that the income of Vietnamese people is gradually improving and the sense of responsibility of young people towards fashion products and the environment is increasing e The popularity of influencer marketing
Influencer marketing is gradually becoming the most invested media of fashion brands in recent years Facebook, Youtube, Instagram, TikTok are popular channels for KOLs to introduce new brands and designs In addition, KOLs are also the representative faces in lookbooks and promotional videos of brands TIEM GUOC also uses some KOLs to promote its products such as GonPink, Giai Y e Video content
Along with the growth of e-commerce, video content is becoming more and more attractive and is expected to dominate social media According to research by technology company Cisco, by 2022, about 82% of online content will be in the form of video Besides, livestream is also showing its usefulness in promoting sales for fashion brands Many large-scale shopping events are held on livestream and this is becoming more and more common e Distribution on e-commerce channels is increasingly popular
Recently, consumers have turned to online shopping channels more TIEM GUOC has expanded online sales on e-commerce sites such as Lazada, Shoppe, Tiktok e External influences
Many external factors can affect the Vietnamese high-heeled shoe market and greatly affect the business of TIEM GUOC, from politics to legal regulations, the economy, etc This can be seen more clearly in the PESTLE analysis in section 4.4 because the PESTLE Analysis is a framework for analyzing the key factors influencing a new business or industry from the outside
In summary, through the above factors, it can be seen that the high heel shoe market is also influenced by fashion trends and consumer needs Shoe manufacturers and brands are focusing on developing more beautiful, comfortable and safe high heels to attract customers and increase sales In order to meet the reduction of the impact of the shoe industry on the environment, more attention is being paid, especially in the use of environmentally friendly materials and product recycling TIEM GUOC is also looking to optimize production and transportation processes to minimize emissions and energy consumption.
COMPETITIVE AND MARKET ANALYSIS
Target CUSTOMER —
Targeted customer Identifying characteristics Age Income
- Awoman who is perfectionist and meticulous in her work
- Confident and always wants to attract 25-35 From 18 all eyes million
- Being judged by the people around hi years old VND/month as having a good taste in clothes and bei fashionable
- Enjoy discovering the ideal shoes to express your personality
- Very important in terms of form and layout
7 - Discover the styles of dress in many 18-35 alee
Celebrities parts of the world , years old VND/month
- Likes to shop and especially intereste|
Tiktoker in limited edition items
Describe the competition and How TIEM GUOC will gain market
2.2.1 Market overview The global high-heel shoe market is estimated to reach US$30 billion by 2022 and is expected to expand at a decent growth rate in the period from 2022 to 2030 Recently, the number of high-income earners in the world market has increased in 2021 This leads to the high purchasing power of individuals In addition, the increasing number of women entering the workforce and the participation of women in the workforce in regions such as Japan, the United Kingdom and France have supported the growth of the global high-heel footwear market growth in the near future
In 2022, worldwide sales of women's footwear will be mainly contributed by high heels
The high heels market contributes a higher revenue share than men's shoes Changing lifestyles, growing interest in fashion and celebrity endorsements have a significant impact on the global footwear market Recent market trends for high heels are — sustainable footwear and sports trends Popular motifs in the past including minimalist style high heels, feather high heels, etc will continue to be the main trend in the near future This is driving overall footwear sales worldwide
Vietnam is the third-largest footwear producer in Asia and the fourth in the world Vietnam's footwear export output is second only to the Chinese market
According to statistics of the General Department of Customs, Vietnam's footwear export in October 2022 is estimated to reach a turnover of over 1.96 billion USD, up 9.54% compared to September 2022 and increasing sharply 109.42% compared to October 2021 By the end of 10 months of 2022, the export of this commodity reached US$ 20.12 billion, an increase of 41.36% over the same period and accounting for over 6.43% of the total export turnover of our country in the first 10 months of this year
According to the Vietnam Leather and Footwear Association, in 2022, Vietnam's leather and footwear industry has overcome many difficulties and challenges to achieve an impressive export turnover But this is no guarantee that the industry will maintain its growth in 2023, as there are many objective factors affecting the growth of the
17 industry Therefore, the industry needs to ensure operational aspects to minimize losses and maintain operations in an extremely unpredictable period like today
However, it is undeniable that the high-heeled footwear industry in our country still has certain limitations According to the Vietnam Leather-Footwear-Handbag Association, the high-heeled shoe industry has long been mainly outsourced and lacks planning to develop ancillary industries, so domestic enterprises have not been able to take the initiative in the supply chain of raw materials, increase added value and reduce dependence on imported raw materials At the same time, the domestic footwear market is left open when imported products account for 60% of the market share This figure shows that the demand for domestic products in our country is low, and the support of domestic consumers is not enough to help high-heeled shoes with Vietnamese brands dominate the market Along with that, Vietnam's high-heeled footwear industry also faces challenges in solving both supply chain and human resource problems in this field
We are still heavily dependent on raw materials from other countries At the same time, the labor force in the industry is still in short supply and has not yet met the needs of the market Meanwhile, current human resources are still limited in terms of skills and qualifications for accessing new technologies Therefore, we still have many difficulties in competing with other competitors
In addition, Vietnam currently has about 129 enterprises investing in the production of raw materials and accessories, but only about 20 domestic enterprises are capable of supplying high-quality raw materials, making leather and shoe manufacturers facing many difficulties in taking the initiative in ordering and sourcing raw materials Currently, the leather and footwear industry follow the fashion trend that is constantly changing, so it is necessary to develop the Vietnamese leather and footwear industry in accordance with the tastes
In recent years, businesses have paid more attention to Vietnam's domestic market Large enterprises in the footwear industry in Vietnam can be mentioned such as Juno, Vascara, Trinnie, Dong Hai, these are considered competitors to TIEM GUOC
JUNO's footwear products are created by the company's own design team and processed at the factory located in Ho Chi Minh City JUNO's productline is diverse in models, colors and types JUNO focuses on products such as: high heels, doll shoes, boots, sandals and sandals The products have high fashion, youthful colors, and dynamic designs and are suitable for many ages and the needs of customers However, JUNO's products have not been able to overcome the foot pain caused by customers when using it for the first time In addition, there are products with excess glue, the excess just not really satisfying customers
Vascara was established in 2007, known as a brand originating from Brazil, with a design center and factory run by Vietnamese people, specializing in fashionable footwear for office women and women Currently, Vascara owns 88 stores nationwide Officially launched in 2015, Trinnie focuses on developing high-end high-heeled shoes in the Vietnamese market and only sells pointed-heel products with slim criteria The designs of Trinnie heels are modern and youthful, loved by many celebrities,
18 stylists, domestic and foreign businessmen Up to now, Trinnie has become one of the high-heeled shoe brands with 100% of its products exclusively produced in Vietnam Dong Hai High Heels — Famous in the market for both design and quality The brand began to appear in the 1950s Up to now, Dong Hai has owned 5 sales showrooms in
Ho Chi Minh City, Dong Hai products are very diverse, for both men and women with high-quality leather materials Another detail of this brand that attracts a large number of consumers is the price of the product Although Dong Hai's products are all impressive and of impeccable quality, their prices are extremely soft
All businesses have their own orientations in the high-heel shoe industry in the Vietnamese market But one thing in common is that they all focus on quality when the product reaches the consumer This requires that the TIEM GUOC store, in addition to focusing on product quality like other businesses, needs to have its own different strategies to stand out and leave an impression in the hearts of customers
DONG HAI BEETS JUNO Vestdid
2.3.3 Describe the competition For casually designed shoes, the company must send the design to the workshops for them to produce in large quantities, not exclusively for the owner of the shoes Moreover, mass-produced products make it difficult for women to choose for themselves a particular model and style Besides, customers do not know the materials that the company creates, so it is difficult to know whether the materials are good or not
In order to be able to compete with other competitors, we have thoroughly researched the high-heeled footwear market before producing the product
TIEM GUOC products are produced in limited editions and only 10 new models are available every quarter, the special thing about TIEM GUOC is that it gives customers the right to edit or decorate as required, which helps customers express themselves Get your personality on each product when you wear it In addition, it also helps customers gain confidence in every step
Brief competifive pẽAr: TQ 0000000011 n HS SH HH HH TT HT TS Tnhh khe 21
Membership cards and exclusive offers for each card type
Giving gifts to customers on their birthdays
Sponsor social programs or beauty contests to make the brand image more known
3.1 How TIEM GUOC’s offering provides a solution to your segment(s)
Branding Price a design Support Chanel
Strong brand, covering the whole
Vietnamese There is hen, h market Mid-range Using Simple a customer store Juno Good price technology | diverse design} a lot of production design, but | care team, website and e-
Marketing campaign, sales staff commerce creating many positive effects
Selling high Good through the company's awareness customer
Vascara HC f res a vartons care team sO
Unique Ign COS actory models both online on bei
Marketing and offline and site
Don recognition Medium na an na Unique Multi- her
Hai 9 | level is not to hi h cost shoe model with | channel stores high, mainly Ig roduction brand identity | care team ebsites in HCMC area proguctl websi
Already has a ern th The Selling vrerker | in ine The design ig customer | through marke Average diverse from | care team | stores is
— A d sophisticated t¢ is quite mainly In
Trinnie good f to high price Has its | simple to suit | good, but | addition, n stratedv i 5 depenang own factory all nature of | the team | there are based or 5 on mode customers’ | online has | also online sponsoring work not sales but beauty reported | very few contests
In general, the strengths of competitors are concentrated in branding and their pre- existing operating model However, it is easy to see that their products will be inclined to produce in large quantities, and many models will focus on promoting profits In terms of our business, we are currently focusing more on products and customers Therefore, we still have solutions to increase our competitive advantage in the market compared to competitors in the same industry: e Continue to promote communication about unique brand positioning, limited to fashion connoisseurs only through social media (Packing, messaging, gifts, ) e Promote 1:1 customer service activities to give customers the experience of being served as a premium brand e Focus on hitting influencers and KOLs hard to spread to other female audiences e Research and plan in advance for events and services that the subject does not have such as cleaning, and customizing shoes
3.2 TIEM GUOC’s projected volume and value of sales compared to competitors
TIEM GUOC performs competitive analysis, identifies key competitors and analyzes their marketing, sales and product strategies What helps us identify the claim of the unique value of the product and the differentiation of that product from its competitors, the appropriate price level and thus can be used to guide future marketing efforts
TIEM GUOC has identified three direct competitors on the market: Juno, Vascara and Trinnie All three companies offer design high heels shoes products: e Juno belongs to the Seedcom group with strong economic potential, is well known and well-known in the market for products for women Their high heels products are fresh colors, easy to use and the price of the product is around 450,000VND - 550,000Vnd, this is a fairly low price compared to TIEM GUOC However, their shoe patterns are quite low (mostly 3-5 folds), simple designs, not prominent, pretty much duplicate in the market and pretty little SKU e Vascara is a Vietnamese brand with many branches across the country (to 137 stores) and a strong website system Vascara high heels have a variety of codes, colors and prices ranging from RON 500,000 to RON 1,000,000 Although Vascara has quite a lot of SKUs, overall their designs are not new and different e Trinnie is the most troubling rival of TIEM GUOC Since this is a brand focused only on shoes design, their SKU 1s a lot Trinnie’s style of shoes ranges from basic to trendy, new and outstanding The materials are also very diverse and fit trends Trinnie’s shoes cost between 900,000 and 4,000,000 There are even premium pairs up to $10,000,000 At the time of the product launch, in the year Trinnie only launched 1 collection with about 10 designs, a few retail models and restocked the old ones
After preliminary analysis of three, TIEM GUOC has also developed a suitable strategy for volume and value of sales
Every quarter, TIEM GUOC launches 10 new shoe designs and we use the following formula to look at our combined sales:
Estimated cost + Price of a product unit = Number of units of capital
This formula will determine the number of products that need to be sold in order to make a profit Furthermore, TIEM GUOC combines using two formulas to calculate Volume Sales as unit formulas and percentage formulas:
The unit formula will be used to calculate sales by multiplying units over a period of time For example, if a store sells 20 pairs of shoes a day, then that monthly sale is 600 pairs
The percentage formula will help TIEM GUOC calculate the percent of the units sold of a single item
The formula is: (Individual product units sold x 100) + Total units of all products sold = Percentage of total sales
These two formulas will help TIEM GUOC control the total sales in a month, the percentage of each product’s sales, and consider which products should stop production and restock However, when calculating Sales Volume, this does not take into account
Market research as the basis for
Be sensitive to the market marketing decisions Seize the customer psychology
Develop marketing strategies and skills " Effective planning plans
Organize the implementation of th Skills with online built marketing strategy/plan marketing tools
There is creativity Marketing Develop, implement and adjust department marketing measures manager
Monitor and check the implementation of specific marketing strategies, plans and measures
Develop and propose the use of marketing budget
Ensure the support and coordinati of other functional departments
Responsible for receiving = Communication skills information and resolving customer ô Skills to handle situations complaints and problems The and solve problems Customer ultimate aim of this work is to - Ability to withstand high care staff optimize customer satisfaction and pressure satisfaction ô Analytical skills, market research and products/service
Responsible for evaluating, makin ô Proficient in computer sound investment decisions and science preparing financial statements ô At least 3 years of Manaaer Perform data analysis to find strateg experience in the financial FEi g to improve the company's financial sector ° and position and work with senior ô Working meticulously, Accounting managers, company executives to maximize profits Must ensure the being careful, paying attention accuracy of financial statements, mé sure the recommendations they mah will help the business to details ô Ability to lead and supervis the activities of the department
Ability to strategic planning and analysis
Table 17:List the staffing requirements of your business
Manager of Finance and Accounting 180.000.000 VND first year
Internal accounting 144.000.000 VND the first year
Salary increases 10% after 1 year of working
Sales department management 114.000.000 VND the first year
Salary increase 15% after 1 year working
Marketing department manager 120.000.000 VND the first year
Salary increase 30% after 1 year working
Staff 96.000.000 VND the first year
Salary increased by 1.16% after 1 year of working
Salary increase 20% after 1 year working
Quality superviewer 108.000.000 VND the first year
Salary increase 20% after 1 year working
Material staff 102.000.000 VND the first year
Salary increased by 19% after 1 year of working
4 Detail any training plans TIEM GUOC will put in place for employees and management
TIEM GUOC prioritizes internal training and development in its Human Resources strategy In these training methods, managers and employees have the opportunity to create close links with each other, share experiences and knowledge between departments and create sustainable development for the company
Leadership training : for those who are leaders, often used with joint stock enterprises
Professional training : for advanced employees with the aim of improving their professional skills prepare for new mission
New employee training : fornew employees
On-the-job training : Employees will learn through practical work This method will be suitable for highly practical jobs
Internal periodic meeting : This is a training method through weekly, monthly and quarterly meetings This form is applied to training a skill for many subjects
In each department, we divide new employees into small groups of about 3-5 people to tackle the challenge facing the company This eases the pressure on newcomers because in a small group, whether introverted or extroverted — they will have many opportunities to come up with ideas and share experiences In addition, placing new employees in a small group with experienced members is also an advantage for them to learn and be trained directly by ô training employees directly by doing real work economic When facing difficulties and problems in the working process, instructors can monitor, guide and promptly provide immediate support Thereby, helping to improve work results
The online training system can provide a repository of courses with diverse lectures suitable to the nature of the job for trained employees In addition, each department head has separate skills and professional training sessions for employees in the online department every month, which helps to understand the employee's work progress and improve satisfaction and efficiency employee performance This approach not only easily solves the problem of cost optimization, but also gives new employees flexibility in arranging time to work and study anytime, anywhere
Management plan ô= Employee working hours
- Part-time employees: For part-time employees, flexible working time in multiple shifts makes it easy for employees to choose, especially students who want to work part- time
* Manage the number of employees Continuous monitoring and monitoring of the number of employees in the enterprise is extremely necessary Help businesses understand the productivity and quality of employees’ work, control recruitment and promotion targets, effectively control personnel, help directors and heads of human resources have a more effective plan in allocating reasonable human resources, timely replenishment of necessary human resources, or have a promotion mechanism to plan for high-productivity employees and quit for employees who do not meet the company's needs ô Assess the quality of personnel There are two main factors to evaluate the quality of human resources, which are the employee's capacity (through work performance) and the employee's potential for future development Based on the nature of the work of each department, the directors and heads of departments will evaluate each employee fairly and transparently to monitor and check employees in many aspects: work efficiency, attitude , working qualifications, employee relations, other job skills Thereby knowing exactly the capacity of employees to orient development for employees such as appropriate rewards and punishments and training policies to retain talented employees ô Analysis of supply and demand relationships, the ability to adjust the human resource management system
The analysis of labor supply and demand for the company's short-term plan based on the assessment of the quality and quantity of human resources will help the company make specific policies, plans and programs on human resources human resources such as how many additional workers need to recruit, structure, industry standards and which training programs and courses should be applied, rights and responsibilities of participants, training and training funding sources, evaluation of training effectiveness,
55 whether corrections are needed change, add anything about the salary regime, remuneration, to adapt to the opportunities and challenges of the market in the future
1 Describe the physical location(s) of TIEM GUOC business
Our store is located at 650/27 Dien Bien Phu, Ward 11, District 10, Ho Chi Minh city Set up shop in alley 650 Dien Bien Phu Street in District 10 to save money because renting a whole house in the alley is much cheaper than on Dien Bien Phu Street Alley 650 Dien Bien Phu is also relatively large, with a width of 6m for cars to easily move and turn around, and plenty of parking space for customers to come to the shop
Dien Bien Phu is also Ho Chi Minh City's lifeline, stretching from District 1,3,10 to Binh Thanh This is also an important road that connects Saigon's major thoroughfares
- Ly Thai To roundabout - Le Hong Phong roundabout (District 5): 4 minutes by motorcycle
- Dan Chu roundabout — direction to District 3: 5 minutes by motorbike
- Cong Hoa six-way intersection - direction to District 1: 5 minutes by motorbike
- By motorcycle, it is only 20 minutes from Tan Son Nhat airport
Figure 8:Store location at alley 655 Dien Bien Phu Street, District 10
In addition, some general characteristics of the city Ho Chi Minh should note as: