Luận văn thạc sĩ quản trị kinh doanh quốc tế MBA (244)

I.1.1.a.i.1 20 11 G L O B A L A D V A N C E D M B A P R O G R A M (G a M B A CAPSTONE PROJECT REPORT BUSSINES STRATEGY OF VIGLACERA FLOAT GLASS COMPANY FOR THE PERIOD 2012-2015 Group _ X0410 Pham Thi Bich Thuy An Thuy Nga Vu Ngoc Bao To Minh Tan GaMBA01.X0410 HANOI 2011 Page GRIGGS UNIVERSITY GLOBAL ADVANCED MASTER OF BUSINESS ADMINISTRATION PROGRAM CAPSTONE PROJECT REPORT BUSINESS STRATEGY FORMULATION OF VIGLACERA FLOAT GLASS COMPANY FOR THE PERIOD 2012-2015 X0410 _ GROUP Team members: - Pham Thi Bich Thuy – (Group Leader) - An Thuy Nga - Vu Ngoc Bao - To Minh Tan HANOI, 2010 Page ACKNOWLEDGEMENT For fulfilling the requirements under Master of Business Administration program, we submit this final capstone project to Griggs University In the first words of the Capstone Project, we would like to express our thankfulness to the great many people We would like to thank all professors of Griggs University, who gave us very useful lectures during past two years For all the support in researching period, we want to express our heartily thanks to our friends in Viglacera Corporation, our classmates and program co-coordinators who gave us good condition and useful information that made me be easier in researching and capstone project completing We have spent concerned efforts on completing this capstone project; nevertheless, due to limited time and scope of study, this project might be negligent We are looking forwards to receiving feedback from the program’s lecturers and fellow students to complete the project in order to develop sound strategies for the company, and effectively implement these business strategies in the near future Page TABLE OF CONTENT Pag e Cover Acknowledgement Table of contents List of Abbreviations List of Tables List of figures, graphs PREFACE CHAPTER 1: THEORETICAL BASIS ON BUSINESS STRATEGY 1.1.Nature of business strategy 1.1.1 Concept of business strategy………………………………… … 1.1.2 Role of business strategy……………………………………… 1.1.3 Basic characteristics of business strategy……………………… 1.2 Requirement and contents of stages involved in a business strategy formulation process…………………………………………… 1.2.1 The input stage …… 1.2.1.1 External factor evaluation (EFE) matrix… 1.2.1.2 Competitive Profile Matrix (CPM) …………… 1.2.1.3 Internal Factor Evaluation (IFE) Matrix…………… 1.2.2 The Matching stage…………… …………… …………… 1.2.2.1 SWOT Matrix…………… …………… ………… 1.2.2.2 Internal – External (IE) Matrix…………… ……… 1.2.3 The Decision stage…………… …………… …………… 1.2.3.1 Quantitative strategic planning matrix – QSPM………… 1.2.3.2 Organization and implementation…………… ………… 1.2.3.3 Evaluate the effectiveness of the strategy…………… … CHAPTER 2: ANALYZING REAL SITUATION OF VIFG 2.1 VIFG – An Over view introduction…………… …………… 2.1.1 Foundation………… ……………… …… …………… 2.1.2 Organizational structure… 2.1.3 Areas of business and available products…… Page 4 4 6 7 10 10 11 11 12 12 12 13 13 15 15 15 16 16 2.1.4 Evaluation of VIFG’s operating result in recent years……… 2.2 External Environment analysis………… … 2.2.1 Macro environment analysis for VIFG (Pest) …… 2.2.1.1 Political and Regulatory Environment… 2.2.1.2 Economic Environment………… ……………… ……… 2.2.1.3 Business Environment………… … …………… 2.2.1.4 Culture-social Environment………… ……… …………… 2.2.1.5 Technological Environment… ……… … ……… … ……… 2.2.1.6 Global business environment… ……… … … ……… 2.2.2 Float Glass Industry Analysis (Porter's forces model)… 2.2.2.1 Threats from new entrants… … ……… … ……… … 2.2.2.2 Threats from substitute products… … ……… … …… 2.2.2.3 Supplier’s bargaining power… ……….……… … ……… 2.2.2.4 Buyer’s bargaining power… …………… … ……… … 2.2.2.5 Existing rivalry within the industry… ….……… … … 2.2.2.6 Overall industry analysis conclusion … …….……… … 2.2.3 Competition Analysis … … 2.2.3.1 Vietnam Float Glass Company (VFG) … ………… … … 2.2.3.2 Dap Cau Viglacera Glass Company… ……… … … … 2.2.3.3 Ky Anh Glass Company… ……… … …………… … 2.2.3.4 Chu Lai Glass Company… ……… … ………… … 2.2.3.5 The foreign competitors………………………………… 2.3 VIFG internal environment analysis…… 2.3.1 Resources… ……… … 2.3.1.1.Tangible resources… ……… … …… ………… 2.3.1.2.Intangible resources… ……… …… … ………… 2.3.2 Core capability… ……… …… 2.3.3 Core competency building… …… 2.3.4 The Value chain… … 2.3.5 Conclusions on internal environment analysis 2.4 Integrated analysis and positioning of competitors in the Vietnamese float glass market…… 2.4.1 A comprehensive overview of the critical success factors of the participants in the Vietnamese float glass market… … 2.4.2 Market share… … 2.4.3 Revenue… ……… Page 16 20 20 21 21 23 24 25 25 27 27 29 30 30 31 32 32 34 35 36 36 37 39 39 39 40 40 41 44 51 53 53 53 54 2.4.4 Evaluation VIFG position on the current float glass market… CHAPTER 3: FLOAT GLASS BUSINESS STRATEGY FORMULATION TO THE YEAR 2015, RECOMMENDATION AND SOLUTION …… 3.1 Vision and mission of VIFG… ……… … 3.1.1 Vision… ……… … 3.1.2 Mission… ……… … ……… … … 3.1.3 Objectives of VIFG… ……… … ……… … ……… … 3.1.4 VIFG Brand value… ……… … … ……… 3.2 Business strategy choice analysis… ……… … ……………… 3.2.1 External environmental factors influencing VIFG (EFE Matrix) …… 3.2.2 Internal environment factors influencing VIFG (IFE matrix)………… 3.2.3 VIFG’s SWOT analysis… ………… 3.2.4 Competitive positioning for the Vietnamese float glass market – IE Matrix 3.2.5 Strategy analyzing, strategy formulation and select the optimal strategy… Quantitative Strategic Planning Matrix (QSPM) 3.3 Target market selection analysis and strategy products ……………… 3.3.1 Target market …………………………………… 3.3.2 Core product selection ……………………………………… 3.4 Some Strategy implementation solutions ………………… 3.4.1 Product quality ………………… 3.4.2 Innovation ……………………… 3.4.3 Satisfy customers’ need …………… 3.4.4 Other support …………………………… 3.4.5 Joint venture ……………………………………………… 3.4.6 Specific solutions for each strategy 3.5 Implementation and execution of strategy ………… 3.5.1 Methods, Budget, Timeline and Expected result………………… 3.5.2 Timely target……………………………… 3.6 Other recommendations ………………… 3.6.1 Regarding to macro policies ………… 3.6.2 Regarding the business operations of VIFG ………… 3.7 Conclusion ………………………… PREFERENCES APPENDIXES Page 54 56 56 56 56 56 58 58 58 59 59 61 62 63 66 66 67 67 67 68 69 69 69 69 71 71 75 75 75 76 77 LIST OF ABBREVIATIONS In this document, the abbreviations are understood as follow: Abbreviation VIFG R&D WTO Full writing Viglacera Float Glass Company Research and deploy World Trade Organization ROA ROE SWOT EFE IFE IE QSPM PCM Return on Asset Return on Equity Strength – Weakness – Opportunities – Threats External Factor Environment Internal Factor Environment Internal – External Quantitative Strategic Planning Matrix Competitive Profile Matrix Page LIST OF TABLES This document includes the following tables: Table Table 2.1 Table 2.2 Table 2.3 Table 2.4 Table 2.5 Table 2.6 Table 2.7 Table 2.8 Table 2.9 Table 2.10 Description Some criteria from 2009 to September 2011 Competitors in high quality market segment Competitors in medium quality market segment External Factor Environment Matrix of VIFG Relative comparisons among existing competitors Evaluation on competitive advantages of VIFG Human resource quality in 2010 Average income of labor Internal Factor Environment Matrix of VIFG Total revenue of VIFG Company, Dap Cau Glass Page 17 32 33 38 42 43 45 46 52 54 Company and Vietnam Float Glass Company (VFG) Table 2.11 Table 3.1 Table 3.2 Table 3.3 Table 3.4 (2009-2011) Competitive Profile Matrix (CPM) SWOT Matrix of VIFG Quantitative Strategic Planning Matrix of VIFG Implementation Plan Some objectives of the Company period 2011 - 2015 55 59 63 71 75 Page LIST OF FIGURES This document includes the following figures: Figure Figure 1.1 Figure 1.2 Figure 1.3 Figure 1.4 Figure 1.5 Figure 1.6 Figure 1.7 Figure 2.1 Figure 2.2 Figure 2.3 Figure 2.4 Description Strategy formulation analysis frame PEST model Michael Potter’s Five-Force Model Michael Porter’s Value Chain Model SWOT Matrix IE Matrix Basic model of QSPM Organization Structure of VIFG Profit growth of VIFG over the years 2009 – 2011 Revenue growth of VIFG over the years 2009 - 2011 The chart of GDP growth during the period of 2008 - Page 10 11 12 12 13 16 18 18 22 Figure 2.5 Figure 3.1 Figure 3.2 2010 Vietnamese Glass market share IE Matrix of VIFG Superior quality 53 61 67 Page PREFACE General context In the context of globalization and international integration, there is a tendency of increasingly scarce resources, fast technological advancement, ever-changing market demands, resulting in a quite sophisticated and constantly fluctuating business environment In particular, Vietnam has made notable moves to integrate into the global community Consequently, its economy has been remarkably improving since the early years of economic renovation The state has introduced sound policies to encourage investment and business development, offering opportunities for local industries to enhance their competitiveness, especially the construction material industry In general, Vietnam’s construction glass industry plays a key role in providing inputs for the construction of the country’s economic infrastructure With a view to meeting local demand for construction glass used for various purposes such as building and developing industrial and refinery zones, residential conurbation and housing areas for urban dwellers as well as countryside people in all regions of Vietnam, exporting goods to contribute to the national budget, offering another source of provision for the state budget, generating jobs for local people, the construction glass industry is currently one of the pivotal areas that the state fosters with its investment Despite enjoying favorable conditions like having capital and incentives poured from the state, companies in the construction glass industry have to face the challenge of the ever-changing rate of the socio-economic environment and harsh competition within the industry To earn a prestigious position on the market as well as an enhanced competitiveness in comparison with competitors, companies must have long-term vision and appropriate development strategy formulation In this context, Viglacera Float Glass Company, a construction glass manufacturing business, has been struggling to survive and develop a strong brand name in a changing environment with technological modernization, product quality Page 10 increasing So in the coming years this market is still the focused market of the company The northern market area is also attractive with 32% of the market in the country Central market area has high potential for development 3.3.2 Core product selection With the market selection strategy is in the southern and northern areas where the need of construction glass is high enough So the company will continue to promote production in float glass technology with unique characteristics expressed as: - Maximize the strengths in product quality - Variety of types, sizes and color: - Absolutely flat, excellent optical lenses - The technical specifications over the Japanese standard JIS R3202-1996 In addition, with the strategic of new product development, VIFG have initially studied and put into test the low-energy glass which can regulate the ambient temperature outside the building, eco-friendly and cost savings in use This product line is a breakthrough for Vietnamese construction glass market in the coming years 3.4 Some strategy implementation solutions 3.4.1 Product Quality Quality factors are critical in the business of the Company Products of high quality work twice as competitive advantage Firstly, to provide high quality products may satisfy the demand and improve the reputation of trademarks Secondly quality may impact to the productivity The higher the quality of product is, the bigger cost is saved from time to repair, rework of defects, warranty and maintenance Increase trust Higher price Improve quality Increase profit Increase productivity Lower cost Figure 3.2: Superior quality Page 76 (Source: Le The Gioi, 2009, Strategic Management) Proposed solutions for stabilizing and improving product quality: - Select the product group that serves a number of target markets - Improve and enhance the usability of the product to make a difference - Standardize semi-finished and finished products for each stage of production - Strict quality control of raw – input materials - Continuous improve quality management systems according to ISO 9000 standards 3.4.2 Innovation 3.4.2.1 Management: - Decentralize management; strictly implement the regime of maintaining and upgrading equipment; tightly control to reduce the cost without affecting the product quality; Stabilize to produce large amount and minimize staging loss to reduce costs 3.4.2.2 Personnel: Proper human resource management: Training for human resources at all levels; reengineering business structure 3.4.2.3 Technology: Innovate streamlining manufacturing technologies: Investing some additional equipment needed to improve the ability to make difference; 3.4.2.4 Marketing: - Select the product group that serves a number of target markets - Complete sales management structure - Strengthen the relationship with distributors - Diversify in the mode of distribution - Maintain a parallels and harmonized development oversea and domestic markets - Strengthen the form of communication, advertising and product branding 3.4.2.5 Finance: Healthy and transparency finance, centralize resources for the implementing the chosen optimal strategy 3.4.2.6 Research and development investment Page 77 - To improve and enhance the usability of the product to make difference - Invest in improvement chain and rationalize production technology - Invest additional production line with new technology 3.4.3 Satisfy customers’ need - Complete sales management structure - Strengthen the relationship with distributors - Diversity in the mode of distribution - Strengthen the form of communication, advertising and product branding 3.4.4 Other Support - Apply Just-in-time storage system for materials, raw materials and finished products, to better control the quality of goods and increase the working capital cycle - Healthy finance through sales charge immediately and withdraw the old debt and reduce inventory, reduce administrative costs and financial costs to reach a reasonable level in each period 3.4.5 Joint venture - Look for opportunities to promote cooperation and build strong relationships between the company and suppliers, dealers system, retailers and customers - Study the possibility of acquisition / consolidation for a fairer market 3.4.6 Specific solutions for each strategy For the two major strategies that have been selected, the solution implemented is not out of the five group of solution described above However, for each strategy managers need different angles and using their intuition as well as experience to make the most proper decisions 3.4.6.1 Controlling market strategy: If this strategy is successful, VIFG’s market share will increase significantly At present, the market of construction glass is quite appealing to producers; therefore, the success of this strategy will earn VIFG a powerful position in the market as well as offer it an opportunity to expand its manufacturing scale Also, it will lead to the Page 78 company’s stabilization of the local market, making it more favorable to concentrate on its market in foreign countries Nevertheless, the implementation of this strategy may incur challenges in enhancing the current management, reorganizing marketing activities, managing human resources, etc Recommended solutions to those difficulties: - Enhancing current management: The company should tighten its management at all levels and in all manufacturing procedures Moreover, it has to concentrate on the quality of its labor force so as to meet division’s demand for employees, introduce appropriate policies to attract and recruit skilled, competent workers, and provide training and retraining for employees - Managing human resources: To dominate the market, it is recommended that VIFG raise its level of production and implement effective selling tactics In order to achieve that goal, it needs to recruit more employees It is estimated that to obtain a market share of 45% (which is 40% for the time being), the company has to recruit an addition of 100 workers ranging from direct labor, transportation workers, market analysts and business development analysts - Reorganizing marketing activities: Its marketing system should be improved Suitable marketing strategies should be devised in accordance with the market domination strategy It is suggested that the company put great emphasis on the introduction of products which can promote its prestige to the public - Alleviating financial issues: At the expense of market dominance, the company has to invest intensively in manufacturing technology as well as in product research and introduction Therefore, it should lay out some capital mobilization alternatives in case of incurred hindrances along the way 3.4.6.2 Developing new product strategy Product development strategy refers to the use of a company’s unique capabilities to produce distinguishing products that its competitors cannot or have yet to offer to the market Page 79 The success of this strategy will pave the way for the company to differentiate its product lines and generate considerably more revenue Especially in the case of providing unique products, the company can expand its product range, thus dominating the market in its own strategic way To achieve this goal, VIFG should adopt these recommendations: - On technology: Technology is vital to product development process Currently, VIFG’s assembly line uses on of the most advanced technologies in the world; however, it should be further enhanced to minimize costs and selling prices Moreover, the creation of unique products requires new product designs and a keen observation of market demand for glass products, making it urgent to timely upgrade its manufacturing technology The company is pursuing new glass manufacturing technology that serve to construct green, modern buildings with the key consideration of cost efficiency, environmentally-friendliness, and user safety CEO Nguyen Anh Tuan has been expediting the implementation of new product projects aimed to provide replacement of brick-wall construction with structures using such compositions as energy-saving glass, insulating glass, glass block, etc - On terms of financial, technological upgradation is capital-intensive As a result, VIFG has to propose plans to anticipate future problems of capital mobilization and timely technological upgradation Meeting customer demand: No matter how unique the product is, it should satisfy the demand of customers Consequently, it is essential that the company adopt market research in each particular region in order to detect different needs and offer well-timed provision 3.5 Implementation and execution of strategy 3.5.1 Methods, Budget, Timeline and Expected result Table 3.3 Implementation Plan Method 1st strategy: Market domination Budget Time Expected result strategy Page 80 Increase production level According to Annually Cost and capacity real optimization production cost Develop a market research system N/A Frequentl Discovery of y potential markets Consolidate marketing activities: N/A Frequentl Meeting Focus on image promotion, ads y customer demand on benefits stemming from glass and products their tastes (living space, satisfying convenience, functions that largesized, high-quality float glass and safety glass offer) for the market niche of construction bidders in villa, office and first class mansion block projects aimed at well-off customers Brand value promotion N/A Frequentl Make VIFG y brand become the leading Vietnamese Glass Supplier nd strategy: Product development strategy Research on customer demand N/A Frequentl Catch y updated needs of Study on social development N/A Frequentl customers Forecast trends y future need and taste the the of Page 81 Investing in new product research N/A Frequentl customers Alternative and development y products that can be Cooperating and incorporating N/A with both domestic 2013 and invested to produce Creating a jointventure international business partners to manufacture safety glass partitions in industrial scale Maintain the leading position in N/A Annually the field of rolled glass with patented designs, Proper operation procedure pattern sharpness, toughness, and little degree of corrosion during manufacturing process Produce and sell glass-derived 2012- Be the leading products in the maximum amount 2015 glass and keep the large price gap with manufacturer its competitors to optimize the success As the company possess a British N/A Usually manufacturing assembly line that Proper operation procedure meet the demanding standards of Japan, it should select and use upto-standard input materials to sustain product quality Share measures for both strategies Introduce new products in VIFG’s N/A Annually Marketing and VIGLACERA’s showrooms; system cooperate with design companies improved is and interior furnishings to market Page 82 and sell new products Assign a sole sale force for N/A construction projects; 2011-2012 Control offer the market share incentives for them to boost sales of glass-derived products to such projects Standardize the manufacturing N/A by and cost management procedures quarter of as such as the bidding of input 2012 3rd Minimize costs well as differentiate materials, delivery into/out of products in terms warehouse; of organize its quality and workforce efficiently to improve range, increase productivity; closely supervise competitiveness, the allocation and management of raise capital to obtain optimal material operation accounting norm efficiency business For each solution to implement strategy, during and after implementation, there is a requirement to specifically and objectively assess, then determine the effectiveness of the solution, from which there may be appropriate adjustment or use as a basis for building strategy in later stage The inspection must be performed accurately and objectively with the appropriate testing tools; the content, test objectives should be clear, consistent to bring correct result and effectiveness 3.5.2 Timely target Table 3.4 Some objectives of the Company period 2012 - 2015 TT Criteria Production (m2) Consumption (m2) Sale (million dong) 2012 20.000 000 20.000 000 1.037 504 2013 21 000.000 21 000.000 141.254 2014 2015 21.000.0 21.0 00 00.000 21.000.0 21.0 00 00.000 1.255.3 1.2 79 67.933 Page 83 Export (1000 USD) Profit (million dong) Labor (people) Income (1000d/person/month) 200 18 500 455 500 4.500 20.000 500 7.500 5.5 00 22.5 00 50 9.0 00 6.000 23.000 610 10.000 + In the year 2011 to 2012: Focus on improving equipment and technology to improve product quality and promote the distinct capacity to reach a reasonable price + In the year 2013 to 2015: To maintain quality, additional investment in equipment and new technologies for product upgrades and increased capacity, lower cost 3.6 Recommendation 3.6.1 Regarding to macro policies: It is required that the government propose appropriate policies to stabilize the macro economy through inflation control and interest rate regulation to encourage the development of domestic enterprises Also, it should create a concise, favorable legal framework for local businesses in order for them to enhance the quality and keep up with technological development; restrict pervasive investments; scrutinize investment projects to ensure their feasibility, observation of master planning, and accordance with market situation so that their competitiveness does not lag behind that of imported counterparts Create and carry out tight regulation to repress smuggled goods and low quality imported products in the field of float glass Adopt the campaign “Vietnamese people use Vietnamese products” nationwide Reduce tax on imported materials for glass production such as pigments, essential chemicals, etc Implement in great scale and intensify measures to support importing and import credit for construction glass products Continue to offer favorable borrowing interest rates for exporting companies Page 84 3.6.2 Regarding the business operations of VIFG: The company should tighten its management at all levels and in all manufacturing procedures Moreover, it has to concentrate on the quality of its labor force so as to meet division’s demand for employees, introduce appropriate policies to attract and recruit skilled, competent workers, and provide training and retraining for employees Moreover, it should educate its employees on the responsibilities in carrying out its business tasks Also, the company has to squeeze its regulations and severely punish violation of the regulation, technological procedures, or operating procedures It should tense its manufacturing administration and allocate costs to each procedure in order to cut costs accordingly, lower the selling price, thus increasing the competitiveness of its products on the market Finally, it is recommended that the company proactively observe, keep up with and predict the tendency of market trends, through which devise production plans which can maximize expected results Page 85 CONCLUSION Business strategy formulation is a challenging and continuous process, having practical use for the determination of the company’s development direction A good strategy can ensure a right path, a high level of flexibility to adapt to changes in business environment, and a lodestar for the company’s operation on the making VIFG is currently doing business in a highly potential industry under increasingly harsh competitive pressure To maintain and promote its position, it is essential that VIFG sustain and develop its competitive edge over other competitors Also, it has to lay out and select the most appropriate strategies for its development On the basis of previous analysis and formulation of business strategy, Group – X0410 hope that VIFG will have a sustainable development strategy, resulting in functional strategies and implementation plans for each development stage so that it can retain the reputation and expand new markets in the future The company will adopt proposed solutions simultaneously to incorporate their functions with its strengths In the implementation process, it should objectively and frankly assess the results of each stage to timely adjust itself, serving its business operation Finally, Group 5-X0410 are willing to receive suggestions from teachers and managers of VIFG as that makes the research more realistic and applicable ***** END***** Group _ X0410 Pham Thi Bich Thuy An Thuy Nga Vu Ngoc Bao To Minh Tan Page 86 REFERENCES Vietnamese sources Lê Thế Giới,… (2009), Quản trị chiến lược,NXB Thống kê, Hà Nội Vũ Trọng Hùng (2003), Philip Kotler “ Quản trị marketing”, NXB Thống kê, Hà Nội Fred R David (2006), Khái luận Quản trị chiến lược, NXB Thống kê, Hà Nội Nguyễn Thanh Thảo, “Chiến lược thương hiệu theo lý thuyết Michael Porter” GaMBA (2009), Giáo trình quản trị chiến lược, VnExpress(23/9/2009),“ADB lạc quan kinh tế Việt Nam” Số liệu báo cáo nội Cơng ty Kính Viglacera Thơng tin nội Hiệp hội Kính xây dựng Việt Nam English sources Johnson G , Scholes K ,(1999), Exploring Corporate Strategy, Prentice Hall Europe Makadok R., (1999), “Interfirm Differences in Scale Economies and The Evoluntion of Market Shares”, Strategic Management Journal Porter M.E., (1980), Competitive Strategy, Free Press, New York Porter M.E., (1985), Competitive Advantage: Creating and Sustainabling Superior Performance, Free Press, New York Porter M.E., (1996), “ What is Strategy?”, Harvard Business Review Stalk G., Hout T.M.,(1990), Competing Agains Time, Free Press, New York Page 87 APPENDIX QUESTIONNAIRE FOR EXPERTS With a view to taking suggestion from industry experts for the preparation of Capstone Project on “Business strategy formulation for VIGLACERA Float Glass Company by 2015,” we are honored to hand you this questionnaire We sincerely hope that you will spend some time giving practical suggestion to us Please rank these construction glass producers in respect of provided criteria in a scale of 10 The higher the score, the higher your opinion on the chosen company is 1st criterion: Capacity and quality of facilities; 2nd criterion: Operating and technological monitoring experience 3rd criterion: Quality and range of products 4th criterion: Human resources 5th criterion: Managers and management 6th criterion: Distribution system 7th criterion: Customer services 8th criterion: Reputation 9th criterion: Financial status N o Capability VIFG Co Dap Cau Co Chu Lai Co Ky Anh Co VFG Co Capacity and quality of facilities Operating and technological monitoring experience Quality and range of products Human resources Managers and management Distribution system Customer services Reputation Financial status Page 88 Note: If you are not sure of evaluation basis for any criterion, please write N/A in each area of all areas on the last column Thank you for your precious and objective cooperation Full name: , Signature: Position: Company: Methodology of research on experts’ opinions In order to impartially assess VIGLACERA’s strengths in comparison with its competitors, 5-X0410 group carried out interviews with and handed out questionnaires to experts Subjects of the interviews are: Customers (30 sheets) Viglacera Float Glass Company’s experts (15 sheets) - Top managers - Managers of plants and subsidiaries - Divisional directors Competitors’ experts (15 sheets), including: - Former employees for VIFG’s competitors - Current employees for VIFG’s competitors Page 89 Results: The results of experts’ opinions on VIFG’s strengths, its core abilities and those of its competitors is as followed: N Capability o Capacity and quality of facilities Operating and technological monitoring experience Quality and range of products Human resources Managers and management Distribution system Customer services Reputation Financial status Ky VIFG Dap Chu Lai Co Cau Co Co 10 10 10 9 10 10 10 10 10 9 9 8 10 8 8 8 10 8 Anh Co VFG Co Page 90 ... activities aimed at mobilizing potential resources of an organization to achieve a certain goal.” (GaMBA 2009 - Strategic Management Textbook - Definition of strategy, page 1) According to Alfred Chandler... exchange rates against the domestic currencies in the period of economic crisis have created an imbalance in international payments, which affects the businesses or industries having trade deficit