Incremental Innovation as Design Strategy & Competitive Advantage in Vietnam Furniture Industry: Case Study: Full in Industrial, Co., Ltd

Abstract

US-China trading wars has brought positive impact to the growth of Vietnam furniture industry, due to supplier shifts or factory relocation. Many factories benefit with the increased number of purchase orders, but some suffer with stagnancy or even loss. Price, design, quality, finishing, and other factors all play significant roles in determining a factory's performance. Full In as a research partner, have been running in only 1/3 of the production capacity, consequently for its 20 percent higher price compared to competitors with similar products, and for too ordinary designs. Cheap is not always the best strategy. Design approaches (material replacement and appearance change) and strategies (reissue iconic furniture, develop American aesthetic preference furniture, develop refreshed contemporary furniture) are ways to mark Full In's competitive advantage. Taking advantage of the trade momentum, and by collaboration with UPH research team, there are 8 new designs that will be exhibited in Vietnam International Furniture Fair 2020. In hope, good design may attract customers who afford higher prices; Full In has competitive advantage compared to other competitors.