Tran Tuan Anh-10190442-ME-A1

Table of Contents
INTRODUCTION...............................................................................................................2
MAJOR FINDINGS............................................................................................................3
I.

The definition of marketing and marketing environment:.....................................3

II. The influence of external factors on growth opportunities or challenges for the
company............................................................................................................................ 5
1. The demographic environment.............................................................................5
2. The technological environment.............................................................................6
III.

The crucial positions and duties of CGV's Marketing department....................7

IV.

The influences of marketing department with other departments.....................8

V. Using marketing research techniques to gain customer insights.........................10
CONCLUSION..................................................................................................................12
REFERENCE.................................................................................................................... 13


INTRODUCTION
With the rapid development of today's society, people's living standards are
increasingly enhanced, spiritual needs are also becoming popular and requirements are
met. In Western countries, going to theaters to watch movies has become too familiar for
centuries, especially for less developed countries like Vietnam, the exposure to this

entertainment technology is only developing. decades back here. That is why Vietnam is
seen as a potential market, especially in big, typical cities like Ho Chi Minh City. With
the current market opportunities, theaters in Ho Chi Minh City in general and Vietnam in
particular, have taken positive actions to enhance competitiveness compared to other
competitors from service provision to communication and promotion activities. One of
the theaters mentioned above, can not help but mention names such as Galaxy, Lotte
Cinema, BHD Cinema ... and especially CGV theater system of CJ Group.
I will present five key parts in this article. The definition of marketing is the first part.
The second is how the business's capacity to recognize opportunities and threats can be
influenced by the external world. The third one is the Marketing department's critical
positions and duties in the business. The fourth part is the explain and analyze how the
marketing department affects and interacts with the other departments within the
organization. The last section is customer insights are gained through the use of
marketing research techniques.

MAJOR FINDINGS
I. The definition of marketing and marketing environment:
Marketing is a collective mechanism in which organizations and individuals use the
products and services of value to the development, provision, and transactions
with customers

in

aims

to

introduce

what


they

want/need (Kotler

and


Armstrong, 2017). Product,

Production,

Selling,

Marketing/Customer-Orientation,

relational, and society marketing principles are among the six marketing concepts.
Rather than determining the demands of the target customers, production orientation
tends to reduce commodity costs. This approach means that consumers would choose the
most affordable commodity at the lowest price, making it easier for the business to
accomplish its objectives. As a result, these orientation-oriented firms will concentrate
on and manufacturing and procurement productivity in order to reduce costs as much as
possible. However, the disadvantage of this approach is that it does not provide
consumers with high-quality goods and gives them no visibility in their operations.
Owing to insufficient reaction and inefficient short-term interactions, which would result
in a loss of consumers.
The aim of product orientation is to concentrate on the firm's customer satisfaction.
This approach suggests that consumers want goods that are high in quality, innovative,
and valuable to them. As a result, these companies will concentrate on enhancing product
quality and continuously expanding their offerings. The disadvantage of this orientation

is that it is only effective for a specific market, and to achieve the optimal results, it must
be used in conjunction with other orientations.
Businesses who are sales-oriented want to concentrate on exporting their services or
products. This approach focuses on ways to get people to purchase as many goods as
possible, rather than on their needs and desires. As a result, companies who follow this
strategy will use a variety of distribution tactics to draw consumers. However, since this
approach is solely focused on sales, it has the disadvantage of not developing long-term
relationships with consumers.
When a company adopts a marketing orientation, it focuses on the interests and
desires of its consumers. Customers' interests and desires would be prioritized by
businesses, resulting in offerings that satisfy their requirements and appeal to as many
consumers as possible. However, the disadvantage of this approach is that it can lead to
internal tensions when it comes to fulfilling consumers' demands and desires.
Societal marketing is concerned not only with the interests of customers, but also with
the contributions of society. This ensures that companies must have a communications
plan in place to satisfy consumer demands but simultaneously ensuring that goods are


beneficial to both community and consumers. Customers and culture will be the primary
targets of companies that follow this strategy. As a result, one disadvantage of this
orientation is that companies would be unable to maximize earnings, which is why it has
not yet gained attraction.
Consumer loyalty is ensured by relationship marketing, which focuses on building
long-term customer trust in short-term targets. Customers' loyalty and happiness will
provide benefit to companies that have long-term relationships with them. While this is a
popular market practice, it also has the downside of not ensuring long-term sales through
investing in current consumers.
The marketing idea is currently the most common ideology. Furthermore, marketing
will be the business's future direction.
CGV is now pursuing a marketing strategy in which it provides cinema offerings that

satisfy the demands of consumers. In addition, CGV understands that consumers want to
purchase high-quality offerings, so it has always provided preferential strategies so that
customers can get the CGV they want at the cheapest price. Student discounts of up to
50% are among the discounts offered by CGV to their clients. Furthermore, CGV made
use of relationship marketing. CGV now has excellent customer service programs in
place in order to maintain long-term relationships with consumers and thereby capture
their value. As a result, CGV has developed a large brand identity that is now wellknown among customers. (CGV, 2021)
Besides marketing, the marketing environment is a mix of external and internal
influences and pressures that influence a company's ability to build relationships with
and satisfy its consumers. Micro environment that belongs to the external environment
focuses on 6 main factors that are suppliers, customers, market intermediaries, partners
and competitors (Aashish, 2021). For example, CGV are facing to many competitors
such as Lotte, BHD star, Platinum, Beta,… Unlike the micro environment, macro
environment is external influences and forces that influence the market as a whole but
have little direct impact on the sector (Aashish, 2021) so the macro environment can be
divided into 6 parts:


-

Demographic

Environment:

Market

makers

make


up

the

demographic

environment. Real census and population breakdown by scale, density, area, age,
-

sex, and occupation define it.
Economic Environment: The economic environment included the GDP, DNP,

-

inflation, income distribution and other major economic factors.
Physical Environment: The physical environment are factors that impact from

-

nature such as storms, floods, natural disasters, epidemics,...
Technological environment: Science and technology are increasingly developing,

-

making the scientific environment one of the factors that greatly affect companies.
Political-Legal Environment: This is the factor that forces companies to obey the

-

laws that are enacted by the state.

Social-Cultural Environment: Each region, each country has its own culture and
lifestyle, so this is also one of the factors that greatly affects companies.
II.

The influence of external factors on growth opportunities or challenges for

the company.
There are many factors that affect CGV's marketing activities, but there are two major
factors that have a big impact: the physical environment and the demographic
environment.
1. The demographic environment.
With a variety of customers in Vietnam, CGV also has marketing strategies suitable
for each of these groups of customers so as not to be adversely affected by the
demographic environment. For movies that are mainly young generation, CGV has
incentives for customers who are under 22 years old can receive special offers as well as
discount tickets. Moreover, for children, CGV has combo comes with toys, decorative
water bottles to increase sales as well as increase customer satisfaction (CGV,2021).
Unlike the young, CGV has its own marketing activities for older customers. One of
those marketing activities is that CGV always prioritizes service quality first so that
customers are completely satisfied with the service quality that is worth the money.
Besides, since CGV is still a foreign company, there is always a preference for
blockbuster films over Vietnamese films. This makes a part of customers unhappy when
they want to watch movies made by their countries (Vu,2019). But recent times, CGV


has removed barriers to Vietnamese films. Not only that, CGV always chooses prime
locations for its facilities such as: Vincom, Hoan Kiem Lake, Aeon Mall, ... This makes
CGV always a comfortable destination when there are branches with convenient
locations and many customers. All these marketing activities have helped CGV to adapt
very well to the demographic environment in Vietnam.

2. The technological environment.
The technological environment is having a big impact on all companies, especially big
companies like CGV. To be able to adapt to this environment, companies must have
suitable and effective marketing tactics. When talking about cinema complex technology,
we must mention CGV. CJ CGV has created a unique concept of converting traditional
movie theaters into the cultural complex "Cultureplex", where audiences not only come
to enjoy diverse movies through advanced technologies such as SCREENX, IMAX,
STARIUM, 4DX, Dolby Atmos, and enjoy completely new and different cuisine while
experiencing the highest quality service at CGV (CGV,2021). Not only upgrading
theaters, CGV always has other technologies such as popcorn machines, soft drink
holders, massage chairs, ... This helps CGV to always have customers' preference when
it comes to choosing theaters to use the services, which also means that CGV has
successfully adapted to the technological environment.
III. The crucial positions and duties of CGV's Marketing department.
The marketing department is vital to the success of an organization's enterprise and
mission. It serves as the organization's public face, coordinating and manufacturing
goods that are representative of the company. It is the marketing department's job to
reach out to prospects, customers, associates, and/or the media, all while creating a
positive overall reputation for the company. As a result, the marketing department can be
split into 8 duties.
1) Defining and managing brand: This entails deciding who you are, what you
stand for, what you think for yourself, what you do, and how your business
operates. This, in essence, determines the interaction you expect your clients
and partners to have with you. (Thehartford, n.d.)


2) Managing ad campaigns by the campaign administration: Marketing
proactively goods and services to rely on during the promotional period, and
also creates materials and messages to spread the message. (Thehartford, n.d.)
3) Making promotional and publicity materials: The documents that identify and

advertise your key goods and/or services should be created by your marketing
department. As those goods and services change, they should be kept up to
date. (Thehartford, n.d.)
4) Content and information development for your website: Website is extremely
important for every company as it is the first or possibly the only way that
customers can find information and offers of the company. (Thehartford, n.d.)
5) Social network monitoring and management: For marketing, social media is
indispensable, it needs to be managed carefully and closely to be able to
positively reach customers. (Thehartford, n.d.)
6) Establishing internal communication: Your workforce must be aware of your
company's principles and expectations. Employee communications are often
handled via marketing through a private communication ways. (Thehartford,
n.d.)
7) Conducting market and consumer analysis: Research will help you identify
potential audiences and prospects, as well as understand how people view your
goods and services. (Thehartford, n.d.)
8) Supervising third-party distributors and departments. Marketing is usually in
charge of choosing and handling the companies and suppliers who create
marketing materials and/or offer marketing assistance. This may include
marketing agents, print suppliers, public relations agencies or experts, web
hosts, and so on. (Thehartford, n.d.)
For CGV, the two most important roles are defining and managing brand and website
development. Firstly, branding is considered as a way to promote a company's image and
CGV is doing a very good job of spreading the brand and image of the company. With
high brand meaning, the initials CGV stand for "Culture," "Great," and "Vital." (CGV,
2021), this affirmed and committed to customers about the service quality of the
company. Moreover, CGV logo is always made colorful and creates a lot of attention
from customers. This has also made the brand interested by customers as well as



engraved into the customer's subconscious every time they go to the cinema. Besides the
brand, the website is also one of the very important parts of CGV. CGV's website is the
place to help customers know about movie information, schedule and promotions.
Therefore, CGV needs to have a good team of website development to keep up-to-date
with the best information for customers.
IV. The influences of marketing department with other departments.
Successful collaboration among departments within an organization is one of the
factors that contribute to an organization's success. Departments must work together to
accomplish the organization's objectives, as well as the goals of each group. Since an
organization's operation would pass through several divisions to be completed, it is much
more efficient for departments to work together than it is for departments to work
separately.
For example, any company operation must pass through the financial accounting
department to determine how much money is budgeted for that activity. As previously
said, any department, including the marketing department, must be linked to the
accounting and finance department. The marketing department must determine the
expense of a marketing campaign and advise the finance and accounting departments.
That marketing strategy will be introduced if the finance and accounting department
approves it. The accounting and finance department, on the other hand, will contact
management to request more expenditure if it is missed or report benefit if the expense is
less than the provided budget after learning the cost of the Marketing operation. In
addition, the marketing department must collaborate closely with accounting and finance
in order for CGV to make the right decisions possible. The marketing department must
announce the expense and obtain the money for projects from the finance and accounting
department, allowing the marketing department to create positions that are within the
budget. The financial accounting department, on the other hand, must report on costs for
marketing activities in order to register them in the Profit and Loss Statement. In brief,
the finance and accounting department would have an effect on the marketing
department's marketing mix at promotions. However, there is a chance that these two
departments may have a disagreement. The finance and accounting department may try



to cut spending and maximize sales, but the marketing department will struggle to plan
promotions due to a limited budget.
The sales department and the marketing department are the two divisions that would
work together to ensure the business's income. The marketing department will do
surveys and target prospective buyers in order to get as many individuals involved in the
product to the sales department as possible. If the sales department has a significant
source of demand, they will attract them, resulting in an increase in business sales. The
sales department, on the other hand, has direct contact with customers and hence knows
the customer's facts, needs, and behavior. As a result, the sales department will send data
from customers to the marketing department, allowing the marketing department to
formulate a plan that is appropriate for and customer category in various locations. In
fact, the sales department will provide the marketing department with product details,
and the marketing department will provide the sales department with information on
deals and discounts. In general, the sales department would have an impact on the
marketing mix in the areas of Price, Promotion, Place, and Product. However, there is a
chance that these two departments will clash. If the marketing department starts a new
strategy to introduce goods or services, sales department argue that it is inappropriate
and does not attract the right buyers. Sales departments often prefer to reduce prices in
order to generate sales, while marketing departments want to sell at a higher price in
order to gain buyer recognition for the product.
V. Using marketing research techniques to gain customer insights.
Knowing your customers' expectations and desires has been critical to ensuring your
company's long-term viability. Listening allows you to hear about and converse with
your clients, allowing you to have ever-improving interactions.
Companies with good data are more likely to gather actionable consumer insight,
which will help them expand their bottom line over time.
According to Trustpilot (2020), businesses use customer insights to get a fuller
knowledge of how their target group thinks and feels. Human behavior analysis helps

businesses to really comprehend what their customers desire and need, as well as why
they feel that way. When the company has gained customers insight, this will make the


marketing activities as well as product and service introduction to be received with
positive feedback from customers.
In order to gain more customers insight, the company must have a marketing
information system with the right and effective directions. Marketers can use the
data coming from both within and outside the company, to stay on top of evolving
consumer

demands,

reviews,

business

patterns,

and

competitors'

plans

(Businessesjargons, n.d.). This allows the marketer to make data-driven decisions about
product designs, service options, pricing, packaging, delivery, and promotional
platforms, among other items. For the company, there are 4 marketing research
techniques:
 Market intelligence system: A Market Intelligence system is concerned with the

organized gathering and analysis of data from all available channels in order to
determine changing marketing patterns. To put it another way, the marketer
collects data from all available sources and transforms it into useful knowledge
that are used to make important business decisions.
 Market share method: The Market Share Approach is another revenue
forecasting method in which the company first focuses on the business prediction,
then adds the market share aspect, and eventually arrives at the company's forecast.
The company's revenue projection is derived from data obtained on industry sales
as well as the company's market share.
 Marketing research: Marketing analysis is the systematic collection, review, and
assessment of data pertaining to marketing conditions. Marketers must be mindful
of changing market patterns, such as shifts in customer behaviors and tastes, new
goods launched in the marketplace, rival commodity pricing, comparative
substitutes, and so on.
 Marketing survey: Another commonly used revenue analysis tool is the industry
survey, which is used to compile business statistics that cannot be obtained from
the company's internal reports or from publicly available data sources. The market
survey approach is usually used where data collection and first information is
needed to forecast demand. When a corporation wishes to introduce new products
or a new version into the market, it can use primary data.


The marketing information technique which CGV should use is marketing research.
Simply because marketing research play an important role for all companies who have a
lot of competitors like CGV to know about the trend in market, customer behaviors, the
products and services of competitors… According to Businessjargon (n.d.), the
marketing research process can be divided into six steps:
- Step 1: Define the Problem.
The first decision that a company must make is determining the issue on which the
analysis will be done. The problem must be properly specified because if it is too

ambiguous, limited resources can be wasted, and if it is specific, the exact inference
cannot be made. To properly identify the dilemma, each firm must have a straightforward
answer to the following questions: What should be researched (scope and content)? And
why is the study being conducted (decisions to be made)?
- Step 2: Develop the Research Plan.
The marketing information department collect the data to know more about the market
or customers. Thereby creating and developing plans in combination with secondary data
in reports, books, ... to make a marketing project.
- Step 3: Collect the information:
It is among the most cost marketing research methods. The researcher must choose
strategies for gathering information; he may find it hard to collect accurate information
due to the respondent's prejudice, inability to provide responses.
- Step 4: Analyze the information:
After gathering the data, the first step is to arrange it so that some research can be
performed. To conduct the study, the researchers use a variety of mathematical methods,
such as computing averages and measurements of dispersion. To evaluate the data, some
sophisticated decision methods are also used.
- Step 5: Present the marketing project:
Both findings and analysis are presented to the highest management level, i.e. CEO,
the managing director, or board of directors, in order to marketing decisions to be made
in accordance with the research.
- Step 6: Decision:
It is the final step in the marketing information analysis process; after the results have
been reported to top-level executives, it is up to them to decide whether to trust the
reports and decide on them or to dismiss them as inappropriate.


This technique helps CGV in analyzing many aspects of marketing as well as working
on a marketing project. If you do this well, CGV is very easy to tap into customer
psychology and gain more customer insight. However, to accomplish this, the amount of

money spent to make is also one of the issues that worries.
CONCLUSION
Marketing is a indispensable aspect of every business to help them promote the
company's name, raise profits, and improve the company's image. However, in order to
optimize success during the operation phase, the marketing department must collaborate
with other departments within the company.

REFERENCE


-

Aashish, P. (2021). Marketing Essential. Marketing Environment: Explanation,
Components, & Importance. Retrieved from

-

/>American Marketing Association. (2017). What is Marketing? — The Definition of
Marketing — AMA. American Marketing Association. Retrieved from

-

/>Business Jargons, (n.d.). Marketing Environment. Retrieved from

-

/>Business Jargons, (n.d.). Marketing information. Retrieved from
/>%3A%20The%20Marketing%20Information%20System,on%20a%20regular%2C

-


%20continuous%20basis
CGV 2021. Retrieved from: />Kotler, P. and Armstrong, G. (2017). Principles of Marketing. 17th ed., p.30.
Mi, L. (2020). CJ CGV bán bớt cổ phần trong công ty tại Việt Nam sau COVID19. Retrieved from />
-

viet-nam-sau-covid-19-20200610133512917.htm
The Hartford . (n.d.). The Role of a Marketing Department. Retrieved from
/>
-

department/role
Trustpilot. (2020). What are consumer insights and how do I use them? An
introduction. Retrieved from: />