BACHELOR OF BUSINESS (HONS)
FEBRUARY 2025 SEMESTER
PROJECT
Course Code : MGT200
Course Name : SMALL BUSINESS MANAGEMENT
This project carries 50% of the total assessment for this course.
Student ID & E-mail: E2200241
Examiner(s):
DR. KISHEN ADNANI
Date (Released): 9 JUNE 2025, 14:00PM Submission/ Time : 23 JUNE 2025, 14:00PM
Time allowed: 14 DAYS
INSTRUCTION(S):
1. This project consists of (ONE) 1 section. Answer ALL questions.
2. The format of the submitted answer script should be as below:
Font: Times New Roman
Font Size: 12
Spacing: 1.5
Margin: Normal
Ink: Black
3. Students are to provide their full name, student ID and grading table on the front page of their answer
script. Do provide your list of references at the end of the answer script.
4. Failure to submit the assessment by the stipulated date would result in your project being awarded a zero
grade.
5. Send your answer in a MS-WORD document only. Name the file of your answer script as your full name
before submitting.
6. Students MUST pass this project in order to pass this course.
7. This is an INDIVIDUAL project to be completed individually by each student.
8. Students are required to obtain secondary data in order to complete this project.
9. In completing this project, students are required to address all the issues stated in this assessment question
sheet.
10. Follow the word limit set at the end of the question. This excludes quotes and references. Marks will be
deducted if you exceed the word count limit by more than 10%.
11. All academic formalities including references and in-text citations must be adhered to. Your work should
contain complete references by using the APA or Harvard referencing method. Any work presented
without citations would be considered as plagiarism and would be awarded a FAIL grade.
12. A 20% Turnitin similarity report will be acceptable, any points above it would be subject to the
imposition of penalty.
13. The following website sources are prohibited: Investopedia, Wikipedia, Ukessays.com, Tutor2u.net and
Dineshbakshi.com
14. During the period of assessment student cannot solicit any explanation from the examiner, hence it will be
treated as an independent work.
15. Ideally students are not encouraged to communicate with each other during this period, so as to safeguard
them from any form of collusive work that may be observed or picked up by Turnitin.
16. The completed project should be submitted via the HLMS at the stipulated submission point.
(This project paper consists of 6 printed pages, including the cover page)
PLEASE INSERT THIS MARKING GUIDE ON THE FIRST PAGE OF YOUR
PROJECT (AT THE TOP):
NAME: NGO THI THANH MAI
STUDENT ID NUMBER: E2200241
Assessment Criteria Marks Awarded
Scope & Introduction
(20)
Critical Analysis (30)
Summary (10)
Literature Review (20)
Style (20)
TOTAL
[2500 to 2700 word]
***END OF PROJECT PAPER***
MGT200 FINAL ASSESSMENT RUBRICS
Assessment Very Poor Poor Average Good Excellent
Criteria
1. Scope & 0-9% 10-12 % 13-14% 15-16% 17-20%
Introduction
Topic not covered, Adequate summary Fuller and more Comprehensive Well-structured
20% discussion too brief, of the issues, main systematic treatment of the description. Sets
unreflective with, issues flagged up treatment of the topic. the scene in an
little explanation. front, logical flow of topic. outstanding way.
ideas.
2. Critical 0-14% 15-19 % 20-23% 24-26 27-30%
Analysis
Little or no analysis Some analysis of Analysis lacks a Good attempt to Excellent critical
30% of theory, and trying theory., with convincing analyze critical analysis of the
to put things back explanation, and argument. Need issues. Some theory. Wellargued
together, and add illustration, and to justify more. conviction but case. Excellent
individual value. some attempt to put Greater attempt could do with attempt to put
things back together, put things back more. Sound things together, and
Project has too many and add individual together, and add attempt to put add
significant faults to value. individual value. things back value. Project is
be regarded as a together, and add based on extensive
University standard Project is adequate Project is without individual value. research; and has
piece of work. but still has serious faults but original thinking
significant faults. has little and a sound
conviction. argument.
3. Summary 0-4% 5% 6% 7% 8-10%
(Conclusion) Very weak Weak conclusions. Adequate attempt Sound Strong conclusion
conclusions. Do Do not follow from to bring it all conclusions. Well succinctly and
10% not follow from discussion. together. brought together. excellently
discussion. presented.
4. Literature 0-9 % 10-12 % 13-14% 15-16% 17-20%
Review
Little or no reading, Subject materials Accurate reference Relevant and Wide range of
(Amount & type poor integration of only used. Accurate list attached. Extra accurate reference relevant literature
sourced) literature into the text reference list references list attached. Extra sourced and
of project. attached. included. references integrated into the
20% included text. It uses
integrated into the sources critically
text. and carefully.
5. Style 0-9 % 10-12 % 13-14% 15-16% 17-20%
(Presentation and Little or no attempt to Most presentation Few flaws. Style is Virtually free of Error free. Style is
writing) reference in an requirements met in a concise and lucid. errors. Style is exceptionally
appropriate way. basic way. concise and concise and lucid.
20% Major flaws. lucid.
Difficult for the It is well
reader to get the written. It flows
point. clearly from
point to point.
Case Study: Sunshine Bakery – Strategic Solutions for a Small Business in
Vietnam
EXECUTIVE SUMMARY
Sunshine Bakery, a family-owned bakery in Ho Chi Minh City, faces significant
challenges in Vietnam's increasingly competitive F&B sector. This report analyzes
the current business situation, identifies four key industry issues, proposes three
unique value propositions, and outlines four competitive strategies for Sunshine
Bakery. Strategic partnerships with key stakeholders will be crucial for this small
business to overcome challenges and achieve sustainable growth in this dynamic
market.
Vietnam Bakery Market Size and Growth
CASE EVALUATION
Overview of Vietnam's F&B and Bakery Sector
With a large population and a young population, Vietnam is a country that is
highly appreciated for its potential for development and competition in the field of
cakes. In addition, cakes are also consumed a lot, especially in densely populated
areas. The continuous development of large urban areas has opened up many
opportunities for the cake industry to become popular and develop strongly. This
market is highly competitive because of the emergence of many domestic and
international suppliers. In addition, new, healthier ingredients with less fat are
being introduced by suppliers to attract the health-conscious population. In
addition to providing unique and customized products, companies are focusing on
strengthening and expanding their distribution networks to be able to attract more
potential customers. Many players are focusing on providing products through
various online platforms to increase their consumer reach.
The Vietnamese F&B industry is experiencing robust growth, particularly in the
post-pandemic recovery phase. The bakery segment is rapidly expanding, with an
estimated value of $17.47 billion by 2025 and projected annual growth of 5.36%
(CAGR 2025-2030). Rising disposable income among the middle class, rapid
urbanization, and lifestyle changes have driven demand for bakery products,
especially premium and health-conscious offerings. Vietnam's bread import
market is expected to increase from approximately $186 million in 2023 to nearly
$224 million by 2028, indicating growing demand for diverse bakery products.
The Vietnamese bakery market is witnessing intense competition between large
enterprises like ABC Bakery, Tous les Jours, Paris Baguette, and thousands of
small bakeries like Sunshine Bakery. Notably, e-commerce is becoming an
important distribution channel, with online bakery sales increasing by 25% year-
over-year as Vietnam's e-commerce market reached over $22 billion in 2023. With
the growth of the bakery industry, the bakery market size is expected to increase
from USD 64.07 billion in 2023 to USD 71.86 billion in 2028, at a CAGR
(compound annual growth rate) of 2.32% during the forecast period (2023-2028).
2.2 Four Key Issues in the Baking Industry
1 Rising Input Costs
Due to global commodity fluctuations and supply chain disruptions from COVID-
19 and the Ukraine conflict, prices for flour and butter—the two essential
ingredients—have surged.
Figure 1: Global Prices of Flour and Butter (2021–2025), Source: FAO, 2023
The industry has been significantly impacted by global supply chain disruptions,
resulting in volatile pricing for essential ingredients such as flour and butter. Data
from the FAO (2023) indicates a 66% increase in flour prices and a 38% surge in
butter costs between 2021 and 2025. Small businesses like Sunshine Bakery are
disproportionately affected, as they lack the bulk purchasing power of larger
chains. Additionally, reliance on third-party delivery platforms, which charge 25–
30% in commission fees (VECOM, 2025), further erodes profit margins, leaving
limited resources for reinvestment.
Vietnam's bakery industry faces several significant challenges that impact
businesses of all sizes. The first major issue is the intense competition and price
pressure within the market. The landscape is characterized by fierce rivalry
between domestic and international brands, with large bakery chains such as Tous
les Jours and Paris Baguette aggressively expanding their presence across the
country. This expansion has created substantial pressure on small bakeries, forcing
them to reduce prices to remain attractive to customers. Porter's Five Forces
analysis reveals particularly high competitive intensity in this sector, exacerbated
by the relatively low entry barriers for small bakery operations, which further
intensifies market saturation.
FIGURE: Bakery Ingredient Price Trends
2. Ingredient Price Volatility and Supply Chain Challenges:
The second critical challenge involves ingredient price volatility and supply chain
disruptions. Bakeries continuously face fluctuating costs for essential ingredients
including flour, sugar, eggs, and butter, primarily due to global inflation and climate
change impacts on agricultural production. Small enterprises like Sunshine Bakery are
particularly vulnerable as they lack the purchasing power to secure ingredients in bulk
at preferential rates, which significantly erodes their profit margins. A comprehensive
PESTEL analysis demonstrates how various macroeconomic and environmental factors
negatively influence the industry's supply chain stability, creating unpredictable cost
structures that small businesses struggle to manage effectively.
Bakery Ingredient Price Trends
3. Rapidly Changing Consumer Trends:
The third key issue centers on rapidly changing consumer preferences and expectations.
Vietnamese consumers are increasingly gravitating toward healthy, organic, and
specialty bakery products, including gluten-free, low-sugar, and vegan options.
Simultaneously, there is growing demand for convenient online shopping experiences
and rapid delivery services. Small bakeries typically lack the necessary resources to
conduct thorough market research and quickly adapt their offerings to these evolving
trends, placing them at a competitive disadvantage compared to larger operations with
dedicated market intelligence capabilities.
4. Shortage of Skilled Labor and Modern Technology:
The fourth major challenge is the shortage of skilled labor and limited access to
modern technology. The bakery industry requires highly specialized personnel,
ranging from experienced pastry chefs to marketing professionals with industry-
specific knowledge. Small businesses like Sunshine Bakery often struggle to
attract and retain talented staff due to their inability to match the compensation
packages offered by larger chains. Additionally, the substantial capital investment
required for modern technology—including advanced ovens, management
software, and online ordering platforms—presents a significant barrier for small
bakeries seeking to improve operational efficiency and customer experience.
Three Unique Value Propositions for F&B Companies
Personalization and customer experience represent a powerful value proposition
for food and beverage companies in Vietnam's competitive market. Successful
F&B businesses create meaningful competitive advantages by developing deeply
personalized customer experiences that foster loyalty and emotional connection.
Sunshine Bakery can implement this approach by offering custom cake ordering
services tailored to individual preferences, organizing engaging baking classes
that create community, and building sophisticated loyalty programs with
personalized offers based on purchase history and preferences. Customer Value
Proposition analysis demonstrates that creating unique value through exceptional
customer experiences enables small businesses to compete effectively with larger
brands despite having fewer resources, as personalization creates emotional bonds
that transcend price considerations.
Sustainable product development and social responsibility constitute another
compelling value proposition in Vietnam's evolving consumer landscape.
Conscious consumption trends are gaining significant momentum, particularly
among young, high-income Vietnamese customers who increasingly make
purchasing decisions based on ethical considerations. F&B companies can create
distinctive value by sourcing local ingredients that support regional farmers,
implementing environmentally friendly packaging solutions that reduce waste,
and actively participating in meaningful social responsibility initiatives that
benefit local communities. Triple Bottom Line analysis (examining People,
Planet, and Profit dimensions) reveals that businesses integrating sustainability
into their core operations not only enhance their brand image and customer
loyalty but also reduce long-term operational costs through resource efficiency
and waste reduction.
Technology integration and diverse distribution channels form the third critical
value proposition for modern F&B businesses. Forward-thinking companies are
increasingly adopting sophisticated omni-channel business models that seamlessly
integrate physical store experiences with online platforms and mobile applications
to meet customers wherever they prefer to engage. By thoughtfully integrating
technologies such as artificial intelligence for customer data analysis, automation
for production process optimization, and digital tools for supply chain
management, businesses can substantially improve operational efficiency while
reducing costs. Digital Transformation Framework analysis indicates that even
small businesses with limited resources can strategically apply appropriate
technology solutions to enhance their competitiveness, focusing on high-impact
areas that directly improve customer experience and operational efficiency rather
than attempting comprehensive digital transformation all at once.
Strategies and Solutions for Sunshine Bakery
To maintain competitiveness in the challenging bakery industry, Sunshine Bakery
can implement four key strategies that leverage its unique strengths and address
market demands.
1. Product Differentiation Strategy Based on Local Values
Sunshine Bakery should focus on creating bakery products that blend Western
baking techniques with traditional Vietnamese flavors. This approach not only sets
the bakery apart from larger chains but also taps into the growing consumer
interest in local and authentic products. By developing bakery lines that
incorporate distinctive Vietnamese ingredients such as green tea, coffee, dragon
fruit, and coconut, Sunshine Bakery can offer unique flavors that resonate with
local customers. Additionally, creating seasonal products linked to traditional
Vietnamese festivals can enhance customer engagement and loyalty. Building a
brand narrative that emphasizes family heritage and traditional recipes will further
strengthen the bakery's identity and appeal, allowing it to carve out a niche in the
competitive landscape.
2. Digital Marketing and Community Building Strategy
With the Vietnamese bakery industry experiencing a 25% growth in online sales,
it is crucial for Sunshine Bakery to invest in digital marketing to expand its
market share. By utilizing the Digital Marketing Funnel analysis, the bakery can
effectively reach its target audience through cost-efficient online platforms.
Establishing a user-friendly online ordering system will streamline the purchasing
process for customers. Engaging content on social media, such as baking tutorials
and stories behind each product, can foster a sense of community and connection
with customers. Additionally, developing a loyalty program with personalized
offers will incentivize repeat purchases. Organizing community events, such as
baking classes and cooking competitions, can further enhance brand visibility and
strengthen customer relationships.
3. Operations and Supply Chain Optimization Strategy
To navigate the challenges of ingredient price volatility and competitive pressure,
Sunshine Bakery should adopt Lean Management principles to optimize its
production processes and minimize waste. By applying Value Chain analysis, the
bakery can identify areas for efficiency improvements at each stage of its
operations. Building direct relationships with local ingredient suppliers will help
reduce intermediary costs and ensure a steady supply of quality ingredients.
Implementing Just-In-Time inventory management systems will minimize waste
and improve cash flow. Investing in energy-efficient equipment can lead to long-
term cost savings, while developing demand forecasting systems based on
historical data will enable the bakery to optimize production schedules and reduce
excess inventory.
4. Team Development and Corporate Culture Strategy
Recognizing that high-quality personnel are essential in the bakery industry,
Sunshine Bakery should focus on developing its human resources as valuable
intangible assets. By implementing internal training programs, the bakery can
enhance employee skills and foster a culture of continuous improvement. Creating
a flexible and creative work environment will help attract and retain top talent,
while developing profit-sharing mechanisms and clear advancement opportunities
will motivate employees to contribute to the bakery's success. Building a
corporate culture centered on core values such as quality, creativity, and teamwork
will not only enhance employee satisfaction but also translate into better customer
experiences.
Figure: Timeline for Sunshine Bakery
External Support for Sunshine Bakery
In addition to internal strategies, Sunshine Bakery can benefit from collaboration
with key stakeholders that can provide valuable support and resources.
1. Vietnam Association of Bakery Industry (VABF)
Engaging with VABF can offer Sunshine Bakery access to essential market
information, professional training courses, and networking opportunities within
the industry. By participating in fairs and exhibitions organized by VABF, the
bakery can showcase its products and connect with potential customers and
partners. Utilizing training programs and technical consulting services will
enhance the bakery's operational capabilities, while participating in industry
research can help Sunshine Bakery stay ahead of emerging trends.
2. Culinary Schools and Training Institutions
Collaborating with vocational schools, such as Saigontourist Hospitality College,
can provide Sunshine Bakery with access to a pool of high-quality human
resources and the latest baking techniques. This partnership can be mutually
beneficial, as the bakery can offer internship and employment opportunities for
students, while also participating in teaching and sharing practical experiences.
Collaborating on research initiatives to develop new products can further
strengthen this relationship and enhance the bakery's innovation capabilities.
3. Delivery Platforms and E-commerce
Given the significant increase in online bakery sales, forming partnerships with
delivery platforms like Grab, Baemin, and Shopee Food is essential for Sunshine
Bakery. These collaborations can help the bakery expand its distribution channels
without the need for substantial investment in infrastructure. By optimizing
product catalogs on these platforms and developing special packaging for online
orders, Sunshine Bakery can ensure product quality during delivery. Additionally,
leveraging data from these platforms will provide insights into customer behavior,
enabling the bakery to tailor its offerings more effectively.
4. Local Ingredient Suppliers
Building strategic partnerships with local ingredient suppliers can help Sunshine
Bakery reduce costs while promoting sustainability and community support. By
signing long-term contracts with local farmers who supply eggs, milk, and fruits,
the bakery can secure a reliable source of quality ingredients. Developing special
products based on seasonal ingredients will not only enhance the menu but also
allow the bakery to tell compelling stories about the origins of its ingredients in its
marketing strategy. This approach can resonate with consumers who value local
sourcing and sustainability.
By implementing these strategies and leveraging external support, Sunshine
Bakery can enhance its competitiveness, foster customer loyalty, and navigate the
challenges of the evolving bakery industry in Vietnam.
Stakeholder Analysis Matrix
CONCLUSION
Sunshine Bakery faces numerous challenges in Vietnam's highly competitive
bakery industry environment. However, with its small size, the business can
leverage flexibility to quickly adapt to market changes. By implementing the four
proposed strategies - product differentiation based on local values, digital
marketing and community building, operations and supply chain optimization,
team development and corporate culture - Sunshine Bakery can transform
challenges into development opportunities.
Support from stakeholders such as industry associations, vocational schools,
delivery platforms, and local suppliers will be an important factor in this
transformation journey. In the long term, Sunshine Bakery needs to continue
innovating, listening to customer feedback, and adapting to new trends to
maintain its competitive position in this dynamic market.
As a consultant, I believe this family bakery has the potential to develop into a
beloved local brand by focusing on core values: product quality, customer
experience, and innovation spirit. Sunshine Bakery doesn't necessarily need to
compete directly with large chains but can create its own market space based on
uniqueness and community connection.
REFERENCES
1. Ken Research. (2023). Vietnam Bakery Market Outlook to 2028. Retrieved from
https://www.kenresearch.com/industry-reports/vietnam-bakery-market 1
2. Reportlinker. (2024). Vietnam Bakery Industry Outlook 2024 - 2028. Retrieved
from https://www.reportlinker.com/clp/country/13348/726357 2
3. Statista. (2025). Bread & Cereal Products - Vietnam | Market Forecast.
Retrieved from https://www.statista.com/outlook/cmo/food/bread-cereal-
products/vietnam 3
4. Statista. (2024). Vietnam: revenue of food market 2024, by segment. Retrieved
from https://www.statista.com/forecasts/1307556/vietnam-food-market-revenue-
by-segment 4
5. Porter, M. E. (1979). How competitive forces shape strategy. Harvard Business
Review, 57(2), 137-145.
6. Kim, W. C., & Mauborgne, R. (2004). Blue Ocean Strategy. Harvard Business
Review, 82(10), 76-84.
7. Barney, J. B. (1991). Firm resources and sustained competitive advantage.
Journal of Management, 17(1), 99-120.
8. Freeman, R. E. (1984). Strategic Management: A Stakeholder Approach.
Boston: Pitman.
