CAN THO UNIVERSITY COLLEGE OF ECONOMICS BUSINESSENGLISHMARKETING Topic: WINCOTEINERNATIONAL INSTRUCTION: PHAM LAN ANH Names Nguyen Thi Anh Thi Ho Thi Thuy Linh Le Nhat Nguyen Nguyen Thi Ngoc Phuong Character Names Production Manager Sales Manager Marketing Manager R&D Manager Order Numbers Participate 6/6 20 5/6 6/6 11 6/6 Chau Tan Loc Director 51 2/6 Mai Hoai Suong Design Manager 52 6/6 The situation Wincote International is an outdoor-products company based in Colorado, US Eighteen months ago, It launched a range of jackets and boots for men and women However, following the product launch, the boots sold well, but the jacket fell below its sales target Therefore, the manager decided to relaunch the product and change their approach to market it There are scenes: Scenes 1: Some customer opinions about the jacket of WincoteInernational Company Scenes 2: A meeting income statement at Wincote International Company Scenes 3: An annual report on business results Scenes 1: Some customer opinions about the jackets of Wincote Conversation 1: R&D staff: Hi, excuse me! My name is Thi I’m Research and Development Staff Wincote International Company I want to ask you a question about the jacket of our company Can you help me, please? Customer Ashley: Ok R&D staff: How you feel about this jacket? Customer Ashley: It’s a great jacket for cold weather I wear it to college every day during the winter But it’s not good for the summer, you get too hot in it And it’s got too many pockets It was really cheap – I liked that! R&D staff: Thank you for your comments I really appreciate it This is a pretty gift for you Conversation R&D staff: Good morning, Nice to meet you! I’m Research and Development Staff Wincote International Company The jacket of my company is lauched in a year ago What you think about that jacket? Customer Scott: I’m sorry I bought it I’m not very big, so it doesn’t fit me very well It certainly is warm and keeps me dry during the winter months, but I was really looking for something a bit more fashionable, in a bright colour – you know, bright blue or yellow My jacket’s black, it’s a bit dull R&D staff: I’m very sorry for everything We are going to try to improve that Can you tell me some personal information? Customer Scott: I’m Scott I’m 23 years old R&D staff: thank you very much Goodbye! Customer Scott: Bye! Conversation 3: R&S staff: Excuse me! I’m Research and Development Staff Wincote International Company I see you are wearing the jacket of my company I want to listen to your opinion about this jacket Can you tell me about that? Customer Karen: I’m quite pleased with it It’s very warm, perfect for canoeing and snowboarding But the zipper is awful I always take a long time to zip up And the hood is difficult to fold up after you use it It’s quite big, so it’s difficult to pack in a bag or suitcase R&D staff: Well, thank you for your comments Conversation R&D staff: Nice to meet you I’m Research and Development Staff Wincote International Company Customer Naomi: Hey, nice to meet you too I’m Naomi Can I help you? R&D staff: I want to ask you a question Do you agree? Customer Naomi: Sure! R&D staff: Are you aware of the jacket of Wincote International Company? Customer Naomi: Yes, I’m I saw an ad in a magazine and I liked its apprearance But it took me a long time to find out where I could buy it I’d almost given up, then my husband sportted it in a camping store It’s very warm in winter, but I get too hot when I take the lining out and wear it in the summer R&D staff: Thanks Naomi Conversation R&D staff: Excuse me! Customer Henry: Can I help you? R&D staff: Well, I’m Research and Development Staff Wincote International Company What’s your opinion about our jacket? Customer Henry: I spotted an advert for the jacket in our local newpaper I filled in the order form, then waited over a month for delivery I almost cancelled my order because of delay I had to phone the supplier three times before its final arrival I love the jacket It’s warm, practical and keeps me dry in rainny weather R&D staff: So sorry, please excuse my fault We will it better I am really greatful Goodbye! Customer Henry: Bye Scenes 2: A meeting income statement at Wincote International Company Director: Good afternoon everyone! In this meeting I want to hear about main reasons for our previous failures As you know, the failure of this product made the total sales decreased The reputation of our branch has been badly influenced so much I want to know briefly what was wrong with the jacket as well as some solutions to relaunch the product Sales Manage: The current business situation of our company is having a problem to solve, it is a jacket product just launched to market about a years, but the amount of consumption is very low and does not seem to sell, it gradually lost market share The product have the lowest selling price, but occupy the smallest market share The first cause is that the design of the coat is suitable for winter, but not for summer There are too many pockets and it is fewer colors- limited customer choice The second cause, the product has no popular distribution channels so it is difficult to meet the needs of customer Finally, the product is low price so customers think it does not guarantee quality The cost to create a very high product, the specific cost is 830.000 USD, it occupies 90.9 percent compared to revenue, jacket design serve for all four seasons should use more materials and multiple layers, a dress can take up to 14 pockets making material costs increased and there are other costs make the total cost increase in years Besides, the company revenue only reached 913.000 USD because the product does not attract customers and the number of sold out very limited Therefore, it makes a profit in this company is very low, it only reached 83.000 USD and it occupies 9.09 percent compared to revenue The situation continues as such company we have the ability to capital losses The cost Turnover Profit 2017 830.000 913.000 83.000 % 90.9% 100% 9.09% Production Manage: As we know, The cost of raw materials is 60 USD per one jacket However, We have over 25.000 products in the stock The goods were sold 8300 items, are 25 percentage of the producted manuafacture in this year It’s hard to believe, but it’s the truth! R&D Manage: This is a chart, that compares the prices of jackets on the market According to research results, the price of our company products is lowest, only 110$ per jacket I think this can make the customer doubt about the quality of our products provided and decide to choose alternative products of other companies To understand more about that, please see the next chart This is the result of research on our company market share and some competitors Too bad, our market share accounted for only 2%, the lowest among the brand In fact, we need to consider an adjust the business strategy for a better fit Finally, I invite everyone to listen to some of the customers’ comments about the products that we have launched to the market Director: Through the reports from the departments I have found that we need to take measures to improve the business situation I ask the department to give some comments I invite R&D manager to express their idea R&D Manage: Based on the result of research on prices and market share, I propose a few ideas below: Firstly, we should review and make a higher price, suitable with quatily product, to reinforce the trust of customers and enhances the reputation of our company Next, i think we need to find out more about business strategies of competitors, most notable is Tundra’s brand, which up to 51% market share Then, we take out the forms competition, and business strategies accordingly to increase market share and position of the company Sales Manage: I agree with comments that we will increase product prices up Because the profit is very low, it propose is price increase with price 130 USD I suggest such comments, what’s our opinion? Marketing Manage: I find it reasonable Because we need to expand the distribution channels, display support, sales support in the commercial center, supermarkets, speacialty stores sell products for travel, camping, Besides, we also have to spend more money relaunching the product We should invest in advertising strategies, promote the products to the customers Namely advertising on social networking sites, invertising in posters Therefor, the price increase is very practical if the company wants to make a profit Director: Design department, you have another ideas? Design Manage: As you can see, we are having a lot of problems and need to change to promote the customer's acceptance of the product As for the design department, I noticed that a lot of changes needed to be made to attract customers who are interested in our products Material: Replace nylon tubing with micro polyester as it is light, breathable and relatively light The inside of the lining adds additional synthetic silk to the garment which adds warmth to winter wear and does not cause heat when worn in summer colors Color: From the two main colors of Black for men and Red for women, we can develop some other colors such as, BLUE, GREEN, GOLD, especially the color for climbing athletes , or explorers as they can easily find each other when encountering problems Style: Short body design because of some of the customer comments we have, our product is very bulky and inconvenient to handle, too many bags make the shirt become heavy So instead of the current 14 bags will have only bags, the cone of the jacket can be fitted with convenient drawers for easy disassembly when customers not use With these changes I have a suggestion that the price of the South shirt will be 140 USD, Women's shirt at the price of 130 USD is very necessary and reasonable Production Manage: In this design deparment’s opinion, I guess the cost of production for a jacket is 65 usd So I think that we should increase the selling price to increase profit For the inventory, we will promote before we relauch Director: That great…well done!! your changes are suitable for actual situation I will consider yours ideas I hope these changes will make a break through for our product At the meeting I summarized as follows: • • • • Product: good should be more diverse and more choice Price: Male products have 140 USD Female products have 130 USD Distribution channels: we need to expand the various distribution channel Promotion: we should discount on the order and 20% discount on orders Advertisement: we need to enhance advertising through television and social net work Scenes 3: Annual report on business results Sales Manage: After six months of improvement, Jacket products are gradually gaining momentum in the hearts of consumers It is shown by the number of sales increased and it is offered to many distributors Athought, the product has been improved but the overall cost of the product has not increased significantly, the specific cost is 860.000 USD Besides, the revenue that product brings is 1.500.000 USD, it increased by 587.000 USD higher than last year So, it has brought considerable profit to this period of the company, it is specific 640.000 USD and this is a potential step for the product ... Manager Sales Manager Marketing Manager R&D Manager Order Numbers Participate 6/6 20 5/6 6/6 11 6/6 Chau Tan Loc Director 51 2/6 Mai Hoai Suong Design Manager 52 6/6 The situation Wincote International... scenes: Scenes 1: Some customer opinions about the jacket of Wincote Inernational Company Scenes 2: A meeting income statement at Wincote International Company Scenes 3: An annual report on business. .. business results Scenes 1: Some customer opinions about the jackets of Wincote Conversation 1: R&D staff: Hi, excuse me! My name is Thi I’m Research and Development Staff Wincote International