ĐẠI HỌC QUOC GIA HÀ NỘI TRUONG QUAN TRI VÀ KINH DOANH LE THI TUYET BUILDING THE HIGH —- END PRODUCT DEVELOPMENT STRATEGY FOR ASIA FURNITURE JOIN-STOCK COMPANY DURING 2023 — 2030 LUẬN VĂN THẠC SĨ QUAN TRI KINH DOANH Hà Nội - 2024 ĐẠI HỌC QUOC GIA HÀ NỘI TRUONG QUAN TRI VÀ KINH DOANH LE THỊ TUYET BUILDING THE HIGH - END PRODUCT DEVELOPMENT STRATEGY FOR ASIA FURNITURE JOIN-STOCK COMPANY DURING 2023 — 2030 XAY DUNG CHIEN LUQC PHAT TRIEN SAN PHAM NOI Chuyén nganh: Quan tri kinh doanh Mã số: 8340101.01 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH NGƯỜI HƯỚNG DẪN KHOA HỌC: PGS. HOÀNG ĐÌNH PHI Hà Nội - 2024 ACKNOWLEDGEMENT Being able to conduct the research titled “Building the High-End Product Development Strategy for Asia Furniture Joint-Stock Company during 2023-2030 ”, I would like to send my faithful thanks to Hanoi School of Business and Management, Vietnam National University Hanoi, and to all the lecturers and academic staff for their professional training and supports. I would like to express my deep gratitude to Assoc. Hoang Dinh Phi.
His interdisciplinary knowledge and experience in management, especially in the field of strategic management have brought great values to me. He has inspired and encouraged me so much to help me complete this MBA thesis. I would like to sincerely thank my leaders and friends, colleagues who are working at Asia Furniture Joint Stock Company and my family for encouraging and facilitating me during the implementation process and complete this thesis. TABLE OF CONTENTS ACKNOWLEDGEMENTT.
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Requirements : Propose a correct strategy, but successful implementation is a process that requires the efforts of all members of the business. Therefore, businesses need to pay attention to ensuring the following requirements:. Execution : Set regular goals: businesses need to continuously review strategic goals, adjust and set regular goals because it plays an important role in 0) 1)0012015i11015vi›A 0E. Monitoring and evaluating strategy.
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Analyze the external enVironMent. Macro environment analysis — PEST model .2 Industry analysis — Š forces MOdel]. Analyze the environment within the business. 53 SUMMARY OF CHAPTER 2.
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Plan to implement new product development Sfraf€BV. 76 1V LIST OF ACRONYMS AFTA ASEAN free trade area EFE External Factors Evaluation matrix - External Factors Evaluation. FDI Foreign investment FORCES Five forces model GREAT Optimal strategy choice matrix - Gain , Risk , Expense , Achievable , Time IFE Evaluation matrix of internal factors - I nternal F actor E valuation M atrix IMF International Monetary Fund PEST Politics, Economics, Society, Technology SWOT S trengths, W eaknesses, O pportunities, T hreats WTO World Trade Organization LIST OF TABLES Table 1. The IEE IMaTIX.-- 5 5c 23018931 911901 93 9 1v ng ng ng nến 24 Table 1.
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Customers of Asian FUTTIẦUTC. - ó5 3 11 vn ng giết 47 Table 2. Age of customers of Asian Furniture Company. Asian Furniture's customer preferences .cc:ccesseeesseesceeeseeeneeseeeeeees 48 Table 2.
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56 VI LIST OF FIGURE Figure 1.1: Strategy building DTOC€SS. ng ng ng 10 Figure 1. Source Hoang Dinh Phi 2008 with adjustment by the author. 5 competing force model - Micheal POTfer.
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Research topic justification Vietnam's economy is integrating deeply with regional and world economy, and Vietnamese businesses are currently facing pressure to innovate to survive and develop in the increasing competitive markets. Therefore, businesses must have a clear business-oriented strategy to achieve their desired goals. While working at Asia Furniture Joint Stock Company, the author noticed that the furniture market is increasingly demanding for its products in terms of functionality, aesthetics and quality. In each country and specific market, there are demand and preference for furniture products, and businesses are facing continuous changes and fierce competitive pressures from markets.
In the furniture market, customer demand are increasingly diversed, hence businesses need to have a flexible and effective product development strategies. Therefore, in this thesis, the author focuses on building a product development strategy for Asia Furniture Joint Stock Company. The goal of this thesis is to analyze the business environment, internal resources of the Asia Furniture Joint Stock Company, and to propose an appropriate product development strategy that help improving the competitiveness of Asia Furniture Joint Stock Company. The author review the importance of product development strategy in furniture industry to meet customer needs while creating competitive advantages for businesses.
Following, the author presents the objectives and scope of the research. The goal of the research is to understand the important factors affecting the formualtion of a product development strategy in the furniture industry; Then to conduct analysis and to propose a product development strategy for Asia Furniture Joint Stock Company. The scope of the research focuses on important aspects of product development strategy, such as understanding the market, competitors, and customer analysis; analyzing internal factors within the enterprise; and proposing appropriate product development strategies. The market for fashionable wooden furniture has been changing rapidly over time.
Therefore, Asia Furniture Joint Stock Company has been developing its financial, human resources and business strategies for its business development. However, the company does not have a suitable high-end products development strategy yet. Therefore, in the future Asia Furniture Joint Stock Company wants to build a department specializing in high-end products research and development (R&D), and will make use of its satellite companies and partners to develop perfect and flexible furniture products to meet the needs of its high-end customers demand. The compnay is planning to build an ecosystem for Asia Furniture Joint Stock Company and its satellite companies to develop together.
That's why I chose the topic "Building a strategy to develop high-end furniture products for Asia Furniture Joint Stock Company in the period 2023-2028" as the topic for my thesis. Literature review In the world, especially European countries such as Italy and Germany, the furniture industry has a long development history. However, research on formaluting product development strategies for the furniture industry is quite limited. Smith et al.
(2021) found that analyzing customer demands and preferences is an important part in building a product development strategy. Customer analysis can be done through surveys and interviews with potential customers, as well as analyzing behavioral data, and through interacting with customers on online channels and social networks, as well as on website. According to Smith et al. (2021) customer interactions on social media sites can provide information about customer trends and preferences, thereby helping to companies to identify important factors that need to be integrated into product development strategies.
An important part of building a product development strategy is understanding customer requirements and needs. Smith et al. (2021) also pointed out that the consumption trend in the furniture industry is that customers are increasingly interested in smart products with highly interactive features. Therefore, integrating technology and smart features into furniture products can be an important element in product development strategy.
Johnson's research (2019) also recommends analyzing the market, competitors, and customer requirements and preferences to build a specific product development strategy, especially for smart furniture products, that are environmental friendly and sustainable according to the current modern consuming trends. Brown's (2022) research on product strategy in the furniture sector also provides suggestions on unique product development and structurally optimizating prices to create competitive advantages for businesses. Johnson (2019) also proposed a strategy for developing sustainable and environmentally friendly product lines, designing using recycled materials and applying production processes. Environmentally friendly, thereby creating a competitive advantage and attracting environmentally conscious customers.
Jones et al. (2022) to suggest that analyzing customers’ design trends and furniture styles plays an important role in optimizing product development strategies. Businesses need to analyze and understand traditional and emerging design and style trends in the furniture industry to capture changes in customer preferences, thereby identifying important factors that need to be addressed, and integrated into product development strategy. Johnson et al.
(2021) emphasizes analyzing and clarifying different market segments to optimize product development strategies to meet customer and market segment groups in the furniture industry. Smith (2022) surveys product development processes in the furniture industry, thereby proposing factors, methods and tools to effectively develop furniture products. The author asserts that building an effective product development process is a vital factor for a furniture business. Finally, the role of product promotion and marketing is also very important in the furniture product development strategy.
Brown et al. (2023) concluded that marketing and promoting products so that customers can recognize the brand and attract customers is also part of the product development strategy. Objectives of the study 3.1 Research objectives The objective of this study is to provide sugestions and recommendations for the formulation of a high-end products development strategy for Asia Furniture Joint Stock Company, to enhance its competitiveness towards the high-end customer market segment. Analyze the needs and demand of high-end customers market segment: Synthesize and analyze information about the preference of potential customers in the furniture sector.
Apply survey, interview and data analysis methods to better understand customer preferences and requirements regarding product quality, aesthetics, utility and personalization of high-class furniture products. Analyze design and stylist trends in the furniture industry to understand the changing of customer preferences and requirements. Hence to identify designing elements and stylist trends in the furniture market. Competitor analysis: Evaluate industry competitors, business models and product development strategies of competitors to identify strengths and weaknesses to help proposing a suitable high-end product development strategy for Asia Furniture Joint Stock Company.