Events and issues created by the environment for which the business have no or little control are called

external influences. Whereas activities or influences that a business has some control over such as
product management I known as internal influences. Both of these external an internal influences play a
major role for Hanoi’s style. Hanoi style is a Vietnamese clothing retailer which started in 2006, selling
self designed clothes styles and sold in a store in Hanoi the business has been heavily benefited from
retailing and obtaining success within Almost five years.

In the rising competition of the retailing industry in Vietnam few external influences help business to
develop and succeed. The Vietnamese government offered a reduction in red tape. By this relaxation
Some of the trade regulations, the review process required when opening up a retail store became
easier for retailers has benefited Hanoi styles to open up its several stores. The The number of middle
class income earners were growing in number enabling the retail business including Hanoi style to boost
their sales revenue since the demand is increasing. Followed By the increasing number of customers
default in interest allowed Hanoi’s style to support their expansion in the year 2013 to 2014 this
allowed Hanoi style to also keep up with the increasing number of overseas retailers demands and
requirements as the E Commerce sector grew Hanoi invested a handful of amount in purchasing its
equipments to keep up with the Developing technology, hence in the year 2016, online selling in
Vietnam rose to 4 billion dollars and it is expected to rise to 10 billion dollars by 2020. This development
of technology has reduced short term profits for Hanoi however the increasing level of online sales is
benefiting the sales revenue eventually.

The business was able to take use of the opportunities created by the external influences Hanoi styles
clothing line wear stylish and popular and attracted many customers one of the key factors for the
business success was their suitable pricing placed according to the customer based helping them to
capture the market another key factor of the business to succeed was its effective decisions the
strategic decisions and their knowledge about the overall market insights help their decision-making to
become effective and efficient hence the business was able to respond to the growth of technology and
was able to adapt with the E Commerce practises.

Although the external influences of the changing competitive market bought in some good impact to
Hanoi styles there were some negative factors as well Hanoi styles had to face difficulties as they were
undeveloped infrastructure in Vietnam streets such as they were narrow and blocked with traffic which
impacted on the delivery services of Hanoi style. The business has weak an unimproved logistic
networks which may take more time to deliver their products.

It is evident that the external influences have significant impact on the success of Hanoi style as the
economies growth Has increased the number of middle class income earners who the business is
targeting and the good respond to the advancement in technology has brought in success to the
business.