ASSIGNMENT COVER SHEET

STUDENT DETAILS

Student name: Nguyễn Đăng Hoàng Nhi Student ID number: 31221020131

UNIT AND TUTORIAL DETAILS

Unit name: Principle of Marketing Unit number: PMk2

Tutorial/Lecture: Class day and time: Fri, 8-11.15 am
Lecturer or Tutor name: Mr. Khanh Ngo

ASSIGNMENT DETAILS

Title: A2 – Business Analysis Report

Length: 1,583 words Due date: Nov 24th, 2022 Date submitted: 7.pm Nov 24th, 2022

DECLARATION

I hold a copy of this assignment if the original is lost or damaged.

I hereby certify that no part of this assignment or product has been copied from any other student’s work
or from any other source except where due acknowledgement is made in the assignment.
I hereby certify that no part of this assignment or product has been submitted by me in another
(previous or current) assessment, except where appropriately referenced, and with prior permission
from the Lecturer / Tutor / Unit Coordinator for this unit.
No part of the assignment/product has been written/ produced for me by any other person except
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Student’s signature: Nguyễn Đăng Hoàng Nhi

Note: An examiner or lecturer / tutor has the right to not mark this assignment if the above declaration has
not been signed.
1 Business Analysis Report

Table of Contents
INTRODUCTION AND BACKGROUND ...................................................................... 3
1. The background of the brand .............................................................................................3
2. Market Analysis and Problem/Challenge ...........................................................................3
2.1 Market Analysis .............................................................................................................3
2.2 Problem/Challenge ........................................................................................................3

SITUATION ANALYSIS .......................................................................................................... 4

1. Internal factors ....................................................................................................................4
1.1 Strengths .......................................................................................................................4
1.2 Weaknesses ...................................................................................................................4
2. Micro environment .............................................................................................................4
2.1 The company .................................................................................................................4
2.2 Suppliers ........................................................................................................................4
2.3 Marketing Intermediaries .............................................................................................5
2.4 Competitors ...................................................................................................................5
2.5 Publics............................................................................................................................5
2.6 Customers......................................................................................................................5
3. Macro environment ............................................................................................................5
3.1 Political ..........................................................................................................................5
3.2 Economics......................................................................................................................6
3.3 Demographic .................................................................................................................6
3.4 Natural ...........................................................................................................................6
3.5 Cultural ..........................................................................................................................6
3.6 Technological.................................................................................................................7
4. Competitors Analysis ..........................................................................................................7

SUMMARY ............................................................................................................................................... 8
1. Limitations...........................................................................................................................8
2. Suggestions .........................................................................................................................8

APPENDIX ................................................................................................................................................. 9
2 Business Analysis Report

Appendix A ..............................................................................................................................9
Appendix B ............................................................................................................................11
Appendix C ............................................................................................................................13
Appendix D ............................................................................................................................13
Appendix E ............................................................................................................................15
Appendix F ............................................................................................................................16
Appendix G ............................................................................................................................18

REFERENCES ......................................................................................................................................... 19
3 Business Analysis Report

INTRODUCTION AND BACKGROUND

1. The background of the brand:
Thai Duong herbal shampoo is a brand under the management of the Sao Thai Duong Joint
Stock Company. The product line has been certified and clinically tested with the research
program of Assoc. Prof. Dr. Tran Dang Quyet at the Department of Dermatology - 103
Military Hospital (1). It is suitable for everyone, especially those who usually suffer from hair
loss and bald-head.

Duoc lieu Thai Duong 7 shampoo is one of the first products that the brand has developed
since its official launch in 2002. “7 days no dandruff no itch” is the slogan of the product.
Because this shampoo is designed specifically for treating dandruff, it costs a bit higher than
the Duoc lieu Thai Duong 3 one (2).

2. Market Analysis and Problem/Challenge:

2.1 Market Analysis:
Shampoo, a popular product in the FMCG industry, captures a considerable market share in
Viet Nam. The quantity of buyers of this product often reaches a high number due to the
vast demand for personal care and hygiene.

Scientific research proved that harmful diseases to the hair, scalp, and even the user's
health result from the prolonged use of chemical shampoos. Perceiving that, people are
gradually changing to use herbal shampoos derived from nature (3). More companies have
jumped into this market segment to keep up with the trend.

2.2 Problem/Challenge:
When entering this fiercely competitive market, it is challenging for Sao Thai Duong to
attract customers from other brands. As the customers' behaviour and buying decision-
making process are complex nowadays, the company must consistently research and
update new trends to have accurate data for the marketing strategy. The branding activity
must persuade the customers not only about the unique characteristics of the shampoo but
also about the price and safety commitment.
4 Business Analysis Report

SITUATION ANALYSIS
1. Internal factors:
1.1 Strengths:
Because of being made by combining different types of purely natural medicine, the Duoc
lieu Thai Duong 7 has a more effective use than any other typical shampoo. It reduces
dandruff quickly from the first wash. Consumers can keep their hair clean for up to a week
but still do not have dandruff and feel itchy (2). Another strength is that it has a 2-in-1
function. Instead of buying extra conditioners, people can skip this step as the shampoo
already makes hair soft and silky (4). It is convenient for those who have a busy life but
want to take care of their hair.

1.2 Weaknesses:
The shampoo has a strong herbal scent which is uncomfortable for some users (2). The
second one is that if the consumers have their hair dyed, they must avoid consuming it, or
the hair color will fade (5).

2. Micro environment:
2.1 The company:
During the past 20 years, Sao Thai Duong has become a leading science and technology
enterprise in manufacturing and trading herbal products. The R&D team always strives to
innovate and improve the quality to give customers the best experience. Ms. Lien (6) said
that since its inception, Sao Thai Duong had determined core goal of the business was 'Bring
happiness to every home’. Now, the company is on its way to integrating into the world
markets parallel with the operating journey in Viet Nam.

2.2 Suppliers:
To be proactive with the supply, in 2018, Sao Thai Duong started a project in certain
northwestern provinces called "Growing and conserving Organic herbs" (7). Up to now, 30
hectares of the herbal growing region have been invested in Son La (8). The project helps
the company control high-quality ingredients for the production stage.
5 Business Analysis Report

2.3 Marketing Intermediaries: (Appendix A)

Sao Thai Duong develops a distribution network across 63 provinces to get more
connections with customers and increase sales. Customers can easily find the Duoc lieu Thai
Duong 7 shampoo from pharmacies, supermarkets, or online shopping channels. They can
also buy from the company's official website.

2.4 Competitors:
Various shampoo brands are existing at present. Most of them belong to the two
multinational companies: Unilever and P&G. In other words, Sao Thai Duong has no choice
but to compete against enormous enterprises, which causes numerous obstacles for the
company. The company also directly compete with other herbal shampoo brands, such as
Nguyen Xuan, COCAYHOALA VIETNAM, and Toc May.

2.5 Publics: (Appendix B)

Regarding the internal public, the company provides leaders and employees with beneficial
learning conditions, a friendly working environment, and great incentives such as salary and
bonuses.

Regarding the local public, with the vision of “Happiness for the community”, the company
aims to share benefits with unlucky and poor people. The company has organized and
participated in many charitable works, funding, and donating programs.

2.6 Customers:
The main customers of the Thai Duong herbal shampoo brand are reseller markets and
consumer markets. The firm approaches each type of customer in a different way to
understand what they need, then creates values to satisfy them best. Every activity,
including manufacturing, marketing, and servicing, always considers the benefit of
customers on top.

3. Macro environment:
3.1 Political: (Appendix C)
6 Business Analysis Report

Viet Nam has been a member of the WTO organization since 2007, participating in 17 FTAs
(9). These agreements offer businesses great benefits, for instance, intellectual property
protection. In terms of Sao Thai Duong, the company has completed protecting its
inventions and solutions. Consumer protection laws also affect the way enterprises operate.
They must be responsible for manufacturing authentic products and honest marketing.

3.2 Economics:
The economy has been positively recovering in 2022. No longer social distancing, people
have their jobs back, which leads to an increase in income (10). However, it does not mean
that they are freely spending on everything. The consequence of the covid-19 outbreak has
affected the way customers shop. They save expenditures to prepare for unforeseen
occurrences, only purchasing essential and money-worth products (11). The company needs
to consider this in its production and marketing plan.

3.3 Demographic:
Generation Z is the potential customer group for the Thai Duong shampoo brand to target
in the next few years. According to Thanh Thanh as cited by The Drum (12), generation Z
has the fastest-growing economic power globally, with income forecast to reach $33 trillion
by 2030 and account for more than a quarter of total global income by 2031. Furthermore,
they have the highest level of digital competence compared to other generations.

3.4 Natural:
Thanks to the diversity of climate and soil, the source of medicinal herbs in Viet Nam is very
copious. However, the long-term over-exploitation with impacts from the environment
itself has caused this natural source to decline. Medicinal plants with high economic value
are increasingly scarce. More seriously, rare ones are in danger of extinction (13). This
problem forces Sao Thai Duong to invest in the growing and conserving herbal region to
ensure the company’s supply. Also, it wishes to contribute to the medicinal herbs resource
development of the country.

3.5 Cultural: (Appendix D)

7 Business Analysis Report

The culture of "Vietnamese people prioritize using Vietnamese goods" has grown
significantly after the Covid-19 period (14). During the lockdown time, Vietnamese products
began to gain more attention and trust because they have reasonable prices but the same
quality as foreign ones. It opens an opportunity for the Duoc lieu Thai Duong 7 shampoo to
be a favourable choice for customers in the country. Moreover, young consumers are now
interested in the entertainment field. The company can boost its brand by inviting
celebrities for promotion.

3.6 Technological: (Appendix E)

In addition to good materials, modern machinery and equipment also play a crucial role in
manufacturing qualitative products. Sao Thai Duong has built a factory system that meets
both domestic and international standards set by the governments. It gives the firm
advantage in trading its shampoo widely in the Vietnamese market without being banned.

4. Competitors Analysis: (Appendix F)

Nguyen Xuan: The brand belongs to the Hoa Linh company, which has the same reputation
as the Thai Duong one. Its shampoo product line includes four types for different kinds of
hair with more attractive packaging than Thai Duong shampoo.

COCAYHOALA VIETNAM: The brand belongs to the ONA GLOBAL company. It has two
shampoo product lines which are organic and herbal shampoo. The packaging is also more
colorful and outstanding than Thai Duong. The plus point of the brand is that it spreads the
message of ‘living green’.

Toc May: The brand belongs to the Co Mem company. It only has one product line with
simply green packaging. On the brand’s website, the shampoo product is the best-seller
item.
8 Business Analysis Report

SUMMARY
1. Limitations: (Appendix G)
• The packaging does not emphasize the message of the product. The slogan is
small and put at the bottom-left corner to which people pay less attention.
Overall, the design does not give any special feeling about the value that the
brand may bring back.

• The Tiktok feed of the brand is poor aesthetics. Recent videos look messy when
posted. The captions of each video are also not creative, resulting in low
interaction and view.

• Except for the campaign ‘Muot ma lanh tinh’ in 2021, the brand does not have
much social media advertising.

2. Suggestions:
• Changing the packaging is necessary (the layout of the details, color tone, font
type). The slogan must be enlarged and put in the middle of the product.

• Having a specific plan for re-designing the video format and content on Tiktok.

• Training and investing in the marketing team, focusing on online communication

activities to engage more customers.

• Sponsoring for famous programs to enhance the brand identity.

9 Business Analysis Report

APPENDIX
Appendix A:
Pharmacity. Source: https://www.pharmacity.vn/dau-goi-duoc-lieu-thai-duong-7-
200ml.html

Bach hoa xanh. Source: https://www.bachhoaxanh.com/dau-goi/dau-goi-thai-duong-7-tri-

gau-duoc-lieu-200ml
10 Business Analysis Report

Shopee. Source: https://shopee.vn/D%E1%BA%A7u-g%E1%BB%99i-

d%C6%B0%E1%BB%A3c-li%E1%BB%87u-Th%C3%A1i-D%C6%B0%C6%A1ng-7-200ml-480ml-
1100ml-i.140523966.2344912497

Tiki. Source: https://tiki.vn/dau-goi-duoc-lieu-thai-duong-7-200ml-480ml-1100ml-

p131504615.html?spid=131504618
11 Business Analysis Report

Official website of the company. Source: https://saothaiduong.com.vn/san-pham/dau-goi-

duoc-lieu-thai-duong-7-chai-200ml/

Appendix B:
‘Tu sach cho em’ program. Source: https://tieudungplus.vn/sao-thai-duong-dong-hanh-
cung-chuong-trinh-trao-tang-tu-sach-20201231000005039.html
12 Business Analysis Report

2018 International Food Festival. Source: https://thuonghieucongluan.com.vn/sao-thai-

duong-dong-hanh-thien-nguyen-gan-ket-yeu-thuong-tai-lien-hoan-am-thuc-quoc-te-2018-
a67676.html
13 Business Analysis Report

Appendix C:
Source: https://www.ipvietnam.gov.vn/sang-che-viet/-
/asset_publisher/XzSH8lY4WRq7/content/hanh-trinh-ua-noi-nuoc-la-me-nau-ra-thi-truong-
quoc-te?inheritRedirect=false

Appendix D:
Source: https://www.brandsvietnam.com/congdong/topic/327947-Dan-KOLs-da-thay-
doi-ngoan-muc-thuong-hieu-nha-Sao-Thai-Duong-nhu-the-
nao?fbclid=IwAR2jTiG9osYq4wDjDIOYZLUSGkqMqV8tIfIvzoRM0W_3guQI4pHfWyfN4DA
14 Business Analysis Report
15 Business Analysis Report

Appendix E:
Source: https://saothaiduong.com.vn/cong-ty-co-phan-sao-thai-duong-duoc-trao-tang-giai-
vang-chat-luong-quoc-gia-
2020/?fbclid=IwAR333tGNjGsKGUuehKQW_4vzPJL8_og9z1KZkqnQkbvnz2kJ5jVM29n9vmM
16 Business Analysis Report

Appendix F:
Nguyen Xuan. Source: https://www.avakids.com/me-va-be/review-dau-goi-nguyen-xuan-
co-tot-khong-nen-mua-1476609

COCAYHOALA VIETNAM. Source: https://alobacsi.com/bat-ngo-voi-3-diem-nhat-cua-cap-

doi-goi-xa-gung-dua-huu-co-voi-thanh-phan-duoc-cong-nhan-boi-to-chuc-uy-tin-the-gioi-
n415755.html
17 Business Analysis Report

Toc May. Source: https://comem.vn/sp/dau-goi-thao-duoc-toc-may

18 Business Analysis Report

Appendix G:
19 Business Analysis Report

REFERENCES
(1) Doi song. Dau goi Thai Duong – dau goi tien phong duoc nghien cuu lam sang tai Viet
Nam. May 07, 2019. Available from: https://doisong.trithuccuocsong.vn/dau-goi-
thai-duong-dau-goi-tien-phong-duoc-nghien-cuu-lam-sang-tai-viet-nam-
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(2) Ngoc Anh. Dau goi Thai Duong. December 31, 2019. Available from:
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November 19, 2022]

(3) YaoCare Medic. Ly do chung ta nen dung dau goi dau thao duoc. October 14, 2022.
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duoc/?fbclid=IwAR3fQ09RBlHRxbSseEHtIsaUD6HmxRQkX2TsbhR1D1HJNFJ9NJLGXJI6i
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(6) Lien N. Vice director of Sao Thai Duong. Personal communication. April 25, 2021.

(7) Bao Dai Bieu Nhan Dan. Sao Thai Duong nhan giai “Thuong hieu quoc gia Viet Nam
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(8) Van N. Cong Ty Co Phan Sao Thai Duong Duoc Trao Tang Giai Vang Chat Luong Quoc
Gia 2020. April 26, 2021. Available from: https://saothaiduong.com.vn/cong-ty-co-
20 Business Analysis Report

phan-sao-thai-duong-duoc-trao-tang-giai-vang-chat-luong-quoc-gia-2020/ [Accesed
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(9) Phong N. Dau an tich cuc tren hanh trinh doi moi va hoi nhap quoc te cua Viet Nam.
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102220110083625022.htm?fbclid=IwAR1IAuary4AzUbGqZp5lTxmw1XrrRaJP6TTOn5h
HPmxiJ3FjC2a08Thp9Dw [Accesed November 20, 2022]

(10) Phuong T. Quy 3 nam 2022: Thu nhap cua nguoi lao dong da tang them 1,6 trieu
dong. Kinh te. 2022. Available from: https://www.qdnd.vn/kinh-te/tin-tuc/quy-3-
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[Accesed November 20, 2022]

(11) Huong T. Xu huong hanh vi mua cua nguoi tieu dung sau dai dich Covid-19. Nghien
cuu – trao doi. 2022. Available from:
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dung-sau-dai-dich-covid-19/?fbclid=IwAR1IVCh44l7WDfWSXGwlz4CRs16cN1LRqUi-
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(12) Thanh T. “Giai ma” the he gen Z trong kinh doanh truyen thong. 2021. Available from:
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thong/?fbclid=IwAR1CQnBkTQaQzsId4BlH9p5SZnYXWhBA6HRMEfNf-
X2lbe9pjX2KG1_dLpM [Accesed November 21, 2022]

(13) Vinh C. Bao ton va phat trien chuoi gia tri cay thuoc nam. Nghien cuu – trao doi.
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cay-thuoc-
nam/?fbclid=IwAR3KqU1H51J6V_FoMXpngihsP_2hMe0S7lcRaevdu1MegR7L4vV4tEe0
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(14) Ngoc B. Nguoi tieu dung Viet Nam: Ngay cang ua chuong hang noi dia. Tu hao hang
Viet Nam – Tinh hoa hang Viet Nam. 2022. Available from:
21 Business Analysis Report

https://congthuong.vn/nguoi-tieu-dung-viet-nam-ngay-cang-ua-chuong-hang-noi-dia-
179766.html [Accesed November 21, 2022]