Lauching and developing a new product and brand

Confirmed by: Hoaøng Vaên Vieät I would like to acknowledge that this project has been done by my self with support and help of my tutor and mentor. I would like to express my special thanks to Dr. Trần Anh Tuấn and Professor Jean Pierre Baeyens – the co-Directors of the MBMM program for the establishment of this program. I am particularly indebted to all the professors of Solvay Business School and of Ho Chi Minh City Open University who were so devoted to deliver their knowledge, experience, ideas and suggestions during our courses. Also many thanks to the coordinators of the program: Ms. Bùi Phan Bảo Trân and Mr. Serge Bywalski, who have stimulated and advised us during the two years of the course. I also owe a great deal to my tutor – Pr. Dr. Hồ Đức Hùng – the Director of Institute of Development Economics Research – University of Economics Ho Chi Minh City who has worked so hard to help me to finish this final project. I am so grateful to Ms Hạnh – Branch manager of Trung Nguyen Company who has helped and supported me to complete my final duty. Sincerely thanks to my family who gave me lots of material and moral support. Without their love and support, I cannot complete this useful program. Final Project Maker Hoàng Văn Việt Ho Chi Minh City, date………/………/……… (1) The Topic that the Author selects for his M.B.A thesis obviously has both meanings of current events and values of the theoretical research. (2) The Structure of the thesis is logical and compatible with the topic title already specified. Meanwhile, this also target at answering the objectives that mentioned in page 3. So based on these objectives I think the thesis has provided the main fundamental solution for these posed objectives. But the data has been more than required classified into a set of quantificatious and underlying themes. So the paper moderately discuss the sources of omissions and biases arising from interview / data collectors and the conditions in which the data was collected. The thesis, on the whole, is eligible for the M.B.A Degree. Commenting Tutor: Pr. Dr. Hoà Ñöùc Huøng Ho Chi Minh City, date 24 / 05 / 07 (1) The Topic that the Author selects for his M.B.A thesis obviously has both meanings of current events and values of the theoretical research. (2) The Structure of the thesis is logical and compatible with the topic title already specified. Meanwhile, this also target at answering the objectives that mentioned in page 3. So based on these objectives I think the thesis has provided the main fundamental solution for these posed objectives. But the data has been more than required classified into a set of quantificatious and underlying themes. So the paper moderately discuss the sources of omissions and biases arising from interview / data collectors and the conditions in which the data was collected. The thesis, on the whole, is eligible for the M.B.A Degree. The project mark: ………………………… /40 Commenting Tutor: Pr. Dr. Hoà Ñöùc Huøng 1 EXECUTIVE SUMMARY 1 1.1 Objectives 3 1.1.1 Introduction of the topic 3 1.1.2 Problem statement 3 1.1.3 Rational of the research 3 1.2 Mission 4 1.3 Keys to success 4 1.4 Scope and limitation of research study. 4 1.5 Research methodology 4 2 COMPANY SUMMARY 4 2.1 Company ownership 4 2.2 Start – up summary 4 2.3 Company Location and Facilities 5 3 PRODUC TS 5 3.1 Product Description 5 3.1.1 Description of foods 5 3.1.2 Description of drinks 6 3.2 Competitive comparison 6 3.3 Material Sources 7 3.4 Technology 7 3.5 Future Products 7 4 MARKET ANALYSIS SUMMARY 7 4.1 Market segmentation 7 4.2 Target Market Segment Strategy 8 4.2.1 Target Market needs 8 4.2.2 Target Markets trends 9 4.2.3 Target Market growth 9 4.3 Competition analysis 10 4.3.1 Competition and Buying patterns 10 4.3.2 Main competitors and comparison 10 4.3.2.1 International fast food chains 10 4.3.2.2 Vietnamese national fast food brands 11 4.3.2.3 Vietnamese traditional restaurant 11 4.3.2.4 Specialty coffee shops 12 5 STRATEGY AND IMPLEMENTATION SUMMARY 12 5.1 Cafes: design, locations and atmosphere strategy 12 5.2 Service Style Strategy 13 5.3 Products Development Strategy 13 5.4 Marketing and Sales Strategy 13 5.4.1 Marketing strategy 13 5.4.1.1 Positioning 14 5.4.1.2 Pricing 14 5.4.1.3 Distribution strategy 15 5.4.1.4 Marketing programs 15 5.4.1.5 Brand: “HOME” 15 5.4.1.5.1 Brand name: “CNM – Convenient & Nutritious Meal” 16 5.4.1.5.2 Slogan: “I LOVE YOU!” 16 5.4.1.5.3 Distinctive Logo 17 5.4.1.5.4 Mobile Cafes 17 5.4.1.5.5 Advertising and promotion 18 5.4.2 Sales strategy 18 5.4.2.1 Sales forecast 18 5.4.2.2 Sales programs 18 5.4.2.2.1 Meal Ticket or Leaflets 18 5.4.2.2.2 Regular or Special Guest Coupons 19 5.4.2.2.3 Customer list 19 5.4.3 Strategic alliances 19 5.4.3.1 Milestones 20 5.5 Mobile cafes strategy: 20 6 MANAGEMENT SUMMARY 21 6.1 Organizational structure 21 6.2 Management team relations and responsibilities 21 6.3 Personnel plan 21 7 FINANCIAL PLAN 22 7.1 Important assumptions and resources 22 7.2 Key financial indicators 22 7.3 Break-even analysis 22 7.3.1 Monthly break-even: 22 7.3.2 Cafe break-even: 23 7.4 Projected Profit & Loss 23 7.5 Projected cash flow 24 7.6 Business ratios 24 7.7 Exit strategy 25 7.7.1 Scenario One 25 7.7.2 Scenario Two 25 8 CONCLUSION 25 APPENDIX Appendix 1: Questionnaire & Research Result Appendix 2: Some Vietnamese Convenient Food Menus Appendix 3: Some Articles about Convenient Food REFERENCE Hoang Van Viet / MBMM1 - 9/15/2007 1 1 HOME is a brand name of “Convenient and Nutritious Meal”. It will serve fresh beverage like orange juice, sugar-cane juice, lemon juice and nutritious dish or convenient foods such as Vietnamese fast foods, Euro foods, US fast foods in the best service and time-efficient way: HOME will offer good quality products and high class service in the industry. At first, HOME will focus on office customers or people around there, in the next steps HOME will open more cafes in heavy traffic areas. All of these products or services are for refreshing their people by nutritious and convenient meals after their hard working and prepare for their next effort. It will produce and sell only natural, fresh beverage and fine, green meals. Moreover, it also supplies some fast food in some special cases. HOME also serves some modern fast foods like KFC, Lotteria, Chicken Town and so on. Ho Chi Minh is a tropical city, this will easily cause people feeling hot and tired. Especially, when people travel around by motorcycles they will be very uncomfortable, hungry, thirsty so they will feel very tired to have lunch or dinner after their hard working. HOME will focus on refreshing them with fine and natural products in fresh and cool environment so that after enjoining meal in HOME they will have more energy and interest to work or study. HOME will concentrate on serving three main target markets: First, people who are working in modern and professional companies, this requires them to make real effort to work hard in offices or travel around. So after their hard working, they need a place for their refreshment and energizing. Of course, these people have a good income (more than 4 millions VND) and they are ready to pay well if there are some good places to refresh them best in their short break time. Second, HOME tries to satisfy the consumers who are with their modern and young family. They have good [...]... view and wonderful atmosphere like Window Cafe, Dau An Cafe, Chot Nho Cafe, Panoma Cafe, Manna Cafe, Bo Gia Ice Cream, CIAO Cafe, Star Cafe, Trung Nguyen Cafe Many big international food groups have had research and investment in Ho Chi Minh City in particular and in Viet Nam in general There are also more and more Vietnamese cafes and food companies open to serve HOME’s target market This show that... there have been many fast food brand names like KFC, Lotteria, Chicken Town, Rita or Dilma, Pho 24 and so on These brand names have become popular to Vietnamese customers and some of them are international CNM will also build up a brand name which will be popular for Vietnamese customer and become an international brand name in long term In the long term plan, CNM will be not only a cafe or restaurant... pleasant In Vietnamese traditional meal market, they have many competitors as Pho 24, Pho 5 Sao, Pho 2000, Com Viet Nam, Com Thuong Hai and hundred of cafes and restaurants In modern convenient food, its competitors are KFC, Lotteria, Rita and so on In natural drink, it has some new and active competitors are Ong Tien, Nuoc Mia Sach, Tra Chan Chau and other cafes Moreover, it has some internationally competitive... like Japan, Indonesia, Philippines and United States They also have mush of advantages of capital and management experiences But they have a disadvantage which HOME can serve in the empty segment: they offer Pho only, and their target market seems to serve top high-class only HOME will produce different products and create marketing programs: More large menu Direct and active marketing Young and modern... Rita or more international fast food brand names HOME should look for a different path to exist and develop HOME will serve Vietnamese traditional meal and natural drink to avoid them and supply the same fast food to attract more clients Moreover, fast food has got many complaint and bad reputation in over the world recently This may be HOME’s advantage to compete with them At first, HOME will purchase... find out a location in trade and office center where there are many companies and staffs It must be in a heavy street and to visible The area must be large enough to create a differentiated space and it must be very open and fresh Service is one of advantages of HOME in the market So HOME will build up a combination service style between internationalization and tradition which is specific and impressive... special occasions they gather together and find a place for meal, drink and relax together In order to satisfy these customer HOME not only offer fine and natural meal but also create warm and pleasant environment to improve their relationship and love Family target are people who want to share their love and heart together with their family or friends The next step, HOME will serve new markets which are... specialty cafes HOME will cooperate with them to supply meals for their customers So that HOME can expand its brand name and increase sales Milestones The Milestone table reflect critical dates for launching the first Cafe and subsequent Cafes, development of the mobile units, building relationship and alliances, as well as occupying headquarters and start business in oversea HOME also defines our break-even... number of company grows very fast And there are more and more young and modern people working in the environments Their eating habits are also becoming changed day by day and fast food has become more and more popular and developed in Viet Nam Example: KFC Viet Nam, in 2006 they have totally 17 restaurants in Viet Nam after 10 years here, its growth in 2005 is 80% of sales; as their plan they will open... become a national and international brand so marketing is not only important but also long-term: The first strategy in marketing program is positioning In order to define what and how to build up other strategies such as product strategy, advertising strategy, cafes strategy, price strategy HOME has to identify its target market and research for information about their characteristics, behaviors, income . they have a very big advantages of very good view and wonderful atmosphere like Window Cafe, Dau An Cafe, Chot Nho Cafe, Panoma Cafe, Manna Cafe, Bo Gia Ice Cream, CIAO Cafe, Star Cafe, Trung. and natural meal but also create warm and pleasant environment to improve their relationship and love. Family target are people who want to share their love and heart together with their family. competitors are KFC, Lotteria, Rita and so on. In natural drink, it has some new and active competitors are Ong Tien, Nuoc Mia Sach, Tra Chan Chau and other cafes. Moreover, it has some internationally