Banh Xeo an La Ghien

executive director Summary This report leave alone discuss intimately An La Ghien eaterys (Dang Truong Ltd friendship) in Vietnam. These eating places succeed to consumers Banh Xeo, which is one of the more or less famous usageal pabulum in Vietnam. Firstly, the report will mention about(predicate) the background signal of the elevated society. Due to the passion of the conventional pabulum of the owners and the racy submit of tradition food for thought in Vietnam, Dang Truong Ltd Company give wayed their first An La Ghien eating place in Ho chi Minh metropolis. Secondly, the knowledgeability of the owners that adds the value to the supremacy of the political party is withal discussed.Their Innovation type is Duplication. Next, the report will analyze the strategies that the unanimous has applied that argon Product & grocery development strategy, Positioning & specialization strategies, store amplification and brand girding. The last part is some good w ord that the firm should concern to wrap up growing and expanding in this indus raise. Contents Executive Summary3 I. Introduction5 II. Company Background5 III. Innovation6 IV. Business Strategies and achiever Factors8 a)Product and food market development strategy8 b)Positioning and Differentiation strategies8 c)The Store Expansion dodge10 )Building a strong brandname10 V. Recommendation11 a)geographics Expansion Strategy11 b)Promotional Mix11 VI. Conclusion12 VII. Reference List13 Introduction Dang Truong Ltd Company or An La Ghien eating place has opened since 2008. It was realized by Mr. Dang Hoai Phong and her wife, Truong Thi Thanh Truc, because of their conventional food passion. An La Ghien provides some(prenominal) kind of Banh Xeo, a kind of Vietnamese traditional pancakes. With the funny taste of their outputs, Banh Xeo An La Ghien has move one of the famous traditional food restaurants brand names in Ho chi Minh City aft(prenominal) 5 historic period operati on.Until now, Dang Truong Company has 4 An La Ghien Branches along Ho Chi Minh City. harmonise to Huy Hiep (2010) An La Ghien restaurant be uprises one of the top 10 distinctive food restaurants of Ho Chi Minh City. This document will analyse the strategy of the company and the unfavorable advantage factors that has led An La Ghien to survive and grow rapidly. More over, it also gives the recommendations for the company in fiat to sustain their exploitation. estimate 1 Reproduced from An La Ghien restaurant 2008 Company Background It dismiss be seen that Banh Xeo is a traditional food of Vietnam it was postgraduately accepted by Vietnamese for a long eon ago.People who live in Ho Chi Minh City ar loosely from countryside of Vietnam, they migrate to Ho Chi Minh City in night club to ladder and live. Therefore, those people always miss the taste of countryside foods. It has led to the high demand of Banh Xeo that has traditional taste, countryside taste. Moreover, the tou rism of Vietnam has been developed rapidly in recently years. It is the rapid growth in ASEA (My Hanh 2010). It means the number of tourist come to Vietnam is extendd. Furthermore, foreign tourists always want to try Vietnamese traditional food and have countryside sight beholding. According to Ngan Hao (2010), Mr.Phong and Mrs. Truc, the owners of An La Ghien Restaurants, ar from the South-Western of Vietnam where is known as the current place of Banh Xeo. In the past, family of Mr. Phong and Mrs. Truc had tradition of making Banh Xeo, so they have the communicable formula for making origianal Banh Xeo. With above condition of development of tourism and high demand of traditional foods in Ho Chi Minh City, An La Ghien Restaurant was opened the first branch in 2008 by Mr. Phong and Mrs. Truc. With that hereditary formula, Banh Xeo of An La Ghien is very crisp it has a unique shade and traditional taste.Besides the unique taste, the firm are design follow the countryside style all of tables, chairs are made from bamboo. It attracts a huge amount of foreign customers come to An La Ghien restaurants. pic enter 2 Reproduced from An La Ghien 2008 Innovation The factor that contributed in the success of An La Ghien Restaurants is Innovation in Thinking. Innovation is the development of original ideas that pretend a refreshed, better things (McShane & Travaglione 2007). With the Innovation of Mrs. Truc and the group of chef of An La Ghien restaurants, they have renderd numerous ideas of making Banh Xeo.In tradition, there is only one kind of Banh Xeo that is made from sift powder, shrimp, pork and bean sprouts. Adopting the ideas from making pizzas, An La Ghien has try to apply galore(postnominal) smart kind materials in assign to create a virgin kind of Banh Xeo. Untill now, there are approximately 10 kinds of Banh Xeo in An La Ghien restaurants, for example, White crab mushroom Banh Xeo, Japanese Abalon Mushroom Banh Xeo and Day-Lily Flower Banh Xeo . pic Figure 3 Adopted from An La Ghien website (2008) All kinds of new Banh Xeo that are created by An La Ghien are very delicious, good for the health.The Innovation of An La Ghien restaurants has alter the product development strategy of the company, it patron attracting more and more consumers by those unique products, taste and whole tone. The unique products are the differentiation of the company. According to Kuratko (2009) the innovation of An La Ghien Restaurant is Duplication which is the replication of an existing product. Banh Xeo is a traditional food of Vietnam, but it has only 1 kind of Banh Xeo. An La Ghien has use their creative thinking to create many new kinds of Banh Xeo. Business Strategies and Success Factors Product and market development strategyAccording to Kotler et al. (2006) in order to achieve profitable growth for the company, the firm must evaluate and have the development strategies. Product and market expansion grid is the roughly commonplace t ool for choosing the growth strategies. pic Figure 2. Product/Market expansion grid (Reproduced from Kotler et al. 2006) It can be seen that An La Ghien is using both Market brainwave and Product Development strategies. Banh Xeo is a traditional pancake of Vietnam. It has been accepted by Vietnamese for long time ago, so the firm has used traditional Banh Xeo in order to go into Ho Chi Minh City market.Moreover, in order to attract potential customers and keep the loyal customers An La Ghien also uses product development strategy. It has led that the firm has created and modified many new kinds of Banh Xeo besides the traditional taste. Positioning and Differentiation strategies In order to build competitive advantages, An La Ghien decides to use differentiation strategy in the doorkeepers Competitive Strategies (Daft 2007). It means they provide distinctive products that have high quality, unique taste to a broad targeted market. pic Figure 3. Porters Competitive Strategies (Re produced from Daft 2007)By using Differentiation Strategy, the Firm has build for them a high position on the market because most of Banh Xeo providers in Ho Chi Minh City are small restaurants or Roadside restaurants. They provide Banh Xeo with lower quality for example, lower healthy standard. Banh Xeo Dinh Cong Trang Restaurant is one of the most popular Banh Xeo providers in Ho Chi Minh City. They provide high quality Banh Xeo, but they have lower service quality and less positional advantages because they have online 1 restaurant compare with 4 branches of An La Ghien. Figure 4. Position of An La Ghien on the marketThe Store Expansion Strategy According to Strickland and Thompson (1999) by using geography expansion strategy, the firm will open new stores in the targeted market. It will swear out the company penetrate the market successfully. Dang Truong Company is also using this strategy in order to penetrate the market and build the strong brand name, competitive advantages for An La Ghien restaurants. after 5 years existing on the market, Dang Truong Company has had 4 An La Ghien branches in nigh Ho Chi Minh City that are regularize 3, District 10, District 1 and Phu Nhuan District Branches.By opening these branches, the targeted customer can easily find and come to try the products of company. It will increase the thingumajig of consumers and the number of loyal customers. Building a strong brandname According to Kotler et al. (2006) a good name can add greatly to a products success. It was greatly true for An La Ghien restaurants. Dang Truong Company contumacious to name their restaurants An La Ghien it was a confident name. That name is a Vietnamese name, it means if you try, you will be addicted.At the first time seeing that name, people will be shocked, feel curious and want to try in order to fulfill their curiousness. That has led the number of customers of An La Ghien was delightful high at some first periods operation. Moreover, combinin g with the unique flavor and special kinds of Banh Xeo, most of customers are satisfied or addicted after trying Banh Xeo of An La Ghien restaurants. An La Ghien restaurant received the certificate to locomote one of the top 10 distinctive food restaurants of Ho Chi Minh City from Peoples Committee of Ho Chi Minh urban center in 2010 (Huy Hiep 2010).It has made An La Ghien become an image of popular restaurant for both foreign tourists and local people. Furthermore, in recently years, people are more concern about the safety and hygiene of food. Knowing about the trend of market, An La Ghien had enough condition to get certificate of achieving the hygiene and safety food standard (An La Ghien 2009). Moreover, they also participate in many Food and Beverage Fair of Vietnam. It helps raising the position of An La Ghien image on the market. Recommendation After about 5 years openning, Dang Truong Company have been successful in operating An La Ghien Restaurants.However, in order to keep growing the business in the future, there whitethorn have some strategies that company should follow Geography Expansion Strategy It can be known that An La Ghien is using geography expansion strategy. They currently have 4 branches over Ho Chi Minh City and it helped Dang Truong to be successful on the market. However, in order to sustain the growth of their business, An La Ghien Restaurant should slide by expanse the number of their store. The Stores Expansion will help firm reaching all of potential customers on the market (Strickland and Thompson 1999).Beside 4 Districts that already had An La Ghien branches, Dang Truong Company should open some new branches in the another(prenominal) dominions where have high population or high number of foreigners such as district 11, district 7, Tan Binh district in order to penetrate Ho Chi Minh City Market. Starbuck is a good example of using this strategy it was developed by Starbuck (Strickland and Thompson 1999). By using this st rategy, Starbuck already had more than 16,000 stores in more than 50 countries around the world (Starbuck 2009). Until now, Starbuck is the most successful and respected coffee brandname over the world.Therefore, for continue growing in the future Dang Truong Company should open many other An La Ghien restaurants in other places of Vietnam such as Ha Noi, penetrate after penetrate Ho Chi Minh City Market. It will help building a strong brand name for An La Ghien restaurants over Vietnam. Promotional Mix After 5 years operation, An La Ghien has achieved many successes in the food industry. However, they did not really focus on their marketing plan, so Dang Truong should create a good marketing plan in order to expand the market.According to Allen (2007) Promotion Mix is a strategy that help company building relationship with customers and increase the repeat sales. Advertising in order to create products awareness, An La Ghien should have an advertising plan. Therefore, the firm s hould read for them the reliable media. There are some media that suitable for Dang Truong Company that is newspapers, magazines and internet. Newspapers is a cheapest media for advertising, Company can choose TuoiTre Newspaper or ThanhNien newspapers. The Company should bear on their products to foreign customer through tourist magazine.Lastly, neighborly networks such as Facebook are become more popular in recently years, by using Internet Dang Truong Company can advertise through social network, it is more efficient. Sales promotion In order to increase the sales, we should create some sales promotions in the special festival or vacation of Vietnam for example, the company can create some combos with bundle price for their food in Tet holiday, Christmas, happy new years, Valentine Day, etc. Moreover, in order to increase the repeat sales, Dang Truong Company should provide promotion to the loyal customers such as vouchers, coupon.Conclusion Although Banh Xeo An La Ghien has j ust opened for 5 years, it has become one of the most tradition Banh Xeo restaurants in Vietnam because they had applied very well their strategies in order to grow such as product and market development strategies and Geography exapansion strategy. Besides those strategies, there are some factors that contribute in the success of the firm, for example, the innovation of the chefs, the tourism and successful brand name building. However, in order to sustain the growth of he company in the future, the firm should continue expanse their store not only in Ho Chi Minh City, but also over Vietnam. Moreover, they should apply some new strategies that are diversification strategy and doing more promotion. Reference List Allen ,K 2007, growing and managing a small business an entrepreneurial perspective, Houghton Mifflin Company, viewed 13th Jan 2013. An La Ghien Restaurant 2008, IMG_24002, image, An La Ghien website, viewed twelfth Jan 2013, An La Ghien Restaurant 2009, Products picture, image, An La Ghien website, viewed twelfth Jan 2013, An La Ghien Restaurant 2009, GI?Y CH? NG NH? N AN TOAN V? SINH TH? C PH? M, An La Ghien Website, 12th Jan 2013, Daft, R. L 2007, Understanding the Theory and Design of Organization, Thomson South-Western, USA, view 13th Jan 2013 Huy Hiep 2010, cytosine dieu thu vi kham pha thanh pho Ho Chi Minh, Vietnamtourism, February 27th 2010, viewed 13th Jan 2013, Kotler, P, Armstrong, G, Hoon Ang, S, Meng leong, S, Tiong Tan, C and Tse D 2006, Principles of Marketing An Asian perspective, 7th edition, Pearson Education, New Jersey, viewed 14th Jan 2013.Kuratko, D. F 2009, Introduction to Entrepreneurship, 8th edition, Shouth-Western Cengage Learning, viewed 12th Jan 2013. Ngan Hao 2010, An La Ghien Thiet , Kien Thuc online, January 23rd 2010, viewed 13th Jan 2013, McShane, S and Travaglione, T 2007, Organisational Behaviour on the Pacific Rim, 2nd edition, McGraw heap Australia Pty Limited, Australia, viewed 13th Jan 2013.My Hanh 2010, Du lich Viet Nam tang truong cao, Saigon Giai Phong online newspaper, May 8th 2010, viewed 13th Jan 2013, Starbuck 2009, company visibility, Starbuck website, viewed 12th Jan 2013, Strickland, A. J and Thompson, A (1999), Strategic Management, 11th edition, The McGraw-Hill Companies, viewed 12th Jan 2013, Price Service, products quality Banh Xeo An La Ghien Banh Xeo Dinh Cong Trang Roadside Restaurants