KLTN CQ 54.32.02 [04 Nguyễn Thị Ngọc Ánh]

MINISTRY OF FINANCE ACADEMY OF FINANCE - - NGUYEN THI NGOC ANH CQ54/32.02 GRADUATION THESIS TOPIC: MARKETING MIX SOLUTIONS TO IMPROVE SALES EFFECTIVENESS - A CASE STUDY OF VIETNAM GREEN EARTH INFORMATION TECHNOLOGY AND COMMUNICATION JSC Major : Marketing Code : 32 Instructor : MA Mai Mai HA NOI - 2020 Graduation Thesis Academy of Finance DECLARATION I hereby declare this is my own research Survey data, financial data in the graduation thesis are come from the actual condition of Green Earth Viet Nam JSC Graduation thesis author Nguyen Thi Ngoc Anh Nguyen Thi Ngoc Anh i CQ54/32.02 Graduation Thesis Academy of Finance ACKNOWLEDGEMENTS I wish to thank all the people whose assistance was a milestone in the completion of my graduation thesis Especially great thanks to my instructors MA Mai Mai who contribute so much in accomplish this thesis, from choosing the thesis title, the methodology to improvement my thesis by professional advices Thank you very much to VietNam Green Earth JSC and all employees in company, they created the unique and friendly culture that motivates not only our efforts at work but also my inspiration to choose the graduation topic I wish to express my sincere appreciation to my supervisor, Mr Le Phuong Tuan, who is vice director be charge in Marketing, he convincingly guided and encouraged me to be professional and the right thing even when the road got tough Without his persistent help, the goal of this thesis would not have been realized Last but not least, I wish to acknowledge the support and great love of my family, my friends for constant encouraging throughout my time at the entire internship Hanoi, May 2020 Sincerely Nguyen Thi Ngoc Anh ii CQ54/32.02 Graduation Thesis Academy of Finance ABSTRACT When a company's annual sales effectiveness tend to go down or rise negligibly, they can choose from a variety of ways to improve sales such as: reducing sales price to stimulate demand of customers, promotion activities, advertising, improving or upgrading the quality of products and services, etc However, every solution before implementation should be studied, considered with relevant factors like human resources, financial situation, place policy, sales process is optimal? and the feasibility of solutions, because these factors have the relationship of impact to each other Moreover, in the landscape of fierce competition market and the impact of the fourth industrial revolution (Industry 4.0), businesses need to study carefully when making their decisions At this time, many companies recognize that Marketing mix is the most effective weapon to affect the customer's purchasing decision Especially for service companies which use high technology content Therefore, the assessment of influence of Marketing mix components on increasing sales effectiveness has been recognized as an important task for the Marketing department in particular and the whole company in general with the aim to increase sales of the company A study into the case of VietNam Green Earth JSC (GEM)– An agency is undertaken This case study will focus on studying and analyzing the current situation of Marketing mix activities and business results of GEM from 2016 to 2019 From this analysis, the company can see the shortcomings and reasons that affect the company’s sales effectiveness And thereby, Marketing mix solutions are offered to help GEM increase sales effectiveness in the period of 2020 to 2025 as well as enhance the image and brand of the company in customer’s mind Nguyen Thi Ngoc Anh iii CQ54/32.02 Graduation Thesis Academy of Finance TABLE OF CONTENTS DECLARATION I ACKNOWLEDGEMENTS II ABSTRACT III TABLE OF CONTENTS IV LIST OF FIGURES & TABLES VIII INTRODUCTION CHAPTER 1: LITERATURE REVIEW OF MARKETING MIX AND SALES EFFECTIVENESS 1.1 Marketing - mix overview: 1.1.1 Marketing 1.1.1.1 The concept of Marketing 1.1.1.2 Function of Marketing 1.1.2 Marketing – mix 1.1.2.1 Definition and characteristics of Marketing mix 1.1.2.2 Components of Marketing mix for service 1.2 Sales and Sales effectiveness 14 1.2.1 The overview of Sales 14 1.2.1.1 Definition of sales 14 1.2.1.2 The role of sales in an organization 15 1.2.1.3 Sales objectives: 16 Nguyen Thi Ngoc Anh iv CQ54/32.02 Graduation Thesis Academy of Finance 1.2.1.4 Sales process 16 1.2.2 Sales effectiveness 19 1.2.2.1 Definition of sales effectiveness 19 1.2.2.2 Purpose of sales effectiveness 19 1.2.2.3 Sales effectiveness measurement criteria 20 1.3 The impact of Marketing – mix strategy on Sales effectiveness 21 1.3.1 The impact of Product strategy on sales effectiveness 21 1.3.2 The impact of Price strategy on sales effectiveness 22 1.3.3 The impact of Place strategy on sales effectiveness 23 1.3.4 The impact of Promotion strategy on sales effectiveness 25 1.3.5 The impact of People strategy on sales effectiveness 26 1.3.6 The impact of Process strategy on sales effectiveness 27 1.3.7 The impact of Physical evidence strategy on sales effectiveness 28 CHAPTER 2: THE STATUS OF MARKETING MIX AND SALES EFFECTIVENESS AT VIETNAM GREEN EARTH JSC 30 2.1 Introduction to Viet Nam Green Earth Joint Stock Company 30 2.1.1 General about GEM Joint Stock Company 30 2.1.1.1 History and development 30 2.1.1.2 Organizational structure 32 2.1.1.3 Products and services 34 2.1.2 The company's business res1ults from 2017 to 2019 36 2.2 Evaluation marketing mix and sales effectiveness at GEM from 2017 to 2019 39 2.2.1 Actual sales effectiveness status at GEM 39 2.2.2 Evaluating the sales effectiveness through a number of criteria 44 Nguyen Thi Ngoc Anh v CQ54/32.02 Graduation Thesis Academy of Finance 2.2.2.1 Sales, costs, profits 44 2.2.2.2 The quantity of new and return customers 47 2.3 The impact of Marketing - mix strategies on sales effectiveness at GEM 48 2.3.1 The impact of Product strategies on Sale effectiveness at GEM 48 2.3.2 The impact of Price strategies on Sale effectiveness at GEM 50 2.3.3 The impact of Place strategies on Sale effectiveness at GEM 50 2.3.4 The impact of Promotion strategies on Sale effectiveness at GEM 51 2.3.5 The impact of People strategies on Sale effectiveness at GEM 55 2.3.6 The impact of Process strategies on Sale effectiveness at GEM 56 2.3.7 The impact of Physical evidence on Sale effectiveness at GEM 57 2.4 Achievements and limitations of marketing mix solution on sales effectiveness 58 2.4.1 Achievements: 58 2.4.2 Limitations 59 CHAPTER 3: MARKETING MIX SOLUTIONS TO IMPROVE SALES EFFECTIVENESS AT VIETNAM GREEN EARTH JSC 60 3.1 Sales potential and development orientation of the company from 2020 to 2025 60 3.1.1 Sales potential at GEM 60 3.1.2 Oriented development at GEM in the next 5-years 61 3.2 Marketing - mix solutions to improve sales effectiveness 62 3.2.1 Product solutions to improve sale effectiveness 62 3.2.2 Price solutions to improve sale effectiveness 63 3.2.3 Place solutions to improve sale effectiveness 64 3.2.4 Promotion solutions to improve sale effectiveness 65 3.2.5 Process solutions to improve sale effectiveness 68 3.2.6 People solutions to improve sale effectiveness 69 Nguyen Thi Ngoc Anh vi CQ54/32.02 Graduation Thesis Academy of Finance 3.2.7 Physical evidence solution to improve sale effectiveness 70 3.3 Other solutions 71 3.4 Recommendations to State 72 CONCLUSION 74 REFERENCE LIST 75 Nguyen Thi Ngoc Anh vii CQ54/32.02 Graduation Thesis Academy of Finance LIST OF FIGURES & TABLES Figure 1.1 marketing mix < smriti chand 2010> Figure 1.2 Marketing mix for service 10 Figure 1.3 The seven step sales process 17 Figure 2.1 Gem's organizational structure diagram 32 Figure 2.2 Sales process at gem (source: account management dep’t) 40 Figure 2.3 Gem audit process 57 Figure 2.4 Cooperation process 57 Table 2.1 Income statement (from 2017 to 2019) 36 Table 2.2 sales effectiveness objectives (source: gem, annual sales report) 44 Table 2.3 Gem's sales disparity between 2017-2019 45 Table 2.4 Gem's cost disparity between 2017-2019 46 Table 2.5 Gem's profit disparity between 2017-2019 47 Table 2.6 The quantity of customers 48 Nguyen Thi Ngoc Anh viii CQ54/32.02 Graduation Thesis Academy of Finance INTRODUCTION The importance of the research topic In the first months of 2020, the world economy has been going through a period of erratic behavior and the trend is seemingly downward by the Coronavirus epidemic The epidemic has already cut into growth this year and may slow the global economy even further, depending on how long it lasts This greatly affects the operation of businesses in the world in general and businesses operating in the field of digital marketing in particular Coronavirus is creating disruption, uncertainty for digital marketing ecosystem because of the news cycle has been dominated by discussion and speculation about the coronavirus or COVID-19 This makes digital marketing activities in companies seriously affected, advertising costs increased dramatically due to digital platforms like Google; Facebook; which is reducing staffing and changing display algorithms This, up to a point, can also become an opportunity for VietNam Green Earth (GEM) to bring optimal solutions for businesses in digital marketing activities in period of crisis Viet Nam Green Earth Information Technology and Communication Joint Stock Company (GEM) is one of the businesses operating in the field of digital marketing, providing products that bring optimal solution to customers in digital marketing activities Nowadays, along with the development of digital technology platforms, digital marketing activities seem to be becoming an inevitable trend of businesses This has led to more and more businesses offering solutions to optimize digital marketing activities entering the market Fierce competition, changing buyer behavior, this is creating a huge threat to GEM The company is facing the problem of changing to adapt or being replaced by other competitors In order to survive and grow, businesses must Nguyen Thi Ngoc Anh CQ54/32.02 ... market for attention, acquisition, use, or consumption that might satisfy a want or need Product strategy refers to all the goods and services that a Nguyen Thi Ngoc Anh 10 CQ5 4/32.02 Graduation... encouraging throughout my time at the entire internship Hanoi, May 2020 Sincerely Nguyen Thi Ngoc Anh ii CQ5 4/32.02 Graduation Thesis Academy of Finance ABSTRACT When a company's annual sales effectiveness... as well as enhance the image and brand of the company in customer’s mind Nguyen Thi Ngoc Anh iii CQ5 4/32.02 Graduation Thesis Academy of Finance TABLE OF CONTENTS DECLARATION I ACKNOWLEDGEMENTS