Coffee Industry in Vietnam Case Study Example | Topics and Well Written Essays - 1000 words

Coffee Industry in Vietnam - Case Study Example Initially, coffee industry was run by government. The total area under coffee production in 1995 was 186,400 hectares and increased to 535,100 hectares by 2002. The coffee type mainly grown in Vietnam is Robusta, a relatively low quality coffee in comparison to Arabia. But Vietnam's coffee is of high quality and planted on mountainous areas because of "a large range of temperature between day and night and basaltic soil" (Sinh, Sutcliffe, and Van, 1999, p.68). The coffee produced in Boun Ma Thout is widely accepted by the customers due to its improved quality. In order to get a clear cut idea and gain a better understanding over the coffee industry in Vietnam, it is necessary to draw a dividing line over the periods of coffee industry in Vietnam stretching from 1996-97 to 1999-2000. During the first period, i.e. 1996-1997 due to the high price, coffee farmers were inspired to cultivate it more while the second period brought them to the world coffee market when it reached its peak level in 2001 as their domestic coffee demand was static. During this time, government brought the country's coffee industry to the highland regions and took effective production and export oriented programs. Boun Ma Thout Coffee Festival of 2005 was a turning point for Vietnamese coffee industry. In this festival, Hanoians came to see the entire process of coffee production - planting, harvesting, drying, roasting and grinding. Subsequent to this, they came to enjoy cup coffee. Such festivals have opened the doors for all to be familiar with coffee culture and at the same time help developing it. Current Scenario Mainly grown coffee type in Vietnam is Robusta. It grows in plenty in highland regions of Vietnam. Robusta has a relatively less potential to be affected by diseases and it needs less water supply. As the Vietnam began to earn huge currencies through importing this improved quality coffee at much higher rate, the policy makers tempted the farmers to cultivate it more. As a consequence of this, the farmers became somewhat blind to the coffee cultivation and began to cut down tropical trees along with other trees. As a result, at the end of late 1990s, the world coffee price fall down only because of Vietnamese overproduction. Restlessness of market price and the condition ordained on them let them facing a serious financial hardship. However, this led coffee farmers neglect densely planted "dollar trees" (Greenfield, March 2004) too. Again use of chemical fertilizer instead of organic fertilizer quickly fertilized and increased coffee production and ultimately affects on the long run fertilization. Standardization There is an urgent necessity to take proper initiatives for making the proper standardization of coffee industry for ensuring its perfection and better quality. Sinh, Sutcliffe, and Van (1999) states that- "General Department of Quality Control, the Polytechnic University, and the Department of Science, Technology and Quality Control and after reviewing the coffee standards of ISO and some countries such as Indonesia, Brazil, and the Standardization Committee of Vietnam Coffee Corporation (VINACAFE) has developed standards

Marketing Communication Research Paper Example | Topics and Well Written Essays - 1500 words

Marketing Communication - Research Paper Example The researcher states that some of the main benefits of an effective marketing campaign include market penetration, increased market share, increased market share, increased competitive advantage, and increased awareness among customers about the products of the company. However, in every marketing campaign, managers need to focus on finding an appropriate marketing mix in order to make the campaign successful and profitable for the company. In this, we will discuss the importance of the role of the marketing mix components in the success of businesses operating in today’s competitive business environment. Implementation of an effective marketing communication plan and taking steps to monitor the actual performance of the plan are of significant value for any company to succeed in a competitive business environment. In order to successfully monitor and control the working of the marketing communication plan, companies use the marketing mix as one of the main marketing tools. A s Belohlavek states, â€Å"The objective of a marketing mix is to establish the successive and simultaneous actions to influence the consumer’s or user’s purchasing decision†. Finding the right marketing mix holds the central value for the success of any marketing campaign. Marketing mix helps managers in determining the best way to market their products and services. As Varey states, â€Å"The marketing mix is seen as a collection of tools to be used to elicit desired responses from target markets†. It helps a company in finding the target market, as well as in determining the price of the product by considering various external business factors, such as the price being offered by competitors, similar products being offered by competitors, and buying the power of people living in any specific geographical location. Proper analysis or evaluation of all components of the marketing mix, which include price, place, product, and promotion, plays a key role in making the marketing plan successful for the company. As McDaniel and Gates state, â€Å"The mix is the unique blend of product, price, promotion, and place (distribution) designed to reach a specific group of consumers† (3). Companies usually develop their marketing strategies depending on the needs of the public and the market in which the product is to be placed. In highly competing firms, such as cell phone and automobile companies, the strategy regarding use of the marketing mix components does not remain the same forever. Managers of such companies review and change the nature of their marketing strategies continuously depending on internal and external business environments. For high profile brands, companies usually focus more on the promotion component of the marketing mix instead of price. Similarly, for a product which is to be placed in a market where there is a lot of competition, the company focuses more on price instead of promotion because customers like to b uy products of such companies that offer superior quality at a relatively low cost. Managers of high profile companies also analyze their marketing mix frequently in accordance with the level of customer acceptability regarding their product in order to make the required changes in the marketing strategies if needed.