Comparative Analysis of The Business Strategy of Bach Hoa Xanh and Vinmart On Vietnam'S Retail Market

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International Journal of Academic Research and Development

International Journal of Academic Research and Development


ISSN: 2455-4197; Impact Factor: RJIF 5.22
Received: 27-05-2020; Accepted: 15-06-2020; Published: 29-06-2020
www.academicjournal.in
Volume 5; Issue 4; 2020; Page No. 01-06

Comparative analysis of the business strategy of Bach Hoa Xanh and VinMart on Vietnam's retail
market
Nguyen Hoang Tien1, Le Doan Minh Duc2, Rewel Jimenez Santural Jose3, Bui Xuan Bien4, Tran Minh Thuong5,
Nguyen Thanh Vu6
1, 3
Saigon International University, Vietnam
2, 5
Thu Dau Mot University, Vietnam
4
Finance and Banking University in Hanoi, Vietnam
6
Nguyen Tat Thanh University, Vietnam

Abstract
Vietnam's economy grows at an annual rate of 7%. This has led to the growth and attractiveness of the retail sector in this
country. Bach Hoa Xanh and Vinmart are the two big players in the retail industry in the mid-sized segment of the Vietnamese
market. The comparative analysis of the business strategies of these two businesses will also provide valuable experience for
foreign businesses wishing to participate in the mid-range Vietnamese retail market and for small-scale retail businesses
entering this segment in the domestic market.

Keywords: business strategy, retail market, Vietnam, Bach Hoa Xanh, Vinmart

1. Introduction Vietnamese enterprises.


Vietnam is considered as one of the dynamic and attractive Vincomerce General Trading Service Joint Stock Company
retail markets in Asia and around the world. The trend of (Vinmart), one of 10 reputable retailers in Vietnam in 2017,
market opening under bilateral and multilateral free trade is a competitor in the retail market. The convenience store
agreement commitments together with the increasing chain of Vincomerce, Vinmart +, has been making
participation of major retailers in the world in Vietnam has significant progress since its inception, affirming its position
been creating opportunities and major challenges for in the industry. Besides, another competitor in the retail
domestic enterprises. According to AT Kearney's 2017 market is also accelerating and gradually becoming a
Retail Development Index, Vietnam ranked 6th worldwide popular name that is Bach Hoa Xanh.
in retail development, since reaching the top 30 most Therefore, the topic "Comparing the business strategy of
attractive retail markets in 2015. 6 in the ranking are Bach Hoa Xanh and Vinmart" has implications both in
encouraging results for Vietnam's retail market, and forecast theory and practice for the operation of convenience stores
a more vibrant development of Vietnam's retail market in chains of Vinmart+ and Bach Hoa Xanh in particular and
2019. The size of the retail market is increasing rapidly from the retail market in general. Determining the chain's
70 billion USD in 2010 to 158 billion USD in 2016. Modern competitiveness, identifying strengths, weaknesses,
retail channel in Vietnam currently accounts for about 25% opportunities as well as challenges is an important task for
market share, lower than other countries in the region such the convenience stores at the present time in order to
as Philippines 33%, Thailand 34%, China 51%, Malaysia improve their competitiveness in Vietnam retail market.
60% and Singapore 90%.
In recent years, the retail market has always been one of the 2. Theoretical framework
attractive markets, not only for domestic investors but also 2.1 Related concepts
for foreign investors. With the emergence of foreign Strategy is a term derived from the Greek "Strategos" built
investors, on the one hand, Vietnam retail market has in the military science. Modern military theorist Clawzevit
become more and more vibrant, on the other hand, putting also said that military strategy is the art of commanding at
heavy pressure on domestic investors. In this context, the dominant position. A publication of the dictionary
domestic retailers need to constantly innovate to improve Larous considered strategy as the art of commanding the
their competitiveness. Since January 1, 2009, Vietnam has army. Scholar Dao Duy Anh, in the Vietnamese dictionary
opened up almost entirely the domestic retail market to wrote: "Strategy is the plan devised to win on one or more
foreign suppliers. This means a lot of competition and a fronts". By the 1980s Quinn argued: "Strategy is a model or
change in the retail market of Vietnam. While Shop & Go plan to integrate key objectives, policies, and action
withdrew from Vietnam market, other foreign giants such as sequences into a tightly coherent whole" (Quinn, 1980;
Circle K, Family Mart, B's Mart, 7-Eleven with slow Chien, 2004; Co, 2005). Later, Johnson and Scholes came
growth, not reaching the target of the number of stores. At up with the definition: “Strategy is the orientation and scope
that time, VinMart + and Bach Hoa Xanh (Green of an organization, but in the long term to gain an
Department Stores) diligently expanding the own bisness organization's competitive advantage by defining its
system, confirming the "home ground" position of resources in the environmental change, to meet market

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needs and to meet the expectations of stakeholders” defined: “Supermarkets are relatively large self-service
(Johnson & Scholes, 1999). By definition in any era, we can stores with low costs, low profit margins and large volume
understand, the strategy is to plan short-term or long-term of goods sold, ensuring full satisfaction of consumer needs
plans in the future to accomplish the goals set out by the for food, washing powder, detergents and home care items”
organization (Tien, 2019a; Tien et al, 2019; Tien et al, (Tien et al, 2019; Tien, 2013; Tien, 2015; Tien, 2017). In
2019a; Tien & Ngoc, 2019). France, supermarket is defined as a self-service retail shop
Business is an economic activity, involving the production with area from 400m2 to 2500m2, mainly selling food and
and distribution of goods or services continuously and household appliances" (Mare Benoun, "Marketing: Savoir et
regularly to meet the needs and desires of people. savoir-faire”, 1991). In the UK, supermarket is defined as a
Stephenson defines business as "The production or sale of department store selling food, drinks and other goods". In
goods is often done with the goal of making a profit and Vietnam, supermarkets are defined as modern stores,
getting wealth through the satisfaction of human desires". general or specialized stores, with a diverse and diversified
According to Dicksee, "Business refers to a form of assortment of goods with quality assurance; meet the
operation conducted with the goal of making a profit for the standards of business area, technical equipment and
benefit of those who act on behalf of the activity carried business organization management level; have convenient
out". Lewis Henry defines business as "Human activity and civilized modes of service in order to satisfy customers'
towards production or getting wealth through the purchase shopping needs of goods "(In the regulation" Supermarkets
and sale of goods". Therefore, it is understandable that the and trade centers ", Vietnam Ministry of Trade).
term business means continually producing and distributing In general, there may be many different concepts of
goods and services for the purpose of seeking profit in supermarkets but we can see some of the following basic
uncertain market conditions (Tien, 2017; Tien & Anh, 2017; features, to distinguish supermarkets from other types of
Tien & Anh, 2018; Tien et al, 2019a). retail stores, namely: type of retail store, applied self-service
The term strategy is often used in three common meanings. method, main popular consumer goods.
Firstly, it is the overall program of activities and the Supermarket is a modern civilized distribution model with
deployment of key resources to achieve the goal. Second, many characteristics and characteristics compared to other
the organization's target programs, the resources needed to types of commercial business. These basic characteristics
achieve this goal, and policies governing their collection, include:
use and disposition. Third, identify long-term goals and Supermarkets are organized in the form of stores invested
choose ways of operating and allocate the resources needed and managed by traders, licensed by the state. Supermarkets
to meet these goals. perform the retail function that is selling goods directly to
Business strategy is to analyze, explore and give basic paths, the end consumer so that they use the function not for
to outline the trajectory of progress in production and resale.
business activities. It is a comprehensive plan, the Innovative supermarkets and self-service, when mentioning
coordination and unity are carefully trained to lead the supermarkets, people cannot help but think of the model of
business unit to ensure the business unit's goals. Business self-service, a method of selling goods created by
strategy is the determination of the basic objectives of the supermarkets and being the main business mode of
business unit, the selection of means and methods of action, industrialized civilized society. The main supermarket was
the allocation of essential resources to realize the business created in the 1930s, self-service model has become a
objectives. common formula for the distribution industry in developed
In today's volatile market conditions, only one thing that countries and today this form is applied popularly for all
businesses can know for sure is that change. Strategic current stores. Great. The success of the supermarket has
management as a direction, a direction to help these encouraged the universalization of the supermarket's self-
organizations overcome the turbulent in the marketplace, service model in the existing retail system to save labor
reaching the future with their own efforts and capabilities. costs. It can be said that the self-service mode is a
Business strategies are designed to help businesses focus on marvelous creation of the supermarket business and a great
best adapting to changes in the long term. Strategic revolution in retail trade.
management makes it possible for an organization to be In addition to creating a self-service sales method,
more proactive rather than passive in defining its future, it supermarkets also create the art of displaying goods.
allows an organization to be proactive and influential in the Supermarkets have been thinking about researching how
environment it operates in and thus, using its full potential consumers move when they enter the store, in order to
to control beyond what is variable. Strategic management maximize the efficiency of the sales space. That means the
makes each person a very important awareness. Both the goods displayed in supermarkets must be able to advertise
board of directors and employees understand and commit to and attract buyers themselves, supermarkets do this through
the goal of the business. Once everyone in the business the principles of arranging, dividing space, arranging
understands what the business is doing and why it makes appropriate areas, displaying goods sometimes raised to
them feel that they are part of the business, they will tricks to stimulate the highest consumption. For example:
sympathize with all the activities of the business (Tien, Goods with a high profit margin are prioritized in the most
2019a; Tien, 2012; Tien, 2012a). conspicuous places, displayed on a large area, related goods
are placed close together, goods of great weight must be
2.2 Supermarket arranged below for easy access by customers, shaped and
In 1930, it was the first time the supermarket was launched clearly divided into areas of groceries, foodstuffs,
in the United States, with its new forms and outstanding agricultural products, clothes, fresh vegetables in a scientific
advantages, creating a revolution in the retail trade of the way, to create convenience for customers. Buy goods in the
modern world. In the United States, supermarkets are most comfortable and efficient manner. Because the art of

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displaying goods has a great influence on the quantity of Vingroup. With the goal of building VinMart and VinMart
goods sold, so the supermarkets have taken advantage of + into a world-class Vietnamese brand, bringing people high
this advantage. Through the arrangement of goods, space, quality goods at a price suitable to consumers, creating a
lighting, consistent with the characteristics of the product new trend-style shopping style with the A variety of brands
will create attractive status, attract customers, give and services come with perfect service. In addition, with the
customers visualization and observation. Good goods. It plan to develop 200 supermarkets and 2,000 convenience
also leads to a strong promotion of customers' buying stores, it is expected that VinMart will create jobs for about
behavior. Goods sold at supermarkets are mainly for daily 20,000 employees, contributing to stabilizing life and social
consumption from foods, clothing, shoes, detergents, security. Within 3 years after being put into operation (2014
sanitary goods, to electronics, household electronics. The - 2017), VinMart supermarket system & VinMart chain
goods are displayed on shelves of each type, affordable and stores have been in the top 2 retailers that consumers think
clearly listed, with detailed instructions on how to use and about a place to provide goods, safe food and utility services
specify the shelf life. Supermarkets are often equipped with for all families with the mission to improve the quality of
relatively modern facilities. In addition, the payment method life.
at supermarkets is very convenient, goods are attached with With 05 core values that VinMart brings to customers:
barcodes, codes after customers choose, they will be taken High-quality and transparent goods of origin: With the strict
to the checkout counter at the entrance, using a scanner to control process at VinMart +, customers can be completely
record prices and automatic receipt printing, creating the assured of the quality and origin of goods. Along with the
feeling of comfort, satisfaction, confidence and highest presence of private brand products such as Vineco, Vinmart
satisfaction for consumers. Cook, and VinMart Home, Vingroup invested in
manufacturing, processing on a large scale, methodical and
3. Research Results and Discussion professional, VinMart always offers a variety of choices for
3.1 Bách Hóa Xanh and Vinmart goods, reasonable prices, ensuring safety for public health.
Bach Xanh is a mini supermarket chain specializing in  Convenient shopping: VinMart ranks first in the
selling fresh food and necessities of Mobile World Joint number of stores and nationwide coverage, closely
Stock Company. Bach Hoa Xanh was put into trial at the associated with residential communities, helping
end of 2015, a chain of stores specializing in retailing fresh customers easily access shopping and using services.
food (meat, fish, vegetables, fruits, etc.) and necessities with  Developing for the community: VinMart's principle is
more than 870 supermarkets in 21 provinces across sustainable, responsible business activities for the
Vietnam. In terms of business strategy, from the beginning, environment, for the community and for the
Bach Hoa Xanh has focused on meeting the top three development of society.
choices of consumers when choosing to buy food today. It is  One destination, full of demand: VinMart puts
to ensure product quality, clear origin but the price is always customers' needs and interests first, constantly
cheap, even cheaper than traditional markets. Along with searching and improving to bring the most
that, the friendly and enthusiastic staff has helped Bach Hoa comprehensive and optimal solution for convenient
Xanh attract and retain customers. Fresh meat and raw fish goods and services.
products of Bach Hoa Xanh are considered to be an  Friendly and dedicated: Vinmart store is designed and
outstanding strength compared to other competitors in the friendly layout, clear instructions. Dedicated staff and
same industry today. It can be said that this is the sum of the dedicated advice for the benefit of customers.
advantages of traditional markets and supermarkets, and is
new and different from other mini supermarkets. Fresh food VinMart stores are located in densely populated areas with
contributes up to 40% of total sales and is an important convenient transportation; large area; Provide a variety of
factor that helps each department store serve an average of industries. There are thousands of items of VinEco
500 successful daily transactions. Target: Green Department vegetables, VinMart Cook processed foods, fresh foods,
aims to operate more than 700 stores by the end of 2019. dried foods, dairy, beverages, cosmetics, household
Vinmart store is a retail chain of Vingroup. On October 3, appliances to meet the needs of local customers and visitors.
2014, Vingroup announced the official acquisition of 70% With a long-term vision and the desire to sustainably
stake of Ocean Retail Company and changed its name to develop supermarkets and convenient stores, providing
VinMart Supermarket Joint Stock Company. This is an consumers with an interesting shopping experience with a
important development marking a strong participation in the wide selection of products, VinMart will cover all over
potential retail market of Vietnam. Vingroup also Vietnam with 2,000 convenience stores. VinMart has been
announced two new brands: VinMart and VinMart with making continuous efforts to complete its mission: A place
plans to build a retail distribution system of 100 of peace of mind for shopping for every home, meeting all
supermarkets and a chain of 1,000 convenience stores across customer requirements, bringing absolute convenience and
Vietnam within the next 3 years. During this time, Vingroup safety when using the product, increasing values, improving
also announced the Group's retail distribution network consumers' lives in the context of modern markets; expand
development strategy under the VinMart brand. and develop the retail industry widely in Vietnam. In
Accordingly, the VinMart system will be supermarkets with addition, VinMart focuses on building a professional,
an area of 3,000m2 to 15,000m2 and the VinMart + chain is dynamic and creative working environment that creates fair
convenient stores with an area of 150 to 300m2. It is opportunities and opportunities for all employees, attaching
expected that by 2019, VinMart will have about 200 importance to employees as the most valuable asset actively
supermarkets and 2,000 convenience stores across the contribute to social and community-oriented activities with
country from new construction investment. With the humane messages.
strategy of developing retail distribution system of

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3.2 Business strategy of Bách hóa xanh and can be traced for their origin. This could be a slow
Positive sides explosive bomb for this chain of stores, if a store's product
Bach Hoa Xanh is rich in diverse items such as: beverages, was found to be of poor quality, in the current 4.0 era, it
beer, soft drinks, powdered milk, fresh milk, cooking spices, could be a media bomb that pulled down its brand. Bach
ready-to-eat foods, canned foods, confectionery, snack, Hoa Xanh does not need large scale, just enough to sell
shampoo, conditioner, shower gel, washing powder, liquid products to serve the essential needs of the people. This
detergent and conditioner. In 2019, Bach Hoa Xanh owns saves costs, quickly expands the chain of stores, and
nearly 700 stores because Bach Hoa Xanh has chosen the increases capital flexibility. However, it is also potentially
right way to actually go, find a standard model and then risky, as the small shop leading to the store's development
scale up. This strategy has helped Bach Hoa Xanh gradually base is also limited. If the demand of the people increases,
assert its position in business. the small-scale shop cannot expand to sell other goods to
- Hit consumer psychology serve as customer demand.
From the beginning, Bach Hoa Xanh has focused on
meeting the top three choices of consumers when choosing 3.3 Business strategy of Vinmart
to buy food today. It is to ensure product quality, clear Positive sides
origin but the price is always cheap, even cheaper than VinMart + is a model of community retail stores, with the
traditional markets. Along with that, the friendly and largest scale and coverage in Vietnam, which provides safe
enthusiastic staff has helped Bach Hoa Xanh attract and goods, food and utility services to all families with a
retain customers. In addition, many housewives are worried mission to enhance the quality of life of Vietnamese people.
about going to the market because they are too busy like - Change the shopping awareness of customers
picking up children and blocking traffic in the afternoon, Facing food safety and hygiene issues in traditional markets,
when Bach Hoa Xanh has a strategy of delivering products VinMart + has created a new, safe, smart and modern style
with orders of over 10 USD. and consumer awareness. VinMart's marketing strategy for
 Product the supply chain of clean agricultural products branded
In order for Bach Hoa Xanh to get customers from the VinEco - a brand of clean food that has been transferred
traditional market, this is a huge number of customers, Bach technology, technology, seeds and agricultural equipment
Hoa Xanh has promoted the selection of fast-moving from world-famous agriculture such as Israel, Japan,
consumer products with clear origin certification and Netherlands, sold exclusively at VinMart and VinMart
selected good products in the Typical local shelves to meet supermarkets, helping the brand fully control the food
the needs of customers. To have a good profit, Bach Hoa supply. VinEco provides organic fruits and vegetables to the
Xanh will get products from the manufacturer, not through market according to VietGAP and GlobalGAP standards.
any channel. With green vegetables, instead of selling Not only that, at the end of 2015, VinGroup announced a
ready-to-sell bags, stores let customers buy in arbitrary cooperation to launch a clean brand of VinEco (Organic
quantities. Marine fish will be imported directly from the rice) without using chemical fertilizers and chemical
waters, not through Binh Dien market as the current chains. pesticides on fields and rice. Taking advantage of the socio-
As for fruits, the company will not go through import economic context, VinMart was really smart when
companies but import from growing areas. As a result, the positioning about a clean, safe brand with consumer health.
product price will be cheaper and more competitive than any - Create sustainable benefits for customers
other system. Fresh meat, raw fish is an outstanding strength Although the price at VinMart is considered to be somewhat
compared to competitors in the same industry today. And is higher than that of other competitors, VinMart has quickly
the sum of the advantages of traditional markets and stabilized the psychology of customers when committing to
supermarkets, is new and different from other mini bringing to consumers the most quality products including
supermarkets. Thanks to this model, each department store the products manufactured by VinGroup itself. In addition
serves an average of 500 successful daily transactions. In to the promotions, grateful customers have stimulated
addition to diversifying food sources, this unit also runs a demand and created sustainable benefits.
series of strong discounts every week, applying more than + Shock discount programs, promotions for special
200 fresh and consumer goods of all kinds. Many programs occasions
offering gifts, attractive discounts up to 10% for vegetables + VinID member card allows customers to accumulate
and 40% for fast-moving items are also conducted regularly. points at VinMart system and Adayroi website (1 point
With this method, Bach Hoa Xanh received many responses value is equal to or over I USD). This point will be
from housewives. converted to deduct from the following bill. This will help
 Competitive advantage customers return more because it will be discounted when
On the market, there are many other names providing the score is large enough.
foodstuffs such as Co.opmart, Metro, Family mart and the - Diversifying the service
customer groups that these chains target are very small, such + Cash collection. In addition to trading common goods,
as secondary, high school and students. Bach Hoa Xanh VinMart and VinMart+ also support the collection of
aims to serve regular and everyday customers like services: electricity, water, telephone charges, ADSL, cable
housewives. So, this is also an advantage for Bach Hoa television, phone recharge, phone card sales, insurance
Xanh to lure customers on their side. premiums, installment payment and credit card payment.
This will contribute to increase the convenience for VinMart
Negative sides and VinMart+ shopgoers to have more reasons to come. It is
To attract people to their stores, Bach Hoa Xanh is also an interesting brand positioning strategy.
launching brand cards, when the products are attached to + Shopping support service. With a fast-paced lifestyle, the
famous brands and most of them are transparent with prices women often go to work late and add to the long-term traffic

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congestion in preparation for dinner or those who are too pre-processed food, fashion, cosmetics, household items,
busy with babysitting children to spend time out. With a cotton, stationery, furniture. Play by hundreds of reputable
wide chain of stores, VinMart has fast delivery with all domestic and international suppliers. The multi-utility
kinds of items available at the store and free delivery with VinMart chain is currently a retail store model which is
an invoice of 5 USD or more. So, Vinmart does not have to highly appreciated in the market because of its convenience
spend too much money on this service. and coverage. VinMart offers consumers a convenient
Negative sides shopping experience, close to home. It is a provider of high-
 Competitors quality goods, safe food, transparent origin and abundant
+ Traditional markets: Household-based grocery stores have utility services. With business strategy for developing mini
become a long-standing buying habit of Vietnamese people, supermarket chains, Vinmart has become a key business of
the image of VinMart located near those stores is not Vingroup, in harmony with the trend of developing retail
uncommon, food shops sprang up everywhere with the market in Vietnam, Vingroup is gradually becoming and
formidable rival "sidewalk bars" that created a cultural asserting its position. No. 1 in the extremely potential retail
feature of the Vietnamese, the hawkers sometimes become market in Vietnam. Stages of development:
even more extraordinary when they can wriggle into the Stage 1: Increase the coverage of the number of shops and
rows same alley. Therefore, Vinmart has not really attracted images
and created trust for customers. From 2014-2016 is a 3-year period for VinMart to open a
+ Big brands: In addition to the big tycoons, VinMart and series of Vinmart stores concentrated in big cities such as
VinMart also have to face brands that are following the Hanoi, Ho Chi Minh City, Da Nang and Hai Phong. Not
model development trend in providing a variety of expanded in other provinces.
department stores and fast food cafes. Circle K, Shop & Go, Stage 2: Completing the internal management process.
B's Mart. In addition, these convenience store chains are no After opening 400 mini supermarket stores VinMart Plus
less competitive when promoting the competition of fresh (vinmart +), Vinmart reduced the heat to the new opening
and convenient processing products with a variety of speed and instead focused on building the supermarket
groceries to promote clean and green images, food safety. operating process, re-evaluating the first phase of the
business strategy. The business develops its mini
4. Solutions and conclusions supermarket chain.
4.1 Assessment of business activities of Bách Hóa xanh Stage 3: 2nd expansion development.
Regarding the Bach Hoa Xanh chain, with 725 stores as of From 2016 to 2018: It is also 3 years for VinMart to expand
August 31, 2019 and achieved a total revenue of 266 million the system of Vinmart + convenience store chains for the
USD in the first 8 months, up 158% over the same period 2nd time, the time to open these additional 400 stores will
last year. The average revenue per store is approximately 65 be much more economical than phase 1, because of the The
thousand USD / month (for stores opened before August 1, experience has been accumulated before and internal
2019). In this August, Bach Hoa Xanh has moved to the management has been basically completed.
South-Central region with the first store in Binh Thuan. The Stage 4: Expanding and acquiring a large customer base.
chain has 322 stores in 15 provinces in the Southern region The period from the end of 2018, the beginning of 2019 is
outside Ho Chi Minh City (accounting for 44% of the total the period of really strong boom of Vinmart mini
number of stores). By type of store, Bach Hoa Xanh has 125 supermarket chain, with the experience, extremely powerful
large stores of 300m2, accounting for about 17% of the resources at this stage, the scale expansion exponentially
whole chain stores. After a period of testing new solutions The main reason is Vingroup's great advantage.
to effectively control the loss - cancellation ratio, Bach Hoa Typically, on December 31, 2018 Vinmart opened 117
Xanh has recorded quite positive results when reducing this stores nationwide, this is the record of a retail system not
rate from 3% (average 7 first month of 2019) to 2.5% only in Vietnam but also in Asia.
(August 2019). The chain has served nearly 11.5 million
customers and sold nearly 11,000 tons of fresh produce in 4.3 Proposed business solutions for Bách Hóa Xanh và
August 2019. Fresh, cool and frozen goods are accounting Vinmart
for about 50% of Bach Hoa Xanh's revenue. Bach Hoa Business solutions for Bách Hóa Xanh
Xanh maintains a rapid expansion progress with 87 sites - Product
signed in August, including new sites in Ninh Thuan, Khanh + Diversification of products: Increasing human demand,
Hoa, Bac Lieu, Soc Trang and Kien Giang provinces. although Bach Hoa Xanh has many advantages in 2019, the
products of Bach Hoa Xanh have not diversified and have
4.2 Assessment of business strategy of Vinmart not met the needs of customers.
Achievements + Product quality: Currently, the products of Bach Hoa
With the mission of bringing a diversified and modern retail Xanh have clear origin. So need to maintain the quality of
model; A place of peace of mind for shopping for every products and add some items to meet customer tastes.
family, VinMart & VinMart + (VinMart Plus) has grown at + Product display: Show some Bach Hoa Xanh stores
a record pace, becoming the largest supermarket chain and displaying still messy products that make customers
store chain in Vietnam. Currently, the retail system has uncomfortable and take a long time to search for products.
owned up to 65 VinMart supermarkets and about 1,000 So, Bach Hoa Xanh should have a list of common products
VinMart + stores, covering nearly 30 provinces and cities such as milk, spice items, personal belongings so that
with a total business area of over 300,000m2 and the customers can find and have more time to choose products.
number of employees reached about 11,000 people. -Collecting customer information: it will help businesses
VinMart & VinMart + are currently providing more than understand the needs and interests of customers depending
40,000 rich product codes with key categories of fresh food, on the region. Since then perfecting the product better and

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better, creating trust of customers. http://www.marketingjournal.net/article/view/27/1-2-5


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now, has had great success, contributing to bringing clean https://doi.org/10.17512/pjms.2018.18.1.30.
green products to customers. But besides that, there are still GICID: 01.3001.0012.8213. ISSN: 2083-1560.
many disadvantages and potential risks. With the solutions 17. Tien, N. H., Anh, D. B. H., & Ngoc N. M. (2019a).
proposed by the group on the business of these two retail Corporate Financial Performance due to Sustainable
chains, we hope to contribute some knowledge to Bach Hoa Development in Vietnam. “CORPORATE SOCIAL
Xanh and VinMart to gradually improve and create more RESPONSIBILITY AND ENVIRONMENTAL MA-
consumer confidence. NAGEMENT”,. 26, No. 4.
https://doi.org/10.1002/csr.1836
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