Research project Maple group Table of contents Chapter 1: Introduction Chapter 2: Literature review Chapter 3: Research methodology Chapter 4: Research finding Chapter 5: Conclusion and recommendation Chapter 1: Introduction 1.1 Research Background 1.1.1 History of the company PepsiCo, Inc is an America multinational company headquartered in Purchase, New York, United States Currently, it leads in convenient snacks, foods and beverages with revenues of more than 60$ billion and over 285,000 employees from over 200 countries in over the world PepsiCo consists of PepsiCo Americas Foods (PAF), PepsiCo Americas Beverages (PAB) and PepsiCo International (PI) According to detail information which is posted in PepsiCo’s website, the company experiences more than 47 years with many development stages Below is some main point in the history of PepsiCo: Chapter 1: Introduction 1.1.2 Mission and Vision Mission • PepsiCo’s mission is “to be the world’s premier consumer Products Company focused on convenient foods and beverages PepsiCo try to produce financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate And in everything we do, we strive for honestly, fairness and integrity” (PepsiCo, n.d.) Vision • It can be said that vision of PepsiCo is very precious because they understand the role of customer in business They focus more on customers and environment around customers This proves that PepsiCo only interested in economic development - immediate benefit, that they ignored the long-term benefits of environmental protection and health of customer as well This makes increase the belief of customer with company Therefore, since established, the strategic vision of PepsiCo makes the company develop significantly and in a short time, it becomes market leader of Fast-Moving Consumer Goods (FMCG) industry Chapter 1: Introduction 1.2 Problem Statement • Problem 1: The difficulties in product quality inspection in Vietnam (Quality inspection factor) • Problem 2: There are many gaps in Vietnam counterfeiting law (Regulation factor) • Problem 3: Citizens not have high awareness in fighting against counterfeit products (Customer awareness factor) • Problem 4: Vietnam government and company is lack of propaganda program to help customer distinguish between original and counterfeit products (Activity factor) Chapter 1: Introduction Research Objective • In competitive business environment, Vietnam government has many ways to protect benefits of companies and customers One of them is counterfeiting law • To understand the advantages and the disadvantages of Vietnam’s counterfeiting law which influence on awareness and behavior of PepsiCo’s customers • To find out the main reason that Vietnam government cannot prevent development of counterfeit and poor products • • To help PepsiCo have more information about regulations and new terms of the counterfeiting law of Vietnam To understand deeply ways that counterfeit product spread into market to prevent its development Chapter 1: Introduction 1.4 Significant of study • First, for company (PepsiCo), this research will help them understand more about counterfeiting situation in Viet Nam Then, it will be much easier for PepsiCo to find out the solutions and they can feel comfortable to cooperate with the government to prevent counterfeiting • Second, for managers and employees, this research gives more knowledge about regulations of Vietnam counterfeiting law so that managers and employees recognize the important role of counterfeiting law From this awareness, managers and employees can give new ideas, give the best ways to fighting against counterfeit and poor products, and improve the shortcomings in protecting their brand to remain the development of company and PepsiCo’s leader position • Third, for customers, the research help customers raise awareness in distinguish counterfeit and poor product to ensure legal benefits and give some ways to deal with problems when buying counterfeit and poor product • Fourth, for students, this research helps student know how Vietnam counterfeiting law impact on customers of specific company Moreover, students have more experiences to research especially research about the Vietnam counterfeiting law and have more understanding about the business environment in Vietnam • Finally, for future researchers, by using our information and data, comparing with our strong point and weakness; they can improve their research successfully Chapter 1: Introduction 1.5 Research Questions/ Hypotheses • 1.5.1 Research Questions The research question for this study will be: • • • • • • What is the respondents’ profile in terms of? 1.1 Gender 1.2 Age 1.3 Occupation 1.4 Education level 1.5 Civil status What is the significant relationship between the respondents’ profile and their awareness of PepsiCo’s customers about Vietnam counterfeiting law? What are the problems in applying counterfeiting law in Vietnam? • • • • • 3.1 Quality inspection 3.2 Regulation 3.3 Customer awareness 3.4 Activity 3.4 Living standard What is the significant relationship between problems in applying Vietnam counterfeiting law and behavior of customers of PepsiCo? Chapter 1: Introduction 1.5.2 Hypotheses Is there a significant relationship between gender of respondents and their awareness PepsiCo’s customers about Vietnam counterfeiting law? Is there a significant relationship between age of respondents and their awareness of PepsiCo’s customers about Vietnam counterfeiting law? Is there a significant relationship between occupation of respondents and their awareness of PepsiCo’s customers about Vietnam counterfeiting law? Is there a significant relationship between education level of respondents and their awareness of PepsiCo’s customers about Vietnam counterfeiting law? Is there a significant relationship between civil status of respondents and their awareness of PepsiCo’s customers about Vietnam counterfeiting law? 10 Is there a significant relationship between quality inspection factor and behavior of PepsiCo’s customers? Is there a significant relationship between regulation factor and behavior of PepsiCo’s customers? Is there a significant relationship between customer awareness factor and behavior of PepsiCo’s customers? Is there a significant relationship between activity factor and behavior of PepsiCo’s customers? Is there a significant relationship between living standard factor and behavior of PepsiCo’s customers? Chapter 1: Introduction 1.6 Action Plan and Target Date   Activities Due dates Members Creating a group (Maple Group) Lynn (leader), Snow, 01/03/2013 Together reading the scenario for understanding Jess, Key Reading scenario and understanding deeply tasks in assignment 02/03/2013 All members Looking for a company which is within the limits of the scenario (Choose PepsiCo) 06/03/2013 All members 07- 09/03/2013 All members 10/03/2013 All members At home, all members had to: - Think and choose are search title for PepsiCo - Find any documents from books and Internet which related to the research title Holding 1st meeting for making titles CHAPTER 4, 5: FINDINGS, conclusion and recommendation Conclusion • Human greed is a factor leading to appearances of counterfeit product in the market This is obvious so it is not surprise when almost all people “agree” with this statement and even none of respondents choose “strongly agree” and “disagree” Everyone knows that unlike ordinary desires, greed is known as “the more you have, the more you want”, it means that they are not satisfied with what they have Recommendation • Because of human greed is difficult to change Therefore, in order to ensure customers’ benefit, especially customers’ health, PepsiCo need have positive solution to prevent the development of counterfeit product The company can ask for supporting of authorities, and applying award policies for people who discovering counterfeit product and report authorities when buying counterfeit product Besides, PepsiCo can create innovative product which distinguish from others such as special production code, copyright stamp…to help customer easier in detecting counterfeit product CHAPTER 4, 5: FINDINGS, conclusion and recommendation Question 17: The assessment of customers about product’s quality inspection stage of government agencies and PepsiCo Company 120 43 100 Frequency 40 30 64 17 20 10 80 88 24 60 12 21 4 Very bad (0-2) 100 40 20 Bad (2-4) So-so (4-6) Good (6-8) Very good (8-10) Frequency Cumulative frequency Cumulative frequency 50 Interpretation Based on data gathered, the assessment of customers about product’s quality inspection stage of government agencies and PepsiCo Company had a mean score of 5.46 interpreted as "So-so” in the Likert scale There are 21 respondents not think product’s quality inspection stage of government agencies and PepsiCo Company CHAPTER 4, 5: FINDINGS, conclusion and recommendation Conclusion • Overall, the product’s quality inspection stage of government agencies and PepsiCo Company is evaluated as “So-so” by customers It means that government agencies and PepsiCo Company have not really implement a good job in the product’s quality inspection stage However, this is only assess objectively of customers because product’s quality inspection stage want to implement good depend on many elements, meet many difficulty b Recommendation • Product’s quality inspection plays an important role in prevent spreading of counterfeit product as well as ensuring benefits of customers Therefore, it is necessary for government and PepsiCo Company to improve the techniques and increase knowledge of human resources in this field In addition, PepsiCo can help customer change their awareness about product quality inspection, persuade them report to company or authorities about production department where manufacture poor quality product and operate illegally in Vietnam so that PepsiCo have settlement plan, warn the individual, organization which violate intellectual property rights CHAPTER 4, 5: FINDINGS, conclusion and recommendation Fr e q u e n c y 50 40 30 48 20 10 100 41 24 72 100 80 83 17 11 7 120 60 40 20 0 Frequency Cumulative frequency C u m u la t iv e f r e q u e n c y Question 18: Vietnam counterfeiting law is strong enough to protect benefits of customer and PepsiCo Company Interpretation Based on the data above, the assessment of PepsiCo customers about power of Vietnam counterfeiting law in protecting benefits of customer and PepsiCo Company had a mean score of 4.8 interpreted as "Neutral” in the Likert scale There are 48 respondents disagree that Vietnam counterfeiting law is strong enough to protect benefits of customer CHAPTER 4, 5: FINDINGS, conclusion and recommendation Conclusion • The reason for most of PepsiCo’s customers assess “Neutral” about power of Vietnam counterfeiting law in protecting benefits of customers and PepsiCo Company is that Vietnam counterfeiting law is still exist gaps such as regulation are unclear, lack of basis legal to conclude that that products is fake, legal documents lack of unity… However, still has some people assess high about power of Vietnam counterfeiting law Recommendation • In order to affirm power of Vietnam counterfeiting law, government needs enhanced inspection and handling of violations and early complete of the enforcement provisions of the Intellectual Property rights The provisions of the law must be directed to the enforcement agencies can apply in a consistent manner Besides, government need promote close coordination between sectors and agencies related to market management as well as increase the quality and quantity of qualified personnel and strengthening the necessary facilities for inspection, checking for timely dealt violate behavior The level of penalty should be reconsidered to sufficient deterrent against violate behaviors CHAPTER 4, 5: FINDINGS, conclusion and recommendation Fr e q u e n c y 50 42 100 40 88 30 20 10 15 18 60 12 28 Frequency Cumulative frequency 120 100 80 60 40 20 C u m u la t iv e f r e q u e n c y Question 19: PepsiCo hold propaganda programs to help customers distinguishing original and counterfeit product Interpretation According to the data gathered, the assessment of customers about holding propaganda programs to help customer distinguishing original and counterfeit product of PepsiCo which has interpretation in the Likert Scale as “Neutral” There are 15 people think that PepsiCo not hold propaganda programs to help customers distinguishing original and counterfeit product CHAPTER 4, 5: FINDINGS, conclusion and recommendation Conclusion • Through this result, we can see that customers assess about holding propaganda programs to help customers distinguish original and counterfeit product is “neutral” However, in specific data, percentage of customers chosen “Strong disagree” and “Disagree” accounted for small rate with 3% and 15% respectively while the percentage of customers chosen “Agree” and “Strong agree” is higher with 28% and 12% respectively This proves that still have some customers not know about propaganda programs of PepsiCo Recommendation • PepsiCo need more introduce propaganda programs on mass media such as television, radio as well as using ICT tools such as direct mails to send information (time, place…) about events for customers based on customer databases which company collected from transactions Besides, company need create promotion strategies such as discount product or free products for customers who attend propaganda program to attract them Only when they join in these events, they can understand and evaluate high propaganda program of PepsiCo CHAPTER 4, 5: FINDINGS, conclusion and recommendation Fr e q u e n c y 50 120 42 100 40 29 30 20 10 12 12 80 91 60 49 20 100 40 20 Frequency Cumulative frequency C u m u la t iv e f r e q u e n c y Question 20: PepsiCo has many policies to ensure legal benefits of customers Interpretation Based on the data gathered, the assessment about the policies of PepsiCo in ensuring legal benefits of customers had a mean score of 5.56 interpreted as "Neutral” in the Likert scale There are 20 respondent disagree that PepsiCo has many policies to ensure legal benefits of customers CHAPTER 4, 5: FINDINGS, conclusion and recommendation Conclusion • With this question, the large portion evaluates PepsiCo has many policies to ensure legal benefits of customers at the level of “Neutral” However, in specific data, percentage of customer chosen “strongly disagree” and “disagree” accounted for small rate while the percentage of customer chosen “agree” and “strongly agree” is higher with 42% and 9% respectively The reason is that in fact with a large company as PepsiCo, customers is always concerned first of PepsiCo because it is important element which decide succeed of company Therefore, company sure has many policies to ensure benefits of customers Recommendation • Company need have program to propagandize for customers about policies ensuring benefit of customers to them know and show the benefits policies bring to customers when buying PepsiCo product As a result, customers can understand efforts of company in ensuring their benefits and company can get more customers’ trust CHAPTER 4, 5: FINDINGS, conclusion and recommendation Correlation 1: Correlation between the beliefs in product’s quality and level of satisfaction about the prices of PepsiCo products of customers 10 Customer's belief about product quality f(x) = 0.47x + 3.51 R² = 0.24 Price of product Linear (Price of product) 0 10 Customer satisfaction about prices Interpretation The chart shows the relationship between customers’ belief in product’s quality and their level of satisfaction about the prices of PepsiCo products Almost points spread from to and appear around the linear Because r = 0.485, therefore it is positive correlation which means that level of customers’ satisfaction about prices depend on their belief in product quality CHAPTER 4, 5: FINDINGS, conclusion and recommendation Conclusion • Based on this correlation, it can be known that the close relationship between customer’s beliefs in product’s quality and their level of satisfaction about the prices of PepsiCo product The customer’s belief about product’s quality will evaluate level of satisfaction about prices of PepsiCo product Only when company have high quality product to meet requirement of customer, customer can accept to buy product and satisfy prices that company give although product’s prices is high Recommendations • The important thing in running business is improving product’s quality It is considered as a tool to enhance value for product and increase customers’ belief When gain customer’s belief, PepsiCo not need have suitable pricing strategies to attract customer, customers still can accept to buy it easily Therefore, PepsiCo should focus more on product quality instead of focusing too much on setting up price strategies to attract customers C u s t o m e r s a w a r e n e s s a b o u t V N C o u n t e r f e it in g la w CHAPTER 4, 5: FINDINGS, conclusion and recommendation Correlation 2: Correlation between customers’ awareness about counterfeiting law and evaluation of customer about power of Vietnam counterfeiting law in protecting customer and PepsiCo Company 10 f(x) = 0.41x + R² = 0.16 Power of Vietnam counterfeiting law 0 10 Po wer o f Viet nam Co unt erf eit ing law Interpretation The calculation shows the correlation between customers’ awareness about counterfeiting law and evaluation of customer about power of Vietnam counterfeiting law in protecting customer and PepsiCo Company Because r = 0.401, therefore it is positive correlation which means that assessment of customer about power of Vietnam counterfeiting law depend on their awareness about Vietnam counterfeiting law CHAPTER 4, 5: FINDINGS, conclusion and recommendation Conclusion • Based on this correlation, it can be known that the close relationship between customer awareness and power of Vietnam counterfeiting law When customers have good awareness about Vietnam counterfeiting law and effort in detecting fake or counterfeited product, the power of Vietnam counterfeiting is enhanced and affirmed by customers Recommendations • Government need have more programs to propagandize about laws for business specifically PepsiCo company to them understand clearly and cooperate with the government to prevent counterfeit product and raise customer awareness about Vietnam counterfeiting law and help them distinguishing between original and counterfeiting product As a result, customers will evaluate highly about power of Vietnam counterfeiting law in protecting customers and PepsiCo Company CHAPTER 4, 5: FINDINGS, conclusion and recommendation Hypothesis • • • • • Hypothesis 1: There is significant relationship between gender of respondents and their awareness PepsiCo’s customers about Vietnam counterfeiting law Hypothesis 2: There is significant relationship between age of respondents and their awareness PepsiCo’s customers about Vietnam counterfeiting law Hypothesis 3: There is significant relationship between occupation of respondents and their awareness PepsiCo’s customers about Vietnam counterfeiting law Hypothesis 4: There is significant relationship between education level of respondents and their awareness of PepsiCo’s customers about Vietnam counterfeiting law Hypothesis 5: There is significant relationship between civil status of respondents and their awareness of PepsiCo’s customers about Vietnam counterfeiting law CHAPTER 4, 5: FINDINGS, conclusion and recommendation • • • • • Hypothesis 6: There is significant relationship between quality inspection factor and behavior of PepsiCo’s customers Hypothesis 7: There is significant relationship between regulation factor and behavior of PepsiCo’s customers Hypothesis 8: There is significant relationship between customer awareness factor and behavior of PepsiCo’s customers Hypothesis 9: There is significant relationship between activity factor and behavior of PepsiCo’s customers Hypothesis 10: There is significant relationship between living standard factor and behavior of PepsiCo’s customers [...]... chapter 2 Submit to lecturer to receive feedbacks 19 20 - Checking together chapter 2 and fixing if there was any problems Doing chapter 3: Discuss the tasks for chapter 3 and divide work 21 22 23 24 Doing assigned tasks in chapter 3 at home Asking lecturer for checking chapter 3 25 Submitting Assignment 1 22 /04 /20 13 All members 26 Presentation and oral exam 9/05 /20 13 All members 11/05 /20 13 All members 27 ... 03/04 /20 13 All members 04-07/04 /20 13 All members 08/04 /20 13 Key 09 - 10/04 /20 13 All members 11/04 /20 13 All members 12 - 14/04 /20 13 All members 15/04 /20 13 All members Fixing chapter 3 16 - 17/04 /20 13 All members - Conducting a completed report including introduction, conclusion, reference list, etc 18 - 21 /04 /20 13 All members Doing chapter 2: 18 Dividing work and doing research about chapter 2 All members... th Holding 4 meeting - Discuss tasks of chapter 4 Chapter 1: Introduction 28 Conducting survey at 5 chosen places and collect data and summary the results 13- 24 /05 /20 13 All members 27 /05 /20 13 All members 28 /05 /20 13-1/06 /20 13 All members 2/ 06 /20 13 All members 3/06 /20 13 All members 4-10/06 /20 13 All members 11/06 /20 13 All members 29 Holding 5 th meeting - Divide work about calculating in chapter 4 for... lecturer 18/03 /20 13 Lynn Preparing approval letter 19/03 /20 13 Snow Meeting PepsiCo’s manager for a permission 21 /03 /20 13 All members 22 - 24 /03 /20 13 All members Holding 3rd meeting for making the questionnaire 25 /03 /20 13 All members Asking lecturer for checking the questionnaire 28 /03 /20 13 Jess 29 - 31/03 /20 13 All members At home, each member prepared a suitable questionnaire for the next meeting 15 Doing... Dai Nghia, Ha Noi 20 customers in BigC supermarket: 22 2 Tran Duy Hung, Cau Giay, Ha Noi 20 customers in Banking Academy: 12 Chua Boc, Dong Da, Ha Noi 20 customers in Indochina Plaza: 23 9 XuanThuy, Cau Giay, Ha Noi CHAPTER 3: RESEARCH METHODOLOGY 3.3 Research instrument Likert scale questions are listed in the following table: Question 10 Never Rarely Sometimes Often Always (0 -2) (2- 4) (4-6) (6-8) (8-10)... circulation, extensive distribution from urban to rural, remote areas CHAPTER 3: RESEARCH METHODOLOGY 3.1 Research Design 3.1.1 Type of research • There are 3 types of research: Exploratory research, Descriptive research, Causal research Our research type is Descriptive research Descriptive research is considered as survey research It collects data in order to answer questions about the current status... 1: Introduction 1.8 Research ethics • Research ethics is a set of rules, regulations, implementation which researcher need to comply; it describes the behavior and responsibility of researcher with their research objects The objective of research ethics is prescribe what researcher can or cannot to do research, determine the power and responsibilities of researcher before doing research It also protects... Very good (0 -2) (2- 4) (4-6) (6-8) (8-10) Strongly do not believe Do not believe Normal Believe Strongly believe (8-10) (0 -2) (2- 4) (4-6) (6-8) Extremely dissatisfied Dissatisfied So-so Satisfied (0 -2) (2- 4) ( 4-6) (6-8)     Question 12 Question 13 Question 14   Extremely satisfied (8-10) Question 15 Very low (0 -2) Low (2- 4) So-so (4-6) High (6-8) Very high (8-10)       Strongly disagree (0 -2) Disagree... Target Date 6 7 8 9 10 11 12 13 14 Present research title before class and asking lecturer for a title acceptance 11/03 /20 13 All members The second submit titles and choose 1 research title for PepsiCo 14/03 /20 13 All members Holding 2ndmeeting to make problem statements 16/03 /20 13 All members Checking problem statements with lecturer 18/03 /20 13 Lynn Preparing approval letter 19/03 /20 13 Snow Meeting PepsiCo’s... intended possible uses of the research to participants Besides, we commit that all information, data, results, methods and procedures in the research is true and reliable Especially, our research is about counterfeiting law, therefore we have to obey relevant laws and institutional and governmental policies CHAPTER 2: LITERATER REVIEW 2. 1 Introduction 2. 1.1 Area • The key area of our research is “law”, it