OIC NEW CEO: “Export is the way for business to expand market”
(PLO) – “Exporting is one of the ways for businesses to implement expansion and development plans… From there, creating conditions for businesses to expand product consumption markets. Thanks to exports, the company’s name is not only known by domestic customers but also “famous” in foreign markets” – That is the share of Mr. Luu Hai Minh – CEO of Nhat Hai New Technology Joint Stock Company (OIC new) with PLVN.
How do you assess the role of export for businesses today?
– Along with the boom of the global economy, reaching out to the international market is a common trend of all countries and businesses. Exporting is one of the familiar paths for businesses to implement expansion and development plans. Since then, creating conditions for businesses to expand the market to consume their products.
Thanks to exports, the company’s name is not only known by domestic customers but also “famous” in foreign markets. Not only that, export activities also help promote the dynamism and creativity of import and export officials as well as participating units, in order to explore and develop products within ability to export in markets that the enterprise has the ability to penetrate.
That fact also requires businesses to always innovate and perfect their business administration. At the same time, helping businesses extend the life of their products. From there, it inevitably leads to competition and mutual monitoring between domestic and foreign export participating units.
This is one of the reasons that force exporters to improve the quality of their goods, as well as pay more attention to reducing product costs, thereby saving inputs or to speak another way, save resources.
In your opinion, how to maximize the potential that the export market brings?
– According to the contemporary marketing concept, entrepreneurs must sell what the market needs, not what they have. Therefore, it is necessary to research customers in the world market, as well as identify the company’s business products.
First of all, it must be based on the consumption needs of customers such as specifications, types, sizes, prices, seasons, tastes and habits of consumers in each locality, each production area. From there consider aspects of goods on the world market.
In terms of commercial products, it is necessary to clearly understand the value of goods, uses, physical and chemical characteristics, specifications, qualities, and packaging designs. To understand this issue requires traders to have acumen, in-depth knowledge and experience to predict fluctuations in customer demand.
In the current trend, research is required to clearly understand the item you choose, or what stage the business is in in the product’s life cycle in the market. Because the life cycle of a product is always associated with the consumption of that commodity in the market.
Usually, the production associated with the export of goods that are at the stage of penetration and development is the most advantageous. However, for products that are in the saturation or recession stage, and the company has effective promotion measures, it is still possible to conduct export business and make a profit.
Do you have any useful advice for Vietnamese businesses that want to bring their products to foreign markets?
– When you want to market a product, the initial element is to determine the target market, that is to find a segment of potential customers to serve.
To choose a target market, a business needs to start from the overall market (the market is defined with all the customers along with their needs on a specific geographical area of a certain size), narrowing down to the general product market (a market with different types of products capable of satisfying a certain type of customer need).
Next, narrow down to product markets and then use market segmentation to identify component markets (segments that represent groups of customers with homogenous needs). Then select groups of customers with needs to determine the target market and solutions to conquer that market.
To achieve high results in this field, one of three key market approaches can be used: simple target market approach; Mixed key market access; Develop the right marketing mix strategy.
Can you share how Nhat Hai New Technology Joint Stock Company has applied to stand firm and reach beyond the foreign market?
– In the above three ways, we always choose the simple key market approach. That is, the enterprise chooses one of the component markets as its target market, then builds a separate mix marketing stategy for the selected target market.
For example: Japan is the place with the best black garlic products, then we will choose Japan as the black garlic business market. To prove and confirm that our black garlic is also a good quality product not inferior to the product of this country.
Sincerely thank you!