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Trung Nguyen Coffee Franchising Analysis

Trung Nguyen is one of Vietnam's largest coffee companies that has been operating since 1996. It uses a franchise model to distribute its popular coffee brands such as Trung Nguyen coffee and G7 instant coffee. Trung Nguyen has over 1,000 franchised coffee shops in Vietnam and 8 restaurants abroad. The company aims to become a major supplier and distributor in Vietnam and globally by attracting customers who want to experience its coffee flavors and quality service. Trung Nguyen's franchise system addresses issues with conventional distribution by ensuring consistent prices, quality, and use of technology for management.
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0% found this document useful (0 votes)
54 views2 pages

Trung Nguyen Coffee Franchising Analysis

Trung Nguyen is one of Vietnam's largest coffee companies that has been operating since 1996. It uses a franchise model to distribute its popular coffee brands such as Trung Nguyen coffee and G7 instant coffee. Trung Nguyen has over 1,000 franchised coffee shops in Vietnam and 8 restaurants abroad. The company aims to become a major supplier and distributor in Vietnam and globally by attracting customers who want to experience its coffee flavors and quality service. Trung Nguyen's franchise system addresses issues with conventional distribution by ensuring consistent prices, quality, and use of technology for management.
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Student’ name: Phạm Đăng Lộc

Student’s ID: 220000628


ANALYZING A FRANCHISING SYSTEM
1. Trung Nguyen Legend overview.
Trung Nguyen is one of Vietnam's biggest coffee companies. Mr. Dang Le
Nguyen Vu's prestige, status, and brand positioning have grown significantly since 1996.
Trung Nguyen's primary activities include coffee production, processing, trade, and
franchising the Trung Nguyen coffee brand. Trung Nguyen now controls the number one
brands, including premium Trung Nguyen coffee, pure coffee beans, roasted and ground
coffee, G7 instant coffee, and instant coffee. fresh, after more than 20 years of
development. Not to add that he was picked as a "diplomatic ambassador" to link culture
with the rest of the globe. Trung Nguyen currently has 5 member companies:
- Trung Nguyen Joint Stock Company.
- Trung Nguyen instant coffee joint stock company.
- Trung Nguyen Coffee Company Limited.
- G7 Trade and Service Joint Stock Company.
- Vietnam Global Gateway Joint Venture Company.
2. Franchising.
- Since 1998, Trung Nguyen has been the first Vietnamese coffee company to use local
and worldwide franchising. Trung Nguyen has franchised around 1,000 coffee shops
across the country in a relatively short period of time, and there are 8 restaurants abroad.
Trung Nguyen hopes to attract consumers who want to completely experience the flavor
and value of coffee with this model. As a result, the greatest coffee, innovative
technology, and a skilled service staff. It not only demonstrates the critical benefits of
each sort of coffee. It also fulfills coffee's spiritual worth.
- Building a distribution system assists the organization in increasing income and
developing in a sustainable manner. It then helps to improve market share, revenue, and
profitability. Furthermore, contacting target clients in the right way, at the right time, is
critical.
- Trung Nguyen's current goal is to become a significant supplier and distributor in
Vietnam. At the same time, reaching out to the rest of the globe. Realizing this goal is not
far off, as the number of individuals drinking Trung Nguyen coffee in other nations
grows. In China, about 15 million people drink G7 coffee on a daily basis. This figure is
continually rising.
- Trung Nguyen's franchise system has solved the drawbacks of conventional distribution
channels, such as cheap selling prices, consistency, assurance like a supermarket, and the
use of technology into the management process. The emergence of this system chain
demonstrates the strategic vision and ambition to dominate the home market while also
reaching out to the rest of the world.

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