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QUẢN TRỊ CHIẾN LƯỢC
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Thời lượng: 75 phút

Wristwatch Business of Mobile World Group

Source: Vietnamnews.vn October, 02/2019 - 10:35

In the fashion watches market, which remains scattered and disorganised, newcomer Mobile
World aims to establish a new order. The HCM City-based company, better known as The Gioi
Di Dong, says it plans to rearrange the market though it only entered the US$750 million
market in March this year.

The company sells watches through a unique ‘shop-in-shop’ model at its mobile phone and
consumer electronics shops. Watches are displayed like normal retail products so that shoppers
can select them freely. It is concentrating on VND3-5 million ($130-215) watches and brands
such as Michael Kors, Fossil and Casio, the largest market segment.

Data from the last six months is arguably proof that Mobile World is going the right way. Since
starting in March the company now has a 15 per cent fashion watch market share with record
retail sales for any Vietnamese seller: Some 50,000 pieces were sold in September across its
100 outlets. Sales of $150-400 smart watches and $120-250 fashion watches averaged 500-700
units per shop per month, equivalent to average monthly revenues of $30,000-45,000 each. This
beat the expectations of the company and domestic distributors.

The company plans to grab a 50 per cent share of the market by 2020 and increase the number of
stores to 500 by next June to possibly sell three million units during the full year.

Mobile World believes it can develop a watch retail chain very quickly based on its existing
network of over 2,000 stores. Technology-based management, a devoted service culture
and outstanding after-sales service are its advantages, besides a large existing customer base.
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The No.1 retailer in Vietnam is confident that its entry into the fashion watch market
can match the success it has achieved in other businesses. Thegioididong.com has more than half
of the mobile phone market share and Dienmayxanh.com has a 45 per cent share of the consumer
electronics market.

Questions: Base on the above information

1. What is the generic strategy followed by Mobile World in the watch business? (2/10)

2. What is the position of the watch business in the corporate strategy of Mobile World?
Analyze using suitable matrices. (4/10)

3. What is Mobile World’s competitive advantages in the watch industry? (4/10)

HẾT

TRƯỞNG BỘ MÔN DUYỆT GIẢNG VIÊN RA ĐỀ

PGS. TS. Nguyễn Hải Quang Trần Thị Hồng Liên

21 tháng 5 năm 2021

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