DI supported a global conglomerate

• Client: a global consumer finance company
• Country: Vietnam
• Industry: Agriculture

Background:
A global conglomerate, in collaboration with a leading Vietnamese dairy producer, planned to establish a billion-dollar beef business in Vietnam. This ambitious initiative aimed to address rising local demand for premium beef products while leveraging Vietnam’s agricultural potential. The joint venture sought to create a fully integrated supply chain encompassing cattle raising, slaughtering, distribution, and market expansion.

To ensure the venture’s success, the client engaged DI to provide strategic consulting and operational guidance. DI’s role was to address critical questions concerning supply chain optimization, entity structuring, partnership selection, and market targeting. The project aimed to design a scalable and sustainable business model while incorporating international best practices for livestock management and beef production. DI’s work provided a roadmap for establishing an end-to-end value chain and identifying expansion opportunities to secure the venture’s position as a leader in Vietnam’s beef market.

Image: simplified concept to illustrate the project’s purpose

Support overview:
DI’s management consultancy team undertook a comprehensive approach to address the client’s strategic and operational needs. Key activities included:

• Value Chain Assessment: DI evaluated cattle-raising practices, slaughtering processes, and distribution networks to design an efficient and optimized supply chain. This included benchmarking against global standards and identifying gaps in Vietnam’s existing infrastructure.
• Market Segmentation and Targeting: DI conducted in-depth market research to identify target consumer segments, including premium, mid-tier, and mass-market opportunities. The team analyzed consumption patterns, pricing dynamics, and regional demand to craft a focused market entry strategy.
• Partnership and Entity Structuring: DI assessed potential partners across the value chain and proposed a joint venture structure that ensured operational synergy. Recommendations included strategies for governance, equity distribution, and roles within the entity.
• Expansion Strategy: DI proposed a phased expansion plan, outlining potential geographic regions for growth, market timing, and capacity scaling to align with demand forecasts.
• Integration Planning: DI provided actionable recommendations for integrating cattle-raising, slaughtering, and distribution processes into a seamless operation, leveraging both local expertise and international practices.

Image: DI’s support went beyond market research for strategy formulation. DI organized tasting events to collect professional feedback from 70 chefs for continous refinement of the strategy.

This holistic approach equipped the client with a robust strategy to launch and scale the venture successfully.