Market penetration strategy for "kiddy" brand in Cambodia (Phnom Penh city) from 2011 to 2015

TRƯỜNG ĐẠI HỌC MỞ TP.HCM UNIVERSITÉ LIBRE DE BRUXELLES

HO CHI MINH CITY OPEN UNIVERSITY SOLVAY BRUSSELS SCHOOL

MBAVB4

TRAN MINH THU

MARKET PENETRATION STRATEGY FOR "KIDDY"

BRAND IN CAMBODIA (PHNOM PENH CITY)

FROM 2011 TO 2015

MASTER PROJECT

MASTER IN BUSINESS ADMINISTRATION

(PART – TIME)

Tutor’s name: Dr. Trinh Thuy Anh

Student’s Name: Tran Minh Thu

Ho Chi Minh City

(2011)

ACKNOWLEDGEMENT OF THE COMMITMENT

It is to confirm that the final project for the MBA program is my original work.

The theory framework in the literature review is built up base on marketing

management of Philip Kotler and teaching material of professor Jean Pierre

Baeyens and Marianne Claes.

Some information is base on internal data of company and internet source. I am

confident to submit this project to the professors of the MBA program.

Tran Minh Thu

ACKNOWLEDGE

I cannot finish this project if without the help from many people. I would like to

express my deepest gratitude to following persons:

First of all I would like to express my sincere appreciation to Dr Trinh Thuy Anh for

her valuable comment and input.

I would like to thank to Professors of Solvay Business School who provide the

knowledge and practical experience about the marketing and management which

help me a lot to complete this project

I acknowledge the great help from Mr Van Sok Heng – Business Development

Manager and marketing team in Cambodia market for their help on collecting the

data, doing market survey and providing information.

Finally, I would like to express love to my parents and wife who have encouraged

and motivated me during the program.

With my best regards,

Ho Chi Minh City, December 2011

Tran Minh Thu

TUTOR’S COMMENT

Project: Market Penetration Strategy For "Kiddy" Brand In Cambodia

(Phnom Penh City) From 2011 to 2015

This project satisfies the requirement for a business project at the Master's level. It

is recommended that Tran Minh Thu presents his business project to the

committee.

Ho Chi Minh City, December 2011

Tutor’s Signature: Dr Trinh Thuy Anh

ABSTRACT

“Kiddy” oil brand was distributed in Cambodia from January 2011 but the sale is

not good as expectation and on the decreasing trend. The project has carried out

the study with the marketing team in Cambodia and found out that the reason of

decreasing in sale are price of product higher compare to the other cooking oil,

product knowledge of sale force is low and product is too new for Cambodia

market.

The market survey in Phnom Penh City showed out that the consumers have a

demand for using cooking for kids but currently in the market don’t have any

specific product which designed for kids so mainly people use the olive oil which

recommended by the doctors, nutritionist for their kids.

Through analyzing the market survey data and secondary data from internal and

external source, the project have set out the market penetration strategy for

“Kiddy” oil brand in Cambodia market from year 2011 to 2015.

The market penetration strategies for “kiddy” oil brand are the combination of:

+ Branding and promotion strategy: which build up the brand awareness of product

and encourage consumers to buy through promotion campaign.

+ Pricing and distribution strateggies: which use the market penetration pricing to

attract new customers and encourage the existing customers who using Olive Oil

to switch to “Kiddy” oil. Beside that, instead of distribute through traditional channel

(wet market), the new channels like supermarket, Health Care/Clinic center and

baby shop are also explored.

TABLE OF CONTENTS

ABBREVIATIONS ················································································································· i

LIST OF FIGURES··············································································································· ii

CHAPTER I: INTRODUCTION ..................................................................................................... 1

1.1 COMPANY INTRODUCTION ............................................................................................. 2

1.2 PROBLEM IDENTIFICATION............................................................................................. 2

1.3 RESEARCH OBJECTIVES................................................................................................. 3

1.4 RESEARCH METHOD ........................................................................................................ 4

1.4.1 At Desk research (Secondary Data)........................................................................... 4

1.4.2 Quantitative Research (Primary Data)....................................................................... 4

1.5 SCOPE OF RESEARCH......................................................................................................... 5

1.6 THESIS STRUCTURE............................................................................................................. 5

CHAPTER II: LITERATURE REVIEW ........................................................................................ 7

2.1 ANSOFF GROWTH STRATEGY MATRIXES ................................................................. 8

2.2 UNDERSTANDING CONSUMER BEHAVIOUS ........................................................... 10

2.3 THE BUYING DECISION-PROCESS: THE FIVE – STAGE MODEL........................ 13

2.4 THE MARKETING MIX STRATEGY ............................................................................... 16

2.4.1 Product.......................................................................................................................... 17

2.4.2 Price............................................................................................................................... 19

2.4.3 Place.............................................................................................................................. 24

2.4.4 Promotion ..................................................................................................................... 28

2.5 ADVERSTING..................................................................................................................... 29

CHAPTER III: CURRENT SALE STATUS OF “KIDDY” OIL BRAND AT CAMBODIA .. 33

3.1 CAMBODIA AT A GLANCE .............................................................................................. 34

3.2 CAMBODIA COOKING OIL MARKET OVERVIEW...................................................... 35

3.3 PRODUCT OVERVIEW..................................................................................................... 38

3.4 CURRENT SALE STATUS OF “KIDDY” OIL BRAND AT CAMBODIA...................... 39

3.5 KIDDY OIL’S SWOT ANALYSIS...................................................................................... 41

3.6 ANALYZING THE MARKET SURVEY’S RESULT........................................................ 42

CHAPTER VI: MARKET PENETRATION STRATEGY ......................................................... 49

4.1 BRADING AND PROMOTION STRATEGY................................................................... 50

4.2 PRICING AND DISTRIBUTION STRATEGGIES.......................................................... 54

CHAPTER V: CONCLUSION ..................................................................................................... 56

REFERENCES .............................................................................................................................. 59

APPENDIX ..................................................................................................................................... 60