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ABTRACT

In today's development era along with the introduction of many different cultures
around the world, fashion in Vietnam has become more diverse than before. Foreign
fashion styles are favored by young people in Vietnam and that is also the reason why
many local brands are born to keep up with international fashion trends. There are
many local brands that are very focused on the quality of the product and the price
suitable for customers, but besides that there is no shortage of local brands that only
care about profits but don’t care about the quality of the products they have created.
The products are of such poor quality that after only a few washes, the form will be
damaged, the color will fade, ... However the price to pay for those products is not
cheap, those products are sold at very high prices with a label "limited". That makes
customers, who buy that local product feel like they have been cheated because they
spent a large amount of money but received in return a very poor quality product and
didn't meet the customer's expectations.
       
       There are some famous local brands, which create crowd effects and are strong in
communication, so they can hit the "cheap" mentality of students. They just care about
the design and price, but ignore the quality of the product. That is the reason why
many local brands produce poor quality products. It also affects and affects the
streetwear community and competes with local brands with good quality and
creativity in products in an unfair way. The last thing is that the product is cheap so
they can change to that item at any time they want to change that is all the reasons
why customers know the quality of the product of some local brands is not good but
they still defy those items.

For these reasons, our team decided to research the students' perspectives on the
quality of local brands in Vietnam. With the qualitative method by survey
questionnaire, the opinions of about 70 students are collected and analyzed to find the
answers to the research questions. The results show that they buy local brand products
because it is trendy, eye-catching, popular or for some other reason. Most of the
participating students are those who have been, are and will be using products
manufactured by local brands in Vietnam.

      Therefore, the first objective of this research is to identify the advantages,


disadvantages, advertising strategies and give advice to local brands as well as
customers. The second objective is to specifically clarify the collected issues and give
advice to customers and local brands.

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TABLE OF CONTENTS

ABSTRACT…………………………………………………………………………..2
TABLE OF CONTENTS…………………………………………………………….3
LIST OF CHARTS…………………………………………………………………...5
Chapter 1……………………………………………………………………………...6
Introduction…………………………………………………………………………...6
Chapter 2……………………………………………………………………………...7
2.1. Definition………………………………………………………..……………….7
2.1.1. Local brands…………………..…………………………………………….7
2.1.2. Quality of local brands…………………..………………………………….7
2.1.2.1. Brand design quality…………………..……………………………….7
2.1.2.2. Brand service quality……..……………………………………………8
2.1.2.3. Brand material quality…………………..……………………………..8
2.2. How do local brands expand their brand name……..…………………………...8
2.2.1. Bring to the world…..………………………………………………………8
2.2.2. Kols……………………………..…..……………………………………..10
2.2.3. Promotion…………………………..……………..……………………….10
2.2.4. Price………………………………………………………………………..10
2.3.  Effects of quality of local brands………………………………………………11
2.3.1. Positive effects…………………………………………………………….11
2.3.1.1. A customer’s faith and tendency “Vietnamese prioritize domestic
products” ……………………………….……………………………………..11
2.3.1.2. Vietnamese local brands can be brought to the world…….………….12
2.3.1.3. Vietnamese local brands become overwhelming and popular in both
nation and foreign…………………………………….……………………….12
2.3.1.4. Inspiration and encourage newcomers by start-up story of founder local
brand…………………………………………………………………………..12
2.3.1.5. Take advantages of hitech…………………………………………….13
2.3.1.6. Positive impact on awareness to recycle material for protect
environment by new creations………………………………………………...13
2.3.2 Negative effects…………………………………….………………………14
2.3.2.1. Genuine Local Brands may not be known……………………………14
2.3.2.2. Inequitable competition………………………………………………14
2.3.2.3. Model posing…………………………………………………………15
2.3.2.4. The definition of "Limited" becomes fuzzy…………………………..15
2.4. Local brands versus global brands……………………………………………...16
2.4.1. Global and Local…………………………………………………………..16

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2.4.2. The impact of brand globalness and brand ownership on product
evaluation.. ………………………………………………………………………17
2.4.3. The role of price in brand evaluation…...…………………………………18
Chapter 3…………………………………………………………………………….19
3.1. Research objectives…………………………………………………………….19
3.2. Research subject, scope and scale……………………………………………...19
3.3. Research questions……………………………………………………………..19
3.4. Research method………………………………………………………………..19
3.5. Data collection and analysis……………………………………………………20
3.6. Research plan…………………………………………………………………...20
Chapter 4…………………………………………………………………………….23
4.1. Factors creating the quality of local brands…………………………….………23
4.2. Positive impact of local brands…………………………………………………24
4.3. Factors helping local brands be closer to consumers…………………………..26
4.4. Social networking sites promoting local brand’s products……………………..27
4.5. Negative effect of local brands…………………………………………………28
Chapter 5………………………………………………………………………….…30
Conclusion and Recommendations…………………………………………...……30
5.1. Conclusion……………………………………………………………….……..30
5.2. Recommendation……………………………………………………………….31
APPENDIX…………………………………………………………………………..33
REFERENCES………………………………………………………………………...

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LIST OF CHARTS

1. Chart 4.1. Factors creating the quality of local brands


2. Chart 4.2. Positive impact of local brands
3. Chart 4.3. Factors helping local brands be closer to consumers
4. Chart 4.4. The social network approach the highest customers
5. Chart 4.5. Negative effect of local brands

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Chapter 1

Introduction

It is a fact that there are famous local brands but their product quality is too
bad, especially it does not meet the expectations of customers. Many local brands care
more about profit than the quality of the product, the price is too high for the quality
of the product and sometimes there is no innovation in the design.

Customers who regularly buy local brand products know that the product
quality of some brands is not good, but they still buy those poor quality products for a
few reasons: eye-catching design, those customers think they really need the product,
and especially the price of these inferior products is extremely cheap. Because of these
views, many customers still want to buy low-quality products from some local brands
because they can change these items anytime they want.

For the time being, local brands have been overwhelming and popular with
consumers, especially young people. The factor causing this phenomenon to become
well-known is the marketing strategies of entrepreneurs with an abundance of
sophisticated advertisements convincing consumers to buy their products as much as
possible. In addition, social proof is also related to this campaign, in which consumers
follow the mainstream on social networking and mimic what others do. As a result,
the more buyers brands have, the more depression their designers face, which leads to
plagiarism. Moreover, another remarkable factor is the tendency “Vietnamese
prioritize domestic products” combined with reasonable prices and good quality.
Some local brands do not satisfy consumers’ demand with low quality, hence they just
put it on a few times and find it trivial, no longer to use and throw it away, which
directly affects the environment. Thus, this topic causes us to have an impulse to
resolve this problem and it will be mentioned at the end of the report. 

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Chapter 2

Literature Review

2.1. Definition

2.1.1. Local brands

Local brands that produce and exchange commodities in only a nation or a


geologically restricted section are labeled local brands. This can come from a regional
or worldwide corporation as demonstrated in Wolfe's (1991) study. Khanh Nhu (2022)
also suggested that this is true. She found that local brands are typically established in
the form of a company that has its own ideas from which to design and create in a
closed cycle and is sold to the market through branch stores in a certain region or
throughout a country. Clothing, shoes, bags, caps, and other fashion items are
examples of local brands.

Based on this research study, it is evident that Hassan and Rahman (2013) indicated
that local brands enable local entrepreneurs to improve when they develop their own
brand name. The product of local brands could consist of drinks, hand crafts,
accessories, especially clothes that have to satisfy standard requirements and be
sellable via hypermarkets in order to spread brand awareness to consumers, even other
nations as well.

However, in a separate study on local brand’s definition, a local brand may occur and
exist that has to rely on recognitions, relationships, and experiences of consumers via
their product or service as seen in Schuiling and Kapferer’s research study. Moreover,
another difference in that in the reveal of Ozsomer (2012), which he conducted is that
local brands occur to satisfy local consumer’s demand, they have to adapt and convert
according to the specific needs and desires of the market. Therefore, consumers
literally have a tendency to purchase local products owing to the close bond between
consumers and local brands that is inseparable as revealed by Schuiling at el., (2004);
Strizhenova and Coulter, 2015)

2.1.2. Quality of local brands

2.1.2.1 Brand design quality

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It's very important to make customers love at first sight by selling something. And
design in terms of local brand's products would facilitate the mission, in which
customers expect innovation and novelty when using the product (e.g. in the fashion
industry). It's not just about aesthetics, it is also relevant from time to time because
fashion is always changing and upgrading year by year (Arimetrics, 2022).

In short, based on these studies, the design of a product influences whether or not it is
purchased by a customer. Customers always want to buy products that are beautifully
designed, one of a kind and trendy, so local brands have to invest a lot in design to
match the needs of customers.

2.1.2.2. Brand service quality

Another difference in quality of local brands may occur in service, which is


considered that brand service quality is determined by brand loyalty despite its unclear
relationship (Gremler and Brown, 1996; Harris and Goode, 2004). However, the
distinction was found in Tam’s (2000) study. According to him, brand service quality
has a great impact on brand trust.

Otherwise, brand service quality, which satisfies certain customer's demand is the
definition of the quality of local brands as demonstrated by Heung, Wong, & Qu
(2002). Service quality is a measure that estimates the service via stores and
employees to customers, who spend money to buy products and experience purchase.
The quality of service is one of the three important factors that make the decision for
customers to turn back in the next purchase.

2.1.2.3. Brand material quality 

Regarded as the survey of Bifa 8 on quality of local brands that belong to materials.
The quality of the production materials that create the products sold is one of the
important factors for customers to think about whether to buy the products of that
local brand. A famous local brand will pay great attention to the selection of
production materials which must satisfy the standard and requirements from the thread
to the cloth to sew into a complete product.

2.2. How do local brands expand their brand name

2.2.1. Bring to the world

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Competition between local brands and global brands is more serious, hence, it is time
for local brand managers to fend for themselves in order to be outstanding of global
brands. A local brand has witnessed “doing well abroad”, which boosts the impulse of
success and respect from hometown. Thus, attaching is used by local brands in global
expansion strategy. To make this strategy into reality, enhancing presence in foreign
markets and applying this abroad availability are focused by local brand managers and
easy to communicate with local consumers. Indeed, the volunteer Turkish jeans brand,
Mavi, ran advertisements specifying that its brand is sold in the United States (among
many other countries), the home of the original Levi's denim. 

Another approach to building an impression of universality incorporates


demonstrating prominently on the packaging selective outside nations (positive in the
psychological guides of designated shoppers) where the items are accessible and
giving usage guidelines in various languages. Worldwide accessibility could likewise
be the underpinning of print or TV ads. Worldwide quality support marks, like the
ISO 9000 group of quality standards and European Commission quality standards, are
additionally helpful. Public relations departments can court the abroad media by
giving them admittance to their key executives for assessments and remarks about
recent concerns.

The positive connection between local iconness and local brand reputation,
consistently upheld in each of the three business sectors, merits local brand
supervisors' attention. On the side of Steenkamp, Batra, and Alden's (2003)
observational outcomes and embracing Ger's (1999) feature on local culture, local
brands that put resources into and convey their brands as symbols of local culture can
improve their brand's reputation. For instance, one of the Turkish brands in this
research, Mavi denim, sent off a communications campaign in 2007 (Mavi 2007) in
which pants were wrapped like turbans on models' heads and a few local
embellishments were utilized.

Last but not least, local brands that are seen to be global are additionally seen to be of 
higher quality. The shoppers might be utilizing the accompanying surmising: If the
organization is selling this brand in other world business sectors, it should be focused
on this brand, and it can't take a chance with harming its brand name by delivering bad
quality items. Different customers all over the planet have to purchase this brand
owing to higher quality. Hence, despite not being expressly tested, the credibility of
local brand's  perceived globalness may be enhanced, as demonstrated by Erdem and
Swait (1998). The positive relationship between the perceived globalness and local
quality brand is sparking off heated controversies whether perceived brand globalness
raises the quality, which particularly improves the possibility of local brand purchase
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and thus diminishes the probability of purchase in global alternatives. This study gives
the principal exact approval of this chain of impacts.

2.2.2. Kols

Kevin Payne (2020) pointed out that collabing with influencers or those who have a
great impact on society is one of the fastest ways of building and enhancing a local
brand’s image on the off chance that you're beginning.Kols secured themselves as
legitimate wellsprings of data in a specific specialty due to the nature of the substance
they distribute. As a matter of fact, 61% of clients will purchase an item or
administration suggested by a micro-influencer they follow.The key here is tracking
down micro-influencers inside your specialty to work with. In a perfect world, the best
ones are those that are either your clients or those that have proactively been
discussing your image or item. The same opinion was shared in Quang Vu’ article
(2020) that using the image and influence of kols on social networking to spread their
brand name.

Hiring famous people to promote their products is another marketing strategy used by
many local businesses. However, local brands should be cautious when selecting an
influencer to advertise with; find out if that person is involved in a scandal or has a
negative impact on the community. If this is not done, customers will have a negative
impression of the product.

2.2.3. Promotion

Balasubramanyam and Salisu (1996) inclined to the view that advertising plays an
important role in educating consumers, anything manipulative highlights may it have.
Brands are a vital part of present day well-off customer social orders, the authors
contended. Features of the consumption patterns are sought such as satisfying buyer's
demands, brands and ads utter a helpful function in general. Balasubramanyam et al,
1996 additionally investigate the writing on the significance of item separation as a
hindrance to section of new firms into industry. To demonstrate, the young market of
the principal fruitful brand can profit from pioneer benefits, even though some would
contend that such benefits are not incredible except if the clients are happy with the
item. How might brands add to the double-dealing of economies of scale and degree
underway and dispersion.

2.2.4. Price

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Contrary to the popular examination participating in the promotional fields of the
marketing, cost perception has generally been neglected, in spite of its apparently
clear significance in making decisions and previously mentioned pertinence to
branding. Purchasers view the cost as a "give" factor that they need to forfeit to "get"
the ideal item (Monroe, 1984), and they have a reasonable price range enveloping
what they will pay. The adequate cost falls between the purchaser's upper and lower
cost edges (Kalwani and Yim, 1992; Kalyanaram and Little, 1994; Ofir, 2004).
Shoppers see costs underneath the lower edge either as a deal, or as reminiscent of
value inadequacies. Costs over the upper edge actuate opposition, addressing an
unfortunate incentive for cash. Inside the zone among lower and upper cost edges,
(minor) value varieties may not recognizably sway customer decision. Cost expects
more noteworthy pertinence to shoppers once marking enters what is happening.

Purchasers by and large compare extravagant items to excellent items (Erickson and
Johansson, 1985). Be that as it may, assuming two brands are seen to be equivalent in
quality (maybe base on marking), and assuming the cost of one is perceptibly higher,
any remaining things being equivalent, buyers ought to be less able to buy the more
costly other option.

In short, entrepreneurs are trying to apply for as many promotions as possible but still
make profit. They would label two kinds of costs as a discount to make consumers
feel as if they are bargaining. In fact, they have increased the price, then have made
the lower cost edges into the genuine price. However, there is just less value in the
lower cost edge than the upper, which gradually causes consumers to purchase on
impulse. Moreover, reasonable prices not only satisfy customers but also keep a
certain number of them. Furthermore, many local brands frequently offer product
discounts on holidays such as Black Friday and Woman's Day in order to attract more
customers and promote their products.

2.3. Effects of quality of local brands

2.3.1. Positive effects

2.3.1.1. A customer’s faith and tendency “Vietnamese prioritize domestic


products”

Beginning with the great success of the local brand, Vietnam fashion has had positive
impacts and improvements. Firstly is the tendency “Vietnamese prioritize domestic
products” combined with reasonable prices and good quality are being encouraged.
Designers hit the spot of young customers and they always use their gray-matter to
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release their new items which keep up with the latest fashion and not to lose the own
identity of the local brand Vietnam. Minimalism is typically identified with 2
monochromatic colors( black and white) and exquisite tailoring, simple. With this
kind of style, you can go anywhere or deal with any situation, because minimalism
can satisfy every requirement of the needs of the wearer: comfy, fashionable,
outstanding, simple and equally luxurious.

Entrepreneurs and their products make faith in customers demonstrated by the


feedback and the rate after purchasing. It is not only faith in quality but also faith in
the completion of the future of Vietnam Fashion. 

2.3.1.2. Vietnamese local brands can be brought to the world

The aim to take a local brand to become a global brand is always prioritized. Although
it is too hard for young founders who come with fashion by passion and youth, no
experience in business, the goal offered is required to be much higher than their
ability. Because youth is an effort, this is an easy way to achieve success.

There are a lot of local brands that spread fame, the name of international fashion:
Dear Rosé of founder Nguyen Thanh Duong (09/2012) has the honor of coming into
sight in Vogue Magazine in the category of new brand and designer. According to
Nguyen Thanh Duong “Learning is a necessary process before breaking the rules to
create a true original”

2.3.1.3. Vietnamese local brands become overwhelming and popular in both


nation and foreign

Not only well-known in some famous magazines, but also celebrities from all over the
world: Rose of BLACKPINK used to wear Fanci Club merchandise in both the local
and international fashion worlds after Devon Lee Carlson and Doja Cat wore this
brand. Especially in Vietnam, entrepreneurs make many plans with celebrities or other
local brands. For instance, ClownZ brand updates limited Edison X Pepsi with items
called “Distorted Full Print Short Sleeve Shirt & Bucket Hat”, another brand  Dirty
Coins X 16Tyhn called THE RAPPER and EYES T-SHIRT

2.3.1.4. Inspiration and encourage newcomers by start-up story of founder local


brand

Moreover, the success of local brands helps Vietnam fashion seek many young talents
who have a passion for Fashion. These are motivation and inspiration encouraging
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designers to keep trying hard and perform their creations and imagine creating an
original product. The reason creators get closer to fashion is their infatuation but
another key to success is the economy. Our founders begin with step 0, they have to
study the field that they never thought about, to research the inward market to
understand the customer’s need and the tendency to keep going. Before establishing
their own brand, they have to prepare for a positive mentality to deal with challenges.
The difficulties in the beginning days of Entrepreneurs is a start-up story that raises
the spirits of newcomers to become go-getters. All of our founders are following an
aim to “integrate not dissolve”, the important thing in each revolution is to maintain
the traditional values. For instance, Degrey Brand used to publish a collection that is a
combination between accent and modern with a meaningful cultural message. 

2.3.1.5. Positive impact on awareness to recycle material for protect environment


by new creations:

Besides encouraging the success of Vietnam fashion, the local brand is also joining
hand in the environmental protection campaign. The fashion industry is basically a
field causing pollution ranking the second award after exploring fossil fuels. To be
aware of this serious consequence, entrepreneurs are finding a suitable solution to
decrease the negative impacts on the environment as much as possible. Because a
sustainable fashion is not simply a tendency or temporary movement, it is a process
that requires the knowledge, the ability of self-study, and practice in business not to be
influenced by the environment, Earth, and people. There are some local brands that
make both customers and Vietnamese proud because they have been carrying out the
responsibility for nature. 

“Dong dong” is a brand that provides unique items about the purse, and bag… by
guaranteeing the process is not harmful. Their products are made from an old blanket,
and they are clean except the scar because the creator wants to show respect for the
past and the story behind it. 

“Peacock’s Store” – conserve natural, respect traditional beauty. All of the products
are handcrafts careful with raw cotton, silk,… which can be easy to decompose.
Besides protecting the environment, the founder also respects long-standing cultural
values. Most of their ao dai are made by artists who have more than 20 years of
experience-year. Brands learn about the skill of dying cloths from Ethnic in the North
to approach the traditional skill in making products. They always put their heart and
soul into products, that is a reason for creating a brand “Made in Vietnam”.

2.3.2 Negative effects


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2.3.2.1 Genuine Local Brands may not be known

There are some local brands that are flooding the market with poor quality but low
prices that attract students. As a result, local brands invest their brains and have an
unnoticed reputation.  Because the majority of local brand customers are young people
and students, local brands with low prices and good communication frequently appeal
to young people's purchasing psychology. Some local brands use poor quality
materials but still have a high purchase volume.

2.3.2.2 Inequitable competition:

From 2016 to 2018, many local brands were born and renewed in Vietnam, leaving a
spectacular mark on the Vietnamese fashion industry with pioneering brands like
5THEWAY, CLOWNZ, SWE,... that are loved and supported enthusiastically by
many young people. These local brands were born with a distinct streetwear aesthetic.
However, in the last 1-2 years, a number of local brands have been condemned and
exposed for doing things like taking photos online and printing them on their shirts,
plagiarizing the ideas of global brands (foreign brands), and even plagiarizing other
local brands.

Many local brands compete on price and design. They wanted to make a lot of money
quickly, so they didn't hesitate to copy artwork, buildings, or statues. Plagiarism and
stealing have become "trends'' in the Vietnamese fashion industry. They plagiarize
everything from the concept to the marketing display of the product. This action not
only has a direct impact on the brands, but it also harms the professional image of
Vietnamese fashion, which genuine brands have worked hard to build.(Quyen Vu -
Founder). In my opinion, these will be a hindrance to the development of the
Vietnamese fashion industry because these local brands have no creativity and
innovation in design, but only steal ideas from famous brands. language. This is the
reason why local brands that steal ideas that are considered copies of famous brands
will never be able to reach out to the world.

Typically, BadnotGood's shirt copied the idea of GONTHWID 's New World Peace
Freedom short sleeve T-Shirt or did Twenty even take the ThumbnailMV No Internet
by 7UPPERCUTS X SEACHAINS . Another company named Seventown invested in
the logo and brand name in the style of YvesSaintLaurent . One more company called
RAGE GOD took the artwork on Pinterest and attached its name to.  Local brands
such as 5theway have used the lookbook concept popularized by Balenciaga and
Pharell to promote their products.As a crude joke, some Local brands incorporate
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religion and politics into their products. It contributes to the promotion of religious
division, religious self-esteem, and regional discrimination in some already tense
areas. This may have a negative impact on the image of the Streetwear community.

It is because of the unethical behavior of some brands that all domestic brands are
affected. When it comes to local brands , people only talk about mass-marketing,
plagiarism, plagiarism, and they forget that there are many other brands that have very
rich ideas, the amount of brain they invest in is a lot.( Gia Bao )  Many brands use the
formula: copy + edit +  limited edition = Best Seller which is known as self-designed
fashion (N.H. Anh Khoa).  According to reports, fake goods will make original
designs appear cheap, giving consumers a distorted view of the value of creativity in
fashion.  In my opinion, stealing “idea” and labeling “limited” for quick production
and high prices is very common in established and established brands. This will help
them increase revenue in the short term but it is certainly not a long term plan to grow
stronger in the future.

2.3.2.3 Model posing

Instead of investing in the long term and relying on gray matter to succeed, they
simply need to find a model that is fast and, more importantly, hot. Using customers'
physiology to create shooting concepts that are inappropriate for Vietnamese customs
and traditions. 

2.3.2.4 The definition of "Limited" becomes fuzzy

The street fashion market and Vietnamese local brands are no strangers to buy and
resell. However, some local brands' business strategies have resulted in customers'
incorrect understanding of the concepts of "limited" and "restock."

To create a frenzy for their products, it will be communicated as limited pieces in


order to entice customers to buy quickly. The supply of "Virtual" will rapidly increase
due to reseller support and price-fixing. Buyers will panic when the "Soldout"
announcement is made and accept to buy at a higher resell. Buy and resell only helps
brand branding and market awareness, but does not generate revenue (because the
profit is in the pockets of resellers). As a result, the founders will take one more step,
which is to restock with a limited quantity. Customers will get the wrong idea about
"limited" and "restock" if local brands do this a lot. This will have the following
effects like customers no longer trust the brand or the product value. Customers will
lose interest in a product if they are repeatedly misled by information.

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This problem not only affects the brand itself, but also affects other local brands,
locales that refine good quality products. Many local brands don't care about buying
and selling; instead, they value the fact that customers can try their products.
Resellers, on the other hand, step in and buy and resell products at prices that even the
founders can't fathom.

2.4. Local brands versus global brands

2.4.1. Definition of Global brands

Global brands are brands that have a large scale and wide range of activities around
the world. it is suggested that the extent to which a global brand has a positive
influence on that brand. The reach of a brand is always appreciated, the globality of a
brand plays a huge role in building and creating a sustainable competitive advantage
with other brands (Johansson & Ronkainen, 2005).

2.4.2 Similarity and differences between global and local

2.4.2.1 The Similarity

They are all focused on the world of fashion and bring a lot of influence to the world
as well as the domestic regions. This will help fashion markets around the world and
regions become stronger and more unique as they all aim for new things and also
convey messages into their collections so that customers can understand the messages,
which can have meanings beyond the fashion that brands want to convey.

2.4.2.2 The differences

Global brands will never centralize their stores in a certain continent, but they will
distribute them evenly around the world to be able to reach all customers around the
world (Quelch, 1999) . Meanwhile, local brands often focus on a certain region or
country without having facilities in other countries around the world. Most global
brands will produce quality products because it directly affects that brand, they go
from the smallest things to create a quality product before reaching the customer
(Quelch, 1999). With global strategies aimed at reaching customers around the world,
the price of a product of a global brand is very expensive to be able to earn large
profits for the company(Luigi & Simona, n.d.) . along with this view(Lopes & Casson,
2007) that they have long-term strategies to improve and develop their strategy year
by year this will help the global brands grow stronger day by day.

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In short, both Local brands and global brands focus on developing the fashion industry
however, they have a difference in the organization and the way to perform. A local
brand can be found and established in an area, not as overwhelming as a global brand
which is well-known and popular with customers around the whole world. Despite
being encouraged the creation and the imagination, each designer always tries to keep
their characters and combine traditional and modern unique, bringing the artistic soul
to their product. A local Brand is the beginning step of establishing a Global Brand,
when it has become famous and developed globally, it's time that Local Brand will
achieve the final goal to turn into a Global Brand.

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Chapter 3

Research description

3.1 Research objectives

To seek for the quality of local brands according to BIFA 8 students’ perspectives on
different aspects

+ Definition of local brands and the quality of local brands

+ The effect of local brands

+ Marketing strategies of entrepreneurs

+ The side effect of local brands

3.2 Research subjects, scope, scale

+ 70 BIFA 8 students

+ How do BIFA 8 students understand of the quality of local brands

3.3 Research questions

+ What are the positive and negative sides of the quality of local brands

+ What are marketing strategies of entrepreneurs that appeal to consumers so much?

3.4 Research method

The survey questionnaire was applied to seek for the answers following two research
questions. This survey is being conducted with the aim to discover how Bifa 8’
perspective on Quality of local brands. 70 students in BIFA 8 were given the Google
forms in order to fulfill their personal opinion and answer the questions provided. This
questionnaire would facilitate the purpose of this study.

3.5 Data collection and analysis

All the supplied responses were estimated to utter the proportions related to each
survey question. The data is going to be represented using pie charts.

3.6 Research plan

18
Week Indies Staff Cooperator Deadline Note

12h
Finalize topic All All 11/04/202
2
1 11/04/2022 Each
12h
Find 4 printed person
All All 12/04/202
sources researches
2
1 source

Subtopic:

Positive effects Ha Vi All

Minh
Negative effects All 12h
Hue
2 12/04/202
Marketing Ha 2
All
strategies Anh

Definition, Hoang
All
Advice Viet

23h59 Call in
3 12/04/2022 Outline All All 12/04/202 Google
2 meet

Survey form:

Ha
Anh,
Design 12h
Minh
questionnaires Ha Vi 14/04/202
Hue,
12/04/2022 2
Hoang
4 Viet

20h
Google
Create a survey Ha Vi Hoang Viet 14/04/202
forms
2

Hoang 22h
14/04/2022 Fix a survey Viet, Minh Hue 17/04/202
Ha Vi 2
19
Proposal

Ha Vi, 12h
Ha Vi,
Background Hoang 14/04/202
Hoang Viet
Viet 2
13/04/2022 Ha
12h
5 Anh, Ha Anh,
Rational/ Purpose 14/04/202
Minh Minh Hue
2
Hue

Complete the rest 23h59


14/04/2022 of elements in All All 14/04/202
proposal 2

23h59
6 20/04/2022 Literature review opening 24/04/202
2

Data analysis

Factors creating
Minh
the quality of
Hue
local brands

7 08/05/2022 Positive impact of Ha Vi


local brands

Factors helping 23h59


local brands be Ha 09/05/202
closer to Anh 2
consumers

The social
network approach Hoang
the highest Viet
customers

Negative effect of Ha
local brands Anh

8 16/05/2022 Write incomplete opening 23h59


17/05/202
Abstract, Hoang
20
Viet,
Introduction Ha
Anh

Minh
Conclusion Ha Vi 2
Hue

Hoang
Recommendations
Viet

Hoang
References
Viet

9 20/05/2022 Checking for errors

Chapter 4
21
Findings and Discussion

This section of the study would utter the result and analysis about the convey
investigated through the online qustionnaire with 72 cooperators who are BIFA 8
students. There are five questions covering the definiton, effect, strategies of local
brands.

4.1. Factors creating the quality of local brands

Percentage of factor creating the quality of Local brand (%)


0.5

10.6

28.6
15.9

19
25.4

Material Design Service


Prestige The brand's message Unique character

Chart 1: Factors creating the quality of local brands

The pie chart gives information about the percentages of the factors that create the
quality of local brands based on survey Bifa 8’s perspective. It is clear that material,
design, and service are always prioritized by buyers, after that it is a position of
prestige and the brand’s message, and the last is a unique character because good
materials will create a good impression and get success from the product.
Material with 28.6% is one of the three factors which has the highest percentage in the
survey. A good material will make a good product. The lower quality fabric is used,
the more temporary the product life will be. Those materials take a long time to
decompose and harm the environment. Therefore, the material is the key to the
success of a product.

22
Following the ranking of this race is the position of design with 25,4%, lower than
3,2% material. The local brand approaches young people by hitting their minds with
unique items with eye-catching, creative, and energetic designs. Each local brand
always keeps up with the latest fashion and does not lose the own identity of their
character and that is reflected in each collection. 
The service of local brands is also one of the factors that Bifa 8 students appreciate
quite highly with 19% in the top 3 weak points factor in the quality of the product,
although lower than 9,6% material and 6,4% design. Services include consulting and
support from customer service staff and promotions which help founders bring their
products closer to buyers.
From the success of the selection of materials to the creation of a unique design
combined with the good service of the new brand that creates the prestige of the
brand. The difference in a vote between material and reputation is 12,7%, this is quite
a large number but it is also completely true. The material that makes up the product
and the success of that product is the reputation of the brand. A good starting point is a
fulcrum to reach the destination easily and conquer it resoundingly. That prestige is
the trust of customers not only in that local brand but also in the future of Vietnamese
fashion, which can develop further and gradually move towards international fashion
with the transformation steps to become. a full-fledged brand. This is also the goal that
every creator is always aiming for.
At the bottom of the chart are the brand's message with 10,6% and unique character
with 0,5%. Each product has a hidden story that is a motivation or inspiration for
customers and newcomers. A designer often sews their logo on the item, but not
everybody likes it. Some people hate it cause it’s universal and sometimes a bit showy
to those who like the simple style.
In conclusion, A survey of bifa students has shown that each factor for the success of
a local brand is very important. However, each person will have different purchasing
requirements and so will the brand. They will prepare their developed plan and
various styles to become more diverse, and suitable for customers and young people
who have a passion for fashion. The local brand is growing day by day and promises
to become even stronger in the future.

4.2. Positive impact of local brands

23
The positive impact of local brands on Vietnamese fashion
40 35 34
30 28 29
30
21
20 16
10
1
0

Chart 2: Positive impact of local brands

The column chart shows the positive impact of local brands on Vietnamese fashion
today based on a survey of BIFA 8 students. The survey subjects were 8 positive
impacts voted by 72 students.
The impact "Vietnamese people give priority to using domestic products" is being
encouraged to have the most people choose compared to other activities of the local
brand. This impact is in the top 1 voted by 35 people (48.6%) out of 72 people. The
local brand has been seen to be positioning itself in the country. The impact of making
Vietnamese fashion become dynamic, colorful and fresh was nearly equal to the
number of votes for the top 1 was 34 people (47.2%).  The top 3 are streetwear
creators, trends, and young people, as chosen by 30 people. This is also the most
obvious effect in the current Vietnamese market, where many local brands are born
and sought after by young people, and local brands' products have gray matter in
them, indicating that they are created from local trends. Being in the top 4 is the
startup story of a young entrepreneur who has become an inspiration to other young
people, which is less than the top three with a normal selection of 29 people (40.3 % ).
Implicitly, Vietnam's fashion orientation is not inferior to international fashion in the
top 5, but there are many votes that are not significantly different from the top four
(28 votes) (38.9 % ). With 21 votes (29.2 %) in the top 6, the concept of recycling,
reuse, and creativity has had a positive impact on the page. In contrast to the
aforementioned effects, today's success is the driving force that will assist Vietnamese
local brands in raising their global level to be in the top with at least 16 votes (22.2
% ). Perhaps for students to use local brands in the world, more elements and breaks
24
are required. Additionally, in the survey, one person (1.4%) added the option as
having no significant impact.
In summary, each person will have their own view of the impact of Vietnamese local
brands today, but it is undeniable that many local brands have put a lot of effort into
brand development and creativity in their products to create an active image to
customers.

4.3. Factors helping local brands be closer to consumers

The percentage of those who thought that factors helping


local brands be closer to consumers
1.2

24.1
26.9

37.2

KOLs Advertisement on social network


Friends Promotions

Chart 3: Factors helping local brands be closer to consumers

For the time being, local brands have been witnessing “doing well abroad”, which
gradually reaches their goal to bring their brand name to the world. In order to
facilitate local brand’s impulse, entrepreneurs have been launching as many marketing
strategies as possible and the pie chart shows how local brand’s product was exposed
to BIFA 8 students. As it can be seen, these data give information about the analysis
of 4 factors that local brands focus on just to broaden their brand name, which are
“KOLs”, “advertisements via social networking”, “friends” and “promotion”.

From the graph, advertisements on social networkings is probably the easiest way to
spread local brand’s information to consumers. With the advance of technology which
boosts the movement of the internet, the more time people spend on Facebook,
Instagrams, Tiktok, the more ads they have to watch. Whenever they scroll their feed,

25
the ads would appear immediately and consumers just can skip the ads after a
compulsory seconds. The second highest number (26,9%) that contributes a factor
helping BIFA 8 students know the information of local brands belongs to friends.
Friends are important people who have a great influence on a consumer's lifestyle.
Human beings have a tendency not to be inferior compared to their friends, hence they
might mimic what others do and own what their friends have, which is called social
proof. By this fact, nearly one fourth (24,1%) of people in BIFA 8 believed KOLs
would spread local brand name to buyers. Collabing with influencers or those who
have a great impact on society is one of the fastest ways of building and enhancing a
local brand’s image because people always desire to follow their idols and want to be
like them. Last but not least, although “promotion” just makes up 11,7% of total, it is
also inevitable since it would appeal to more consumers to buy their products. With
some discounts, give away games making buyers think as if they have bargains, they
will buy more as a whole and the entrepreneurs would profit from their promotion as a
result. 

4.4. The social network approach the highest customers

The position of the social network approach the highest


customers
60
53
50 47
44

40 38

30

20
15

10

0
Instagram Facebook Tiktok Web Shopee, Ladaza, Tiki,

Chart 4: The social network approach the highest customers

The data collected from the chart clearly shows that social networking sites are a great
place for local bands to promote their products to customers. It is said that young
people often use these social networking platforms, so capturing this favorable

26
condition, local brands have set up social networking sites to sell their products on it.
They are right because if they post or run ads on these platforms, they will attract a
large number of customers. We surveyed 72 young people and obtained a percentage
chart of the social networking platforms that reach the most customers, they will be
selected at least 1 choice or more. 

Instagram is at the top with the highest percentage of 73.6% being chosen by 53 out of
72 people. This is quite understandable because Instagram is one of the largest social
networking platforms in the world in general and Vietnam in particular, so it has
reached many customers here. The 2nd and 3rd place respectively belonged to Tiktok
(65.3%) and Facebook (61.1%), while Tiktok got 47 votes, Facebook only got 44
votes out of 72 people. With the recent strong development of Tiktok, it is not
surprising that this platform reaches more customers than Facebook, local brands will
hire KOLs to review their products and from there will have a large number of users,
who are interested in those products. With 38 votes and accounting for 52.8%, it is the
data of e-commerce platforms that reach customers. This parameter is quite good
because on e-commerce floors there are often coupons for discount products. The last
and the lowest figures are the websites of local brands with only 15 votes and only
20.8%, this is a rather modest number because in Vietnam, quite few people order on
websites. Mostly, they will only know local brand products if they are posted on social
networking platforms.

4.5. Negative effect of local brands

The negative impact of local brands based on a survey of


BIFA 8 students.
40 38 36 38

30
23 21
20
10
10
1
0
t m ed t on n r
ofi ris or en tio ne
pr ia gn m titi l lu si g
e g i se pe po de
ak Pl
a re rti m e, on
m a ve co tiv
o ds ad bl
e ct
st a n of e c
pa
ct br ita eff im
od
u
ed a ge qu un e
pr lifi nt In
e l , tiv
f a va ua ga
yo qu a d
nus Ne
a lit m
e ke e
u
qu So Ta om
e ec
i fic B
cr
Sa

27
Chart 5: Negative effect of local brands

As the success of local brands, there have been more young businessmen starting up
and operating their brand name. The more local brands appeared, the more serious
competition between local brands and global brands. In order to be outstanding
compared to other local brands, even global brands, the graph gives information about
sophisticated activities that local brands do according to BIFA 8 students’ knowledge.

Most of those who have had an experience using local brand products found
unpleasant owing to the material of items. The highest percentage of students believed
that local brands probably sacrifice quality of products to make profit (38 students
relative to 52,8%). Some entrepreneurs might be greedy who want to be wealthier,
hence lowering their budget to create their product as much as possible is the ideal
they pursue. Contrary to this pattern, the same number of students had a different
opinion. It is some local brands which are in impulse consumer’s faith, they incline to
the quality of items but ignore the design of it. By this fact, half of BIFA 8 students
accused local brands of plagiarism. Their goal was set in order to satisfy consumer’s
demands, hence local brands are always eager to update their products in a faster way
to attract many people. Therefore, plagiarizing everything from the concept to the
marketing display of the product is inevitable. This action not only has a direct impact
on the brands, but it also harms the professional image of Vietnamese fashion. 

Additionally, almost one fourth of students had a faith in overusing advertisements to


appeal to consumers that some local brands tell the lie about their product or apply
sophisticated ads to convince buyers to purchase items. Less than about 3%, 21
students inclined to inequitable competition. Many local brands compete on price and
design. They want to make a lot of money quickly but don’t want to waste time and
effort, so just reduce the cost lower than medium price and copy other ideas in other
local brands with a bit of a fix and turn it into a bestseller. Therefore, 10 students
thought those who work as designers would be affected negatively, they no longer
create any innovation and creative items because there are a lot of products copied and
sold in the fashion market. 

Otherwise, just one person had an opinion that local brands would harm the
environment, in which products that are not able to be sold or no longer be used as
well.

28
Chapter 5

Conclusion and Recommendations

5.1. Conclusion

It can be said that the research of students' perspectives on the quality of local brands
has shown the popularity and development of these brands in Vietnamese fashion. It is
becoming closer to consumers, especially young people, who have a passion for
fashion because local brands are domestic fashion brands that design and produce
their products that bring the brand's signature. To make a success, that is based on the
quality of the local brand including 3 factors: material, service, and design.

Good materials will produce a product that meets standards and has long-term value.
Moreover, it also shows the care and meticulousness in making each product and
thereby creating the prestige and success of the brand. Both design and service are
important factors in bringing products closer to customers. Designers always keep up
with the latest fashion and hit the minds of young people and then combine their
creativity to launch collections that bring their style and the message they want to
convey. Besides, to maintain the relationship between customers and brands, services
are also focused on and enhanced. Not only that, but it also shows the persuasion and
professionalism of the customer service staff.

Not only care about quality, but the brand also focuses on marketing strategy to be
able to reach buyers in more ways more easily. Besides reasonable prices or
organizing promotions, customer gratitude, advertising through social networking
sites, or KOLs, celeb is also a new advertising method that is used a lot recently.

The widespread adoption of local brands has had a significant impact on the
Vietnamese fashion market. It not only promotes the notion that Vietnamese people
buy Vietnamese goods, but it also provides an opportunity for young designers to fully
express their creativity and imagination. Local brands are no less competitive than
global brands, and they have the potential to expand into the international market in
the future, which is a major goal for many local brands. Local brands especially have
the advantage of easy access to local culture and meet the needs or trends of young
people, which global brands do not always do as well as local brands. Furthermore,
this rapid development has some negative consequences that must be mitigated.

5.2. Recommendation
29
For suggestive recommendations in this study, we have pointed out some solutions

which can be used in order to mitigate these potential problems:

For customers

On this day, local brands are sprouting up like mushrooms so there are many choices
for customers, but buyers should only buy famous local brands along with lots of
feedback from customers who have purchased products. This will help a lot of later
buyers know the quality of those products before making a purchasing decision.

The next advice for customers, who have been, are, and will buy products of local
brands is never to trust the reviews of online KOLs because they are hired to
compliment the products. Therefore, customers must be very alert and learn about the
product carefully if they do not want to be deceived by the compliments of the
reviewers.

The last and most important thing is that customers should invest in quality clothes,
although the price may be a bit higher, but this is a worthy investment and saves you
money. It is a fact that many people buy cheap products, the quality will not be good
and the product will not last long so you will throw those products away and that is a
big cause of very bad impact on the environment.

For entrepreneurs

Local brands should focus on finding high-quality ingredients to produce good


products before thinking about profits. This will help them compete with other local
brands and will attract many customers if their products are of high quality and
reasonably priced. It is for this reason that it will create long-term and sustainable
profits for local brands that invest in product quality.

The quality of the product is not enough, local brands need to invest in the design of
the product to catch the trend, be unique and attract young people. There are many
local brands that steal ideas and edit them to make their ideas and then print them on
their products, this is very bad and affects the brand of that local brand.

Improving customer service is also something that local brands need to pay attention
to if they want to develop long-term in the distant future. They need to provide good
service to customers and make customers feel comfortable and worth spending money
to experience the service at those local brands, so they not only attract new customers,
but also retain old customers.

30
APPENDIX

31
This survey is being with a view of exploring BIFA 8 students’ perspective on the
quality of local brands. The answers would be kept in secret, hence please answer
these questions as honestly as you can.

Thanks for your cooperation!

1. Have you ever purchased products of local brands?


 Yes
 No
2. To your knowledge, which factor do you think of creating the quality of
local brands?
 Design
 Materials
 Service
 Brand’s message
 Prestige
3. To your knowledge, what are the effects of local brands?
 Making the successfulness of local brands
 Play a vital role in forming local brands process
 Affect directly to prestige of local brands
 One essential factor affirming brand
 Quality makes the faith from consumers
4. What are the positive effects of local brands on current Vietnam Fashion?
 Vietnamese people give priority to using domestic product
 Streetwear creates a trend and popularity to young people
 Determine that Vietnam’s fashion is not inferior to international fashion
 Vietnam’s fashion becomes dynamic, colorful and fresh
 Inspiration from start-up story for new-comer
 Encouraging Vietnam’s fashion to bring into the world
 Positively impact on recycling, reuse by creating in fashion
5. How do you know about local brand?
 KOLs
 Advertisements via social networking sites
 Friends
 Promotion
6. Which is the social networking site approaching the highest consumers?
 Instagram
 Facebook
 Tiktok
 Web
32
 Shopee, Lazada, Tiki…
7. That abundant local brands operated, which leads to serious competition
among brands, would bring what negative effects?
 Sacrifice quality of products to make profit
 Plagiarism
 Many qualified brands are ignored
 Take advantages of ads
 Inequitable competition
8. How do you rate local brands?
 Don’t like
 Normal
 Like
 Really fancy of

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