Introduction

Vietnam is a country favored the scooter and cub. Take advantage of this, in 1992, VMEPH has been established with 100% capital of industrial companies Sang Yang, Chinfon Group of Taiwan. VMEPH was established primarily to improve the lives of Vietnamese. After nearly 20 years, VMEPH has become one of the companies leading motorcycle manufacturer in the motorcycle market in Vietnam. VMEPH have the notion that based on the principles of environmental protection, human civilization and knowledge demonstrated long-term survival. Commitment to continuous innovation and technical innovation", they always work according to customer needs and customer satisfaction. In 2011, VMEPH introduced customers a new product that is Shark 170cc, this is a high quality product with excellent features. This event is a further step in the development of VMEPH in Vietnam market

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How products (both Shark and JOYRIDE) are developed to sustain competitive advantage in Vietnam
Definition: new product development (NPD): is a process which is designed to develop, test and consider the viability of products which are new to the market in order to ensure the growth or surival of an organization. (Course book p.230 ) Competitive advantage is always a top target is set of all enterprises in Vietnam and VMEPH also no exception. So VMEPH should always find out and meet customer needs with new products and follow changing market elements as well as remain competitive. The product development is based on eight stages: Original concept Screening of ideas Business analysis Product development Marketing mix issues Market testing Pilot launch Roll-out: full launch Original concept: refer to the primary idea, the resource of which we have just discussed. Ideas for new products obtained from various sources. This phase requires the organization have to research, learn the market. For VMEPH, they always monitor carefully the needs of customers and collect the opinions of employees in the company. So VMEPH will meet the most appropriate ideas for new products, Shark and Joyride are no exception. Besides, thanks to the variety of car models of the competitors, VMEPH can collect a lot of ideas about the structure and design vehicles such as Shark and SH, Joyride and Airblade. So Development and improvement of product quality in conformity with the market is a perfect target of VMEPH. Screening of ideas: a product cannot be created from a variety of ideas, this would disproportionately products and cannot be put on the market. So the idea screening stage is very important for businesses, VMEPH no exception. The best ideas will be selected to create new products. VMEPH shortlist lot of ideas and they have produced two vehicles 2 | Page

(Shark and Joyride) to meet customer needs. Shark is a luxury car, saving more of the same type of car competitors, Joyride is similar and they have succeeded in bringing two new products to market. Business analysis: business analysis is an important step affecting the success of an organization. Companies to improve the facilities well. Besides, human resources must always be aware of this. So VMEPH always improve facilities and human resources better, this effect large to the release of the new cars VMEPH. Product development: here means the building of a concept into a production reality. This includes prototypes and dummy runs to ensure that the demands of the market can be met smoothly without causing inordinate pressure on other parts of the firms systems. (Course book p. 236 ). So VMEPH gave the goal to develop products more perfect. VMEPH has launched two products is the Shark 125 and Joyride in 2009. However, only two years after they have improved and upgraded products after a long period of research. Shark 170 and Joyride EFI was born. They both meet customer needs and the more perfect the product before. Market testing: New products should be tested in a small market and examination of customer satisfaction, and cost before making a big market. Then taking out the limitations and develop products more perfect. For VMEPH, they gave the market a small number of new products awaiting customer feedback and actively improving the product, then put on the market and finally Shark and Joyride are quite close to customers. Pilot launch and roll-out: VMEPH completes all steps, the last step is pilot their products. The customers will be provided the information of the new products. With the feedback of buyer, the VMEPH can improve the quality of new products. So that, sale branch becomes importation when VMEPH distributes their products. Improve and develop the quality of products how to compete with each brand name such as : Honda, Suzuki, and so on.

How distribution of products is arranged to provide optimum customer

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convenience
In business, companies need to consider carefully how the distribution channel is best. The best distribution channel can bring products to reach consumers in the best convenient way. There are two categories of distribution channel: direct and indirect channels. Direct distribution channel: The product going directly from producer to customers without the use of a specific intermediary. Being active because the supplier making the first approach to a potential customer. Indirect distribution channel: refers to systems of distribution, use of an intermediary. Being passive because the suppliers rely on consumers to make the first approach. Besides, distribution channel must ensure the five right of distribution: The RIGHT product: Customers are very important in business. So the product to be sold products that customers need and meet customer needs. VMEPH know this, so they had to survey the market to find out what customers want and offer better products to serve customers. Today, life in Vietnam is quite high, so the savings are essential to their clients. However, quality of the product must meet the criteria. Based on this, VMEPH has produced two quality vehicles (Shark 170 and Joyride 2011). Joyride 2011: has powerful engines, fuel economy - Joyride, SYM scooters continue to introduce the 2011 version with 2 EFI and carburetor common type. The changing definition of Joyride 2011 compared with the 2010 version as headlights, stamps, need bike started. Especially SYM Joyride launched in parallel with carburetors EFI version. Shark 170: does not change than the 125cc version debuted in 9/ 2009, Shark 170 cars still use carburetors and traditional air-cooled. The most significant change is raising engine capacity from 125cc (10 horsepower capacity, maximum speed of 92km / h) up to 170cc most of the limits of common license (175cc), with a capacity of 12.5 kW, a maximum speed of 100km / h. Fuel consumption as per the manufacturer is on average 1 liter gasoline to run 31km. A new rear brake system is a 240mm diameter disc brakes combined with CBS. Through the introduction of two products, VMEPH looked very carefully the information customers need and bring 2 products in market. 4 | Page

In the RIGHT place: Where customers purchase and use the product and use the most essential needs in which they live. VMEPH always focused bring products to major markets such as large cities. Because customers need their products and take full its benefits. In addition, customers in large cities they have opportunity to buy high-quality vehicles such as Shark and Joyride. At the RIGHT time: VMEPH needs consider the time to introduce new products to consumers. Choosing the right time will bring more profit to the company. VMEPH have chosen the right time to produce 2 vehicles Shark and Joyride, because economic families are limited, they should think carefully before buying a certain product. Shark and Joyride has to meet their needs. In the RIGHT quantity: The number of manufactured products is important for the success or failure of each company. If they produce excess, this will not lead to higher profits or no profits. If the lack of production, not products customers need and this will affect the company brand. VMEPH always very careful in this matter they still meet what customers expect and profit for the company. For the RIGHT price: Price must remain consistent with the product. Customer shall accept and purchase the product if the price of the product in production costs and profits needed. Also competitors can also affect the price of the product if the company wants to occupy the market. VMEPH has launched the scooter with relatively cheap price compared to other cars of competitors. But product quality is guaranteed and they get a big profit.

How to set the price(s) of the product in the light of the VMEPH Ltd objectives and market conditions exist in Vietnam
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For each company or organization, they want to achieve profitability and hence their products are reasonably priced to be profitable and customer confidence. If prices are too high, you will lose your position on the market, but if it is too low, you will not be able to grow the business. Price for your product does not just mean the sale of profit but also a signal to your customers for the products that you sell. So VMEPH also consider this matter in order to attract consumer to use as well as compete with other competitor. Besides, there are some factors affecting the development of the VMEPH. Includes internal factors and external factors: Internal factors: The company must have the plan to develop product and understand what the consumer need about the price, high quality product (Shark and Joyride). The success company depends on the value product and the confidence in consumer. Maximizing profit is concerned with maximizing the return on assets or investments. To maximize profits, companies have to take full advantage of available resources, as well as products sold to customers. If companies want to achieve goals, companies must develop a long-term product strategy. Maintain increased market share in relation to the increase or maintain the customer base may require a different, more competitive approach to pricing. To gain market share, companies must attract more customers to buy quality products. And as more customers means that market share expansion and development. High-quality products: The top quality, the company must spend lots of time and cost to upgrade product quality standards ISO. When product achieves high-quality, the company will maximize profits and increase market share. For VMEPH, VMEPH market research very carefully before installing the outside market price, the average income of Marginalized Vietnam is low, so VMEPH also offers programs suitable affordable. Group has managed to increase sales quantities and the average selling price of motorbikes has also been improved. The Groups domestic sales quantities of scooters increased by 15% for the year ended 31 December 2010 as compared with the year ended 31 December 2009, while overall sales quantities also increased from approximately 210,000 units for the year ended 31 December 2009 to 230,000 units for the

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year ended 31 December 2010, representing an increase of 9% over the comparative periods. External factors: Customer psychology: most customers tend to purchase good products cheaply than other companies. VMEPH has been based on such criteria and installation cost than other competitor, with prices at 45-60 million VND for Shark and 30-40 million VND for Joyride, customers can easily to choose and buy in Sym. Besides a few customers have high-income, they think that prices are high, good quality training. Moreover, they also choose to purchase products of reputable companies and develop long-term as well as taking full information about the product. So that, with a long history of development in the implementation, VMEPH is the best choice. The competition: VMEPH's competitors typically Honda, Suzuki Vietnam. Since there, VMEPH has so many competitors to set a reasonable price. When using a product, customers often choose the cheapest product but good quality, and often are compared to other companies. Thus, the price of VMEPH is not too high; people can buy products both cheap and quality

How promotional activities integrated to achieve marketing objectives of VMEPH Ltd

Promotion is concerned with communication between the seller and the buyer. Promotion includes advertising, public relations, sales promotion and personal selling. Advertising: If VMEPH want their products advertised widely, the company must have a advertise strategy. Mass media would be a good choice. Company can advertise their products through television. Image of the products will appear with the most vividly. However, the cost of TV advertising is very expensive although just a few minutes to appear on TV. So, there are other ways of advertising such as newspapers, leaflet. In addition, VMEPH has its website. People can enter this website to know anything about products information. In this website, VMEPH also published articles about the company that links to other websites. Internet advertising is the best way because the cost is very cheap compared to advertising on television.

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 Public relations: Is a form to strengthen relationships between companies and users of products. PR can be done under some form such as newsletters, company reports each year, event. VMEPH often use this form as sent invitations to customer use product. Moreover, VMEPH can introduce new products v explain to their structure. Sale promotion: is a form to attract customers, stimulate demand for using products. VMEPH many forms of promotion such as promotional gifts, discounts, increase the warranty period. Personal selling: will be the most convenient way to communicate clearly products information to customers. Sellers can advise, persuade customers to trust and use their products. Sellers should be trained a professional manner. So sellers can really be flexible with different situations to handle easily because customers have many different types. In any case, employees should demonstrate respect for customers. Customers will buy new products if they were satisfied with the service quality of employees. And VMEPH staff are trained to do this to profit for the company.

Analyse the additional elements of the extended marketing mix

There are 4 key elements of the marketing mix are product, price, place, promotion. They are called the 4Ps of the marketing mix. However, today, marketing mix is no longer restricted in 4Ps anymore. It expanded into 7Ps. There are 3 new Ps which be added to develop the modern marketing mix, these are: Process, Physical evidences and People.

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Process: For the purposes of the marketing mix, process is an element of service that sees the customer experiencing an organization's offering. It's best viewed as something that your customer participates in at different points in time. The company may be survey to know the needs of customers, providing products and services to customers, resolve feedback customers about products and services. For VMEPH, they have to survey the market and bring products to market small to get customer feedback such as engine, fuel etc.. From this feedback, they can improve the product as Shark 170 and Joyride 2011. This is all part of the marketing process. An efficient from the beginning to the end process would bring a lot of benefits for the company and the customers. Physical evidences: Physical evidence is the material part of a service. Strictly speaking there are no physical attributes to a service, so a consumer tends to rely on material cues. Each product of VMEPH is designed nice and there are many choices of colors in the view of each customer. This will make customers more interested in choosing VMEPH products. Also, the salesperson must demonstrate professionalism in their work, it is essential to create a good image for VMEPH. For Shark and Joyride have simple structure, reasonable color schemes and impress customers.

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People: People are the most important element of any service or experience. Services tend to be produced and consumed at the same moment, and aspects of the customer experience are altered to meet the 'individual needs' of the person consuming it. Most of us can think of a situation where the personal service offered by individuals has made or tainted a tour, vacation or restaurant meal. Remember, people buy from people that they like, so the attitude, skills and appearance of all staff need to be first class. All customer facing personnel need to be trained and developed to maintain a high quality of personal service. if employees have negative impact on customer satisfaction, the company will not have the loyalty of customers. VMEPH has aware that, so the company has trained employees in general way, especially seller. VMEPH fully equipped staff skills and knowledge to best serve customers. Furthermore, they have high creative ability. So VMEPHs products are always sold very well, especially Shark 170 and Joyride 2011 and more and more loyal customer to the company by a professional staff of the company.

Marketing mixes for two different segments in consumer markets

Urban Product (Shark and Joyride) Rural Shark is a luxury car, but prices are not too high relative to product quality. Joyride with unique style, powerful, and many features which help men express personality and bravery. With reasonable prices, this car promises to create a milestone, Joyride for citizens to win middle-income, beautiful design and high quality People income in big cities like HCMC and People income in country is low. So they Hanoi is fairly high. Besides, people are will not have opportunity to purchase these living in a modern life, so they will like products. VMEPH know this and always unique products. They like the modern give a discount program, promotion of rural product. VMEPH was based on these people to enable them to use VMEPH factors pose a reasonable price and can raise products. the price if the company wants to achieve higher profits.

Price

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Place

VMEPH always distribute the product in stores selling their motorcycles. Besides, they also distributed to the motorcycle dealer in the provinces and cities in Vietnam VMEPH can advertise this product through People live in rural have few conditions to mass media such as television, radio, access to information technology. So, newspaper, magazine, especially internet. VMEPH can advertise new products though Many people surf every day. VMEPH can radio, newspaper, leaflet. People will know post new product information on its more new product information easily. website. Employees are trained in a professional manner. Knowledge and skills are important for the company's employees. Besides the strictly is necessary for them to contact customers and introduce two products in the best way. Providing small amounts of 2 products on the market and get customer feedback. And ensure that products can reach consumers. Satisfy the needs of customers by web pages, paperwork, uniforms, business cards the building itself, the design and specification of the service environment.

Promotion

People

Process

Physical evidence

The differences in marketing products and services to organizations rather than consumers
B2B (Business to Business): In sales and marketing parlance, the term business-tobusiness, also called B2B, is a way to describe the transactions that take place from one company conducting commerce with another company. Purchase motivation: With B2B, power purchase will affect the purchasing power of other companies. For VMEPH, machinery and components for assembly not of the company that is a combination of other companies. Therefore, a product to be completely assembled, it must have sufficient number of components. Price decision: Price will be agreed and established between two companies. The company shall establish such price discounts for first time businesses because businesses often buy products in bulk. For VMEPH, while providing material for other organizations, prices are usually lower than an individual. In addition,

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VMEPH can set pricing strategies such as discounts at the time of the first loyalty of the company. Since then, VMEPH can build a longer term relationship. Promotion decision: Buyers complex business, they know everything about the company's products. So we convinced them to buy products or services is very difficult. VMEPH come to one company to persuade it cooperating with them to improve product. A company will capture more information about the VMEPH, it will judge and decide if it continues to cooperate or not. Marketing to business buyers are more complex and require more skill from the sale of personal. The seller of VMEPH individuals who have been trained to have the skills, experience and knowledge to work. Place decision: VMEPH has tried to meet customer needs, as well as give customers the convenience, so VMEPH has established branches in many areas in country. Number of employees VMEPH program are not too much. Businesses just need someone important to VMEPH trained people in the company. Therefore, it can ensure quality. Customer service: This is a very important step, VMEPH ensure training employees in companies with knowledge and skill to achieve high-quality product. If VMEPH cant meet demand, the loyalty of the businesses will be reduced, leading to reduced VMEPH brand. B2C (Business to Customer): B2C is an acronym for "business to consumer". A B2C business is one that provides products or services direct to the consumer. Purchase motivation: Customers buy products because they want VMEPH meet their needs, they want to buy high-quality product. Moreover, they study to widen knowledge to improve product to meet customer needs. Price decision: The company will not achieve profitability, capital loss or even bankruptcy if the company reduced the price for each consumer purchase. Price is very important to the company. Priced to suit to average living standard of citizens. However, VMEPH cant discount for customer too much. If VMEPH do that, VMEPH is not able to achieve profitability and further, it will lose capital. Promotion decision: It focuses on the advertising community. Clients are often intrigued by the large scale advertising, and they think the products will have 12 | P a g e

attractive advertising quality. It's very simple, customers are often attracted by the large scale advertising and they think the quality depends on the popularity of product. Also, according to psychologists, most customer use product of VMEPH to spend time finding information in internet, newspapers or other means before deciding to buy product. Place decision: the number of customers buy product of VMEPH more crowded. Thus, the UTE have to meet more and more customer needs. As well as open new facilities in many areas in country. Number of products are produced is much more, but VMEPH ensure quality produce. Customer service: Products are purchased for individual needs. So VMEPH have to ensure about products quality. This will create customer loyal.

How and why international marketing differs from domestic marketing

Companies must select the appropriate organizational structure to operate in the market before deciding to invest on the international market. There are some key factors make the differences between domestic marketing and international marketing. They include: Political legal factors Economic factors Social and cultural factors Technological factors

Political legal factors: For the domestic market, political factors are not important for the company. Businesses need to abide by state laws and regulations for every business. Government is also support the companies to work to develop the economics. However, in international marketing, the political factors are very important and you will be face with many troubles. International law can affect business operations by strict regulations on import and export conditions or investment. VMEPH is a large company and international markets are indispensable for them. They have many overseas markets such as Taiwan, UK, etc. This always makes VMEPH pay attention to the import and export duties. Economic factors: Domestic economic environment is more stable international markets. So the domestic economy and international economy has many different such as prices, 13 | P a g e

monetary and business environment, etc. In domestic marketing, the financial climate is uniform. It makes the company feel safe to develop and sell their products. However, Prices at many points on the international differ and cause difficulties for businesses. Besides high inflation also affect the international price fluctuations. So companies must study before conducting business abroad. VMEPH always concentrated in the Vietnam market, but outside of Vietnam, VMEPH also focuses on the Taiwanese market. This market is that prices and the economy have been explored. Social and cultural factors: purchase behavior and lifestyle culture to affect many businesses. For culture and society in the country, VMEPH fully understand and it will not cause difficulties for the company. However, in countries around the world, each country a separate river and have a separate culture, especially each other thinking behaviors and buying habits are diverse. This may cause difficulties to enterprises, VMEPH is no exception. Technological factors: About product quality, international standards are higher than Vietnam, so it will bring many challenges for the company. For the domestic market, the company will not pay costs for each product. However, international standards require more, the company will invest to improve product standards, especially the modern equipment. This helps VMEPH may exist in other countries.

Conclusion
To sum up, through all the above statements, we can see the business strategy of the VMEPH such as pricing strategies, systems of distribution strategy, marketing strategy, etc. In last time, VMEPH company tried to improve the products and services of company and got some achievements in creating new products to satisfy demand of customer and earn many profit.

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Reference: http://www.marketingteacher.com/lesson-store/lesson-people.html http://dantri.com.vn/c25/s111-484189/sym-ra-mat-xe-tay-ga-dung-tich-170cc.htm http://homebusiness.about.com/od/homebusinessglossar1/g/b2c_defined .htm http://www.businessdictionary.com/definition/business-to-businessB2B.html

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