Phân tích SWOT công ty may 10 và marketing mix tại công ty eng

Phân tích SWOT cơng ty May 10 Marketing Mix công ty Subject: “Selection of enterprise, analysis of SW0T and one component of marketing mix of this enterprise” Overview Overview of enterprise Company’s Name : GARMENT 10 ENTERPRISE JOINT STOCK COMPANY Transaction Name: Gament 10 JSC ( Garco 10 ) Full name of General Director: Nguyen Thi Thanh Huyen Headquarter: Sai Dong Ward - Long Bien District - Hanoi The establishment Decision No 0103006688 Charter capital : VND 54.000.000.000 ( Fifty-four billion dongs ) Website: http:// www.garco10.garco 10.com.vn Emai : congtymay10.com.vn 1.1 The process of foundation and development - Garment 10 JSC was established in 1946 in the Northernmost Vietnam base, Zone 3, Zone with the alias of X10, X30, X40 At that time, the company is only a factory of armed force equipment for national liberty revolution - After North was completely independent, in 1956, to meet the needs of the people and make armed forces modern and regular, Garment 10 Enterprise Factory and Garment 40 Factory merged into Garment 10 Enterprise based in Gia Lam, Hanoi, under Quartermaster Agency- General Department of Logistics- Ministry of Defence - 8/1/1959, Garment 10 Enterprise had the honor to welcome Uncle Ho to visit and the date has become an annual tradition date of Garment10 - Then, Garment 10 Enterprise Factory changed its name into Garment 10 Enterprise managed Ministry of Light Industry The enterprise continued to produce military equipment and civil garment products - In 1975, Garment 10 Enterprise changed the direction of business, in which it focused on production of export goods for Soviet union and East-European socialism countries While Soviet Union and East-European countries collapsed (1990), Garment 10 Enterprise extended its operation scope to markets in countries including Federal Republic of German, Belgium, Japan, Taiwan - In Dec 1992, Garment 10 Enterprise decided to convert its operation, and converted into Garment 10 Company - To achieve the objective of bringing the company to a new height in accordance with the general development trend of world economy, in January 2005, Garment 10 Company was converted into GARMENT 10 ENTERPRISE JOINT STOCK COMPANY under the Decision of Minister of Industry, with 51% capital of the Viet Nam National Textile and Garment Corporation - Vinatex - Duties of GARMENT 10 CORPORATION - Manufacturing all kind of fashion garments and materials for the garment industry - Trading all kind of handicrafts, foodstuffs industry and other consumer industries - Doing business in real estate, office, housing for workers - Vocational training - Import and export directly - In addition the company also manufactures main products such as men's shirts, women’s shirt, jackets of all kinds, men’s suits as well as trousers, children clothing, protective clothing The products are produced and consumed by three methods: + Entirely processing: Company receives raw materials and processes into products as required in quantity, quality and design under the contract + Production of export goods in the form of FOB: Company purchases materials, organizes production and products for customers under the contract + Production of Domestic Products: The Company performs all business and production processes from purchasing raw materials, designing patterns to organizing product consumption to meet domestic demand 1.2 The organizational structure Analysis of SW0T and components of marketing mix of this enterprise 2.1 2.2 Factors * Political factor : Government has approved the development strategy for textile and garment industry until 2015 and orientation to 2020 Vietnam aims to make the textile and garment industry one of the key industries for export to meet the increasing domestic demand of consumers; to create more jobs for the society; to improve competition, economic integration in the region and the world The government has issued many policies to support mechanisms to ease difficulties for businesses, such as policies on tax exemptions, tax payment extension * Economic factor Most of the value of the Company comes from export activities, so the fluctuation of exchange rates, inflation and the stability or degradation of the U.S economy will have a major impact on export value Currently, the U.S is large garment export market of businesses The degradation of such the world's largest economy will make the U.S importers looking to the sources of imported goods with cheaper resulting in exported goods of the company meet difficulties On the other hand, the degradation of the U.S economy causes the U.S dollar to depreciate against the currencies of other countries The depreciation of the U.S dollar makes export sales – main income of the businesses reduced While inputs of the production chiefly have to still import and influenced by the world oil prices The increase of input prices such as bank interests and other costs will cause costs of the businesses to increase greatly affecting the businesses’ profitability Inflation also has a great influence to the production efficiency of the businesses Increasing inflation makes prices of domestic consumption goods to increase, to ensure the lives of employees, the businesses have to consider the salary rise to keep them to stay, increasing costs make prices of finished-products to increase while the contract value does not increase so that the businesses will cope with difficulties in export and domestic consumption If the company increases price of the garment industry, the import partners will immediately change to other countries with lower prices leading to a decrease in sales of the business * Social factors The economy develops, life and income become higher, the people focus on consumption-serving products, in addition, trends and aesthetic tastes of consumers for garment products also change continuously, if the company not focus on proper investment in design, will quickly lag behind in this fierce competition Chinese goods with cheap prices and diversified styles, regular change and quite suitable to the Vietnamese tastes currently dominate the domestic market However, the Vietnamese people are still interested in "comfort is better than pride" so that the company’s good quality products still are used and searched by the Vietnamese people This is an advantage for the company to recapture the domestic market that is controlled by Chinese garments Besides, environmental factor is also paid attention by other countries, especially EU, in respect of requirements and strict controls in garment import The environmental requirements towards commonly used garment products are eco-labels, methods of production to protect the environment, conditions on labors, etc The Company should satisfy such conditions, otherwise it is difficult to export to the EU market or may be fined * Technology At current, activities of the company are mostly to process for foreign countries or produce only simple products, but high quality products require to bring great value are not met, so the company should fund to invest adequately in technologies in order to uphold its potentiality on labor and quality SW0T analysis * Strengths: - Vietnam has plentiful human resources; employees are skilled, hard-working, diligent - Costs for processing products are cheap, and for labor are low - Quality of the Company's garment products is highly appreciated by importers with many products are exported to the U.S., the Federal Republic of Germany, EU, Japan, Hong Kong, Canada with many popular products, with names in the fashion industry and international fashion such as Pierre Cardin, GAP, Tommy, CK, DKNY, Levi's Valentino, Sean John Aoyama - Revenue from export turnover and domestic sales increasingly, following year is always higher than previous - Today, May 10 is issued by QMS (International Certification Organization of Australia) integrated certificate of three systems: quality management system IS0 9001, environmental management system ISO 14001 and Social Responsibility standards SA 8000 - Logo has been built for the company's products affirming the company's product trade name to domestic and foreign markets - When Vietnam becomes an official member of WTO, textile quota lifted is a great chance for the company to strongly develop garment consumption product to other countries around the world - The Company has invested over VND 100 billion in 2011, including Hung Ha Suit Factory – Suit Production Project is constructed fastest and most modem in Vietnam; GRUSZ product line initially confirms its stand in the luxury fashion market (figures are publicized at the Conference on “Summary of business activity in 2011 and signing the emulation covenant in 2012 " of Garment 10 Corporation on late November, 2011 * Weakness - As Vietnam becomes an official member of WTO in 2007, its textile quotas were removed but it faced with risks of anti-dumping measures of the United States In other words, American importers are more prudential to order goods in Vietnam - Customers increasingly tend to reduce prices It is difficult to prepare production of the new goods, small and single items - Domestic textile business faces with difficulties due to fierce competition of other firms in the same industry - The quantities of workers in the production lines move significantly, impacting labor productivity and production organization of member units - The input cost such as price of raw materials, fuel, electricity, water, transportation, basic salary, increased from 10-20% and there are signs of increase in price of finished products, affecting competitiveness of companies - Skilled, experienced workforce still makes up a small percentage In addition, the stability of the workforce in the company is not high so the company still has to pay constant attention to training and recruiting new employees - Revenue is still mainly based on export processing and it may not pay attention to the domestic market, market segments are not completed, their products have not been varied to supply all classes in the society - Most of the input material for the products is still imported, reducing the real revenue value of the company - Self-design ability is weak It mainly follows orders of foreign clients for exporting * Opportunities - Large Vietnamese population meets a great demand for Vietnamese garment industry, including products of Garment 10 Corporation - Living standards and income of Vietnamese people are growing up, raising the demand for garment products, especially the middle and high grade products - The garment products of the Company are highly appreciated by increasingly importing countries (U.S., EU, Japan, etc) due to high-quality products Therefore its market share and export value can be expanded and increased - As Vietnam became a WTO member, it shall be offered tax incentives to export garments to other countries - Garment industry in coming time shall be considered as priority sector and stimulated for development so it shall be offered with large domestic and foreign capital investment * Challenges - The importing countries often have strict requirements for quality of garment imports, including Vietnamese goods in Vietnam - Vietnamese goods and other countries’ are at risk of being taken actions against dumping and imposing anti-dumping duty to protect the garment industry of the importing countries - To obtain higher profits, the Company needs to invest in fashion design products to meet domestic and foreign markets - The unfavorable changes in world oil prices and labor cost may increase the production cost of the Company If the Company’s garment products increase higher than other domestic and foreign enterprises, the importing countries will seek cheeper products from other companies and say no with the Company’s As the result, it may impact the survival of the Company - The competition to the garment products of the domestic companies, especially Chinese garment products with lower price and varied styles, which are suitable to h the income of Vietnamese people Analysis of Marketing mix “Marketing Mix model” 3.1 Products The Company should determine correct target market and select the right products in demanding, identifying clearly and properly market segments to produce various products meeting consumption demand and financial ability of customers It is required to invest to research demands and tastes of consumers in combination with the elements of the political institutions, macroeconomic policies and state regulations on product consumption market so that it could provide strategies for the products manufacture in accordance with market demand 3.2 Price Price is the cost that the customer must spend to exchange products or service provided by the providers It is determined by a number of factors including market shares, competition, material costs, product identification and value of customer’s feeling with the product The pricing of products in a competitive environment is not only important but also challenging in case that the price is set too low, the enterprise must increase the number of sold products per unit by cost to be profitable; if the price is too high, the customer will gradually shift to the competitors To get the best selling products, making price strategies is extremely important for the enterprise 3.3 Place The Company should often focus on the product distribution system in the domestic market, the Company presently has 140 agents, supermarkets of selling products in the domestic market Currently, the Company has built strategies of focusing on the domestic market, newly opened and upgraded 100 dealers and 10 stores for product consumption and by 2013, Garment 10 will be in the top of enterprises which have over 2,000 billion in revenue 3.4 Promotions When Vietnam is a member of the World Trade Organization, we more understand the role of value brought by the trademark The trademark Garment 10 manufacturing products with trademark AOYAMA – Japan with the selling price for a set of Veston from 500 - 1000USD, shirt products of "Vangraff"; "Jacques Britt"; "J.C Penny"; "Gillberto"; with the selling price from 80 - 100 - 200 EUR While Veston of trademark May10, Shirts of Garment 10 is the same as quality, the selling price is by 1/4 or 1/5 of trademarked products in the world + In recent years, the Company has spent an adequate budget to promote the image of the Company through the following activities: Communication on Television VTV, Hanoi TV, the local and central newspapers and magazines, fashion activities and more and more professional, the advertising forms on large plates, on automobiles and financing activities, etc + Standardize logo image, the color of trademark Garment 10 is on two color background of blue and white, present throughout the recognition of Garment 10: Catalogue, shops, signs, etc expressed the ranking of trademark Garment 10 Conclusion In the market economies with increasingly fierce competition, only those enterprises which have the ability to capture the market demands and adapt to its operating mechanism should be possibly to exist and develop Garment 10 Joint Stock Company is one of the companies which have confirmed its position in the domestic market as well as export markets Early capture the role of Marketing with its own incisive product policies, the Company has effectively cooperated with the resources to gain credibility and foothold in the market In the future, the target of Company is to continuously increase investment in market research and build up optimal strategies In order that the trademark Garment 10 could continually be one of Vietnam's leading trademarks in the context of increasingly fierce competition, it is necessary to provide orientation, trademark development strategies in the future In addition, expanding the market for the product consumption is a fundamental factor in strategy of the enterprise’s business production The application of basic theory on product consumption markets in the planning and implementation for strategies shall help Garment 10 properly determine its position in the market, how competition to gain increasing profits, its consumption market develops both in breadth and depth By the tradition and available strengths with the right policies, hoping that the Garment 10 shall achieve more success in the growing development process to assert its ranking in Vietnam garment industry in particular and the market economy in general  ... Penny"; "Gillberto"; with the selling price from 80 - 100 - 200 EUR While Veston of trademark May1 0, Shirts of Garment 10 is the same as quality, the selling price is by 1/4 or 1/5 of trademarked... varied styles, which are suitable to h the income of Vietnamese people Analysis of Marketing mix ? ?Marketing Mix model” 3.1 Products The Company should determine correct target market and select... labor productivity and production organization of member units - The input cost such as price of raw materials, fuel, electricity, water, transportation, basic salary, increased from 10- 20% and there