Brief introduction about An Phuoc Company Ltd.3
VIETNAM MARKET SITUATION4
VIET NAM GARMENT & TEXTILE INDUSTRY6
SEGMENT THE MARKET8
EVALUATE AND SUGGEST THE MARKET SEGMENTS10
Select the market segments11
Garment and textile industry is very important in the human life. The employment created by this industry accounts for a large portion in any economy. For many developing countries or also in some developed countries, garment & textile industry is paid close attention to because it contributes much benefit for national economy and social welfare.
Garment & textile industry has been playing an important role in Vietnam’s economy. It contributes 10% of industrial production, takes 5% of the workforce nationwide, and accounts for 16% of the total export turnover of Vietnam. There is also an intense competition between different apparel companies to survive in this industry, and An Phuoc Co., Ltd is not standing out of the situation. An Phuoc is a Vietnamese company famous for high-quality products for businessman and business woman. It must compete not only for the export in the international markets, but also for the consumers’ selection in the domestic market. This report will analyse market situation in order to figure out which market segment that An Phuoc should focus on to expand its opportunities and profit in Vietnam Garment & Textile industry.
Brief introduction about An Phuoc Company Ltd.
An Phuoc Co. Ltd is a famous Vietnamese Company in garment & textile industry. One of the biggest reason for its success is its close connection to well-known brand worldwide Pierre Cardin. In particular, An Phuoc has transferred the copyright of Pierre Cardin for shirts, suits and other products since 1997. This smart strategy helps An Phuoc to build up a Vietnamese brand with high-quality and international-standard product in customers’ mind.
An Phuoc has its own modern techniques, offices, factories and machines to serve production purpose.
An Phuoc production site occupies a 20,000 sqm with 3,200 workers
Production capacity for:
• Garments : 4,500,000 products/year
• Underwear : 500,000 products/year
• Footwear : 2,000,000 products/year
To identify new market segments for development of An Phuoc Garment Co in the challenging context of the present economic crisis.
To get full understanding of the current business environment situation: what are threats and opportunities for An Phuoc.
To analyze overall domestic business environment, and then suggest the focused segment markets that An Phuoc should expand to. [pic]
Figure 1: Overall process of the marketing research.
VIETNAM MARKET SITUATION
In the beginning of 2012, Vietnamese economy has shown positive signs with inflation rate slowing down, interest rate dropping, exchange rate stabilizing, and exports increasing, but it has also revealed many challenges. Firstly, GDP of the first quarter reached only 4%, much lower compared to the one in the same period last year. Next, the tightened fiscal and monetary policies have contributed to controlling inflation and stabilizing the macro-economy, but on the other hand, have pushed the business community into hardship. High interest rates, high input costs, and lingering inventory have restrained business production. Therefore, a lot of enterprises have become seriously injured including the ones in Garment & Textile industry.