Group Assignment II

Group 1: Dang Thi Hoai Thuong (1582381)

Phan Tam Anh (1581815)
Le Thi Huong (1581676)
Nguyen Trong Hieu (1581767)
Vu Khac Luan (1581737)

(1) Thoroughly describe the intended target markets (TM) for your global business
venture
With the Bitis strategy, the company's target customers will be parents of children aged 3-7,
belonging to low and middle-income groups. Parents who buy shoes for those children's groups
focus on the shoes' shape, softness, and sole. At the same time, they will also tend to buy
according to their children's preferences. Thereby, it has created Biti's target market.
The Reason we choose this target market is Singaporean consumers tend to reduce spending on
expensive appliances and look for convenient, easy-to-use products which serve a wide range of
customers, such as food, footwear, etc. Thereby, it can be seen that Biti's fully meets the above
criteria to serve the children's shoes with good quality and affordable prices for Singaporeans.
Moreover, we see that the brands for children's shoes in Singapore are still scarce and not
diversified in the market.
(2) Describe the intended ultimate end-users of your product or service.
Our ultimate end -users are children from 3 to 7 years old, who are the main users of the product
and cannot afford it. Therefore, we also have a Primary Economic Buyer (the person who makes
the decision and pays the price). This users is usually interested in the shape, softness and sole of
the shoe.Therefore, the core for us to focus on shoes and sandals here is still children in the end.
Young children are one of the most accessible objects, easy to grasp the trends of what they like
as well as are always interested and willing to buy things for their parents. However, in addition
to reaching the children's tastes and attention, we also have to satisfy the buyers with most of
them being parents or family members with their economic factors. Not to mention because the
young children are the class that cannot pay for themselves, there will always be a lot of extra
factors to be able to sell children's shoes rather than for other segments such as primary
economy. Buyer, Veto Power, Champion, Influencers.
Example: we have a type of bitis sport shoes called "Bitis smart" . This is a shoe model for
children that looks very eye-catching, personality and design is also very comfortable and easy to
walk and take off. ( those shoes are not using the laces to tie the shoelaces, but use the adhesive
tape). In addition, it is also very eye-catching and affordable for fathers and mothers when
buying a pair for babies who are in the age of playing, eager to go somewhere.

(3) Describe the business-to-business (B2B) supply chain necessary to make your
product/service available for household consumption.
For Biti's institutional customers, there are two types: Biti's agent and Biti's authorized dealer.
For each store, the company has different policies or incentives to retain these customers:
For outlet stores: There are different discount rates for products such as foam sandals, flip-
flops, shoes, sandals, etc. There will be different discount rates for Hunter product lines. The
company will give 24% discount to customers when buying Biti's Hunter line, it is recommended
that the company maintain this discount for dealers, and if the dealers have sales increased by
more than 1.5 times, the company should have bonus policy of percentage of revenue exceeding
the set target.
For stores specializing in Bitis products: Just like agricultural stores, there will be different
discount rates for each product. For the Hunter product line, the company has a higher discount
of about 27%, this group also suggested that if these stores have a revenue increase of about 1.5
times, they should have a bonus discount of about 0.2% .
For supermarkets and malls: Hunter offers 24% off their sneakers. And if the sales exceed the
company's target, the team will propose a bonus of 2% of the sales exceeding the target.
In addition, a B2B product often comes with a higher price tag, which takes a while for the buyer
to make a purchase decision. During that period, the buyer does a lot of surveys and research.
Therefore, Bitis focused on providing information to the target audience by creating a website of
the brand. Here, Bitis will store, update product information and aggregate to solve customer
questions and concerns. In this way, Bitis will help build and enhance customer confidence that
Bitis is trustworthy.
(4) Describe how your business venture will go global.
Biti's has been and is being remembered for its role in nurturing the feet of every generation of
consumers. The first spearhead strategy is to invest in research in parallel with building
infrastructure to apply big data (Big Data) and personalization (Personalization) into key
activities of the Company. The second spearhead strategy is investing in human resources
through Happy Biti's projects, building happy human resources, and training programs to
upgrade human resources to prepare for the journey step out of the area.

Footwear products have their own specific characteristics and are tailored to the
tastes of consumers. The fashion and quality of products are always carefully
evaluated by customers before making a purchasing decision. Therefore, Biti's
Product
marketing strategy is to always monitor fashion, probe the tastes of consumers in
Singapore to promptly have the most accurate information and provide the
company's product research and development department.

The company uses a price skimming strategy. Biti's has chosen a skimming price
strategy with the aim of "skimming" in the market. The company launched
expensive new footwear models, then gradually introduced simpler, lower-priced
models to appeal to a new price-sensitive audience. Biti's products all have
Price stamps stating the size, color, type and price of the product. Biti's branded
footwear products are always promoted in terms of quality, prestige and are
recognized and trusted by consumers. This is an important basis for the company
to price its products according to the objective perception, in line with the
company's product positioning idea.

The company actively builds distribution chains in Singapore. Specifically, it is

possible to set up about 2 representative offices with 200 sales points to gradually
dominate the potential market in Singapore. Besides, Biti's also diversified the
Place form of purchase by combining sales through websites. Currently, the buying
trend of customers has changed, they need convenience in purchasing. Therefore,
Biti's products are also distributed through powerful online sales channels such as
Shopee...
 (5) Finally, what segmentation variables will be needed to identify, reach, and evaluate
the viability of the target markets you have described above?
The factors which are be used to segment a market are the segmentation variables. Common
variables include demographic, geographic, psychographics and behavioral considerations.
Demographic Variables:
Demographic segmentation is a factor used by Biti's to target individuals according to their age,
life-cycle stage, gender, occupation, and generation. Although there are several product lines
(mostly sportswear), for the most part Biti's primarily targets consumers who are between the
ages of 1-12.
This age category requires a product which is suitable for a long day’s activities and comfortable
for children’s health. Also, using some cartoon characters is an ideal direction to make it more
close and reach to children. Singapore’s children category accounts for 12% of the total
Singapore population. This category is usually interested by the adults, hence, the quality of
product is the highest factor Biti’s should pay attention to. Because the monthly income of a
Singaporean is approximately $12,386, Singapore parents can pay for a worthy product to serve
every demand of their children daily, and makes up a majority of Singapore’s population, and it
makes sense for Biti’s to target them as a market.
Geographic Variables:
Geographically, there is no need to segment Singapore’s market, unlike its other geographic
locations like the UK, due to our small size market. Therefore, this point is moot as one or two
sufficiently large and separate stores (so as not to cannibalize sales) should be large enough to
capture the market geographically. Moreover, because of the big population density and the
hustle working life, convenience is the prior criteria for the company. E-Commerce is a good
solution having low delivery and low order time.
Behavioristic Variable:
Targeting based on this attribute is the genius of Biti's. Biti's focuses on how their products make
consumers FEEL. The benefit expectations of the company’s products are clearly defined: You
are a youngster. Biti's products make you feel your dynamy. In addition, with behavioral
segmentation, Biti's seeks to build customer loyalty. When customers develop loyal behaviors
towards a specific company, the company reaps rewards by accruing incremental sales and
market share. In such a competitive market like the one Biti's participates in, it is important to
gain and retain consumer loyalty. By providing consumers with quality, choice and innovation
the company excels in this realm. Moreover, the Eco-Friendliness is concentrated by all
Singaporeans. A durable product contributes to raising the awareness of children about the
environment. A recyclable product line is an attractive option for the company to run up in the
future.
Psychographic Variable:
Biti's also uses psychographic segmentation to target individuals with specific lifestyles and
personalities. To use this variable effectively Biti's must target individuals who enjoy sports and
experience. Whether it is playing, watching or simply talking about exploring, these activities
shape personalities and lifestyles. Biti's marketing efforts are targeted at creating a “feeling” that
transcends the product. Biti fosters an attitude, it develops a lifestyle. Moreover, adding country
stories in products makes customers feel proud and represent their country. Advertising products
in TV cartoon channels easily come into children’s minds. And raising expectation of their
purchase day-by-day can improve the satisfaction level of parents.