Phân tích chiến lược kinh doanh của hệ thống siêu thị coopmart e

Phân tích Chiến lược kinh doanh của Hệ thống siêu thị CoopMart

Business strategies of CoopMart supermarket system

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TABLE OF CONTENT

............................................................................................1
TABLE OF CONTENT............................................................2
INTRODUCTION...................................................................3
RESEARCH OF CONTENT.....................................................4
1. Introduction to the CoopMart supermarket system.....................................4
1.1 Establishment History of CoopMart supermarket system.....................4
1.2 Products CoopMart Supermarkets........................................................5
1.3 The significance of the new brand identity Co.opmart.........................5
2. The business strategies of CoopMart supermarket system.........................6
2.1 Strategy of the system..........................................................................6
2.2 The strategy through the Matrix...........................................................6
2.2.1 Propose strategies through matrix analysis SWOT........................6
2.2.2 Strategic Options Matrix through QSPM.......................................8
2.3. Enforcement Strategies......................................................................12

CONCLUSION.....................................................................15
..........................................................................................15

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INTRODUCTION

When it comes to strategy, people tend to relate to the mission and vision of the
business. Actually not so. The mission and vision of the business, although always be
included as part of the strategy, but it does not give a clear mandate for the operation
of the business.
The strategy is the creation of a unique position and value through the
deployment of a system of different activities with what competitors perform. So how
a strategy will help businesses create such a position in the market?
A business strategy must have four elements: strategic objectives, scope
strategic, competitive advantage and strategic activities and core competencies. Four
elements require a consistent and fit together. Strategies should start by identifying the
expected result that the business strategy is established to implement them. The
strategic objectives will serve as guidelines for the operation of enterprises in a
number of years.
Need to distinguish between strategic objectives and the mission and vision of
the business. In fact, many businesses tend to confuse objectives with the mission of
the enterprise. Its mission now indicate the purpose or reason for existence of the
enterprise so often brings high generality. Conversely, strategic objectives to ensure
specific, quantified and clearly time-limited.
The selection of what goals have a huge influence on the business. A choice
now is profitable strategic objectives will focus on serving the customer group or
segment of high profitable products of high added value or performance costs exceed
costs excels. In contrast, the selection of target growth may lead businesses to
diversify their product lines to attract customers in many different market segments.

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RESEARCH OF CONTENT
.
1. Introduction to the CoopMart supermarket system

1.1 Establishment History of CoopMart supermarket system
Starting from 1989, after the Sixth Party Congress, the country's economy
shifted from the subsidy mechanism to market economy under socialist orientation,
economic models Cooperative true old style difficulties and crises that fall into the
mass must be dissolved. In such contexts, on May 12, 1989 - People's Committee of
Ho Chi Minh City have advocated converting the Management Board of Cooperative
Sale City became the Union Cooperative Purchase deals minh City - Saigon Co-op
with two direct business functions and organizational advocacy cooperative
movement. Saigon Co-op is an organization of economic cooperative established the
principle of collective ownership, production and business activities of autonomy and
self-responsibility.
Since 1992 - 1997, with the development of the national economy, the foreign
investment capital in Vietnam to make the enterprise must dynamism and creativity to
seize business opportunities, learn management experience from foreign partners.
Saigon Co-op began by joint ventures with foreign companies to raise additional
resources for its development. As one of the few units permit direct export of Cities,
Import-export activities flourished bring high efficiency and contribute to establishing
credibility, Saigon Co-op's position on the market domestic and foreign schools.
The most significant event was the launching of the first stores of supermarket
Co.opmart is Cong Quynh Co.opmart on February 9, 1996, with the help of the
movement of international cooperative from Japan, Singapore and Sweden. From
then, the new retail business, civilized suit the development trend of Ho Chi Minh
City marks a new way of Saigon Co.op. The Co.opmart supermarket system are the
main activities of the United Cooperative Trade Ho Chi Minh City (Saigon Co-op),
the unit has received many high awards at home and abroad.
To serve the shopping needs in the North, on June 29, 2012, Hai Phong
Co.opmart officially put into operation at 1 Le Hong Phong Street, Lac Vien Ward,
Ngo Quyen District, Hai Phong city. This is the 58th supermarket supermarket
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Co.opmart system with capital construction investment and merchandise of up to 100
billion and an area of nearly 10,000 m2 business. As one of three Co.opmart opened
immediately after the new brand identity Co.opmart be announced on June 27, 2012,
Hai Phong Co.opmart brings customers new shopping experiences.
1.2 Products CoopMart Supermarkets
- Co-op Mart Business over 20,000 essential items in life, while 70% - 80% of
Vietnam high quality goods.
- With own label system as fashion Co.opMart strongest SGC and dry food
items, frozen and processed brands Co.opMart always satisfying. And with the food
categories, cosmetics, housewares, apparel with brand names and familiar like Vissan,
Vinamilk, SG Fishco Indonesia, Nhabeco, Colgate, Pigeon,etc,... Meet diverse
shopping needs of consumers. The strength of private label products are competitively
priced and of good quality. Private label products bearing system cheaper Co.opMart
same products from 3% -20%, are always promotions, are produced from the plant
technical standards - prescribed quality management of state agencies, the
supermarket is responsible for the consumer peace of mind to consumers on the
quality of goods they have chosen.
1.3 The significance of the new brand identity Co.opmart
Co.opmart supermarket system has officially announced the change of brand
identity. New images of Co.opmart was followed from the familiar red and blue color
changed to pink petal symbolizes devotion, deep blue color of confidence and
dynamic new green color, connected with heart image from letters stylized Co-op,
Cooperative movement's symbol of dedication to serving the noble nature of
cooperative spirit.
Over the course of two years of preparation with the assistance of strategic
consultants leading brand company Landor, new images of Co.opmart was followed
from the familiar red and blue colors are converted to colors pink petal symbolizes
devotion, deep blue color of strong faith and a fresh green color dynamic. Image
stylized heart from word op cooperative movement will be the symbol of dedication to

serving humanity with nature and beauty in the spirit of the cooperative. Never selfsatisfied with himself, always yearning towards new heights, but still maintains its
core values are friendly and reliable.
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2. The business strategies of CoopMart supermarket system
2.1 Strategy of the system
- Continue to develop and expand the model is CoopMart strategic direction of
Saigon CoopMart. In addition to the existing retail, Union trade cooperatives Ho Chi
Minh City (Saigon Co-op) are set to make another three new models: combined
market supermarket, Co-opmart apartment, replicated stores Co-opmart are (34 stores)
to several hundred points by the method of the franchise (Franchise) for individual
business households.
- Preparation of companies to share work, increase efficiency. Before growing
demand quantity, size, item, customer,etc,... for the system Co-opmart, have much
work to do. Vietnam plus current conditions, logistics system remains weak and
inadequate, to board of directors has decided to establish a joint stock company for the
exploitation of resources, the strengths and share work to perform faster.
2.2 The strategy through the Matrix
2.2.1 Propose strategies through matrix analysis SWOT
Before this chain Co-opmart often too focused on opening more supermarkets
should only focus on market expansion strategy, this will lead to uneven development
and not sustainable. Now through research and specific details, will try to give a group
of strategies that if implemented simultaneously ensuring high efficiency.
Combining environmental factors outside - inside, especially following the
targets set, we use the SWOT matrix to give some feasible strategy for Saigon Co-op
general and strings Co-opmart particular between now until 2015.
a) S-O:
- Market penetration: Using effective financial strength and human resources,
warehousing systems (necessary for the retail sector) to take advantage of the huge

market and high profitability.
- Market Development: Expanding the system by developing more
supermarkets, trade centers and the Food Co-op in the Town/City, County/District,
Co-opmart not present by applying policies to encourage the development of
government (including financial backing from the government), and the research and
development capabilities and opportunities intrinsic market rates low.

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b) S - T
- Competitive pricing: Upon the occurrence of inflation, rising prices and the
risk of entry of potential competitors (particularly Walmart group with the slogan
"every day low prices"), consumers increasingly tend to price sensitive, so the chain
Co-opmart to rely on a large scale to achieve cost advantages of low input to pricing
below the price of the competitor and attract large numbers of customers to increase
total profits.
- Integration of the rear: This is the general trend of the current supermarket.
Supermarkets have their own brands, increasingly diverse goods to gradually become
more proactive in the delivery of goods to customers while reducing the target
pressure of the supplier.
Co-opmart system with its own production companies, such as Nam Duong,
Long Xuong, Tabico,etc,... they have more advantage, so need to take advantage of
this in conjunction with the financial advantages, market share, operational
research,etc,... to integrate successfully. (Especially pay attention to agricultural
products because Metro currently leading farm commodities with testing and entrepot
in Dalat).
c) W - O
- Integration Ahead: Strengthening information systems, develop effective
marketing strategies in order to apply the market is closely watching retail market is

the most attractive emerging. (Eg, current Co-op play is only for member home
brochure is not dynamic. BigC flyers not only spacious but also send promotional
email client needs). Focusing on governance and training - retraining of human
resources.
d) W - T
- Restructuring: Restructuring the organization, independent of staffing to be
active in business.
- Retain talent: While under the State should pay and bonuses must follow the
general regime, however necessary improvements dynamic incomes for skilled labor
to maintain good staff; while watching the in-depth training for core staff is a privilege
.

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Table 1. Matrix of SWOT
(O) Opportunities

(T) Threats

1. The political stability and 1. Inflation and price growth.
economic growth.
2.

Policies

to

2. Disease of cattle, poultry
encourage

the and fresh food problem.

development of the Government.

3.

The

phenomenon

of

3. Vietnam is one of seven retail speculation (rice, gold, foreign
markets most appealing.

currency,etc,...).

4.Increasing population, especially 4. The risk
the young population

enthusiastic.



2. Market share increased.
3.Financial
accounting

operations

of

Co-opmart



Strategy ST

S1, S3, S4 + O3, O4

S2, S3 + T1, T4, T5

Market Entry Strategy

 Competitive strategy

S2, S5 + O2, O3, O4, O5
-

of

5. Price sensitive customers.

5. Market interest rates low.
Strategy SO

1. The staff of experienced and

entry

- high potential rivals.

income.
(S) Strengths

of

Market

development

strategy.

strong.

on price.
S2, S3, S4, S5 + T2,
T3, T4, T5
 Integration

4.Equipment - many warehouse

strategy

backwards.

systems, decent quality.
5.Research and Development
Activities pretty.
(W) Điểm yếu

1.

Structure

of

Co-opmart

Strategy WO

Strategy WT

W3, W4, W5 + O3, O4

W1, W5 + T4

overlapping.

 Reengineering strategy.

2. Mode salary, reward is not

 Integration strategy forward.

high.

W2, W3 + T1, T4
 Strategy retain talent.

3. The training of human

resources to deploy.
4.

Activity

of

Co-opmart

marketing is limited.
5. Information systems slow.

2.2.2 Strategic Options Matrix through QSPM
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Through analysis of SWOT matrix we see only one group WO strategy should
not be established for this group QSPM matrix, the remaining three groups SO, ST
and WT matrix must make strategic choices to QSPM
Table 2: QSPM Matrix - Group SO
Important factors

Classify

The strategy can be replaced
Market
Market
penetration
AS
TAS

Development
AS
TAS

* The internal factors:
- The staff of experienced, enthusiastic

3

4

12

3

9

- Market shares ascending

3

2

6

3

9

- Financial operations - reliable accounting

4

3

12

4

16

- Equipment - many warehouse systems, quality quite

3

4

12

3

9

- Research and development activity rather

3

2

6

3

9

- Structure and overlapping

2

3

6

4

8

- Mode salary - low reward

2

4

8

3

6

- The training of human resources to deploy more

3

4

12

4

12

- Marketing activities are limited

2

2

4

3

6

- Information system was slow

1

2

2

3

3

- The political stability and economic growth

3

2

6

3

9

- Policies to encourage the development of Government

3

3

9

4

12

- Vietnam is one of seven retail markets most attractive

4

4

16

4

16

- Increasing population, especially the young population

3

4

12

4

12

- higher income

3

1

3

2

6

- Market interest rates low

3

2

6

3

9

- Inflation and price growth

4

2

8

2

8

- Disease of cattle, poultry and fresh food problem

3

1

3

1

3

- The phenomenon of speculation (rice, gold, foreign

1

3

3

4

4

currencies ,etc,...)

2

3

6

3

6

* The external factors:

- The risk of entry of potential rivals
- Customers are price sensitive
Total

152

172

Note: AS: No. attractions TAS: Total attractions
In this phase we selected "market development strategy" for Co-opmart for
TAS = 172 is the largest.
Table 3: QSPM Matrix - Group ST
Important factors

Classify

The strategy can be replaced

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Price

Backward

competition
AS
TAS

integration
AS
TAS

* The internal factors:
- The staff of experienced, enthusiastic

3

3

9

4

12

- Market shares ascending

3

4

12

3

9

- Financial operations - reliable accounting

4

4

16

4

16

- Equipment - many warehouse systems, quality quite

3

4

12

3

9

- Research and development activity rather

3

2

6

3

9

- Structure and overlapping

2

3

6

3

6

- Mode salary - low reward

2

3

6

4

8

- The training of human resources to deploy more

3

3

9

4

12

- Marketing activities are limited

2

2

4

2

4

- Information system was slow

1

3

3

2

2

- The political stability and economic growth

3

3

9

2

6

- Policies to encourage the development of Government

3

4

12

4

12

- VN is one of seven retail markets most attractive

4

4

16

3

12

- Increasing population, especially the young population -

3

4

12

3

9

higher income

3

3

9

3

9

- Market interest rates low

3

3

9

2

6

- Inflation and price growth

4

1

4

2

8

- Disease of cattle, poultry and fresh food problem

3

2

6

2

6

- The phenomenon of speculation (rice, gold, foreign

1

4

4

2

2

currencies,etc,...)

2

4

8

3

6

* The external factors:

- The risk of entry of potential rivals
- Customers are price sensitive
Total

172

163

Note: AS: No. attractions TAS: Total attractions
I selected "price competitiveness strategy" for the strategy group for TAS =
172 ST is the largest.
Table 4: QSPM Matrix - Group WT
Important factors

Classify

The strategy can be replaced
Price
Backward
competition
AS
TAS

integration
AS
TAS

* The internal factors:
- The staff of experienced, enthusiastic

3

3

9

4

12

10


- Market shares ascending

3

4

12

3

9

- Financial operations - reliable accounting

4

4

12

4

16

- Equipment - many warehouse systems, quality quite

3

4

6

3

9

- Research and development activity rather

3

2

6

3

9

- Structure and overlapping

2

3

8

3

6

- Mode salary - low reward

2

3

6

4

8

- The training of human resources to deploy more

3

3

12

4

12

- Marketing activities are limited

2

2

4

2

4

- Information system was slow

1

3

3

2

2

- The political stability and economic growth

3

3

9

2

6

- Policies to encourage the development of Government

3

4

9

4

12

- VN is one of seven retail markets most attractive

4

4

12

3

12

- Increasing population, especially the young population -

3

4

9

3

9

higher income

3

3

3

3

9

- Market interest rates low

3

3

6

2

6

- Inflation and price growth

4

1

4

2

8

- Disease of cattle, poultry and fresh food problem

3

2

3

2

6

- The phenomenon of speculation (rice, gold, foreign

1

4

2

2

2

currencies,etc,...)

2

4

2

3

4

* The external factors:

- The risk of entry of potential rivals
- Customers are price sensitive
Total

137

162

Note: AS: No. attractions TAS: Total attractions
In the WT group strategies we choose "strategic retain talent" because there is
the biggest TAS = 162.

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Table 5: The strategy is selected and the corresponding solution
Group strategy

Selected Strategy

Group combined solutions

SO

Market Development

Solution 3, 4, 5

ST

Price competition

Solution 3, 5

WO

Integration forward

Solution 2, 3, 4

WT

Retain talent

Solutions 1, 2

2.3. Enforcement Strategies
Perfecting

the

organizational

structure,

management

and

business

administration.
a) On the organization:
Implement organizational restructuring, greater independence in staffing,
especially high-level personnel (to avoid introducing internal commend often occur in
the state enterprises).
Currently as a general rule, the Regional Director must concurrently CEO
Supermarket biggest one in the region, this leads to overload of work at the same time
there is a conflict of interest because although common, but each supermarket chain is
earned on sales achieved; they will be busy in the sales growth of stores they operate
and can be neglected work of the whole region; lead to the organizational structure
and overlapping. Therefore, avoid concurrent positions in leading cadres; clearly
define the rights and responsibilities - the obligations and rights of each individual to

create equal working environment, science and efficiency.
Restructuring the organization is not the job once and have the results
immediately but must be regularly monitored to correct them promptly, in accordance
with the actual circumstances arise, such achievements will be very large and
sustainable.
b) Regarding the management and operation of the business:
- Improving management mechanism:
+ For Saigon Co-op, the predecessor of Saigon Co-op is a cooperative should
inescapable collective management mechanism, but sometimes this mechanism
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causing overlaps or inconsistencies in the management and cause delays in the
operation of the business, so depending on the particular circumstances that have a
flexible management, which depends heavily on the level of leading cadres at all
levels, so you need to pay attention to the selection and layout managers.
+ For Supermarket chain Co-opmart, implementing radical decentralization of
units under the current offer high efficiency but not synchronized because the level
and circumstances of each unit under heterogeneous. For small supermarket, far back
should help even the intervention of the Corporation to obtain superior results, so
there is a chance to rise simultaneously with the large unit.
- Improving business operators: Continue applying quality management system
ISO 9001- 2000 and advanced HACCP standards as well as a dedicated accounting
software, direct network connection between parts cashier at the supermarket with the
accounting department of Saigon Co-op; while always approaching the business
operating methods advanced largest retail conglomerates successful applications such
as demand planning and inventory management in a scientific way, charting work,
layout reasonable business grounds, cut costs and increase revenue,etc,...
Stepping up marketing activities.
Measures to strengthen marketing activities revolve around 4P: Product

(Product), price (Price), place (Place) and sales promotion (Promotion).
- Product: The strength of supermarkets than other retail channels are
commodity rich, diverse, so the concern expanding category of goods must also make
certain difference (ex: before Big C is now strong points of presence cosmetics
imported goods, Co-opmart strong domestic goods, Metro specializes in providing
restaurant-kitchen Western, Maximark are very plentiful imported food, Hanoi
supermarket with many specialty Hanoi,etc,...). Particularly fresh goods group, many
tend Supermarket direct purchases from farmers to ensure the product is purchased
roots from prices, production and quality management facilities. Vietnam's
agricultural products quality very pretty but not stable due to the mentality of the
farmers are always concerned about the output, so if the Supermarket surely consume
the product quality will be better care.
- Price: "The most important problem of the retail market in Vietnam, as well
as the current global prices. Who better selling price will prevail. In this context,
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heavy advertising program or organization with big prizes in promotions and not in
price. To do this, the supermarkets moderate moderate rates reduce power use "soft"
by large distributors to negotiate prices with suppliers.
- Location: To achieve the objective focus, chain Co-opmart need revision the
supermarket was built long ago, does not meet any standard under the Decision
1371/QD-BTM see if upgrades are not, otherwise cleared to resources for new
construction. Furthermore winning than losing ground not only different in that Coopmart rents should also take advantage of the state-owned enterprises (take
advantage of the relationship) for extra impact.
- Promotion: There should be proactive marketing strategy (currently most of
the marketing strategy was initiated by the supplier) and less repetitive. Marketing
department should collect customer information to establish marketing strategies
rather than relying on information from the Research & Development Department.
Collect market information, client independently and then compare each other will

give more accurate results. Improved website, regularly updated promotions. Should
extend the sender brochure (currently Co-opmart only send patrons or customers at
STH, not widely send as Big C). Big C can also send detailed study information via
mail promotional products to customers in need.
- Application of goods exhibited art of hypermarkets in the world:
+ The area immediately after entrance is often called "the god zones" should
not generate revenue often used as a display area. The daily dish should be used at the
end of the mall to the visitors to go through the shelves, perhaps stimulate them to buy
other items.
+ Goods sold, higher sales usually coming somewhere between length shelf for
guests seeking from the beginning to have to glance other items to increase shopping
time. One study showed that time linger customers increased by 1%, the supermarket
sales rose 1.3%.
+ The shelves at eye level on the right side is for the "Golden Land" because
most shoppers are right handed and the majority of the human gaze is on the right
side.
+ The camera is not only used to track the theft, but also used to monitor,
analyze buying habits of customers.
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CONCLUSION
Construction development strategy plays an important role in the enterprise.
Reality proved otherwise identified a proper development strategy, entrepreneurs
themselves likely plunge into pitfalls can not be drawn, leading to deteriorating
business situation and even bankruptcy. Businesses can set goals and decide to invest
in a new field with the hope of development, but it does not measure all competitors,
their potential,etc,... Which is subject to the loss. Cause of the company may decline
more lots; may clear or hidden. Maybe because the company does not have a rational
organizational structure, personnel management less efficient management costs are

too high, or it may be due to the product of the business is not innovation, market
share is declining , do not use the correct pricing strategy, marketing.
In fact, many enterprises, especially small and medium enterprises, are less
concerned with strategic issues, do not even identify themselves strategically. The
underlying cause is due to not fully aware of the strategic role. The problem is not
only big businesses need strategic new small businesses still do not. We need to
ascertain that any organization or business that needs to have a strategy. The presence
of an official strategy in enterprises should no longer be desirable whether or not a
strategy but it depends fundamentally on the perception of the role of strategy as well
as scientific knowledge of the strategy enterprises managers.

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