STRATEGIC MANAGEMENT’S

ASSIGNMENT

Analyze businesses and make strategies for

CircleK

Group 3:
Nghiêm Công Việt Hoàng
Nguyễn Hồng Hạnh
Võ Nhật Hoàng
Nguyễn Minh Hùng
Lý Quang Huy
Trần Quang Huy
Nguyễn Thị Huyền
Lê Hoàng Khánh

Table of contents
I.Vision, mission and objectives…………….…...3
1.Base information about circle K………...................3
2.Vision, mission and objectives………………….....4
( By Ly Quang Huy)

II.External environment analysis of circle K…......4

1.Marco economic…………………………………. 4
2.Industry environment ……………………………………... 8
( By Minh Hung and Hong Hanh)

III. Internal environment analysis……………......11

1. Support activities…………………………………11
2. Primary activities…………………………………13
( By Viet Hoang and Huyen)

IV.SWOT…………………………………………15
( By Hong Hanh ,Nhat Hoang and Viet Hoang)

V. Strategy………………………………………...16
1.Product……………………………………………..16
2. Price………………………………………………..16
3.Channel……………………………………………..17
4. Branding…………………………………………....17
( By Hoang Khanh and Tran Quang Huy)

I.Vision, mission and objectives

1.General introduction about the company
 a. International Circle K
Circle K's success in the convenient retail industry has lasted more than 50
years. Started in 1951, when Fred Hervey bought three Kay's Food stores
in El Paso, Texas, USA. During first years, Hervey's dare to think spirit
helped the company a lot in the southwestern United States. After that, he
expanded the Circle K chain to New Mexico and Arizona, which became
the company's headquarters since 1957. Over time, Circle K is one of the
popular and successful convenience store brands. most in North America.
Currently, Circle K has more than 6,000 stores across the United States
and more than 14,000 locations around the world including Japan, Hong
Kong, China, Indonesia, Vietnam, the United Kingdom. United Arab
Emirates, Mexico. Circle K also presents in Guam, the US district. Circle
K has become one of the most reputable retail brands in the world, known
for its excellent product quality and customer service. Visit the nearest
Circle K store to experience convenience and fun shopping experiences.
b. Viet Nam Circle K

Circle K is proud to be the first international convenience store chain in

Vietnam. In December 2018, Circle K had opened the first store in 1
district, Ho Chi Minh city. Red Circle Company is a Circle K franchising
buyer at
Vietnam.
Circle K Vietnam joins the market only in a short time but it became a
familiar address for consumers. Not only the convenience in purchasing, in
addition to a variety of goods, the store also focuses on good performance
in
service style of employees for customers.
2.Vision, mission and objectives
Vision: becomes the most popular convenience store chain for all
nationalities in Viet Nam.
Objectives: opens 550 stores in 20 provinces and cities in 2015, through
franchising to domestics units.
Mission: always looking for optimal solutions to bring to our customers
many interesting, safe and convenient shopping experiences with a wide
selection of quality products and food, together with fast and friendly
service style to bring the best value to customers by meeting the diverse
needs of customers and serving them better and better.
Target customers: Vietnamese youth and foreigners in Viet Nam.
 II.External environment analysis of circle K
I, Marco environment
PESTLE FACTORS
1, Political
Vietnam has the advantage of high security and political stability in the
region, the security situation and political stability is one of the good conditions
to operate store formats 24/7.
* The Foreign Investment in Vietnam shall enjoy preferential policies to
encourage investment in the following: equal treatment before the law for
investors in all sectors of the economy, between domestic investors and
investments foreign; encourage and create favorable conditions for investment
activity, recognition and protection of property rights, investment, income, and
the rights and other legal interests of investors; acknowledges the existence and
long-term development of the investment activities, encourage and preferential
policies for investment in sectors and areas of investment incentives.
* Business registration procedures in Vietnam is gradually reformed and
simplified, but still complicated.
* Existence of two different laws apply to domestic investors and foreign
investors, make the difference on the investment environment in space is also a
most economical.
* Land of national wealth, public ownership, so investors do not have
ownership of the land. Land lease land allocation procedures, compensation,
clearance is complex, causing loss of opportunity and time invested.
In 2007, Vietnam officially became the 150th member of the WTO, which
means that our country must implement the commitments to open services
markets including retail market. To implement WTO commitments, 01/01/2009
Vietnam has officially allowed the enterprises with 100% foreign capital are
active in the field of distribution here.

2, Economic

Economic growth (GDP) in 2012 reached a 5:03% lower than in 2011

0.86%. The inflation rate in 2012 was also curbing reached about 6.81%. In
2013, the inflation forecast will be increased, economic growth forecasts will
also increase, but not much, about 5.5%. Faced with high inflation and low
economic growth rate of the economy such as Vietnam is affected by the world
economic crisis, domestic demand will decrease, affecting the output of the
business. The economic situation is recovering but it will take 2 to 3 years, so
Circle K also to meet many challenges in the next stage. However, the situation
is due to the growth on the impact of the world economic crisis. On a general
level, Vietnam's growth is still positive, especially for the consumer sector is the
most attractive in the period 2010-2016.
Interest rate in September Descending 3/2013 in the manufacturing sector
10% other business (conditional support preferential interest rates in the first 3
months), creating conditions for strengthening sources its business capital. The
domestic unit can be assured than when borrowing to invest without worrying
about higher interest rates. Market real estate in the country has yet to escape
stagnation, interest rate loans to purchase real estate is also low, which may be
favorable conditions for purchasing real estate, expanding chain of stores her
and penetrate markets better. Problems effectively notably business enough to
guarantee this loan amount. However, the situation is still interest a chance to
Circle K.
The purchasing power of the people is affected by serious economic situation
in the country. People spending will affect the ability of enterprises trading in
general. For essential items, people will seek alternative products or competitive
products cheaper. Besides, for luxury goods, people tend to fall but rose nature,
began to look to more advanced items. So, to be able to survive in this difficult
period, Circle K also must pay attention to this factor

3,Social- culture

The national average population in 2012 at about 88.78 million people, an

increase of 1.06% compared to 2011 (Data from GSO). Vietnam is the 14th
most populous country in the world (according to Wikipedia). This shows that
Vietnam is a mayor with purchasing power and demand for consumer items
enormous, an attractive market for retail business. In addition, annual estimates
Vietnam's population increased an average of 1 million / year. Vietnam not only
ensure market size for the retail business in the present but also to ensure a
potential market in the future.
As assessed by the Agency of the United Nations in Vietnam in the census
of population and housing in 2009, Vietnam has overcome the stage structure of
young population, and the current structure of Vietnam's population is
considered "golden population structure" (2007-2041) with the proportion of
working age people in a larger proportion of dependents. Structure
"demographic bonus" of Vietnam will lead to advantages for the retail industry
in general and business convenience store chain in particular

* Groups of young people are the group whose consumption habits

changeable and adaptable, catch up with modern consumer habits of the world.
The increase in the urban population tends to increase faster than in agriculture.
Migration tendency of the people of Vietnam from North to South and from
rural to urban. Retail business in general and Circle K in particular should focus
on the market hit the big cities, especially cities in the South.
In recent years the development of economic activity and the deep
integration of Vietnam with the world market has created for cultural
consumption of the Vietnam many features innovative, more modern, closer
with consumer civilization. Evidence that the tastes and consumer habits of a
large part of the people have changed. The business location traditional retailers
such as markets, grocery stores, agents gradually narrow the scope of influence,
people started to pay attention to the business model of modern retail and more
civilized as supermarkets , business center, convenience store chain. Cultural
consumers increasingly integrated with the cultural consumption of modern
civilized world trade, is the opportunity to develop business type of modern
retail as supermarkets, commercial centers, chains convenience store.

4, Technological

* Forms of activity
Although most retail operations taking place in the retail stores, but in recent
years, thanks to the development of technology, retail formats not via stores as
sales via mail , catalogs, telephone, Internet, TV, vending machine ... growing
and becoming popular. Online shopping is becoming a habit for many
consumers around the world. Sales through mobile phones and social
networking is a step forward.

* The payment method

With the level of development of technology in the industry, at present, the
POS was no stranger. POS (Point Of Sale stands - or ECR induction) is a great
combination of cash and personal computers. The development of the POS is a
combination of experience gained from the cash register of conventional and
modern software interface window types - the keys are shown directly on the
screen, simple in operation and easy to use when searching. But this is only
done on the perfect hardware development
In addition, today's printing technology can meet all needs, from fast invoice
credit card proofs, and from check validation to label promotion. Invoices,
labels, price tags or barcodes are printed extremely quick and sharp.

The Internet became popular, ecommerce development, the retail business can
empower marketing comfortably, from the poll customers to gender About
enterprise, ... If you can make good use of the development of information
technology, enterprises can make your brand become popular and easily
recognized, remembered more for the people, thereby boost sales of the
business.
Many retail businesses have built their own websites such as Big C, Coopmart,
FamilyMart ... or create their own pages on social networks such as Circle K,
Shop
However, also by the development of the Internet and the risk of e-commerce,
but now can be lowered prestige by the articles or comments negative about
your business, or because the problem arise occur in the process of
implementing e-commerce with customers and partners.

5, Legal

* The legal system is not uniform, stable, do not ensure the clarity and
predictability.
* The legal system of Vietnam although there are some rules and guidelines
for the franchise in commercial law in 2005, but on the issue of procedures and
legal action franchise in Vietnam still limited. Registration procedures franchise
still troublesome, rigid, dossier evaluation process is complex. Tax law has no
provisions on tax, registration fee of franchise operations, confusing for the
receiving agency to register and tax administration agency. Between the laws of
the franchise still has many shortcomings, namely between the Civil Code
(understood as licensed franchises, are classified in object technology transfer)
and the Law on Technology Transfer (not ranked franchise license is the subject
of technology transfer), this would cause difficulties in the management and
protection of the rights of the concessionaire and the franchisor.

6, Environmental

According to the laws for environmental protection in 2012, discharged waste

water into the environment is the individual, organization or discharging waste
water into the soil, groundwater, surface water inside and outside the facility,
production, sales service focus. Where the discharge of wastewater into soil,
groundwater, surface water (ponds, lakes, pits, ... the campus of the base) when
counts exceed technical regulations on waste, supply value received 0.6 Kq is
calculated according to technical regulations there.

A fine of between VND 40,000,000 and 50,000,000 for acts of non-construction

and installation of environmental So with convenience store chain Circle K of
the amount of waste needs to be handled properly before release to the
environment if not more difficult during operation.

II, Industry environment

PORTER’S FIVE PROCESS

1, Competitive Rivalry
i,The industry’s demand
Vietnam is a very potential market
a. Growth Rate:
 In 2012, total retail sales and consumer service revenues were 2.342
trillion VND, having risen 16% from 2011. The retail sales is forecasted
to increase 13,6% during the period 2008-2012.
 Vietnam is a potential retailing market with the revenues in 2009-2011 of
39, 44, 50 billion US dollars respectively. Despite having attracted quite a
number of retailers, Vietnam’s potential hasn’t been utilized properly.
 EIU’s report declared Vietnam as one of the top 5 profitable retailing
markets, with an average growth rate of 15-20% per year during the
period 2011-2015. On the other hand, according to the numbers by Retail
Asia, the sales per square meter is quite low in comparison with the
region and slow in progress as well. The revenue of the top supermarket
chains of VN in 2010 was only 5.518 USD/m2/year, while that of
Thailand, Taiwan and Singapore was 6.283, 6.797, 9.025.

b. Consumers’ demand:
 At the end of 2011, 68% of the population is younger than 40 years old,
15% of which regularly shops at malls.
 Vietnam has a population of around 86 millions and half of it is under 30.
20% is from 10-19 years old, which means in the next 10 years, 17
millions people will become potential customers in the retailing market.
 The young is regarded as modern, adaptable => They create a significant
amount of supply. Also, as the living standard increases, the demand for
luxury items rises as well.

 Big population with high demand => The supermarket system has been
expanding constantly at a rate of 30-50% since 1993.
 It is estimated that there’ll be 40 millions middle-class citizens by 2020
=> More potential in the market.

 Vietnam’s potential in the tourism industry is a stepstone to develop the

market.

Summary: With a huge amount of demands and high growth rate, it can be an
opportunity but also a threat, since many businesses will step in => Very
competitive market.

ii. The structure

 Vietnamese competitors: VinMart, Co.op Mart, Citimart,..
  Foreign competitors:
 Ministop is the result of cooperation between Ministop, a Japanese brand
by AEON and G7 Company of Trung Nguyen. Their goal is to open 500
sites after 5 years in VN.
 Itochu Corp from Japan worked with Phu Thai Corporation to form
Family Mart. They aim at having 300 stores in 3-5 years.
 Other competitors: Hapromart, Daiso, 7-Eleven, B’s mart,..
=> Huge threats towards Circle K.
iii. Exit barriers
 The average lease in the center areas and the suburbs were 113 and 32
USD/m2/month
 Not too high expenses.
 This industry doesn’t require too many fixed assets and not too high
direct costs.
 Low exit barriers.

2. The threat of new entrants

 Barriers to entry:
 Circle K owns 15000+ sites worldwide and has become a prestigious
retailing brand for good product quality and customer service. It has a
strong economies of scale as well.
 The stores need to be always ready to restock many times in a day. =>
They need to invest in the Logistics system.
 The lease is not cheap and the new stores have to purchase the needed
equipments
=>Low profits at first and slow to break even.
 They need to maintain good relationships with suppliers to get the best
source of products with high quality and competitive prices.
 Low switching costs.
=>Barriers to entry aren’t too high.

3. The threat from substitute products

 Statistics show that the amount of goods sold from supermarkets and
department stores only accounts for 10%. On the other hand, that of
traditional stores and markets respectively takes up 44% and 40%. Circle
K has to compete directly with these pre-existed traditional forms of
commerce. The number of Circle K stores is nowhere near as that of
traditional stores and markets (only 300+ all across VN) and they are
located at the big provinces only.
 The price is usually higher.
=> The threat from substitute products create the biggest challenge for Circle K.

4. The power of the buyers

 One of the characteristics that separate Circle K from other convenience

stores is that they open 24/7 with a view to offering their clients the most
comfort.
 They provide seating space for customers to stay to eat and relax, which
is a big differentiation as well.
 Circle K sells the necessities so literally anyone can be their customers. It
particularly appeals to busy people, who just stop by and get what they
need.
 Circle K also sells hot food, attracting students a lot, especially when the
store is located near schools and universities.
 The design of the stores with vivid colors attracts young customers.
=>The buyers have strong power because they can easily go to
other stores with relatively low switching costs.

5. The power of suppliers

 Circle K mostly sells necessties, the supplies of which can either come
from domestic or foreign suppliers. However, they mostly cooperate with
foreign firms. The switching cost for changing suppliers is low.
=> Suppliers don’t have too much power on Circle K.

Final Conclusion
Circle K faces the most challenges from substitute products, followed by
customers and competitive rivalry. They face significantly fewer threats
from new entrants and suppliers.

III. Internal environment analysis

I. Support activities
1. Infrastructure
* Circle K is one of the brands of Alimentation Couche-Tard Inc (Couche-
Tard) - one of the largest convenience store business in the world. Currently,
Circle K has more than 6,000 stores across the United States and more than
10,000 locations around the world including Japan, Hong Kong, China,
Indonesia, Vietnam, the United Kingdom. United Arab Emirates, Mexico with a
customer base of 25 million people a week and with 53,000 employees. Circle
K has become one of the most reputable retail brands in the world, known for its
excellent product quality and customer service.
* Circle K Vietnam brand is ranked 7th in the top retail brand by Nielsen.
* Having strong finance. Parent company of Cirle K’s revenue was of 51.4
billion USD in 2018
* Circle K participates in charity activities and helps communities like Miracle
Network, March of dimes with annual spending of over $1 million.
* Circle K's main colors, red and white, are also very prominent and noticeable
to everyone from far distance.
2. Human resource management
*Organizational structure: Circle K's apparatus is divided into two parts, support
activity block and sales block.
* The office block is organized as a regular retail business and pays special
attention to the supply chain management department of the system.
* Each Circle store consists of only 3-4 people and a chief store, a compact
staffing team can help the company reduce sales costs.
* Circle employees are mainly from 18-25 years old, young and can
communicate in English, especially for students to do more because the
company's customers are mainly foreign tourists and the young.
* The company has an interest in training its employees, especially the sales
team, including communication and knowledge and sales skills. For other
departments training activities will be specified to match. The company
established a division specializing in this work.
=> + Strengths: Employees are mainly young, dynamic, qualified, know
English; Labor have the opportunity to promote themselves.
+ Weaknesses: They change staff regularly.
3. Technology
* Circle K stores use POS to scan barcodes, pay by card and print invoices,
support for VAT tax and accounting.
* Circle K cooperates with prestigious domestic and international banks to serve
customers' cash withdrawal needs through ATMs located at Circle K stores.
4.Procurement
* With ordinary products:
Circle K coordinates and works closely with leading domestic and foreign
suppliers to bring to our customers a wide range of products, not only ensuring
about quality,verified origin but selling with reasonable prices .Circle K is
worthy of a convenient and reliable shopping place for customers. For
examples, Beer includes Vietnamese brand like 333, Hanoi; foreign beer brands
such as Tiger, Heineken, Carlsberg ....; Wine from France, USA, Chile, world
famous spirits brands Johnny Walkers, Hennessy, Remy Martin .. ; popular
beverage brands such as Lavie, Aquafina or Evian premium brands, countries
like Coca Cola, Pepsi ... famous fruit juice brands such as Welch's, Tipco ...
* With fast food products prepared in store:
Circle K also creates links with suppliers of raw materials ensuring hygiene and
safety standards. Take-away products are processed according to a strict
hygiene process. Take-away sales staff are all certified by the Health
Certification Authority and Food Safety.

II. Primary activities

1.Inbound logistics and outbound logistics
-Circle K optimizes the speed and efficiency of each supply phase to ensure
products are always available and reach customers quickly at reasonable prices.
Circle K uses ERP applications provided by Manugistics to ensure that they
provide the right products for each store and on time..
_ Circle K's process of ordering and purchasing input supplies is very tight and
process is combined with storage warehouse system to ensure the preservation
of quality goods and ensuring the supply of products.Product's quality meets the
standards but still timely service of customers' needs.
2. Sales and Marketing
a) Marketing
* Circle K conducts promotions on major holidays such as: April 30, items are
discounted.
*Having promotions for newly opened stores.
* Conducting product marketing via fanpage on facebook : like fanpage to
receive Pocari in Circle K.
* Offering goods of the same type if buying enough quantities in the specified
promotion.
* Buying products can get other free products , discount products. Promotional
items can be replaced with another product of the same type.
* The product of the promotion item must be fully ordered and displayed in the
promotion area, during the duration of the program.
b) Sales
* Store's size is relatively small, so it is very convenient for customers to
choose necessary products quickly, employees are easy to catch demand and
timely advice to customers accurately and efficiently.
* The way to decorate the products is in each area to classify goods according
to categories helps customers shop quickly and conveniently. All in-store
products are carefully preserved, with proper temperature and humidity, frozen
products or products that require low temperature storage conditions are
displayed in the freezer or refrigerator.
. * Circle K is a well-known and reputable brand in the world and in the region
in the field of developing convenience store chains with more than 10,000
stores operating around the world, of which 70% cooperate with the world's
leading petroleum brands.
* There are more than 1000 consumer products in Circle K stores including
domestic and imported goods: beer and wine, wine, soft drinks, confectionery,
milk and dairy products, ice cream, sack. The most special thing is that beer at
Circle K is always kept cold so you can enjoy it right away without wasting
time chilling or using more ice.
* ACS debt service (ACS - Collection service for installment buyers for
customers want to buy products but not enough money). Some electronics or
computer stores have chapters installment purchase program associated with
ACS company, thereby, ACS will lend you money to purchase and pay monthly
installments
3. Services
The most special and convenient feature of Circle K is that you can use it right
at the store because they serve boiling water completely free for you to enjoy
noodles, vermicelli, or Pho within only 3 minutes. Besides, we have to mention
 about the weakness that is they don't have any more creative ideas for a long
time.

 The value chain of circle K:

Have strong
Firm infrastructure fanance to invest
new store
Employees are
Human resoure trained intensely,
especially the sales
management team
Technology
development
works closely with
suppliers to bring
Procurement a wide range of
products

Inbound Outbound Sales and

Operations Services
logistics logistics marketing *

V.SWOT
Strenghts Weaknesses
+ Brand is an advantage because
Circle K is one of the most popular +Many space shops are small,
convenience store brands in the limited to selling many items, no
world and is no longer an parking space for customers
unfamiliar name especially
Vietnamese youth.
+ Diverse products and reasonable +Unable to meet clean and fresh
prices food items of vegetables and fruits
+ Many deals are open to
customers with diningcombos with + Operating costs are still quite
preferential prices and attractive large
gift-exchange programs
+ Stores are concentrated in + Customer target are still limited
densely populated places and big
cities
 + Strong financial resources and
professional staff

Opportunities
+Vietnam is a country with a rapid
pace of urbanization, so early entry
into the Vietnamese market is a
great opportunity for the company.
Threats
+Competitive challenges from
extremely strong and large
alternative brands in the country
and abroad

+Each time the program offers +More and more business

preferential services is interested
and satisfied needs as well as
customer psychology. Opportunity
to expand regular customer
network.
strategies must be found to attract
customers if they don't want to be
left behind

 *S1+S3+S4><O1 +O2. With high demand opportunities, civilized

consumer culture and state policies, Circle K can leverage its finance to
thoroughly apply economies of scale to prominent stores, to cut costs and
attract customers. Pay attention at the positioning of customers and
products, depending on the target customers to analyze and offer
customers' needs for which products are the largest and the most in order
to input, buy and Supplying products to stores will order the largest
quantities possible for each order to reduce input costs. In addition, learn
and take advantage of the current investment incentive policies of the
Government of Vietnam in order not to ignore any opportunity to reduce
costs.

 S5> <O1 + O3: With a dynamic young staff, Circle K can take advantage
of the opportunity to apply modern technology and take advantage of e-
commerce. Train employees to be technologically proficient, use e-
commerce to promote, promote product consumption. * S5> <O1 + O2 +
O3: With strong financial resources, Circle K easily recruits an abundant
source of young and high-skilled young workers, a team of e-commerce
professionals. At the same time, it is easy to buy modern technologies and
software to minimize costs and increase operational efficiency.

 S1 + S4> <T1 + T2: Take advantage of strong economies of scale and

finance to apply a rapid growth strategy, expand the scale and number of
 stores of the company through pictures new investment or acquisition and
repair, upgrade. At the same time to deal with the opponent, Circle K +
should attack small markets (such as rural areas ...), where the "giants"
have not been interested in, open stores not only in the central area but
also the surrounding areas to ensure the coverage of the business shop.

 W1+ W3 >< T1. With costly cost due to 24-hour operation and high
product price challenge, big competitor, Circle K should build stores with
small area in entertainment centers, crowded places. and bustling to
increase the efficiency of 24-hour operation, while reducing the impact of
prices due to such places, prices will be less important. Open stores in
places where there are many foreigners to exploit their late-night habits,
as well as reduce the impact of prices. In places where the demand for
nighttime is low, it is possible to have flexible working hours, close at
night to increase operational efficiency.

 W3 + W4> <T1 + T2: Customer target are limited, the level of promotion
is low and the product price is high, purchasing power is low, products
are less different. Circle K should focus on targeting young people
because they are a group of people who will be at the forefront of
innovating consumer habits, contributing to building and changing
people's buying habits. Providing products that cater to the essential
needs of young people, and research investments to develop products and
services different from competitors. Conduct advertising to raise the
awareness of the people, especially the young people about consumer
goods of high quality and origin at convenience stores.

V.Strategy

Market penetration
1.Products
 Current Service Improvement:
 New & Standard Services:
o Payment: Using Online Payment Service for particular type of
payment (e.g. Bills, OHS, Telephone or Internet fees, etc.) through
shops
 o Seasonal products: Providing appropriate seasonal products matching
to target customers’ demand (e.g. Focus on iced & refreshing beverage
in Summer)
o Quality Guarantee: Quality & Innovative products, Affordable Price,
Refunding or on low quality products complained by customers

2.Price
 Long-term Promotion
o Daily Discount: 20%-30% discount for convenience food in night shift
o Occasional Promotion: Discount proportion appropriate to each
occasion (e.g. Christmas products’ price will be reduced or bonus
Xmas theme gifts provided along with itemized bills)

3.Channels
Taking advantage of the financial and brand advantages continuously to develop
a strategy to expand market share, creating a competitive advantage compared to
other convenience chain stores, opening chain stores first concentrated in the
areas District center city to suburban areas. The initial operating costs of the
doors will be based on the company's main resources. The profits of open stores
will be used to open new stores to continue expanding markets. Estimated after
applying the strategy: the number of stores opened about 200 chains nationwide (
first establised stores in main distric in Hà Nội and Hồ Chí Minh city) after 1
year of application, profits increased steadily over the previous quarter.
 Stores Improvement & Expansion:
 Reasonable Locations:

o Central Area: Popular tourist destination with potential customers,

large quantity of tourists with high demands on convenience products
o Residential Areas: Having densely population
o Public Areas: Hospitals, Schools, Office Buildings, Malls, etc.
o Online Shopping

4.Branding
 Boost Promotion in order to raise branding awareness
 Stores decoration: Consistency of visual concept but different vibes & retail
styles in order to meet requirement of customers in different areas. However,
 customers still need to know that Circle K always brings them highest service
& products quality
 Boost IMC tools (Integrated Marketing Communications):
o Advertising: Digital Advertising, Outdoor Advertising (Poster &
Banner, Billboard), TVC, etc.
o Sales Promotion: Gifts & Discount (membership cards, special
discount on customers’ birthday)
o PR Publicity: Offline Promotion, Events, Gameshows, etc.

 Customer Service:
o Improve service & products quality base on customers’ evaluation
(feedback survey, emotion rate booth)
o Hotline for emergency response (complaint, demand)
o Keep contact to loyalties (provide new information asap)
o Employee responsibility: Clearly understand and execute rules set by
company, well-trained “How to nicely treat your customers”

 Take advantages of expenses reduction base on knowledge about Vietnam

Government’s investment incentive policies
o Tax reduction, rent & electronic fees support, etc.
o Real Estate loan, Bank loans (negotiate for lowest interest rate based
on international brand reputation, making booth long & short-term
loans)
o Keep track & control financial updates from all stores in order to
avoid financial risks & damages
Boost quality of Market Analysis team
o Extensively research to customers’ insight in different areas (live
interview, online survey form, etc.)
o Research based on feedback of customers after using sample

 High Quality Recruitment (Using well-known & international brand

“Circle K” so as to attract young generation with youthful energy)
 o Leadership:
o For main staffs: Strictly follow listed targets & requirements for
each position (e.g. loyalty, punctuality, etc.)
o Sales staffs: Prioritize students (usual mindset: working in Uni life
help them have more experience, not only salary) in order to save
company’s spending
 Training & Development
o Open Workshop for digital usage of e-commerce
o Invite senior administrator of Circle K and set up a casual meeting
with staffs in order to create pleasant work environment, employees
willing to share with each other about personal knowledge &
experience
o Send qualified staffs to Circle K in developed countries for Training
Sessions
 Staff Treatment
o Closely follow Staff Treatment Policy (signed in contract)
o Having policies which are stably, equal & appropriate for each
individual (e.g. Compensation or limited opportunities for qualified
& potential staffs)
o Leaders stay close to staffs in order to keep track work quality &
avoid issues
 Facilities Investment & Customer Service
 Modern Technology Devices Investment (POS, CRM help saving
company’s spending & considerably boost work process
 Simplify company structure (Reduce human resource by technology
devices