different markets to have timely improvement directions. For example, the color taste of cotton fabric exported to the US is very different from the color of goods exported to Europe. The German market prefers light colors such as gray, cream yellow with gentle patterns and colors, while the American market prefers dark colors such as dark blue and elegant patterns to highlight the luxury but still show the old, classic look.
c. Diversify products, promote and improve traditional products, develop new products
Base
into market situation
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school as well
consumer demand
In order to increase the competitiveness of export products in the world market, the company needs to build its own product development strategies such as product diversification, promoting and improving traditional products and developing new products.
4. Export market strategy
In the coming time from now until 2010, the key markets of May 10 company will still be the CIS and Eastern European markets, the EU market, the Japanese market, the US and North American markets (such as Canada) with the main export products still being shirts, trousers and jackets. The Middle East and Africa markets are also potential markets that the company needs to have a strategy to exploit.
For the US market, in phase one (the phase where quotas are not yet imposed), the company needs to focus all resources on exporting to this market to gain quantity. It is possible to cooperate with a third party to do processing, to do OPA (each country does one stage but their stage is recognized by the US as originating in Vietnam). Joint venture activities need to be promoted.
or cooperate with local businesses to expand production scale.
production to meet large contracts for the US market. Phase two is the phase where value begins to increase. Therefore, it is necessary to gradually shift from processing for
a third party to do FOB business directly with US importers. This stage requires the company to have high quality, high value-added products, branded and classy. To do so, the company must select high-class, reputable and high-priced partners to work with. At the same time
need to choose valuable products
high, in which
use of raw materials
domestically to increase the localization rate of export products. In addition, the company also needs to grasp two major trends in the fashion industry, which are that manufacturers must express their own style in each product to buyers, and must go into high technology, that is, use the Internet to improve techniques, quickly respond to orders.
5. Pricing strategy
The company needs to build a competitive pricing strategy for itself because
By 2005, garment exporting countries will shift to
compete on price. To have a right direction in the pricing process, the company needs to follow the following marketing solutions:
The key is : Define your overall pricing objectives. Critically review and improve your pricing process. It is important to define your overall pricing objectives and develop pricing strategies that align with those objectives before embarking on an export activity.
Second : Applying pricing steps. It is necessary to apply a scientific export pricing process. Currently, the company still applies FOB prices based on cost analysis and direct agreement with each foreign customer. To avoid price gouging, it is necessary to build atarget price framework for each export item based on calculation and analysis of costs, prices of similar products of competitors, price ranges accepted by the market, price levels of the international market, etc.
The backward subtraction pricing method can be applied, the difference between price and cost helps the business know the profit it will earn.
Third : Based on the supply and demand relationship. In a market economy, prices are regulated by the supply and demand relationship in the market. Therefore, to give a correct and reasonable price, the company needs to research and closely monitor the fluctuations of the world market, forecasts on the development trends of each item in the world market according to time and season, research the demand
demand and market
consumer preferences of each market
market
school,
study the competitive situation, and the price elasticity of demand to
decide to raise or lower the price of each of its export products for efficiency.
The reason is : Improve product quality. Improving product quality, improving packaging and design to increase product competitivenessin the world market is an indirect way to improve the export pricing process.
Five is : Investing in developing new products. New products are launched .
no price has been formed on the market
school can therefore
high price that customers
The goods are still accepted and sometimes the high price gives people the concept that the product is valuable and of high quality.
Sixth : Minimize costs. To build the most competitive export prices, the company needs to improve internal management to minimize administrative costs, transportation costs, warehousing, storage costs... affecting export prices. In addition ,it is necessary to innovate technology, improve labor productivity, take advantage of domestically produced raw materials... to reduce costs.
Seven is:
Strengthen price research.
Frequent
research price situations, price forecasts, international price information
of garment products as well as raw materials for garment production, study the price elasticity of demand, study the
change about
income to
give appropriate or timely price
Adjust prices for the company's products. In addition, the company should also regularly research exchange rates and consider which currency is the calculation currency and which currency is the payment currency for the most benefit.
6. Export promotion and support strategy
In the recent past, due to financial constraints, May 10 Company has only promoted and supported activities in the market.
domestic activities in foreign markets have not yet been
pay due attention. In the coming time, the company needs to further strengthen its export promotion and support activities in foreign markets. Some marketing solutions in the export promotion and support stage that the company can apply:
First : Advertising and propaganda. This is the most popular and effective form. The company needs to research the market, research the elements of the international business environment, especially the cultural environment of each market to propose effective advertising strategies ,suitable for each culture. Advertising must achieve three goals: one is to convey information, two is to persuade, three is to promote and remind. Advertising messages must be attractive, simple, easy to understand and inspirational.
The company may
conduct advertising in many forms such as
via
mass media such as radio, television, magazines or on websites
Web…Advertise on television and radio abroad for
highly effective but very expensive, so the company should advertise in textile magazines, specialized magazines, fashion magazines... In addition
Internet advertising is also an effective and relatively cheap form of advertising. Currently, many people, especially young people in the US and Japan, tend to buy goods online. Currently, the company has built its own website, but the content is still sketchy and unattractive. Businesses must regularly promote their website address in all possible ways. At the same time, it is also necessary to take care of the website content regularly so that the information is updated and attractive to customers.
One thing companies need to keep in mind when advertising is to focus on
Focus on advertising branded goods. Must carefully research the target audience.
the customer base that the company wants to target, and must gain trust
their ideas, it is the only way to create a connection between the brand and the customer.
consumption. Studies on
market
The field shows that advertising occupies
Winning the trust of the people and being consistent with the long-standing local culture will have a positive impact on the brand of that product.
Monday:
Fair
exhibition.
Fair
Exhibition is also a form
promote export popularly and bring high efficiency. Recently, the company has also participated in many international fairs at home and abroad but the efficiency
not high. Business should be proactive
dynamic image introduction
my photo via
Fairs. It is important to realize that fairs are not only places for businesses to introduce and sell products, but more importantly, through fairs and exhibitions, businesses can be promoted, product reputation enhanced, potential customers sought, and valuable contracts signed.
To effectively carry out export promotion, the company needs to develop strategic goals and specific plans for exhibition and advertising activities before an export business activity.
and need to have measures to evaluate results and draw lessons regularly.
Third : Market survey. This is a very effective export promotion measure. Enterprises should participate in government delegations conducting market surveys organized by large trade promotion companies such as the Vietnam Chamber of Commerce and Industry.
Vietnam Chamber of Commerce and Industry (VCCI), VINEXAD, VEFAC organized.
Enterprises can also combine market research activities when participating in foreign trade fairs or enterprises can organize their own delegation to conduct market research to conduct exports.
According to the experience of Mr. Tony Nong, Executive Director of US Trade Assistance, businesses need to research information, contact the right place, the right person before deciding to survey and look for partners. Sometimes it is possible to easily contact partners through their representative offices in countries in the same region instead of going to the US to search to reduce costs.
Rank
year:
Take advantage of the
help
of the muscles
representative of
Vietnam abroad.
With the policy of linking diplomatic activities with economic activities, in recent years, Vietnamese representative agencies abroad, mainly trade offices, have been playing an extremely important role in helping Vietnamese enterprises promote exports. Trade offices help and guide enterprises to comply with laws and customs.
country
in export activities; providing information on
situation
economy, market, import capacity of the host country; research and collection
collect information and documents about
progress
science and technology
technology, innovation
technology to help businesses improve their goods and enhance the competitiveness of Vietnamese goods in the international market. The deals contribute to the implementation of
Carry out trade promotion activities including organizing fairs, exhibitions, introducing and advertising Vietnamese goods, brokerage and consulting for domestic and foreign businesses to build friendly relationships.
customers and find reliable partners. Trade helps businesses organize
The Trade Office of Vietnam in Japan organizes, contacts and answers businesses about the ability to buy and sell goods, the names and addresses of partners, policies related to goods, the reliability of partners, mobilizes and organizes for foreign businesses to participate in fairs and exhibitions in Vietnam as well as helps Vietnamese businesses participate in fairs and exhibitions abroad. For example, the Vietnam Trade Office in Japan has organized a regular booth to introduce Vietnamese exports. The Trade Office also regularly organizes seminars and direct trade dialogues (business talks) between authorities, Vietnamese and Japanese traders to enhance mutual understanding, introduce Vietnamese goods and establish business relationships.
Sixth : Take advantage of the assistance of foreign representative agencies in Vietnam. These representative agencies have actively contributed to the trade promotion activities of Vietnamese export businesses in recent years. Upnow , there have been 2,812 representative offices of foreign economic organizations located in Vietnam. In
In the field of export promotion, these offices have had the following activities:
Help foreign economic organizations shorten geographical distances and reduce travel time, help develop relations with Vietnam, sign export contracts from Vietnam and resolve arising problems.
Facilitate Vietnamese businesses in exchanging sales contracts with foreign countries.
Rapidly increase export turnover through activities
such as handling issues of product quality, delivery time, helping both parties
both sides understand each other's needs.
Seventh : Grasp commercialinformation. Grasping commercial information is an extremely important trade promotion measure. Grasping accurate information about the market, goods,and businesses
new industry can
make the right decisions about
marketing strategy
market and product strategy. Consulting offices
issues, mechanisms
contact
trade promotion especially the Information Center (Ministry of Trade) and
The Vietnam Chamber of Commerce and Industry is the focal point for providing the most accurate and up-to-date information. In addition, trade information can also be provided by Vietnamese trade offices abroad, foreign trade promotion organizations, mass media, or businesses can also exploit information on the Internet.
Success in export promotion depends not only on accurate information but more importantly on the ability to analyze information of the exporter.
iii. Applying the concept of “quick response” in modern garment industry.
Quick response is a highly practical concept in the garment business. Today, most major garment exporting countries, including Asian countries, are familiar with this concept. The content of the quick response concept includes 6 basic elements:
Establishing Relationships
you return
quick coordination plan
In which, from manufacturers to traders, brokers, retailers coordinate to exchange information with each other, set targets on output, delivery time, product development plan, mode, location.