This document discusses strategic directions for Daewoo Bus in Vietnam. It begins by outlining several key questions, including identifying potential markets, competitors, and how to increase market share. It then provides an analysis of the vehicle market in Vietnam, noting strong demand for buses under 46 seats. A competitor analysis finds Daewoo has a strong brand but less variety than competitors. The document proposes focusing on tourism buses, cultivating new cities, and training sales/marketing staff. It sets a strategic vision of building a flagship model, developing a volume model, and expanding the product lineup with two-floor buses.

1. STRATEGIC DIRECTIONS
FOR DAEWOO BUS IN
VIETNAM

2. How about
Market Potential
How do we want
to positioning
How can Daewoo
Bus Increase
market-share
• Which market are potential for Bus industry in Vietnam?
• Which Bus types are driving in this market? (capacity, function, product
trend…)
• Which channel will be develop in Vietnam (Public bus, tourism, staff
bus….)
• What is our strategic direction? (market-share driving or brand-
driving?)
• Which USPs are we better than these competitors?
• Where Daewoo Bus prefer to brand positioning?
• Who is our main competitors ? (Truong Hai, Huyndai or others?)
• How to allocate resources effectively (trade-term, product-mix…)
• How differentiated actions should be offered by account
segments?
Key QuestionsInitiatives
1
2
3
Strategic Question

3. Prepared by: Nguyen Duc Minh
No Province Total Car Car Bus Truck
1 Bà Rịa-Vũng Tàu 27,719 15,035 1,800 9,931
2 Bình Dương 55,142 28,427 2,248 22,177
3 Cần Thơ 16,809 7,725 1,263 7,318
4 Đà Nẵng 33,333 16,374 2,303 12,624
5 Đồng Nai 65,832 26,741 4,227 32,703
6 Hà Nội 343,982 234,586 18,234 84,418
7 Hải Dương 27,590 10,375 1,811 14,693
8 Hải Phòng 55,437 23,427 2,735 21,520
9 Khánh Hòa 21,530 9,092 1,693 10,022
10 Nam Định 13,011 4,774 1,422 6,619
11 Nghệ An 45,269 22,310 1,666 20,171
12 Quảng Ninh 41,287 18,247 2,557 19,541
13 Thanh Hóa 32,078 12,572 2,036 16,969
14 TP. Hồ Chí Minh 318,551 164,752 24,584 109,019
15 Other Provinces 572,639 216,989 38,395 300,218
TOTAL 1,670,209 811,426 106,974 687,943
Total Market Size upto 01/2014
Industry & Market Analysis
Total Market size of Bus in HN & HCMC cover 28% of total market size nationwide
Market Demand of Bus is growing fast in big cities such as Dong Nai, Hai Phong, Binh Duong, Thanh Hoa
Implication

4. Prepared by: Nguyen Duc Minh
No Content Total 2013
1 Dosmestic Automobile
1 Total of Domestic Automobile 128,090
1.1 - Civil Cars 65,800
1.2 - Buses 5,780
1.2.1 + Bus < 15 seats 10
1.2.2 + Bus from 16 seats upto 25 seats 2,450
1.2.3 + Bus from 26 seats upto 46 seats 2,790
1.2.4 + Bus > 46 seats 530
1.3 - Trucks 48,100
1.4 - Semi-Lorry 1,550
1.5 - Other Type 6,860
2 Imported Automobile -
2.1 Total of Imported Cars 39,040
- By Brand-new Cars 30,540
- By Second-hand Cars 8,500
2.1.1 - Civil Car 16,760
2.1.2 - Bus 650
+ Bus < 15 seats 30
+ Bus from 16 seats upto 25 seats 450
+ Bus from 26 seats upto 46 seats 70
+ Bus > 46 seats 110
2.1.3 - Trucks 12,600
2.1.4 - Other Type 8,950
Industry & Market Analysis
Implication
 The Imported Automobile has just
cover 11% compared to 89% of domestic
assembly line automobile
 The Demand for Buses still focus on
from 16 seats upto 46 seats (nearly 90% of
total)
 The portion of second-hand imported
automobile will reach nearly 9K cars per
year

5. Prepared by: Nguyen Duc Minh
Industry & Market Analysis
46.0%
44.0%
10.0%
<25 seats 25-46 seats > 46 seats
Bus Market Portion by Capacity
52.0%
32.0%13.0%
3.0%
Tourism Bus Inter City Bus City Bus Commute Bus
Bus Market Portion by Type
14.0%
81.0%
5.0%
Bed Coach Seat Coach Stand Coach
Market Portion by Seat Type Implication
 The Market Demand for < 46 seats cover 90% of
total, in the meantime, the Demand for Bus > 46
seats has reached 10% of total demand
 Seat Type is still occupy over 80% of total
 Tourism Bus now develop and cover the main
demand for Bus market demand

6. Prepared by: Nguyen Duc Minh
Competitors Analysis
Product
Price
Place
Promotio
n
 fdfsafsdfs  fdfsafsdfs  Strong line-up in tourism bus
 fdfsafsdfs  Competitive price
policy in projects
 fdfsafsdfs
 fdfsafsdfs  fdfsafsdfs  Focus on tourism bus &
inter-city bus
 Famous brand Image
with KIA brand
 fdfsafsdfs  Famous Brand Image
 Good Quality Service

7. Prepared by: Nguyen Duc Minh
Customer Analysis
Inter City Bus Tourism Bus City Bus
Cheap Price Oriented
THE IMPORTANCE
FACTORS
Energy Saving
Brake System
Audio/Video System
Seat Angle
Bed Type Demand
Shock Absorbers

8. Prepared by: Nguyen Duc Minh
S W
O T
 Famous Korean Brand in Vietnam
 Factory located in Vietnam
 Strong brand in City Bus (Hanoi)
 Good quality product line-up
 The model line-up is not various compared to
competitors
 The design is not attractive
 Inflexible policy for projects
 The project sales manpower is not strong
 Lack of USP Sales materials
 Public transportation now developing in the big cities
such as Hanoi, HCM, Da nang, Hai Phong…
 Vietnam is considered as the tourism destination,
therefore, the demand for tourism bus will be booming
up in the near future
 Economy is still facing the difficulty so the
transportation enterprises still considers about finance
issues and investment
 The overwhelming of local bus enterprises such as
Thaco, Truong Hai…
Company Analysis
 Utilize the strong brand awareness into the
current & potential partner
 Focus on the tourism bus business
 Cultivate the market into the potential cities
 Need more TDR activities to re-design &
develop the products line-up
 Focus on training about sales & marketing
 Market-oriented policy

9. Prepared by: Nguyen Duc Minh
Strategic Vision

10. Prepared by: Nguyen Duc Minh
Strategic Direction
Key Factor for Success
 Flag-ship model to communicate
 Volume model availability
 Develop line up with 02 floor-bus
Strategic Direction
Product
Price
Place
Promotion
People
 Price competitiveness for entry model
 Flexible Price Policy
 Potential Customer Database
 Relationship with key accounts
 More communication with key
accounts
 Premium VIP Package
 Sales & MKTG Manpower training
 Project relationship manpower
• Build up the unique-sales-point (USP)
presentation materials (consultative sales)
• Recruit the experienced manpower with
strong project relationship
• Build up the database of potential projects
• Strengthen relationship with key accounts
through Key Account Management (KAM )
programs
• A flagship model with full options & energy
savings
• Develop with each segment with 01 volume
model with price competitiveness s
• Balance price with key competitors by key
model
• Price policy for potential & volume projects
• Dealer Convention & factory tour to introduce
new products line-up
• Develop a premium VIP care program
• Showroom Renovation for Hanoi & HCMC

11. Prepared by: Nguyen Duc Minh
To be CONTINUED…

12. Prepared by: Nguyen Duc Minh