Competitive Edge of Vitasoy
The Final Year Project of “Competitive Edge of VITASOY” Coventry University – BABA Table of Content Chapter 1 Abstract……………………………………………………………………. 3 Chapter 2 Background……………………………………………………………………. 4-5 2. 1) Background of VITASOY 2. 2) Aim & Mission Chapter 3 Research Objectives Chapter 4 Literature Review Chapter 5 Methodology Chapter 6 Conclusion Chapter 7 Recommendation Chapter 8 Ethical considerations…………………………………………………………… 19 Chapter 9 Scope and Limitation……………………………………………………………20 Chapter 10 Table Time ……………………………………………………………………… 8 Chapter 11) Reference………………………………………. ……………………………21 Appendix I Chapter 1) Abstract: In this study, the topic is ” Competitive edge of VITASOY”. I am going to study” VITASOY holding Ltd” and analyze the factors of marketing competitiveness of VITASOY. The business environment will be assessed by SWOT analysis and marketing mix. Besides, I am going to find out the reasons for the VITASOY success at the past . The current marketing strategies of VITASOY when facing the changing perception of customers as well as how can increase competitiveness in the future.
Besides, I am going to conduct a survey to collect data on internet. It can help us to analysis the reasons of competitive edge for VITASOY. I will collect primary data and secondary data. Primary data is questionnaires. Secondary data is journals and annual report of VITASOY. Competitive edge can help competitive analysis and recommendation will be providing some marketing plans for further to increase the marketing competitiveness. Chapter 2) Background 2. 1) Background of VITASOY VITASOY is 70th anniversary, which has been established for long time in Hong Kong. In 1940, the brainchild of Dr K.
S. Lo, who was bringing the soymilk made from this healthy little bean to a wider market. Moreover, VITASOY was nutritious, high-protein soymilk that was sold at reasonable price to Hong Kong people after the World Wars. At first, VITASOY was delivered fresh to people’s homes on bicycle; later VITASOY began selling their soya bean milk through retail outlets. In 1953, VITASOY started to adopt sterilization technology of VITASOY soymilk drinks. This enabled the drinks to be stored without refrigeration, therefore they grown the distribution and revolutionized the business.
In 1975, VITASOY was the first Hong Kong Company to introduce Tetra Pak packaging technology for drinks production. The packaging system, which involves UHT (Ultra High Temperature) sterilization of the product and packaging in aseptic cartons, make sure the drink product can be kept for months in the normal atmospheric temperature. In 1976, VITASOY Ltd builds a new VITA line of juice drinks and was the world’s first ready-to-drink VITA lemon tea. The new product line can increase the competiveness.
In 1987, New HK$100 million head office and plant opened in Tuen Mun ,Hong Kong In 1993, VITASOY gain a tofu plant in US. In 1994, VITASOY became a household name and a listed company (0345. HK) on the Stock Exchange of Hong Kong with plants located in Hong Kong, which is setting new standards of quality and innovation wherever its products are sold. In 2006, VITASOY launched in mainland China-Imported from Hong Kong under the Closer Economic Partnership Arrangement (CEPA). Therefore, VITASOY start to develop in the China market In 2007, a new product line “SAN SUI Tofu” was launched in Hong Kong.
Nowadays, VITASOY product sells in over 40 markets around the world. VITASOY is a dynamic, international organization setting new standards of quality (Source: Vitasoy website) 2. 2) Aim and mission The VITASOY aims to sustain the leadership in promoting supreme quality of life by producing high quality, nutritious and great tasting products which will satisfy the needs of the market. The mission of the company is to promote well-being among consumer. The mission is attained by producing healthy and innovative products.
The company is known to be innovative, with reliable employer and willing to create value for the shareholders. (Source: Vitasoy website-http://www. vitasoy. com/) Chapter 3)Research Objectives VITASOY is one of the most popular healthy beverages companies, which provides nutritious and healthy products. The main objective of this study is to find out what is the competitive edge of VITASOY. In this study, key focus on the questions included: • How to maintain the position of market leader in beverage industry? • How to increase the competitiveness in the future? What are the success factors for VITASOY in the customer ‘s point of view ? • How to increase customer satisfaction and to sustain market share in the future? Chapter 4) Literature Review Article 4. 1-Competitive strategy In this book, it has methods that proof to the long period. It point out that the competitive strategy research has been limited. Competitive strategy remains to the study of strategic management. We have understood organizational sources of advantage must be matched by knowledge on the strategies inaction through which these assets realize value in the market.
Although this study has stated that cost and differentiation do play a important role in discriminating between competitive strategy designs, its had accumulate of the experience record has disclosed a more productive and more fine-grained descriptive system than that originally proposed, and has focused attention on the need for a more complete, specification of the link between competitive strategy and company performance. ( Source : Chichester. (2000). What have we learned about generic competitive strategy. A meta-analysis Colin Campbell-Hunt. Strategic Management Journal. Chichester: Feb 2000. Vol. 21, Iss. 2; pg. 127)
Article 4. 2-Competitive advantage This book wrote that the concept of completive advantage, demonstrating that in compare to its apparent objectivity, it shows circularity, ambiguity, ontological problem and subjectivity. These inherent and intractable inadequacies suggest that it is poorly specified as an object of strategy. In searching to move beyond the limitations of competitive advantage, attempts to make a different between competition and strategy were sought. Strategy is how actors consciously or unconsciously seek to change company performance, as competition is the process by which performance becomes relative. Source : Jeremy Klein(2002) Beyond competitive advantage. Strategic Change. Chichester: Sep/Oct 2002. Vol. 11, Iss. 6; Article 4. 3 -New product development The writer suggested that I can use the micro level research to help build new product development. It needs to focus on new product development performance as results of information flow. It is affected by information available between firms with formal cooperation agreements. Besides, the writer suggested two methods of the formal external information network, variety and control, have an impact on a firm’s new product development performance.
Moreover, it showed that there are three factors have different relationship of new product development performance: new product innovativeness, development time and market performance – provide a holistic, yet under-explored, view of new product development performance. ( Source : Kirk D (2004)New product development performance: Using networks to access information Wessel, Ph. D. , The University of Utah Article 4. 4 -Competitive advantage The book explains the definition of competitive advantage. A firm has over its competitors, allowing it to generate greater sales or margins and retain more customers than its competition.
There can be many types of competitive advantages including the firm’s cost structure, product offerings, distribution network and customer support. All of the factors can be use for Vitasoy to study for this research. ( Source :Linda Argote (2000). Knowledge Transfer: A Basis for Competitive Advantage in Firms Organizational Behavior and Human Decision ProcessesVolume 82, Issue 1, Pages 150-169 Article 4. 5 –BCG Matrix From Book: BCG STARS (high growth, high market share) – Stars are defined by having high market share in a growing market. – Stars are the leaders in the business but still need a lot of support for promotion a placement. If market share is kept, Stars are likely to grow into cash cows. BCG QUESTION MARKS (high growth, low market share) – These products are in growing markets but have low market share. – Question marks are essentially new products where buyers have yet to discover them. – The marketing strategy is to get markets to adopt these products. – Question marks have high demands and low returns due to low market share. BCG CASH COWS (low growth, high market share) – Cash cows are in a position of high market share in a mature market. – If competitive advantage has been achieved, cash cows have high profit margins and generate a lot of cash flow. Because of the low growth, promotion and placement investments are low. – Investments into supporting infrastructure can improve efficiency and increase cash flow more. – Cash cows are the products that businesses strive for. BCG DOGS (low growth, low market share)- Dogs are in low growth markets and have low market share. – Dogs should be avoided and minimized. – Expensive turn-around plans usually do not help. My review: BCG Matrix have been used in this project, it can analysis Vitasoy of market and growth. It can help us to know more improvement. [pic] My review:
BCG Matrix analyzes the traditional Vitasoy Soya milk, the product is the Cash Cow group. Because the business has high market share compared to competitors. The future growth is limited and slow growing. This is a mature market leader. As the market has matured, the enterprise is not easy to expand the market size. It is the market leader. They can have high margin and cash flow. This business generates a lot of cash and helps the organization invest in other businesses. Since the market does not attract new players, this business does not need substantial investments to keep the market share.
Cash Cows have to protect and keep the market share stable and maximize cash flow. (Source: Ricky W. Griffin . Management. Cengage Learning, 2006 – page. 219 Article 4. 6- SWOT analysis A SWOT analysis must first start with defining a desired end state or objective. A SWOT analysis may be incorporated into the strategic planning model. Strategic Planning has been the subject of much research. Strengths: characteristics of the business or team that give it an advantage over others in the industry. Weaknesses: are characteristics that place the firm at a disadvantage relative to others.
Opportunities: external chances to make greater sales or profits in the environment. Threats: external elements in the environment that could cause trouble for the business. Identification of SWOTs is essential because subsequent steps in the process of planning for achievement of the selected objective may be derived from the SWOTs. My review: SWOT analysis have been used, it is useful to analyze the information of Vitasoy. Beside, Strengths and weaknesses can study internal environmental and Opportunities and threats can study external environmental. The strengths is the seem to be
Marketing Mix (5P) A) Product Vitasoy product includes soya, VITA, SAI SUI, CULCU-PLUS and Tsing Sum Zhan products. Soya Products line includes Vitasoy Soya bean Milk, Malted Soya bean milk, Dark Chocolate Soya bean Milk, melon soya milk. VITA product line includes lemon tea, Ceylon Lemon Tea, Juice and Pure Distilled Water. SAN SUI product line includes Black Soya Milk, Tofa Dessert, Silken Tofu, Pan Fried Hard Tofu. CALCI-PLUS product line includes Fiber, Collages and Oat. Tsing Sum Zhan product line includes Fid and White fungus Drink, Rock Sugar lily Bulb and Papaya Drink.
Vitasoy have more product lines to provide health product. The soya drinks are high quality, high calcium and low fat. It can help people to protect their bone and health. Beside, Vitasoy enjoy developing new taste and package to meet young people, such as red bean soya and melon soya. In the result of survey, it point out most people consider the taste of drink to choose Vitasoy. B) Place Vitasoy have many distributors so Vitasoy soya milk often sells in supermarkets, stores, convenience shops. People can buy it easily. In the result of survey, most people think that they can easy to purchase Vitasoy soya milk. 8% people buy it in supermarkets. Wellcome and Parknshop can provide a lot of types of products to choose and the price is cheaper. 32% people buy in convenience shop. 7-11 and Circle K are more convenience although the price is higher than others. Vitasoy have a large market share. C) Price Supermarket of Wellcome and Parknshop sold Vitasoy soya bean milk 375ml with HK$3. 5. Convenience shop of Circle K and 7-11 sold it with HK$4. 5. The price of Vitasoy soya milk 375ml is about HK$3. 5 – HK$4. 5. If we compare with other drink, the selling price of Vitasoy is very reasonable.
In the result of survey, most people think that the price of Vitasoy is reasonable. And 30% consumers consider the price is the reason to purchase Vitasoy products. Therefore, the price of Vitasoy has competitive advantage D) Promotion Effective promotion or advertising is a method on how companies can effectively market their products in a marketing environment. Effective marketing strategy means that the products of Vitasoy being provided are always excellent. You can see the Vitasoy‘s advertisement in mass media. For example: TV, radio, newspapers, magazine, internet and mobile phones etc.
Vitasoy invest a lot of money in the promotion in order to keeping creating a new image to attract teenage and remain Vitasoy is not outdated. Beside, Vitasoy have enjoy to cooperate with green enterprise and charity organizations as it will increase their positive image. E) People People are the most important element of any service or experience. Therefore, Vitasoy respect the staff development. Vitasoy will provide training and education to improve employees’ performance and maintain a high quality of personal service ( Source : David W. Pickton, ( 1998) Strategic Change.
Volume 7, Issue 2, pages 101–109 Article 4. 7 – Identifications of SWOT Strengths: attributes of the organization that is helpful to achieving the objective. Weaknesses: attributes of the organization that is harmful to achieving the objective. Opportunities: external conditions that is helpful to achieving the objective. Threats: external conditions that is harmful to achieving the objective. It is critical that correct identifications of SWOT’s are identified because of the subsequent steps in the process of planning for the achievement of the selected objective are to be derived from the SWOT’s. Source: Lawrence G. Fine (2009). The SWOT Analysis: Using Your Strength to Overcome Weaknesses, Using Opportunities to Overcome Threats. CreateSpace Article 4. 8– Research Primary Research – Advantages Greater Control – Not only does primary research enable the marketer to focus on specific issues, it also enables the marketer to have a higher level of control over how the information is collected. In this way the marketer can decide on such issues as size of project (e. g. , how many responses), location of research (e. g. , geographic area) and time frame for completing the project.
Efficient Spending for Information – Unlike secondary research where the marketer may spend for information that is not needed, primary data collections’ focus on issues specific to the researcher improves the chances that research funds will be spent efficiently. Proprietary Information – Information collected by the marketer using primary research is their own and is generally not shared with others. Thus, information can be kept hidden from competitors and potentially offer an “information advantage” to the company that undertook the primary research. (Source : Albert Breneman (1998).
State of the art marketing research. McGraw-Hill Professional, 1998 – page 40 ) Article 4. 9 – Research |Method |Comments | |Telephone interviews |Not to be confused with “telesales” (which is a method of selling), the telephone interview allow quicker| | |feedback than a postal survey. However, potential customers are often wary of being called and may be | | |reluctant to give anything other than short answers |Online surveys |Increasingly popular and relatively low cost, online surveys are widely used by small businesses as a way| | |of capturing the views of existing and potential customers | |Face-to-face surveys |Personal interviews conducted face-to-face. A costly, but good way to get detailed insights from an | | |individual | |Focus groups |Groups of potential customers are brought together to discuss their feelings about a product or market. | |Focus groups are a good way of getting detailed information about customer tastes and preferences | (Source : Jan Wiid, Colin Diggines (2010). Marketing Research. Juta and Company Ltd,. page 84) Article 4. 10 The company’s strong brand has given it an edge in the respective markets it serves. The company owns two production facilities in Shenzhen and Shanghai which manufacture Vitasoy products for the local markets as well as for exports to Chinatowns in Western countries via Hong Kong. The distinct characteristic of the business is its ability to adapt itself to the local market.
The company is able to tailor made packaging and customize its product formulas depending on the local cultures of its targeted markets. For instance, in China, only the Vitasoy brand exists. The company employs the “1 business, 1 core brand and core city” strategy in marketing its products in more established and prosperous cities in China. . Each region in China is given different taste profiles to market its products. Black bean and sesame favours are some of the popular ones used in its products in accordance with local market tastes. ( Source : Bizad Abroad (2009) .
Vitasoy Post Trip Report ) Article 4. 11 – Vitasoy Cash Cow The efficiency of financial management, specifically the cash flow management is judged by the success in achieving the firm’s goal. The shareholder wealth maximization goal states that management should endeavour to maximize the net present (or current) value of the expected future cash flows to the shareholders of the firm. Net present value refers to the discounted sum of the expected net cash flows. Some of the cash flows, such as capital outlays, are cash outflows, while some, such as cash proceeds from sales, are cash inflows.
Net cash flows are obtained by subtracting a given period’s cash outflows from that period’s cash inflows ( 2002). The discount rate takes into account the timing and risk of the future cash flows that are available from an investment. The longer it takes to receive a cash flow, the lower the value investors place on that cash flow now. The greater the risk associated with receiving a future cash flow, the lower the value investors place on that cash flow. (Source : Research Proposal: Evaluation of the Efficacy of Cash Flow Management System of Vitasoy International Holdings Limited)
Article 4. 12 – Problem of melamine-tainted product The scandal was blamed for the deaths of at least six babies. More than 300,000 fell ill, mainly with kidney problems. The suspects associated with Lekang Dairy were identified as general manager Zhang Wenxue and vice general managers Zhu Shuming and Tong Tianhu. The fourth suspect was Ma Shuanglin, a milk powder dealer. The report came a day after state media said the mainland had launched a new probe into food safety after the discovery that melamine-tainted products had found their way back on to the market. Source : City in clear as killer China milk returns. The Standard – free newspaper distributed on 4 February 2010) Article 4. 13 – Current marketing Strategies: Differentiation [pic] A differentiation strategy is appropriate where the target customer segment is not price-sensitive, the market is competitive or saturated, Vitasoy ‘s customers have very specific needs which are possibly under-served, and the firm has unique resources and capabilities which enable it to satisfy these needs in ways that are difficult to copy.
These could include patents or other Intellectual Property, unique technical expertise, talented personnel, or innovative processes. Successful brand management also results in perceived uniqueness even when the physical product is the same as competitors. (Source: Ferrell, Michael (2010). Marketing Strategy. Hartline. Page. 209 ) Article4. 14 -Vitasoy business in China Only 30 years after it began to open and liberalize its economy, China offers its consumers an extraordinary range of brands and products that no other country, even the wealthy consumer markets of Japan, Europe, and the United States, can match.
In any convenience store in Shanghai or Dalian, you can find Western beverages such as Coke, Pepsi, and Schweppes; Japanese soft drinks made by Suntory, Kirin, and Sapporo; Taiwanese flavors under the Uni-President label; Hong Kong brands such as Vitasoy; and local teas, coffees, soy milks, and fruit drinks. Chinese companies make their own versions of every international flavor, and many flavors that are not produced elsewhere. (Source : The challenge of doing business in Chinaby GRAEME CODRINGTON on MARCH 29, 2010) Chapter 5) Methodologies to be used
The study aims on identifying the reasons of the competitive edge of VITASOY. The primary data and secondary data research are used. . Moreover, in order to determine the marketing strategies of VITASOY, the collected data have been analysis and make the finding. The result will been use the diagram and chart to point out. 5. 1) Primary data Primary data is collected questionnaires via online. The information can find out the marketing strategy of Vitasoy and help to find the development method. 5. 1. 1) Questionnaires: Online questionnaires have advantage .
First, it is easy to collect a large number of people data by e-mail or internet and low cost to organize. Second, it can focus on the object. The questionnaires will be sent to consumer of VITASOY in order to collect information for analysis customer purchasing behavior and brand loyalty. |Content of Questionnaires | |The respondents detail: | |No. f questionnaires: |About 150 pcs (n=150) | |Kinds of respondents: |Over 18 years old , all careers, all sex | |Questionnaires detail: | |Part A – Respondents description: |Customer segment -Age, Sex, Careers | |Part B – Perception of respondents: |Find out Marketing Mix (5Ps) | |Part C – Perception of respondents: |Find out the key competitor | |Part D – Perception of respondents: |Find out the information of SWOT analysis | |Part E – Perception of respondents: |Recommendation | 5. 2) Secondary data
Sources of secondary data find in Journals, books, newspapers & Annual report of VITASOY Secondary data analysis can save time that would be spent collecting data. It can provide larger and higher-quality databases than would be unfeasible for any individual researcher to collect on their own. We can know more the current development of the company and analysis the data. 5. 3 ) Primary Analysis-Data findings, analysis The survey was conducted in June 2011. I used online research and invited people, total interviewee are 150 people (100 Online research and 50 people was face to face interview). The findings are listed below: Part A – Customer segment
A1) What is your age group? [pic] In Part A figure of A1, about 40% people is below 21years old. Second, 30% people were 21-30 years old. A2) Gender [pic] In Part A figure of A2, 53% customers were female and 47% customer was male. A3) Monthly income [pic] In Part A figure of A3, most customers of the monthly income are below $6000. 24% people find $6000-$10000 per month. Part B –Find out the information for marketing Mix (5Ps) B1) What kind of the Vitasoy product lines are you like? [pic] In Part B figure of B1, Most people like Vitasoy soya product. 18% people like juice and 15% people like tea. B2) What kind of package do you like more? [pic]
In Part B of figure B2, 49% people like Vitasoy soya product package with 375ml. 24% people like the package with 250ml. B3) Why are you choose Vitasoy product? [pic] In Part B of figure B3, 42% people think that their reason of choose Vitasoy product is taste. And 25% interviewees think the price is the second reason. B4) How do you known regarding Vitasoy [pic] In Part B of figure B4, most interviewees know regarding Vitasoy from TV advertising. From internet and word of mouth are also 20%. B5) Have you used any Vitasoy’s promotional discount (one time within 1 week)? [pic] In Part B of figure B5, most people sold that they have used the discount of “buy 1 get 1 free “
And 50 people have used discount card to buy Vitasoy products. B6) Where are you usually purchase of Vitasoy products? [pic] In Part B of figure B6, 38% people usually by Vitasoy product in supermarket and 32% people like to buy it in convenience shop. And 20 % interviewees like to purchase it in vending machines. Part C – Find out the key competitor C1) What brand would you purchase except Vitasoy? [pic] In Part C of figure C1, the result listed that HI-C is the key competitor as all products are popular. In soya product, Tai Wo is second key competitor. In Juice product and water, NO FRILLS is second key competitor. In tea product, Hung Fook Tong is second key competitor.
C2 ) Why do you purchase it (refer to C1) [pic] In Part C of figure C1, the result showed that the advantage of the related companies. The advantages of HI-C are strong branding and the product taste. The advantage of Hung Fook Tong is that their products are healthy. The advantages of Tai Wo are that their products are healthy and low price. The advantage of NO FRILLS is that their products are low price. C3) Will you recommended VITASOY to new consumer? [pic] In Part C of figure C1, most interviewees will recommend Vitasoy product to other consumer. Part D- Find out the information of SWOT analysis D1) Which factor is the most important of the strengths of Vitasoy? [pic]
In Part D of figure D1, the result of survey showed that the strength of Vitasoy, 48% interviewees think the brand name is important factor. And “Quality assurance” is 20% and “Product diversifications” is 17%. D2) Which factor is the most important of the weaknesses of Vitasoy? [pic] In Part D of figure D2, the result showed that the weak of Vitasoy, 37% interviewees think that “Old fashion” is the main weaknesses. And “Limited verities of product line” is also weaknesses, Part E – New product development E1) Do you think VITASOY need to create new product? [pic] In Part E of figure E1, most interviewees hope VITASOY can create new product line.
E2) What new products do you expect? [pic] In Part E of figure E2, 34% people look forward Vitasoy create wine product and 25% people want Vitasoy create new taste of juice. E3 ) Which of the following need to improve? [pic] In Part E of figure E2, according to the result of survey regarding need to improve. “Channel complaint” and “product choice” are also 35% Chapter 6) Conclusion In conclusion, we have collected 150 interview reports include 50 face to face interviews and 100 researches from online. The data have been analysis and made the finding in order to provide the recommendation. The segment of Vitasoy has been found. About 70% people is below 30 years old.
About 60% interviewees are female. And over 50% interviewees of the income are below $10000. The Vitasoy target customers are teenager and low income as they think Vitasoy is low price and healthy food. According the survey, we can know the Marketing Mix. Regarding Product, people more like 375ml Soya than other. The reason of choosing Vitasoy product is taste. The Soya product is Vitasoy main product line. People usually consider the taste when they purchase the drink. 18% and 15% interviewees also like juice and tea. Therefore, Juice and tea may have potential to develop. For promotion, 45% interviewees think that they know Vitasoy information from TV advertising.
Beside, 20% is Word of mouth, it is also important and Vitasoy have to show the positive image. 20% is internet as young people other enjoy on internet. Vitasoy should provide more promotion on internet, and then they will know more Vitasoy and do not feel the brand is outdated. Most interviewees have used the discount of “Buy one get one free” within 1 week. The promotion can attract customers to buy. And 50 people said that they have used the discount card to buy Vitasoy product, it can increase customer loyalty. There are 38% interviewees buy Vitasoy product in supermarket and 32% buy in convenience shop. As there are many distributors of Vitasoy, people can by it easily. However, a few people buy it at vending machines.
According the survey, four other brand products have been compared in the project. Although consumers showed that they have confidence with Vitasoy and they think that quality assurance is the strength, the competitors also have competitive in the market. For example , HI-C is the major competitor in market, they have more product line and good promotion for teenager. Their Lemon Tea product have a large market share and competitive. Beside, for soya product is the second competitor. For juice and water product, NO FRILLS is the second competitor. For daily product, Tai Wo is the second competitor. In SWOT analysis, it showed Vitasoy is a superiority company in the market.
It is because the Vitasoy product is differentiations, product line, different taste, and suitable packing can make more attractive for the target customer. Customers have confidence as strong branding with positive image and good quality control. People can buy Vitasoy product everywhere and every time as Vitasoy have large distributors’ network. And the strong promotion team let the product more popularity and create potential market. Some of interviewees think that the Vitasoy brand is old fashion and limited kinds of product line. Therefore, Vitasoy should improve the image to fashion and meet young people as well as create new product to maintain the attraction fresh. The survey pointed out that most interviewees (88%) want to have more new product.
It can keep customer fresh and increase market sales and market share. 34 % people suggested that wine is consideration of new product line and 25% people want to have new taste of juice. Chapter 7) Recommendation After do the research, the information can study and let us more knowledge about Vitasoy Company. We have known that Vitasoy is a popular brand to made healthy drink with high quality. Vitasoy have got more product quality awards and environmental awards, so their image is positive. However, BCG Matrix showed Vitasoy is cash cow. The mean is high market share and cash flow, but no more business growth rate. Beside, the competitor will affect Vitasoy profit.
HI-C had invested more in promotion and new product development. It was developing two new taste soya products within 2 years such as Creme Caramel soya milk and Corn soya milk. Vitasoy also focus on existing product improvement. Improvement of image As Vitasoy is old brand, young people may think it is outdated. They may try other new brand. Vitasoy need to consider the customer behaviour and improve the promotion for target group. For example, it can create some video about friendship or love story and post into “Youtrue” and Facebook to attract young people attention. New product development In the result of survey, interviewees look forward wine product line.
As changing of the eating culture, people will enjoy drink wine and wine is a healthy drink. New product line can increase marketing and profit. Chapter 8) Table Time We will follow the above time table to study our project. It can help us to control the time management effective. Chapter 9) Ethical considerations All research has been conducted in an ethical manner. This obvious statement means that all phases of a research study, from planning and design to reporting, must be conducted in accordance with accepted standards of ethical behavior. All responses will stored securely, and once the information has been analyzed, all data will be securely stored . participation in this study is entirely voluntary.
Respondents to questionnaires rarely benefit personally from their efforts and the least the researcher can do is to thank them. Even though the covering letter will express appreciation for the help given, it is also a nice gesture to finish the questionnaire with a further thank you. Moreover, the secondary data will search by journal and book and the source will be list. Source : Mark Walsh,Lynne Wigens . Introduction to research. Nelson Thornes, 2003. page106 Chapter 10) Scope and Limitation 10. 1) Scope Our proposal is going to focus on competitive edge of VITASOY. We study the reasons of the VITASOY success at the past. The current marketing strategies have keeping the competitive advantage.
And find out the new method to increase competitiveness in the future. Recommendations would be giving to VITASOY Holding Ltd. in proposing new resource to increase the marketing competitiveness. We proposed to distribute and conduct the survey within in 4 mouths. 10. 2) Limitation Not easy to find the suitable journal and book to study in the public library, we need to find in the university library. If the survey period changes to 6 months, the results will better. Chapter 11)Reference: Website: 1. Vitasoy Holding Ltd. http://www. vitasoy. com/ 2. Skill of research: http://brent. tvu. ac. uk/dissguide/hm1u3/hm1u3text3. htm Books: 3. Effective Marking: Creating and Keeping. 2002 Zikmund, William G 4.
Successful Marketing: Get Brilliant Results Fast. 2009. Pauline Rowson. 5. Healthy competition: With new CEO, Vitasoy USA fights to stay atop tofu market. 2004. Andi Esposito. Journals: 6. Chichester. 2000. What have we learned about generic competitive strategy? A meta-analysis Colin Campbell-Hunt. Strategic Management Journal. Chichester: Feb 2000. Vol. 21, Iss. 2; pg. 127 7. Beyond competitive advantage. Jeremy Klein. Strategic Change. Chichester: Sep/Oct 2002. Vol. 11, Iss. 6; p. 317 8. New product development performance: Using networks to access information by Wessel, Kirk D. , Ph. D. , The University of Utah, 2004, 119 pages; AAT 3137310 This is the end of this project.