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Technical English

Marketing strategy of highlands coffee (Sờ tre rơ try)

1. Micro environment

2. Macro environment

3. Strengths điểm mạnh sờ troen

4. The weakness

5. Proposed Solutions bờ pâu sờ lâu sần

Introduction to highlands coffee

Highlands Coffee is a brand of Viet Thai International Joint Stock Company


(VTI). Established (ệc sa bờ lịt) in 1998( nai tin nai ti ết) and focused only on
packaged( pa cợt) coffee, in 2002, the first Highlands Coffee was officially
launched. Currently, Highlands Coffee is owned by Jollibee with more than
300 (truy hăn đật) stores, is the number 1 franchise( fen chai) brand in
Vietnam.

1. Micro environment

The customers that Highlands Coffee has been serving are middle( mi đô)-
class consumers, office workers, and young people.

According to experts, Highlands coffee is considered the second largest coffee


chain after Trung Nguyen Coffee, so it can be said that Trung Nguyen is the
strongest competitor of Highlands Coffee. And most recently( ri sần li),
Starbucks - a giant in the field of American coffee that has penetrated( pen ne
trầy đợt) into Vietnam is also considered a formidable competitor( com pé đờ
thờ) of the Highlands.
=> With the inherent( in he rần) advantages( ật ven tờ chờ) of Trung Nguyen,
Highlands needs to try a lot to overcome this Vietnamese coffee king.

Suppliers( sập phai ờ)

 Work with reputable suppliers for the best Grade A seeds


 After that, the laboratory ( la bô to ry) will perform the task of testing
samples to make sure the goods must meet the strict standards set.
 After entering the warehouse, workers will choose to remove the poor-
quality seeds. Just one poor-quality coffee bean left over can destroy
the entire quality of a shipment.

2. the macro environment

Demographic:

The average population in 2020 is 97.3 million people, the population growth
rate is 1%. This is an opportunity for Highlands to expand the chain of stores
to meet the increasing demand of the people.

- In 2020, the rate of urbanization in Vietnam exceeds 40%, along with the
development of infrastructure and business lines. This is an opportunity for
Highlands to move into residential areas with designs, product quality and
higher prices

Natural:

- Vietnam's climate is characterized by a hot and humid climate suitable for


the development of the coffee industry. Highlands Coffee easily obtains raw
materials to serve the passion of "coffee" at a much lower cost than
production but has to import investment materials from abroad
- In order to reduce plastic waste, 90% of drinks at Highlands Coffee, except
for hot coffee, are served in plastic cups, with plastic spoons, plastic straws
even if customers use them on site and a plastic bag if customers buy them
go.

Technological:

1, Highlands Coffee constantly improves quality, and develops new products


by applying scientific technology.

2, Proposing to improve facilities, machinery and equipment to constantly


improve labor productivity, packaging and perfecting products in accordance
with the technical process...

3, The company has policies to promote advertising through television


channels, publications, the Internet such as VnExpress, Dan Tri, Facebook.

Vietnam's political situation is very stable, led by a Communist Party of


Vietnam, people's lives are increasingly improved, people's incomes are
also gradually increasing... Therefore, developing in an environment In the
political arena of Vietnam, Highlands easily elevates its position in the
present and in the future

Vietnamese people when buying goods are always influenced by cultural


factors bearing national identity that affect choice values. Marketers need
to consider these factors when designing marketing strategies or
advertising messages, product colors and designs, brands, and
salespeople's attitudes. For a long time, coffee has been a very familiar
drink for Vietnamese people. Therefore, when approaching this market,
Highlands has attracted a lot of potential customers.

- Highland is a well-established brand that has been present for two


decades and has endured for over two decades in both the Vietnamese and
global markets.

3. Strengths of Highlands Coffee

- The beverages are tailored to suit the specific tastes of the Vietnamese,
especially coffee.

- Stores are strategically placed at intersections, crossroads, or hubs at the


base of office buildings in major cities.

- Understanding customer preferences, Highland consistently evaluates


coffee brewing methods and types to align with the Vietnamese palate.

4. the weakness

- In small and medium cities, people's income level can hardly match the
price of Highland's products.

- Highland is also considered a meeting place for important jobs and an ideal
place to work. Therefore, in undeveloped areas, people do not have the above
needs, so it is difficult for Highland to reach people here.

- As long as product prices are not in the affordable segment, Highland will
probably not be able to reach and expand to suburban and rural areas.

5. Proposed Solutions
- Redesign the menu for each customer. Segment customers for each product
type and price. In the menu, there should be a clear distinction such as what
kind of coffee for those who like to drink coffee, for women...

- Designing programs to stimulate customers' curiosity. Should focus on


promotion and brand promotion.

- Serving products to customers should limit the use of plastic and plastic
bags, instead use wooden straws.

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