Contents I. Introduction: 3 II. An Phuoc Company, PESTEL analysis, SWOT analysis, recommendation: 3 1. An Phuoc background (Base on Anphuoc.com) 3 2. PESTEL analysis 4 a. Political Factors 4 b. Economic Factors 4 c. Social-Cultural 6 e. Environment factors 7 f. Legal Factors 7 3. SWOT Analysis of An Phuoc: 8 4. Recommendation: 8 Bibliography 9

AN PHUOC I. Introduction:

Long time ago, people knew how to design the fashion styles. In order to afford the demand of the consumers, the designers tried to make more and more new designs. Today, the world has many fashion brands which become famous in the world because of the design such as: Calvin Klein, Diesel, Dolce & Gabbana, … . And An Phuoc is one of the famous brands in Viet Nam. Through many challenges, An Phuoc now has gained the trust of consumers. Moreover, it has gradually asserted brand in the world. This essay isn’t only written in order to let you know better this company, some information of the Vietnam’s PESTEL but also analyze the SWOT of this one.

II. An Phuoc Company, PESTEL analysis, SWOT analysis, recommendation:

1. An Phuoc background (Base on Anphuoc.com)

Time | Event | 1992 | An Phuoc Garment Manufacturing was established with 50 workers, 40 sewing machines, specialized in manufacturing for exporting enterprises. | April 25,1993 | An Phuoc increased its capital, acquired 300 new sewing machines and 400 new staff, transformed itself in to an direct garment export company with its new current name "An Phuoc Garment Embroider and Shoes Company LTD.," and specialized in making exported products for NISSHO IWAI, ITOCHU, MINOYA - leading Japanese companies. | 1997 | The company didn’t launch the products in brand “An Phuoc” but also bought the exclusive license from Pierre Cardin and their products were jackets, pants, kakipants, children clothings line bebe, Miki house, under wears and sport shoes.It established the first store on 100/11-12 An Duong Vuong Street. | Today | It is managed according to ISO 9001-2000 (transitional version). It also has 80 stores and 100 retailers around Viet Nam. |

At the moment its products are over 150 quantities of two brands: An Phuoc and Pierre Cardin. And its mission statement is “Always dedicated to work, customer satisfaction is the noble prize of all company staff”. Up to now, it achieved many awards such as: “National brand 2008, APEC brand, Gold Medal range of products by the Ministry of Industry and Trade through the fair period of many years, …”.
Beside that, An Phuoc also has many competitors which are Viet Tien, May 10, Nha Be, Thanh Cong, Thai Tuan, Ninomax and so on. Although it has a lot of competitors in the clothing segment, it still keeping the foothold in the market because of the diverse styles, the brand and the customer trust.

2. PESTEL analysis

There are many factors in the macro-environment that will affect the decisions of the managers of any organization. Tax changes, new laws, trade barriers, demographic change and government policy changes are all examples of macro change. In order to assess these factors managers can categories them using the PESTEL model. The PESTEL stands for Political Factors, Economic Factors, Social-Cultural Factors, Technology Factors, Environment Factors and Legal Factors.

a. Political Factors

According to the CIA – The World Factbook, Viet Nam is Socialist Republic country, it has a strong government which follows the communist state mode. It has joined in totally 44 groups in the world. These are APEC, WTO, ASEAN and so on. The government has implemented many policies to protect the local firm, make a tight control. The legislative system is also the important factors which need to be care when the enterprises want to do a business in Viet Nam.

b. Economic Factors

Viet Nam is one of the high inflation countries in the world; this chart explains the extent of the inflation average in this country from 1980:

According to Grant Thornton (Grant Thornton, 2011), the Vietnamese economy recorded an annual growth rate of 6.8% in 2010. GDP per capita has improved steadily and in line with GDP growth since 2000. The graph below shows the average national GDP; however, the actual GDP in cities such as HCMC and Hanoi is significantly higher. Viet Nam’s GDP (2010) reached $276.6 Billion.

Moreover, the devaluation of VND, high import taxes, the GNP, average income and U.S debt crisis are also the important factors which can influence so much to the economy in Viet Nam too. One information from the averagesalarysurvey.com shows that the minimal salaries in Vietnam are around 700 USD per year or even less. This is an important thing which is useful for many entrepreneurs.

c. Social-Cultural Factors:

As the result of CIA (2011), Viet Nam has a population of more than 90 million people and is ranked No. 14 in the world. The average age is 27.8 years.

Age structure (2011 est.)

0-14 years | 25.2% (male 11,945,354/female 10,868,610) | 15-64 years | 26.8% (male 31,301,879/female 31,419,306) | 65 years and over | 5.5% (male 1,921,652/female 3,092,589) |

This is the literacy:
Definition: age 15 and over can read and write
Total population: 94%
Male: 96.1%
Female: 92% (2009 census)

d. Technology Factors:

Internet in Viet Nam

Viet Nam has 24,269,083 Internet users as of June, 2010, 27.1% of the population, according to ITU.

http://www.internetworldstats.com/asia/vn.htm

Today, Internet is very popular in Viet Nam and the influence of the internet to Viet Nam is quite significantly.

Infrastructure in Viet Nam

Infrastructure is now improving; many roads, bridges and buildings are constantly being built to ensure the development of the country, to help people move quickly and effective in their work, as well as a stable life.

http://www.nationsencyclopedia.com/economies/Asia-and-the-Pacific/Vietnam-INFRASTRUCTURE-POWER-AND-COMMUNICATIONS.html

Communication

With the development of IT and many utilities, communication increasingly develops and brings more benefits to people, make them closer together and people can know information in over the world.

http://www.asiarooms.com/en/travel-guide/vietnam/useful-information/vietnam-communications.html

e. Environment factors According to CIA (2011), Viet Nam is a tropical in south; monsoonal in north with hot, rainy season (May to September) and warm, dry season (October to March). It is only affected by floods, storms and not affected by earthquakes, tsunamis and volcanoes. However, this is the country which has a high pollution in the world. Air Pollution, Water Pollution and Noise Pollution are the issues which the people are facing.

f. Legal Factors According to cuocsongviet.com.vn, Viet Nam has civil laws, family laws, forestry laws, labor laws, environmental protection laws, security laws and so on. It shows Viet Nam is a country with very strict legal system. Moreover, the government officials also have the Congress meetings, they discuss together, make the constitution and sometimes they change the laws to conform the social at that time as well.

3. SWOT Analysis of An Phuoc: An Phuoc is known as a famous brand in domestic fashion. Here is my article on SWOT analysis of this company. Strengths 1. Strong brand name recognition 2. Diversity of the products and the designs 3. Large retail distribution system 4. Quality Product 5. Customers Loyalty 6. Thickness of Achievement | Weaknesses 1. Prices high relative to competition 2. Quality Customer Service | Opportunities 1. Expansion into overseas markets 2. Expansion untapped VN markets 3. Expansion of brand name into new products or business lines | Threats 1. High Inflation 2. Devaluation of VND 3. High and many competitors |

The SWOT above is based on the following online sources: anphuoc.com.vn, sohuutritue.thv.vn, some forums which have the An Phuoc customer comments.

4. Recommendation:

From the SWOT analysis, the writer think that An Phuoc should be more active in using its strong brand to produce many categories of models and most are rich in variety. Its weakness is that quality customer service poor, I’d think it should have new policies and training customer service staff, the employees must have the affable attitude, considerate and thoughtful due to customers and making no distinction between clients.

Bibliography
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VietNam. (2011). Retrieved 8 19, 2011, from CIA: https://www.cia.gov/library/publications/the-world-factbook/geos/vm.html
Anphuoc. (2010, 8 27). Việt Nam. Retrieved 8 19, 2011, from sohuutritue.thv.vn: http://sohuutritue.thv.vn/news/Detail/?gID=2&tID=10&cID=26393
Grant Thornton. (2011). Doing business in Vietnam - 2011. Grant Thornton.
Thu, M. (2011, 3 1). VietNam Garment Industry. Retrieved 8 19, 2011, from anysew.com.vn: http://www.anysew.com.vn/showthread.php?52-Nh%E1%BB%AFng-%C4%91%E1%BA%B7c-th%C3%B9-c%E1%BB%A7a-ng%C3%A0nh-may-Vi%E1%BB%87t-Nam