HO CHI MINH UNIVERSITY OF FOREIGN

LANGUAGES AND INFORMATION

VISIT TO HEINEKEN VUNG TAU

LECTURE: PHAN CONG THAO TIEN
FACULTY: BUSINESS ADMINSTRATION
SUBJECT: MANAGEMENTS
GROUP: 8

Member Student ID

NGUYEN THUY AN 21DH122872

QUACH PHAM MY NGAN 21DH122943

VO THI CUC SEN 21DH122971

ĐO CONG TAM 21DH122973

NGUYEN NGOC ANH THU 21DH121785

NGUYEN THANH HOANG YEN 21DH123466

LY KIM XUAN 21DH123461

TRAN THU HA 21DH122897

 WORDS OF GRATITUDE

My group’s name is Team 8, all members of belonging to the Business International of

HUFLIT University.

First of all, our group would like to thank Ms. Tien for creating conditions for our group to
have the opportunity to experience sightseeing in a real environment.
Therefore, if there are errors, we hope that Ms. Tien will sympathize and give suggestions so
that our team can complete the report in the best way.
Thanks to the help of lecturer Th.S Phan Cong Thao Tien, lecturer in administration. We
visited Heineken Vung Tau factory and saw the machines inside the factory. During the
experience, our group received her support and guidance and made this report.

It can be said that the beverage manufacturing industry plays an important role in the
economy with many different types. In which beer has been known for a long time and is
present in many parts of the world. Drinking appropriate beer not only has good health but
also reduces fatigue after a stressful working day. So we chose Heineken as a place to visit
and learn lessons in a real environment

Finally, our team would like to thank Ms.Tien!

Ho Chi Minh City, May 28, 2023

Student

Team 8
Lecturer’s comment
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 TABLE OF CONTENT

1. The purpose of the tour…………………………………………….5

2. Process of my visit in chronological order…………………………5

3. The operation of Heineken…………………………………………7

4. Lessons from the organization……………………………………..8

4.1 Environmental protection solutions……………………………8
4.2 A lot of experience was brought back from the trip…………..8

5. The strengths and weaknesses of the Heineken Company……….8

5.1 The strengths of the Heineken Company………………………8
5.2 The weakness of the Heineken Company……………………..9

6. Recommend for improvement………………………………….....10

7. Reference……………………………………………………….......10
1. The purpose of the tour

The tour aims to expose the students to the realities of production management of
Vietnamese breweries as well as learn about the marketing programs that the beer company
applies. This is an activity to experience the management model and develop the brand as
well as the product, creating conditions for the group of students to exchange and develop
skills as well as to connect the learned knowledge with reality. what is experienced in the
business. The field visit to Heineken Brewery is an extremely useful and practical activity
for students of the Faculty of Business Administration. Because this is an opportunity for
you to have experiences in the real working environment and learn, accumulate more
knowledge that is not available in books, thereby helping yourself in the learning process.
and work later. At the end of the field trip at Heineken Vietnam Brewery, the students were
answered all questions about Marketing at the unit, explained the characteristics of beer
products such as houblon flowers, yeast. A has created a special yeast that is only available
in the company's beers. The trip has helped you learn many new things, but most importantly,
you have accumulated for yourself the knowledge associated with the theory and practice.

2. Progress of my visit in chronological order

 7h00 am to 7h30 am : the time to gather in a group of 14
people to go to the factory in Vung Tau. We moved from
school to Vung Tau about 1 hour and 10 minutes by 16-seat
car.
 8h40 am to 9h00 am : the time to wait for the procedure to go
through the security gate within 5 minutes and be issued an
access card. We then met a team to guide us that day. Our
guides went to the 2nd floor, so we took a rest for a while and
personal hygeine. Then we had to do a short test to learn
about the safety of the plant through a video introduction as well as the regulation of
the Heineken’s factory.
  9h00 am to 10h30 am : this is the time when we start to tour the factory after a brief
introduction, and we are received and put on protective gear and hats.

+Firstly, we go through the processing area also known as barley processing. Things
designed specifically for brewing beer are almost always designer items and hard to find
outside. Here we were introduced by the guides that there are 4 main ingredients: water,
barley, hops, yeast. And it is also explained that only female flower clusters are taken, and
not male flowers are mainly taken from abroad. In the processing area, there are only 4
engineers who adjust the machines and there are no workers working here, almost all of
them are due to machines and are handled by engineers. We were also informed that the
Heineken Vung Tau factory, especially here, uses biomass energy such as rice straw and
sawdust purchased from the opposite factory to make beer fuel to increase income for
farmers. as well as minimizing adverse impacts on the environment.

+Then we went to the cold brewing area. It is

known that this cold brewing area only has a
temperature of 5 to 7 degrees Celsius. For each
type of beer, the brewing time will be different.
For Heineken, cold brew for 14 days and Tiger
and Tiger Soju for 7 days.

+ Finally, we go through the packing area. Here, there are only machines working with a
certain number of engineers assigned to handle machines in each area. Here are divided into
4 packing areas equipped with earplugs to avoid hurting the ears by noise. Every day, beer
will be packaged to the market with an amount of 13 million cans of beer per day.
Unfortunately, on the day we visited the factory, the site was under maintenance.
 From 10:30 a.m. to 11 p.m.: the time when we return to the 2nd
floor to rest and interact with Heineken's office. Here we had a
few questions for the staff there and enjoyed some of the beers
that were on the market. Personally, I love the Tiger Platinum
Wheat Lager beer. As for the Tiger Soju Infused Lager,
unfortunately it hasn't been released at that time and the
employees there haven't tried it yet, so we haven't had a chance
to try it either. Then we finished the trip and went back to school.

3. The operation of Heineken

Activities to be experienced in Heineken
 Introduced about Heineken brewing beer with renewable energy (using biomass
energy generated from rice husk to brew beer).
 Listen to a presentation about the beer brewing process and visit the brewing,
fermenting, and cooling machines to create a batch of beer. In which the main
ingredient of beer brewing is female hops. (Heineken with 100% all-natural
ingredients: malt, water and hops. Go through stages of cooking, cooling,
fermentation and finishing.)
 To visit the product packaging process to the stage of transportation to the warehouse
(mainly because the engineers operating the machines work, so there are very few
workers).
 Visiting Heineken's creative and entertaining campus for its employees (soccer field,
walkway decorated with animal-shaped pruning trees and miniature architectural
models)
  Learn about the history of formation, construction and development of the Heineken
beer brand.
 Watched an overview clip about Heineken and made a light survey about the level of
knowledge about the company and Heineken's product lines.
 Experience Heineken's product lines and get answers to questions after visiting all of
Heineken.

4. Lessons from the organization

4.1. Environmental protection solutions

The lesson I learned during the visit to the Heineken factory is that the solution to protect the
environment is a lesson of sustainable development for businesses today.

Although it is a factory, there are many places to check-in or a rooftop bar to help people
relax and relieve stress after work, which some factories or office companies still cannot do.
I also learned how to protect the environment by installing light domes on the roofs of
buildings to make the most of natural light and air. This solution helps to reduce the energy
used for lighting. The use of transparent domes also allows air to circulate in the production
areas.

4.2. A lot of experience was brought back from the trip.

Observe the technological machines used in the production process under the control of
technicians through computers and check for technical errors as quickly as possible.
Gathering knowledge about ingredients and how to brew beer from the first steps to the
completion of a finished product that can be delivered to the user in a perfect way.

5. The strengths and weaknesses of the Heineken Company

5.1. The strengths of the Heineken Company

INNOVATION
Heineken believes in innovation. The company justifies its premium prices by offering a
quality product. However, the brand has recently launched two programs to keep up with
innovation; The Brewhouse and iLABS. The purpose of both of these programs is to address
industry challenges through an innovative approach. Heineken is also using the latest
advanced technology like data analytics, IoT, AI, and Big Data in order to know the
customer’s trends and supply chain process.

MARKETING STRATEGY

Heineken spends billions of dollars on the marketing and promotion of its products and
brand. It helps the company to keep the customers informed about its products. Most
importantly, it allows the brand to maintain its perception of being a premium brand.

5.2. The weakness of Heineken Company

Weaknesses of Heineken

Weaknesses are areas of the business or brand that need to be improved. Heineken’s main
flaws are as follows:

* Currency Fluctuations: Heineken derives more than 70% of its revenue from foreign
markets, and currency fluctuations such as the Euro crisis, Brexit, and the rise of the dollar
have impacted the company’s margins.

* Poor Margins: Heineken’s key markets are developed countries where the beer business is
established and pricing is the only differentiating feature. Though Heineken’s flavored beers
have high-profit margins, their standard brands, which account for the majority of their
income, do not.

* Anheuser Busch & Co. Sab Miller Integration: Anheuser Busch and their main rival Sab
Miller have merged, creating the largest force in the liquor industry. This has had a
significant impact on Heineken’s global business, which will now require major strategies to
combat this merger.
6. Recommend for improvement

 Procude more new versions

We think Heniken should produce a sprinkle of divergent versions so that consumers can
extend their horizons to different flavors in drinking beers with their snacks, for when they
make it count to implement this strategy with the form decision, their total net sales per
month will be set to leapfrog in the competitive market, thereby increasing their brand
name's inelastic demand for adults.

On top of that, they should profoundly grasp the consumer’s psychology in an effort
to improve buyer retention rates by leaps and bounds instead of leaving it to chance.
Eventually, they should capitalize on any room they have to draw up the
environmental strategy to protect the environment because it’s the problem that
comes under fire these days, so when consumers witness their righteous doings, they
will be captivated by their kindness to the habitat of nature, whereby their brand
names will be ingrained in their insights, for they have succeeded in making a mark
on their intimidation about the global environment.
7. Reference
** Reference:
Giang Đăng Nguyên. (9/12/2022). Review Heneiken Viet Nam.
https://zingnews.vn/heineken-vung-tau-nha-may-bia-cua-tuong-lai-post1375033.html
Khoa quản trị kinh doanh https://ou.edu.vn/tin_tuc_khoa/sinh-vien-truong-dai-hoc-
mo-tp-ho-chi-minh-tham-quan-nha-may-bia-heineken-viet-nam/