INTERNATIONAL MARKETING

INTERNATIONAL
MARKETING PLAN

Lecturer : TRAN TRIEU KHAI
Group B1:
NGUYEN DANG BINH
HUYNH THI THUY TRANG
TRAN THI THU THUONG
LE DUC TIN
DANG ANH TUAN


INTERNATIONAL MARKETING – FPT TELECOM

ABSTRACT
The paper aims at providing a complete marketing plan of introducing internet
service to Nigeria of FPT Telecom. In the first two sections, internal and external
environments are analyzed to ensure the plan’s practicality. Objectives of the plan
are later set up within the first 3 years. The paper then focuses in more detail on
marketing strategy and the implementation of marketing mix, including product,
pricing, placing, and promotion. The final section summarizes the whole paper by
comparing costs and benefits. The marketing plan assessment is also included for
marketers and investors to have more insights into strengths and weaknesses of the
plan.

Table of Contents

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INTERNATIONAL MARKETING – FPT TELECOM

PART 1: COMPANY INTRODUCTION
COMPANY: FPT Telecom
PRODUCT: Broadband Internet Service

I.

OVERVIEW
FPT Corporation is a Vietnam-based technology conglomerate. The

Company

is

engaged

in

four

business

lines:

information

technology,


telecommunications, technology product distribution and retail, and education [1].
In telecommunications, the company acts as Internet Services Provider (ISP)
and offers online entertainment, media, and advertisement solutions. Under
distribution business, it assembles and distributes computers, cellphones, and other
technological products, plus maintenance and repair services.
FPT Telecom is a subsidiary, of FPT Corporate, which offers a wide range
of products, including: FPT Internet, FPT Television, FPT Play, Fshare, and
Digital Music [2].
During over 15 years operating, FPT Telecom has become among the best
telecom and internet service providers in the region, with 45.000 staff working at
45 branches domestically and abroad.
Main products and services range among:
●

Broadband internet: ADSL/VDSL, Triple Play, FTTH.

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INTERNATIONAL MARKETING – FPT TELECOM
●

Leased line Internet, domain name, email, web

storage, data center.
● Value-adding service on the Internet: online TV
(OneTV), fixed telephone (VoIP), remote monitor (IP Camera),
digital signature identification (CA), cloud computing.
FPT Telecom is working on the control of 2 membership companies, one of
which is FPT Telecom International (FTI).

Since 2008, FTI has officially become an individual unit which puts more
current focus on foreign market with the mission of providing the best service on
the basis of leased line internet and online database.
FTI competencies:
●

FTI takes the advantage of owning 4 Tier3 global

standardization data centers on the campuses of thousands of meters
square.
●

International connection with a number of countries in

the world like the US, EU, Japan, Hong Kong, China, South Korea,
Singapore, Thailand, Laos, Cambodia with the connection capacity
of over 100 Gbps.
● Domestic business area is all over Vietnam.

II.

INTERNATIONALIZATION PROCESS
International partnership: PCCW, T-System, NTT, Singtel, Korea

Telecom, China Telecom [3].
Currently, FPT Telecom is supposed to stay in the export process.

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INTERNATIONAL MARKETING – FPT TELECOM
●

The company just started to export their products outside the country, to Cambodia

●

(2012) and Myanmar (2015).
Its primary focus remains on domestic market, holding more than 70% of the total
revenue of the company.
It seems also true that the company is in transition process toward the 3rd
step, international marketing, for its great efforts in foreign expansion.

●

In 2012, FPT Telecom established FPT Cambodia offering internet service,
covering 6 biggest provinces with its sales subsidiaries so far, becoming the second

●

internet provider of the country in terms of subscriber number [4].
In 2013, FPT Telecom gained the certificate of doing internet service business in
Myanmar, becoming the first and only foreign telecommunication company in
Myanmar. In 2014, FPT Myanmar contributed 13.5 million USD to FPT Telecom
[5]

.

III. COMPANY’S CAPABILITY
FPT Telecom’s Capability to Internationalize is defined according to

Chrome Framework [6] as following:

1. Competencies of management
-

Training in international business
FPT Telecom is able to provide working staff in a dynamic and challenging
environment, and competition.
Many officers of FPT Telecom has earned international certifications like
CCNA, CCNP, CCIE CISCO networking, international certificates on the
server generation MINI RS / 6000, AS / 400, SUN, HP ...
Experts, technicians are trained with the international certificate (CDCP,
CDCS ...)

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INTERNATIONAL MARKETING – FPT TELECOM
-

Knowledge of foreign market and foreign language
FPT software - FPT Corporation has been exporting to countries around the
world including Nigeria, so FPT software can transfer the knowledge of
Nigeria market to FPT Telecom, as well as supplying any necessary
technological equipment and tools.
Africa is leading the development growth of Internet in the near future.
While the demand of Africa for international bandwidth is booming, which
is still very small when compared with other regions in the world. African
demand is expected to reach 17.2Tbps in 2019 [7].


-

Experience in international business
In 2013, business activities in the overseas market revenue of FPT reached
2607 billion VND (130 million USD) [8].
FPT Telecom ranked second in market share provides ISP (Internet Service
Providers) services in Cambodia [5].

2. Heritage:
FPT Telecom as well as FPT Corporation has an advantage of owning a
large capital scale, making sure that international penetration is financially
supported in the initial stage.
Human resource of FPT Telecom also has a great number of positives to run
the business smoothly.
•

High quality staff: they are creative, enthusiastic, active and experienced,
which builds a strong foothold for FPT Telecom to compete in
technological environment.

FPT Telecom has made great efforts to own all technological areas and got
thousands of international technological certificates. This is a steady base assisting
the company to keep creating effective values for customers and consumers.

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INTERNATIONAL MARKETING – FPT TELECOM
One of the three most important information technology firms in Vietnam,
FPT Telecom is considered to be an Internet supplier with best service policy,

accounting for 30% of Internet market domestically [9].
FPT Telecom, moreover, is capable of receiving huge support from the best
global information technology firms, and some strategic partners.

3. Relationships
Branches and Foreign Subsidiaries
FPT Telecom is working on the control of 2 membership companies, one of
which is FPT Telecom International (FTI). FTI has been operating independently
since early 2008 and is currently assessed, by domestic and foreign partners, as the
best service supplier of online data [3].
Established Business Relationships in Certain Countries
International connection with a number of countries in the world like the US,
EU, Japan, Hong Kong, China, South Korea, Singapore, Thailand, Laos, Cambodia
with the connection capacity of over 100Gbps [3].
International partnership: PCCW, T-System, NTT, Singtel, Korea Telecom,
China Telecom,… [3].

4. Offering
FPT Telecom concentrates on supplying IT outsourcing with new
technological service (S.M.A.C) and pricing advantages.
FPT Telecom has broadband network service ADSL/VDSL, TriplePlay,
FTTH,…; personal hire channel, website, email, web data, data center,..; some
value added service: online channel, fixed telephone, IP camera, signature
identification, cloud computing,… [10].
FPT Telecom has been accomplishing to research and collect more value
added service in only one internet network to maximize benefits for consumers.

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INTERNATIONAL MARKETING – FPT TELECOM
The firm also facilitates its cooperation with big telecommunication partners
in the world, as well as constructing more international light cable lines, expanding
its internet coverage capability.

5. Means
Financial Health[8]
Total Resource: 5,141,837,330,912 VND (2014), in which equity equals
2,207,710,298,954 VND.
Net Revenue from goods and services sold and rendered: 4,825,080,348,941 VND.
Gross profit from goods sold and services rendered: 2,227,919,805,900 VND.
Net profit after corporate income tax: 763,034,866,098 VND.
Capital [8]
Tangible fixed assets: 3,026,439,544,530 VND (structures and buildings,
machinery and equipment, motor vehicles, office equipment, others).
Intangible fixed assets: 253,301,670,627 VND (land use right; licenses, operating
right; computer software.
Production capability [10]
FPT Telecom has the capability of supplying FTTH, which is hi-tech service
among the most modern globally thanks to its pure optical fiber line directly from
home base to customer sites. The technology optimizes the equal speeds of
download and upload internet. It is also several times faster than is ADSL.
High Security [10]
Original/Destination Safety (preventing lightning)
Hi-tech Applications Suitability (VoD, iTV, iVoice, Video Conference, VPN…)

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INTERNATIONAL MARKETING – FPT TELECOM

6. Engagement
Management’s Preparedness and Availability
FPT Telecom is a branch company of FPT Corporation, which has been
exposed to internationalization activities for more than 15 years in terms of
exporting technology and software.
FPT is the first company in Vietnam to think of globalization or
internationalization as the only way to stay alive, as stated in its management’s
determination: “Export or Die” [11].
After FPT Software and FPT IS, all the other branches are or have been
looking for new markets to expand their business, including FPT Telecom, FPT
Trading, FPT University, and FPT Retail.
All these points accounts for FPT Corporation’s mindset of globalization
and internationalization. The company is totally ready and available from
management perspective, and FPT Telecom is not an exception.
Based on what has been expanded, it is defined that FPT Telecom should
continue its internationalization on the condition of the firm’s capability so far
considered only. The previous projects in Cambodia and Myanmar have proved the
firm’s capability of internationalizing, especially into the markets from similar or
lower development condition. Although the Chrome Framework is applied to
evaluate the level of readiness of FPT Telecom to internationalize, the exact final
figure should not be provided because of the limits of collecting information and
analyzing capability.

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INTERNATIONAL MARKETING – FPT TELECOM

PART 2: PRE-ENTRY MARKET SELECTION
In this section, the model of Country Clustering and Country Ranking


[12]

by

S. Tamer Cavusgil, Tunga Kiya, and Sengun Yeniyurt, (2003) is applied.
See Appendix 1 for results of the section.
Country Clustering
5 variables which are listed in table 2 are made use of to classify 53 African
countries into clusters. Cluster 1 includes countries of high economic development
with topped GDP per capita. Population is an important variable in yielding the
clusters also for Internet service business, which therefore explains Nigeria's
existence in cluster 1. Cluster 2 lists the name of countries with high economic
development indicators, even higher than cluster 1, however, with less population
sizes. The last 2 clusters are mainly composed of countries of less development
figures.
Ranking
Countries in cluster 1 are chosen to be the target of the company with
appropriate economic development and population indicators. Rankings of 4
countries in this cluster are revealed in table 1, in which Nigeria ranks No.1. The
country satisfies the conditions of Population, and Internet Users the most. Even
though Nigeria holds the last position in terms of GDP per capita, it is not a high
weight figure in deciding the final total score for an Internet service potential
market. Nigeria also scores 52.9/100 and 100/100 for the Index of Economic
Freedom and Investment in Telecoms respectively, which are considered among
important concerns for Internet market entry.

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INTERNATIONAL MARKETING – FPT TELECOM
Result
Considering the total score, Nigeria and South Africa show the approximate
results.
However, Nigeria yields a better and potential market for an internet service
company because of fewer competitors, which is not reflected in the variables for
the shortage of information availability.

PART 3: EXTERNAL ENVIRONMENTAL ANALYSIS OF
NIGERIA
I.

NATURAL ENVIRONMENT
1. Location

Nigeria is located in Western Africa, and borders the Gulf of Guinea,
between Benin on the west and Cameroon on the east. The country's land mass
extends from the Gulf of Guinea in the south to the Sahel (the shore of the Sahara
Desert) in the north. It affects the transport supplier [13].
The location also relates to other features, for example competitors,
coordinates.

2. Topography
Many dry regions and deserts affect the distribution: deliver the internet
product will be more difficult, so supplying internet services to customers will take
more time because it’s quite hard to travel through the desert.
Bumpy terrain in the sandstone plateau in the north, even and flat to the
south. The south is the busiest areas of the country, where the focus of most of the
urban population [13]. It depends on the strategy of the company where product can
be delivered. If the company targets at the rural areas, targets should be the less

populated areas. The reverse holds true if the company wants to facilitate business
activities in the urban areas beforehand.

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INTERNATIONAL MARKETING – FPT TELECOM
3. Climate
The climate is relatively diverse: Southern influenced equatorial climate (hot
and humid); Central influenced tropical climate, influenced northern desert climate
hot and dry [13]. Therefore, it influences the preservation the products (fiber optics,
hub, network adapter…), which might increase the cost of maintenance and
preservation, therefore, the price of products.

II.

DEMOGRAPHY
1. Population

Nigeria is one of the largest and most diversified African countries, both
socially and culturally. The population comprises 150 million people, with over
250 ethnic groups speaking 550 languages [13]. It leads to low life quality and low
people’s cultural standard, so many people don’t know how to use Internet. An
‘endless’ investment is needed for a pioneer to take advantage of a first-mover.
However in the Nigeria’s case, a certain number of internet penetrators have
already established their own facilities. FPT when joining this competition is
required to serve a brand-new target group, or admittedly to face direct
competition.
Population explosion leads to poor population with low expenditure, so they
not have enough condition to buy or use Internet. On the other hand, when the

economy is beginning to develop (like Nigeria), the potential of higher user
number increases enormously in the case population is among the most dominant
factors for an internet industry.
Population structure (age, sex), affecting the structure of demand for goods
and services and the specific characteristics of demand. For example, brand
position for old or young people.
2. Labor
Labor force, total in Nigeria, was last measured at 54,196,350 people in
2013. It includes both the employed and the unemployed, with total labor force
comprising people of ages 15 and older.

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INTERNATIONAL MARKETING – FPT TELECOM
Unemployment Rate in Nigeria increased to 7.50 percent in the first quarter
of 2015 from 6.40 percent in the fourth quarter of 2014 [14].
All these facts imply some advantages and disadvantages for FPT Telecom:
•

The low labor cost leads to the low price.

•

Plentiful labor force helps the company have more workers to
manufacture products or sellers, staff.

•

Local labors understand their market and update the new information

timely.

III. TECHNOLOGY
1. Innovation
Nigeria is one of the biggest and fastest growing telecommunication markets
in Africa. Another fast growing sector in Nigeria is the computer market
(JIDAW). Therefore, it is easy to penetrate the local market. However it will have
many competitors in this field.

2. Infrastructure development
Infrastructure has made a net contribution of around 1% point to Nigeria's
improved per capita growth performance in recent years, in spite of the fact that
unreliable power supplies held growth back [15].
Among its African peers, Nigeria has relatively advanced power, road, rail,
and ICT networks that cover the national territory quite extensively. Extensive
reforms are ongoing in the power, ports, ICT, and domestic air transport sectors.
This is an advantage for the internet services distribution.
Diffusion and adaptation of innovation
More than half a century after crude oil was discovered in commercial
quantity in Nigeria, the bulk of exploration and production processes are still
dependent on foreign technology and imported material. This is an advantage for
FPT to entry into Nigeria market, providing technology, in which internet is
holding the deciding position connecting all the processes.

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INTERNATIONAL MARKETING – FPT TELECOM
Broadband technology will enable Nigerians enjoy data services by opening
up new vistas of competition in the industry.


IV. ECONOMIC
1. Structure :
The Nigerian industrial sector primarily depends on oil extraction and
refining. Oil price increase/decrease influences consumption of every customer.
This implies some risks for Nigerian economy, especially companies’ business
activities depending on oil price.
The post-colonial era economic growth of Nigeria was characterized by the
rapid and sustained growth of the manufacturing industry. Nigeria has about 5,000
registered and easily located industrial factories and perhaps another 10,000 smalland medium-scale enterprises [16]. FPT will take an advantage of this to outsource
materials and equipment necessary for its business.

2. Indicator
With a growing, urbanizing population of nearly 170 million people and
GDP growth at more than 6.5% per annum for the next four years, the potential
commercial opportunity is huge, particularly considering the current gaps in the
market. Internet penetration is only around 33%, and just 9.1% of households have
internet access directly. Despite the huge appetite for technology, the price of
bandwidth is yet to come down to affordable levels for many Nigerians. The
arrival of four large fiber-optic cables, including the huge Main One and Glo-1
cables that connect Nigeria’s coast to global communications infrastructure is
changing that. The dramatic increase in bandwidth could, analysts say, release the
latent potential in Nigerian technology.
Service is the largest sector of the economy, accounting for about 50 percent
of total GDP. One of the fastest growing segments in Services are Information and
Communication, which together account for about 10 percent of the total output ->
promotion and after-sale service
Inflation rate is at low level than others country, this shows that the currency
market in Nigeria is quite stable. This will ensure the stable financial activities of
FPT, limiting some financial loss because of unstable exchange rate.


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INTERNATIONAL MARKETING – FPT TELECOM
The industry could do more than just make money for VCs and
entrepreneurs, however. Nigeria’s young population needs jobs, and the hope is
that the new economy of technology, and telecoms could provide these.
The cost of power and a scarcity of skills have historically made life difficult
for entrepreneurs, as well as big business. Funding was hard to come by, and
founders could often find more attractive opportunities in big and overseas
corporates.

3. Systems
Nation’s role is decreasing gradually, allowing private sector to invest more.
This status would ease marketing activities of FPT.

4. Infrastructure
Among its African peers, Nigeria has relatively advanced power, road, rail,
and ICT networks that cover the national territory quite extensively. Extensive
reforms are ongoing in the power, ports, ICT, and domestic air transport sectors.
With those relative developed infrastructure, FPT is able to lower to cost of a firstmove, therefore, lowering the price of products. Also, FPT can exploit distribution
channels in the country.
However, challenges still persist in Nigeria. In the transport sector, Nigeria's
road networks are in poor condition from lack of maintenance, and the country has
a poor record on air transport safety. Setting networks could be more difficult.
News advertisements are the most effective means of exposing our
customers to our ads because Nigeria ranks second on the newspaper market in
Africa. Approximately 1.5 million daily newspapers circulate in Nigeria
Collaboration with the Nigerian government is also an effective way of promotion

because only three television broadcast stations exist in Nigeria and the
government controls two of them. If the government provides us with a television
advertising venue, approximately 12 million people will be able to see the ads.

V.

POLITICAL
1. Social pressures & special interests

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INTERNATIONAL MARKETING – FPT TELECOM
While social unrest has diminished as a result of the largely peaceful
elections, there is still the possibility of sporadic violence. There is widespread
income inequality, poverty and unemployment. FPT potentially meets some
difficulties in consuming abilities of users in Nigeria.

2. Nationalism & Animosity/Fear
Trans-national terrorists operating across the Sahel-Sahara will continue to
exploit the region’s ungoverned spaces but will struggle to make inroads further
south and will remain a limited direct threat in Nigeria.

3. Political risks:
Ethnocentrism, tribalism, religious persecution, and nationalism might cause
some bias in consumption, and political crises.
Prebendalism and high rates of corruption apparently lead to increase in
investment expenses for bearing lubrication.
Various political pressure groups and leaders are posing major threats to
national violence, especially in the areas of oil producing, e.g. Niger, causing some

hidden risks of terrorisms, lower production-distribution-promotion effectiveness.

VI.

LEGAL
1. Nature of legal systems

The Constitution of Nigeria is the supreme law of the country with four
main distinct systems: English law, Common law, Customary law and Sharia
(Islamic) law. The laws enforced in any particular region depend on the
demographic structure of that area. For instance, the northern region enforces the
Islamic law because the population of Muslims in the north is high [17].
FPT should have some marketing strategy to adapt to every local region:
different promotion strategy to different place, etc.

2. Regulations and law governing business activities
Tax [18]
IT Tax is payable by specified companies with turnover of N100 million and
above.

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INTERNATIONAL MARKETING – FPT TELECOM
The tax when paid is tax deductible for company income tax purposes.
Rate: 1% of Profit before Tax
IT Tax is assessed by the FIRS and is payable within 60 days of service of a
note of assessment.
Penalty for non-compliance: 2% of the tax payable.
All these taxes on ICT companies contribute to a lower profit as the

expenses for taxes increase. This might affect the strategy and policy of FPT to
adjust the price of each product to make sure a certain margin profit.
Currency Policy [19]
Nigerian currency is tightly and flexibly maintained by the Monetary Policy
Committee to ensure its stable stance compared to the global market.

VII. CULTURAL
1. Values & Attitude
Personal relationships establishment is very important for Nigerians and can
be the deciding factor in business success [20]. So companies should build a
sustainable relationship not only with other enterprises but also with customers. In
promotion, after-sale service is focused while, in distribution, connection with
retailers/wholesalers/agents is emphasized.
Attitudes toward education in Nigeria are valued. FPT can provide the cheap
service package for students to encourage education. Brand position can also be
attached to the image of the internet for education. Public relations can be
maximized in promotion.

2. Religion
Nigeria is nearly equally divided by Christianity (46.5%) and Muslim
(45.5%) with some other minor religions (7.7%) [21].
For the variety of religions, especially Muslim and Christianity, potential
political and ethnic conflicts are emerging, causing damages to marketing
activities: low production capability; higher expenses on dealing with conflicts,
attacks, etc.; thorough awareness of religion sensitivity making promotion tougher.

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INTERNATIONAL MARKETING – FPT TELECOM

Segmentation according to religion is not a good suggestion in the case of Nigeria,
where conflicts are raised mainly after the names of religious groups.

3. Education
The proportion of high school students is only 29% (32% boys and 27%
girls). The education system was considered inappropriate due to infrastructure
deterioration. 68% of people are literate, and the proportion is higher in men
(75.7%) [22].
Thus, the percentage of people who know how to use computers is low,
affecting the number of people using the Internet services.

4. Social structure
Social structure in Nigeria is hierarchical. Most of people stick with family,
men are attached much importance than women [23].
Company will reach customers by providing service packages for each
different customer.

5. Social institutions
Person who has more power in family is the husband (men), so it is effect on
the way which reach customer.

6. Language
There are currently about 510 languages in Nigeria with English’s
dominance over the rest, mainly in the urban communities [24].
While this might yield some benefits for companies in the cities, marketing
activities in the rural areas are more of difficulty owing to language variety. Price
might be increased by promotion expenses while the process of packaging
probably faces some obstacles with different languages for different areas.
It also reveals some potential segments in the rural areas where giants are
not expanding to yet.


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INTERNATIONAL MARKETING – FPT TELECOM

PART 4: COMPETITOR ANALYSIS
There are many other Internet Service Providers (ISPs) in Nigeria such as
NETCOM Africa, SWIFT,...
It is apparently difficult to compete on product quality (speed). In Nigeria,
the big companies have established a large number of loyal users with high quality
of the internet service [25]. NETCom and GlobaCom are two among many others
who are capable of providing the fastest internet service with stable conditions.
It is apparently difficult to compete on price in the meantime. Some names
are also included: SMILE and HYPERIA. These two companies are famous for
their ability to provide the cheapest internet in Nigeria market [25].
However, existing competitors are mainly focusing on urban users with
network capability in the big cities or centers with great populations.
One target customer group that those competitors have not looked at yet is
rural users.

PART 5: SWOT ANALYSIS
See appendix 2 for more details.

PART 6: OBJECTIVES
Within 3 years, Fnet aims at reaching following objectives:

I. MARKETING OBJECTIVES
1.


Customer’s awareness

Within 3 years, increase product awareness to 25% per year. Customers
accept our brand’s position in market, define and increase brand awareness so that

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INTERNATIONAL MARKETING – FPT TELECOM
a minimum of 50% target customers will recognize our brand over the next fiscal
year.
Gain new customers by launching new service to create more potential
market.
Decrease or remove potential customers' resistance to buying our product as
much as possible.
2.

Market share

In the first year, total customer number is at around 800,000 users.
Fnet expectedly increases the number of customers by 250% in the next 2
years individually, having 9.8 million users in 2017, accounting 12,7% of the total
market [26].
3. Internet coverage
Fnet expands to 20 states in Nigeria.
4. Customer relationship
By training selling and consulting staff to make relationship with customer,
Fnet focuses on satisfying customers’ demand.
Fnet also hopes to foster customers’ consumption and an average number of
transactions between buyers and sellers by completing its strategy to research

information of customers and after-sale services with customers.
Fnet also expects to improve customer loyalty and also retention by simply

10%.
5. Market understanding
Within the first 3 years, Fnet satisfies more than 50% customers.
Fnet carries out at least 1 marketing research to know the promising areas
and segments.

II. FINANCIAL OBJECTIVES

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INTERNATIONAL MARKETING – FPT TELECOM
1.

Revenue

Total expected revenue is around 220,000,000 USD, in which:
First year: 50,000,000 USD
Second year: 70,000,000 USD
Third year: 100,000,000 USD
2.

Profit

Total expected profit is around 10,000,000 USD, in which:
First year: 2,000,000 USD
Second year: 3,000,000 USD

Third year: 5,000,000 USD

PART 7: MARKETING STRATEGY
I. POSITIONING STRATEGY
Brand Position: Internet for the Faraway
Slogan

: Fnet - Network the Faraway

Implication

:

People in the countryside haven’t access to internet services because of low
income.
The competitors only provide internet service to individuals, corporate
organizations with fastest and superior internet service in Nigeria such as
NETCOM Africa, VDT Communication... They haven’t focused on the user in
rural area.
Strong invested capital: promotion and placing activities
Fnet mainly targets at the customers in hard-hit areas with low to average
income level.

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INTERNATIONAL MARKETING – FPT TELECOM
Considering their great interests in price and variations in groups, Fnet
offers:


Product:
A number of internet boxes for different sub-targets with average speed, for
example, family box, student box, fisher box, island box,...
Pricing: Low and average price.
Placing:
The faraway areas, including: Sokoto, Niger, Zamfara, Taraba, Yobe,...
Focusing on the central points of each place first, then expanding to the rest.
Promotion:
Putting a lot of facilities in the stores and community areas.
Offering free computers with internet for students.
Delivering leaflets to every family.
Using PR as an effective tool.
Using radio, and mobile vehicles to deliver the information.

II. CHOOSE ENTRY MODE:
JOINT VENTURE

1. Implication
Taking advantage of partner’s knowledge about culture, language, political
systems, and business systems.
Sharing the development costs and risks of opening a foreign market with a
partner. This is especially a case when nationalism and other forms of political
risks are pretty serious in Nigeria.

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INTERNATIONAL MARKETING – FPT TELECOM
Facing a lower risk of being subject to nationalization or other forms of
adverse government interference.


2. Partner
CHAPEL HILL ADVISORY PARTNERS LIMITED [27]
Business Field: A full service investment banking firm focusing on
providing unbiased advisory and investment services to entities and individuals
involved in investing in and developing Africa’s productive infrastructure.
Chapel Hill Denham has an in-depth working knowledge of the business and
regulatory environment; works with financial institutions, major corporations,
domestic and international investors, regulators and governments to encourage
private sector led development initiatives.
Chapel Hill Denham is regarded as one of the pre-eminent independent
investment banking firms in Nigeria.
Chapel Hill Denham possesses a number of ideal strengths to create a joint
venture with FPT Telecom:
Chapel Hill Denham is a Nigerian company which is specialized in
consulting and advising about investment, especially finance, regulations and
government. This would help FPT in regulation problems and understand domestic
market [27].
The company has already had some experience in telecommunications field.
For instance, Kanyinsola Adio - Moses is a Corporate Communications at Chapel
Hill Denham in the field of communications, public relations, CSR, branding and
media relations [28].
Chapel Hill Denham is also a company with a strong financial base, assuring
adequate contribution to Fnet share.

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INTERNATIONAL MARKETING – FPT TELECOM
PART 8: MARKETING MIX

I. PRODUCT
1. Policy: Standardization
Reason:
Nature of product
For technical products like broad-band internet, some core parts of the internet
technology have to be standardized.
High cost of adaptation
With technological products, a large amount of money is needed if there are any
modifications in design of the product.
Convergent taste
Consumers have a tendency of having a convergent taste of the internet. Basically,
the internet satisfies their need of networking and connection, which should be
totally standardized. Modifications, if possible, should be the speed, and quality of
the service, depending on the cost, strategy,... of FPT.

2. Product decisions
a.

Core : standardization
Every single person has an undeniable instinct for networking and connecting. The
company serves as an Internet provider to satisfy customer’s homogenous need.

b.

Actual
Feature: standardization
Design: Coated optical fibers, Optical cable core structures, Strength members,
Cable sheath and armor, etc. have to be strictly followed.

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INTERNATIONAL MARKETING – FPT TELECOM
Optical Slices, Connectors, and passive nodes: Optical distribution frames, Fiber
closures and fiber organizers, Passive node elements for marine and submarine
optical cables are required.
Subsystems: Optical Transmitters, Optical receivers, Optical amplifiers, Adaptive
chromatic dispersion compensators, etc. are required.
For multi-dwelling FTTH indoor applications (FPT’s product), some extra
environment conditions and cable structure standards are required [29].
Quality Level: adaptation.
Based on brand positioning, the quality level will be different in different markets.
Fnet offers a number of packages for specific target groups with appropriate
upload/download speeds, making sure that quality level suits customer’s need and
provider’s resources.
Brand Name: adaptation.
FPT ventures with another company in Nigeria, so the product is a combination of
two companies, so we need a distinct name.
c.

Augmented
After-sale service, warranty, delivery, credit, product support: Adaptation. Because
these are based on the consumer habits, needs, preferences, local government
regulations on product.

3. Brand Decision
Brand Name: FNet (local brand)
Protecting Brand Name:
There are various laws that exist in Nigeria to protect Intellectual property and
brands, including, The Nigerian Copyright Act, Standard Organisation of Nigeria

Act, NAFDAC, Trade Marks Act, Merchandising Marks Act, Customs and excise
Act etc. On the back of these are various regulatory and enforcement agencies set
up to enforce these laws and a host of others. These include The Nigeria Police,
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