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1. Demographic segment
 Age structure: Usually attract active and youth generation (18 – 35 years old)
 Income distribution: average to higher income (more often)
 Geographic distribution: available mainly in city center, with dense
population: Hanoi, Da Nang, …
2. Political/Legal segment
 Taxation laws: Mainly suffers from increase of tax by governments and
regulations at state level.
In Vietnam, increase in tax to reduce the risk of traffic accidents
3. Technological segment
 Product innovation: Tuborg has unique jerk cap design without opener (Open
to more)
Tuborg bottle: product’s name is printed with skewness of 62,50 so that when
drinking, other people will see the product’s name easier
 Applications of knowledge: Helps brewing industry to develop more efficient
distribution channels
4. Physical environment
 Minimizing a firm’s environmental footprint: recycled packaging materials
 Availability of water as a resource

Group work 3
Based on the 5-force and product life cycle models to analyze the product of their company
in your case analysis to:
1. Define major buyers and their bargaining power
- Major buyers: distribution retail and wholesale, restaurants, supermarkets, bars,…
(distributors are the ones who are directly connected to the consumers, they have the
ability to control their profit margin and offer beer at specific price)
- The brewers can fluctuate, or raise price and the buyers will still buy the products
because they are less sensitive to price change and still interested in the
products.
- Consumers have low price sensitivity: there will be interested profits throughout
the lager beer industry. And consumers do not present much brand loyalty
because there is threat of the alcoholic and non alcoholic being preferred.
- Consumers are still left with the power because they have the ability to choose if
they want to consume beer and who they are going to purchase it from.

2. Define major supplier and their bargaining power

- Bargaining power of supplier is low for most of the ingredients that are in beer which
works in favour of the industry.
- “Components required in the product and packaging include hops, bottles, packaging
products and water, are homogenous in nature and considered commodity products”.
-

3. Specify main competitors and their strategic competitive advantages and strategy
Heneiken, Tiger, Budweiser,: sponsor music concerts
- Due to the significant growth of the beer industry, the demand for product is
increasing on a global scale which is also raise competition of the industry.
 - So to compete, many different brewers find new way to differentiate their beers.
To alter approach, they will drop price to compete & get rid of inventory by
increasing sale.
- Modifying their marketing strategy to draw attention (offering seasonal flavor,
new design, logo to make products stand out).
- Gain new customers by offering free samples of beers in stores, events,…
Implement innovative marketing techniques to create steady and constant
demand.

4. Specify some substitute products and their advantage

- Better commercials on TV, billboards, and truck logos to promote sales
- Different marketing tactics: word of mouth, innovation, creativity and community
involvement, dominate the market

5. Identify barriers to the new entry

- With high initial costs, such as purchases of delivery trucks and security with database
management systems: industry is often prohibitive to new entrants.
- It’s hard for new wholesalers to enter industry and be able to compete with older ones =>
difficult to find success in industry because they are inexperienced and have little to no
power as they are just starting out.

6. Conclude about the industry attractive

Beer industry in Vietnam is developing
Chia part
1.Introduction: DUNG
Industry, firm, product
Describe customers, supplier and competitors in the industry
Firm business process and activitiese related ( inputs production output)
Provide some evaluations about issues of the industry and the firm in business.(THUY)
2.Body
2.1.Base on the framework of macro-environment analysis to analyze and identify
opportunities And threats for the business/industry/product. (GIANG)
2.2. define major buyers and their bargaining power
Major supplier and their bargaining power(HANG)
2.3. main competitors and their strategic competitive adv

Substitute products and their adv

Barrriers to new industry

3.Conclude (VAN ANH)