Realizing the great opportunity, Sun Group has started heavily investing their money into service business such as convalescence tourism, amusement & entertainment service and real estat
COMPANY BACKGROUND
Company Background
In 2007, a group of young, passionate and successful overseas businessmen came together to found Sun Group Corporation After 10 years of hard works and business development, to the present time, Sun Group has achieved a network of subsidiaries which expand into 4 main business fields - convalescence tourism, luxury real property, entertainment and construction investment Their successful business has not only contributed to the socio-economic development of many communities, but also provided lots of employment opportunities to the local people
English name: Sun Group Join Stock Corporation
Company type: Join Stock Company
Head quarter: Floor seventh, ACB building, 218 Bach Dang Street, Hai Chau district, Da Nang city, Vietnam
Website: www.sungroup.com.vn
Representative Office: Floor eighth, Sport hotel, Hacinco student village, Thanh Xuan district, Hanoi, Vietnam
Starting its business in the heart of Da Nang city, Sun Group has built a lot of successful businesses that significantly contributing to the spectacular change of the urban landscape and city tourism, namely: Ba Na Hills travel complex; luxury accommodation InterContinental Da Nang Sun Peninsula Resort; Novotel Premier Han River accommodation, Premier Village Da Nang Resort, Asia Park, and so much more…
Bana Hill travel complex in Da Nang is the Group’s first successful business in Vietnam market This is a mix of different projects in 1 travel complex, a cable car system which won Sun Group a number of world records, a Fantasy Park considered one of the five biggest in-house park in Asia, a French village constructions complex that bring Europe cultural to Vietnamese people
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With all of those elements, Bana Hill travel complex has now become one of the most visited destination in Da Nang and helps promote the city tourism services world-wide
Following Bana Hill complex succeed story, the Group start to consolidate their position in the convalescence market by building other notable projects such as: The Inter-Continental Da Nang Sun Peninsula Resort, Premier Village Da Nang Resort, … as well as finding new opportunities in other business area such as construction investment or entertainment
Overall, with lots of successful businesses, Sun Group is on the way to become the leading private economic group in the industry, which is a basis for its desire for global integration.
Business Areas
Sun Group business focuses in 4 main areas:
The convalescence tourism service in Vietnam is developing rapidly and is forecasted to attract lots of investors in and outside the country Catching up with the market trend, Sun Group had developed a number of high quality resorts complex mainly in Da Nang A few of the Group notable projects are: Bana Hills Mountain Resort, the Inter Continental Da Nang Sun Peninsula resort; Premier Village Da Nang Resort; Novotel Da Nang Premier Han Rivers, Besides Da Nang, the corporation also prepare future plan for other convalescence projects in other famous destinations like SaPa, Halong bay or Phu Quoc
Luxury real estate is a highlight in the Group business system It works both as a normal real estate business, where the group calling investor to buy land or building planned at a famous tourist destination; and it also works as the convalescence tourism business where all those lands and buildings projects will be turned to a luxury resorts for renting This business helps stimulates both Vietnam tourism and real estate market It creates an opportunity for the investors to gain a large margin of profit from the projects as well as promote a number of Vietnam famous tourist destination world-wide Some famous projects in this field are Premier Village Da Nang Resort complex and the on-going projects in Sa Pa, Phu Quoc and Ha Noi that attract a lot of attentions from investors
Sun Group Corporation decided that the entertainment area has huge effect on the whole business system Therefore, the Group had decided to invest their resources in a number of new
4 amusement park such as: Fantasy Park, Asia Park in Da Nang (and a lot of future world class high quality parks in Sa Pa, Ha long, Phu Quoc,etc… All of the Group amusement parks are well invested, strictly followed the professional quality control protocol and tested carefully on the quality and safety of the services provided The amusement parks guarantee to become one of the competitive advantages in the service business for the whole Group and contribute to the local tourism service
Beside all luxury-property, resorts, Sun Group also focuses on other social projects like building house for low-income people, constructions to serve Da Nang residents such as Sun Home (450 apartments), Ba Na – Suoi Mo road or some green areas within Da Nang city By doing a number of no-profit projects above, Sun Group has partly contributed to the socio-economic development of Da Nang and building a friendly image toward Vietnamese customers.
Vision
To create high quality constructional works and services that meeting international standard and everlasting through time; contributing to the Vietnam, improve the citizens’ life quality and enrich the country’s economic
To build a prestigious Vietnamese brand with good reputation and have world-class quality services; as well as to help making Vietnam become an attractive investment destination for the foreign investors
Working under the Group’s credo “Wisely and thoughtful investing – sustainable development”, the firm is on the way to become the leading private economic groups in the industry The firm considers Convalescence tourism, Amusement & entertainment and Luxury real estate as the company strategic investment
To create an environment where corporate benefit harmonizes with the social benefit; balancing between business development and preservation; respect humanity and natural value… Only when the company business strictly follows these philosophies that its business will develop sustainability
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Products & services
High quality resorts complex: This is one of the main product line of Sun Group Currently, the company is expanding its high quality resort complex at Da Nang, Phu Quoc and Sapa Those resorts has remarkable elegant designing and locate at all the famous beaches, guaranteed its stayed guests a quality experience
Luxury apartment towers: Along with high quality resort complex, the group are also expanding its business in selling luxury apartment tower The Group are focusing most of the project in North Vietnam, with 2 projects in Hanoi and 1 project in Ha Long Bay The Group are also slowly expanding its business into south and central of Vietnam
Amusement & Entertainment Parks: Amusement park is an add-up business that the Group investing in As the company is slowly expanding its business in resort and luxury apartment, they discover that amusement and entertainment park will become a nice addition that increase value of all the projects that they are investing in Therefore, the Group are building its amusement park in Da Nang and a newer one in Sa Pa, which will attract more customers to use their services
Cable Car System: Both 2 cable car system which was built by Sun Group are becoming very famous and receive a lot of international recognition The 2 cable car systems, at Bana hill and Fansipan mountain, allow visitors to travel to high place with beautiful view in such a easy way that it attract a huge amount of visitors every year
Infrastructure: For now, the Group is investing in Van Don airport which locate at Quang Ninh, in order to expand their business and attract more investors to this place
Speaking of hotel or resorts business, their main product is accommodation service and all- round services serve as add-on for the main business Premier Village Da Nang Resort is also considering the accommodation service as its core business of the whole brand and add some special elements to make its service different in the market
All of the villas in the resort are designed under “a home away from home” concept, in which all the constructions include bedroom, a kitchen, a living room and couple of restroom are carefully designed and decorated to bring customers the feeling as if they are staying at their own house The
6 furniture and amenities in the villas are all from high quality brand, which guarantee customers’ a relax and enjoyable experience when they use the accommodation services of the resort Besides, the all-around service which include restaurants, spa, gym center and tour provider are all guarantee a quality vacation for the guest who choose Premier Village Da Nang resort service
As an addition all-around service to increase the value of the Group resort project, Sun Group amusement & entertainment service has all kinds of entertaining services that can keep tourists involve for all days Starting from classic thrill adventure game zone like roller coaster, Viking ship to family and children zone such as carousel, wheel and entertainment center Moreover, the amusement park also has nice cultural addition such as pagoda in a calm and silent place for those families who bring their grandparents with them to the amusement parks Throughout the day, there will be different parades on the main road of the amusement park which make the whole place always feel lively and energetic
Since the whole Group business is all about real estate, the company decide to build their own real estate trading service and name it Sunland This trading service are included all information of current and future investment of Sun Group in the real estate market The trading agency of Sunland is mainly in charge of trading, transferring, leasing, buying and consulting real estate as well as all the products and services that involve Sun Group The citizens of Sun Group building are also encouraging to use Sun Land service if they want to lease or selling their apartment in order to receive the best support as well as price consultant.
Customer and client
Sun Group are running its business in both B2B and B2C environment For B2C business, the customers of Sun Group are the end-user who use the convalesce tourism service & amusement and entertainment service On the other hand, the clients of the Group in B2C are people who invest in Sun Group project and receive benefit from it To be more specific, according to the official website of the company, the investors are receiving at least 9% of the income from letting the resort to be rented, and 15 nights vacation at any of the Sun Group resort Basically, B2C is the main source of benefit of the whole group In B2B, the Group has signed with a number of clients, such as real estate agents, to advertise their real estate service and help them selling it The mission of
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Sun Group client in B2B is to bring their products and services to more customer and widely introduce as well as attract more investors to invest in the Group project
Basic Financial Analysis of Sun Group Corporation
a Sun Group Corporation financial report
Table 1: Financial report of Sun Group
Revenue from sales and services 13,148,250,249,560 13,794,956,610,806 16,943,126,384,264 Revenue deductions (24,630,916,358) (46,547,378,944) (50,935,643,122) Net revenue from sales and services 13,123,619,333,202 13,748,409,231,862 16,892,190,741,142 Cost of goods sold (10,152,582,086,268) (10,504,757,778,942) (12,736,401,587,588) Profit from sales and services 2,971,037,246,934 3,243,651,452,920 4,155,789,153,554
Expenses from financial activities (306,105,699,702) (356,173,802,439) (500,714,556,126) Sale expenses (503,649,913,480) (490,524,593,142) (550,712,433,841) General and administrative expenses (660,318,573,288) (712,289,679,316) (704,666,021,345) Operating profit 1,655,515,763,876 1,833,304,692,485 2,555,064,356,917
Other expenses (24,188,784,952) (20,412,389,741) (18,669,374,017) Other (loss)/profit (12,333,591,112) 1,687,431,555 2,561,934,226
Chart 1: Growth chart (from 2014-2016 period) of Sun Group Corporation b Sun Group Corporation financial analysis
Since its establishment in 2007, Sun Group mainly focuses on 4 main fields: convalescence- tourism, luxury property, entertainment and construction-investment In just 10 years, Sun Group grew rapidly and became one of the biggest real estate companies in northern Vietnam beside Vingroup and FLC The 2014–2016 financial report demonstrates Sun Group’s considerable achievements
Revenue from sales and services during 2014 - 2016 grew by 28,8%, from 13,148B to 16,943B VND along with profit from sales and services rising from 2,971B to 4,155B VND (growth rate of 39,8%) The main reason behind this significant development is Sun Group’s investments in tourism projects such as Bana Hills, Premier Village in Da Nang,
Ha Long Ocean Park in Quang Ninh, helping gain much attention from tourists in Vietnam and around the world
Revenue from sales of goods increased by 25,44% during 2014 – 2016, but it is still 3,36% lower than growth rate of revenue from sales and services Sun Group applied a new system in resource management in 2015, allowing the group to reduce a lot of extra expenses in production
Financial activities, while not the main field of Sun Group, maintained stable in 2014–
2016 A small slump in 2015 was followed by a rise to 155B VND in 2016
Sun Group Corporation Growth chart (2014-2016)
Total Revenue Total Expense Gross Profit after Taxes
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Other expenses in financial activities, sales and general administrative also increased during the 3-year period: 1,470B in 2014, 1,588B in 2015 (6% increase year on year) and 1,756B in 2016 (12% increase from 2015) The rise is attributed to an enlarging marketing budget, paying interest and recruitment
Due to strong management of expenses, positive results in revenue and tax rate dropped to 20% in 2016 (from 22% before 2016) Sun Group’s profits after taxes rose significantly in this 3 years period, especially in 2016, with a net profit of 2,046B representing a 42% increase compared to 2015 and 59% compared to 2014
COMPANY STRUCTURE AND ORGANIZATION CHART
Company structure
HUMAN RESOURCES AND ADMINISTRATION DEPARTMENT
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Company structure explanation
Shareholder general meeting is an event where all the shareholders of Sun Group Corporation gather annually In the meeting, the chairman of the Board of Directors will present an annual report, in which contains information of company’s performance and its investing decision Shareholders with voting rights will vote for such issues as:
Appoint/Dismiss chairman or members of the Board of Directors and the Audit and Internal Control Committee
Decide dividend rate, review all the upcoming major projects of Sun Group Corporation such as: Investment, raising capital, …
Review all annual financial reports to appraise Board of Directors activities
As one of the core in the company, Sun Group Corporation Board of Directors defines the long-term strategy as well as annual business plan for the company Its job is to monitor the whole group activities, allocates resources, manage the staff at management level and direct the financial plan of the whole company The detail rights and obligations of the Board include:
Appoint/Dismiss the General Director and other directors
Decide the business strategy, business plan and company policy
Make decision for major projects
Supervise, evaluate, appraise performance of whole company
In the board itself, each member is assigned different area to manage Their knowledge in these areas will help the Board in the decision-making process of important business plan of the whole company
The board hold meeting is often convened by the Chairman of the Board of Directors The decision is made by majority of the votes cast If the votes count are tied, the Chairman will then have the rights to decide whether it is an approval or disapproval
The General Director is a person who directs all day-to-day business operation of the company in all 4 areas: Convalescence tourism, Luxury real estate, Amusement & entertainment service and Construction investment The General Director will receive reports from directors in each departments and report directly to the Board of Directors and he/she is responsible for any
12 business event, performance, result of Sun Group Corporation before the Board of Directors The General Director main roles are:
Execute and monitor all business plans approved by the Board of Directors
Make decision relating to day-to-day business operation of company
Consult the Board of Directors in every upcoming projects, on-going projects
Report to the Board of Directors about company performance
Represent company and the Board of Directors to deal with both internal or external matters
The Deputy General Director is responsible for assisting and following order from the General Director In any case of the General Director absence, the Deputy General Director has right and authority to be in charge and makes order, gives decision on behalf of the General Director Beside that, the Deputy General Director also joins in business operation, such as:
Oversee day-to-day business operation, on-going projects, upcoming plans and report to his/her senior
Work with other department directors to achieve company targets and goals
Participate in negotiating contract, solving matter,… with other partners along with General Director
5 Audit and Internal Control Committee
The Audit and Internal Control Committee is responsible as a third party to execute auditing annually and check the legality, creditability and honesty of the company financial report, documents, accounting activities and business activities They are independent with the General Director and reports directly to the Board of Directors The Board of Directors will then use this report to present to the shareholders in the Shareholder General Meeting
6 Human Resources and Administration Department
The Human Resources and Administration department gives advices to the General Director in the area of organizing the labor forces, managing and allocating the resources, building policies and regulations to support business operation Such responsibilities are demonstrated as following:
Recruit and find suitable staffs and specialists for the company
Provide the administration services including receptionist, cleaning services, drivers, …
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Coordinate with different departments to build the organization process and regulations They will be in charge of reminding and checking if all the departments strictly follow the company regulation or not
Implement social insurance and welfare policies to protect employees’ rights and benefits
Form a Labor Union as stated in Vietnam Labor Law 2012 (Article 13)
The Information and Technology department is the core of the company, they play very important role in daily business operation such as:
Manage and protect the company database like: company information, partner information, customer information,… from both internal and external threats
Develop, upgrade and maintain the company system – make sure it can meet the company operation requirement
Support other departments in all IT matters
Sales department is one of seven main departments in the company, their main responsibility is to achieve sales target given by the General Director and report directly to him/her and the Deputy General Director In order to do that, Sales department focused on the following:
Look for promising sale opportunities and potential customer constantly
Develop and execute marketing plans to boost up sales and achieve company goals
Keep in touch with customer via phone, email or other channel – ensure every customer complaint or inconvenience could be solved as soon as possible
Maintain and improve company reputation in public
As one of the most important department in the company, Financial and Accounting manages, controls, oversees every financial activity of the company and report directly to the General Director Besides that, they also do reports and advises Board of Directors and General Director in making decision for business plan and strategy Their main functions are:
Develop annual, short-term and long-term plan based on company plans and strategies
Follow all financial plans approved by the Board of Directors and the General Director and advise if it needs any alteration
Ensure transparency in all company financial activities and be in charge of providing necessary and legalized document to the Audit and Internal Control Committee in time of need
Do financial reports monthly, quarterly and annually
Sun Group Corporation is a company that has a lot of major projects In order to manage everything perfectly, they create a department called Project Management This department key objective is already shown in its name: Manage project in every aspects like finance, manpower,… when project is just in beginning state or in operation later, including:
Implement and monitor all company projects
Setup project plan and target, draw out timeline to guarantee project running smoothly without any problems
Co-operate with other departments to enhance project efficiency
Advise General Director/Deputy General Director in term of project plan and strategy
Different from Project Management, Project Development department is responsible for creating and collecting idea to develop project They mainly involve in the very first stage of project – when it is in paper To fully develop project from an idea to real plan, they have to:
Collect market information, identify business trend and economic situation
Develop, create new project or upgrade on-going project based on all collected information
Analyze the newly-born project in every aspects to see whether it is plausibility or not
Present project before the Board of Directors and the General Director
The legal department is important in a complex and huge organization like Sun Group, they provide all legal advices and guidance to the subsidiary and departments, ensure that all the contract are done properly and protect company benefits In any case which the conflict of interest may occur (which is common in Sun Group because they are huge organization), the legal department will represent the company in a court of lawsuit and provide protection for the company benefit Besides that, they also take part in preparing contract with employee, partner for the company and ensure there will be no disadvantages if there is any lawsuit
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In the time of internship at Sun Group Corporation, I work as Marketing executive at Sales department and I worked in Premier Village Da Nang Resort project My group consists of 8 staffs and 1 team leader and I am under team leader directly He is my senior and also my tutor
THE MISSION: ASSIGNED TASKS & GOALS
1 The Tasks assigned to my position
I started my internship at Sun Group on 28 th January 2017 as a marketing staff for Premier Village Da Nang project at Sale department Occasionally, if there are too much back-office workloads (mostly involve paperwork preparation) and the sale forces do not have enough time to do the job, I have to provide support as a sale assistant, I am mainly in charge of preparing all the papers for the sale staff
In the first 2 and a half weeks, my task was to review all the papers and documents about the Premier Village Da Nang project provided by the department manager This activity helps me to understand what kind of service Premier Village Da Nang is providing and how the whole project is operating
After that, I was trained for 1 week by my supervisor to work as a marketing staff with specific responsibility such as:
Join in a team of 5 people that in charge of Preparing the marketing plan proposal for Premier Village Da Nang In that team, I was responsible to prepare the implementation plan for the proposal, based on other member analysis
Calculate the detail budget for all the marketing activities
Collect competitors’ information; analyze their service strength and weakness, study their current promotion plan and write weekly report and send to the manager
Co-ordinate with sale staffs to prepare specific marketing activity based on their requirement For example: Create a promotion package for loyal customers
About 2 weeks later, since I can quickly catch up with the pace in the marketing department and prove myself as a detail-oriented person through a number of analysis and reports which I sent to the manager, I was assigned another task: to become an assistant to the marketing manager Apart from the ordinary job of a marketing staff and sale assistant, I had to responsible for:
Check daily emails of every staff in the department, then gather important information, quickly summarize in a report and present it to the manager at the end of the day
Remind the manager of the meetings and events that he need to take part in
Prepare documents (slides, notes, etc ) needed for the meeting
Represent the marketing department and work with other department in the Group
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2 The link between the subject matter and my mission
All of my missions during my internship at the marketing department are linked closely to and directly serve the subject matter of this report: to prepare a 7P marketing plan for Premier Village Da Nang resort, namely:
Working as a marketing staff, I have an opportunity to participate in daily marketing operation of the whole Group, which help me have a clear perspective of the Premier Village Da Nang resort service and its promotion plan Understanding what service the project is providing will help me build a direct and oriented approach to different target customers, while analyzing its previous promotion plan allow me to create new efficiency promotion plan that avoid all the past mistakes
Working as a sale assistant help me understand the pricing policy for different target segment, which allow me to build different pricing strategy for them effectively Besides, preparing all the documents for the sale staff give an opportunity to access to the information about the Group distribution channel, which is an important part in my 7P marketing proposal for the project
As a manager assistant, by gathering email for all the staff and summarize it to the manager, I have an in-depth understanding of the department process, as well as an information source of the human resources of the whole department This knowledge allow me to generate an efficiency people and process strategy in my 7P marketing plan for the Premier Village Da Nang resort
There are some goals that I clearly define while working for Sun Group, which is:
To understand Sun Group process and system in order to build an effective marketing plan
To study the Premier Village Da Nang resort project (products, services, customers, brands value…) to help in creating an on point and direct marketing plan that can immediately has effect on the business
To study the way to work with the company internal source (other department, colleagues and managers) and external source (customers, partners,…) effectively
To collect and analyze data of the market trend so that the marketing plan is up to date and catch up with the pace of any changes in the market
To study the competitor, their strength and weakness so that I can learn from the competitors’ success and avoid their mistake
To understand what customers the business is serving and categorize them to different segment for different approach and strategy
To collect data on different distribution channels and find a suitable channel to deliver our service effectively
Ultimately, to make a marketing strategy by combining all of these above studies and analysis in a clear, on point report that may help high level managers in their business decision making process
4 The value which I can bring to the company
I am confident that all of my in-depth understanding in the business operation and marketing knowledge that I study from the AMI program can provide valuable insight source for the company, namely:
Providing a clear, on point report based on analyzing the current data and number of marketing activities so that the higher management can have a whole picture of the business situation
Helping the department manager by providing him daily and quickly summary report of daily basis operation of the whole department
Providing a number of detail-oriented researches to the high-level manager a clear picture of the Group competitors, what their strength and weakness is, as well as suggestions to improve Premier Village service so that the services can compete effectively with other competitors in the market
Being a link connecting the marketing department with other department in the Group, by using knowledge in business communication
5 The theoretical knowledge puts into practice
Studying AMI program allows me to put a number of theoretical knowledge into practice during my internship at Sun Group Those subjects which are most useful for my internships are listed below:
Since globalization is also affecting Vietnam business mindset, studying international economics and globalization gives me an opportunity to help bring Premier Village Resort service
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19 quality closer to international level, and to create a business with international quality service but still keep its local uniqueness image; which creates a competitive advantage toward other local and international business enter the market
DEVELOPMENT
Places
Until now, the current retail distribution channel of the resort is limited The 2 main retail channels at the moment comes from travel agencies and direct sale However, the travel agencies are not only advertising for Premier Village resort, but also other resort as well For direct sale, Vietnamese customers do not have the behavior to contact directly to the resort Most of the time they rely on travel agencies because they believe the travel agency can deal a better price than direct contact Therefore, in order to reach the potential customers easily, the resort should expand their distribution network to other channel
Recently, according to the Expeditioner, one of the reputable travelling review website, people enjoy reading travelling and hotel information from travel blogs The Premier Village Resort Da Nang can pay the travel blog so they can sell the booking service right on their blog If
30 the reviewer is famous in the community, people tend to listen to the blog reviewer on everything he said As the result, turning those travel blogs, both local and international one to a retail channel may help Premier Village resort access to more customers.
Promotion
Apart from some traditional advertising channels, which the resort is using at the moment (such as: advertising on internet, newspaper…) There are three new promotion plans that Premier Village Da Nang resort should do to differentiate their business in the market:
First of all, advertising the resort through reputation travel blog Catching up with the new trend, that people are believing reviews from travel blogger and their self-made video; rather than reading information provided by travel agencies Therefore, the resort can invite those travel bloggers to the resort for a short period, let them filming and advertising resort services on their own blog and channel Doing this can help the resort introduce their service to the potential customers effectively
Second, running special promotion plan for special occasion For example, on the occasion that the travel rate is low, the resort can run special promotion plan like discount accommodation fee on every villa; or the sooner the customers are booking, the better price promotion they can receive (up to 30%) Running these programs can attract more customers and increase the sale of the resort throughout the year.
People
In the service industry, people playing the most important part that affect directly to the business Although the resort has run their business for a few years already in the industry, it is still received negative comment about the staff, specially the room service forces Most of the negative comment criticized the slow reaction of the room service forces when they need any supplies for their villa Most of the cases happen due to the far distance between each villa and lacking room service forces As the result, the resort need to improve qualify of its people by hiring more room service staffs in order to handle all the room services for the villa in time
Besides, the resort manager should select staff only from famous hospitality colleges or university since the students from those schools are educated thoroughly in skill For external affair, besides the current program that reward distributors and public relation communicator with high commission, the resort should start building a package reward of staying at the resort for free for a
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31 certain amount of time if any of the distributors or communicators doing their job fantastically This action will push their spirit up and help the resort expand their business faster.
Price
For any business, it is crucial to carefully calculate the price so that the business still maximize their profit and keep a good relationship with its customers According to the analyze above, Vietnamese customers love discount and cheap price
Therefore, pricing policy of the resort mustbe flexible, cover all of the resort cost but still stay at affordable price to attract customers Currently, the resort are running their price promotion with 15-20% increase of the normal pricein high season, and discount 25% the price in low visitors season However, this price policy has been running for a while, since Premier Village resort is still new and dominate the market In order to compete with other competitors effectively, It is advised that the pricing policy improvement should be divided into 2 different categories
First of all, the price should be slightly increased in high visitor rate season, only 10-15% normal price And in low visitor rate season, the resort should discount up to 40% of basic price By doing that price strategy, the resort can attract more customers to its business Although the direct benefit from renting price will be slightly decreased, the resort can make up with that by their all around service, which will be easier to charge customers
Second, until now, there is not any pricing strategy for loyal customers The loyal customers are actually the resource that provide stable income for the whole business Therefore, it is crucial that the resort should come up with a pricing calculation for the loyal customer Loyal customer which use the resort service for few times should be cheaper or receive better discount compare with other new customer.
Process
Until now, the booking process of the resort are already optimized and clear Therefore, the booking process, which is a basic process of any resort business, do not need to change anything However, the internal paying process from the accounting department should be changed When I work as a marketing staff, it is time consuming and heavily bureaucracy inside the resort to actually get the payment done
For example, the commission for distributor must be signed by the head department of marketing team, revised by the general manager and approved by the head of accounting
32 department to process If any of those three are on business trip or do not sign, the payment will be stored at the accounting department until there are fully 3 signature from the listed above managers
By the time the commission come through all of those process, the distributors might feel offensive which lead to decreasing in his/her performance and affect directly to the resort business
It is advised that the resort manager should review all the paying process that involve accounting department, voting for a temporary sign position in case any of those listed managers are not working.
Physical evidence
Services, especially accommodation services are intangible However, the customers often rely on physical object to help them evaluate the product before making purchasing decision Therefore, it is crucial for Premier Village Da Nang resort to design and implement such tangible object to help imprint the business image into customer mind and get trust from the customers So far, the resort is doing a very good job by decorating their environment and their villa different from their competitors
The roads to each villa are planted with different trees, bring fresh feeling to the customers Each road to the villa has different name so that it make the resort like a small city, which make a great impression to the customers The only thing that I can suggest to the resort to improve in this field is that they should think of gifting each customers a small gift that print the resort logo on it For the loyal customer, the resort should also send them gift that carry the brand name, which serve both purpose On one hand, the customers receive the gift will be pleased and remember the resort brand, on the other hand, it will be a way for the resort to advertise their services to other potential customers
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CONCLUSION
Achievements of the internship at Sun Group
Working as an internship at Sun Group is a great experience for me Besides a chance to participating a real professional work environment, I also have an opportunity to put all of my knowledge into practice I had an opportunity to work at different position, which allows me to deeply understand how a corporation run its business Besides, being a member in a marketing team for Premier Village Da Nang resort, I have improved greatly my knowledge in the hospitality industry Overall, I have reached most of the goals set up at the beginning of the internships Firstly,
I had provided some helpful works to the company, which are:
Calculate a detail budget of all the marketing activities for Premier Village Da Nang resort project, so that the marketing team members can plan their resources effectively
Help sale staff in preparing all the documents and working paper
Using SWOT model to analyze strength and weakness of the company, Using Porter 5 forces to analysis the competitiveness in the industry so that the high manager can grab a whole picture of the business situation and made right decision
Acting as a bridge to connect the department manager with the employees so that the work at marketing department can run smoothly with the cooperation of everyone
Acting as a link that help the marketing department keep in touch and work effectively with other departments in the Group
- Provide the manager of Premier Village Da Nang resort a whole picture of the internal and external environment of this business, as well as giving some suggestions for the resort to differentiate themselves in the market and compete effectively with other competitors
Secondly, I have gained huge work experiences in many field that will benefit me in my future career, which are:
- Having real working experience in a corporation and learning how different departments cooperate and work together This experience allows me to quickly adapt and catch up with various environment in my future career
- Having an opportunity to put all of my knowledge and business theories that I learned at AMI program into practice This is a huge step for me to actually understand how the theories actually work in a real business environment
- Gaining knowledge about hospitality and service business, the important of marketing and distribution channel to bring services to the target customers
- Improving my soft skill such as Microsoft & excel skill, teamwork skill, language skill, and so much more
- Greatly improving my communication and negotiation skill Since I am working as a link to help the marketing department to get in touch and work with other department in the whole group
- Learning an effective way to work multi tasks at once and ability to create a plan that can track those tasks
Shortcoming of the internship
Although I had brought benefits to the company, there are some goals set up are not yet completed Those shortcomings of my internship are:
Although I did some researches about Premier Village Da Nang resort competitors’ marketing strategy, due to the limitation source of information, the research is not yet discussed in detail the competitor strategy so that Premier Village Da Nang can counter those strategy and compete effectively with the competitors
All of my suggested strategies (include the suggestion on financial part about the pricing strategy, which is very important) are not yet being monitored and receive feedback from the customers and other departments that may executed it Therefore, in general, the strategies are not really practical
Due to my position and short time joining the company, my SWOT analysis may not be done thoroughly, therefore the information may not enough accurate or not enough in some aspects For example, the company resources, etc.
Suggestion for Premier Village Da Nang
After my internship in marketing department for the Premier Village Da Nang project, I would give some suggestion for the resort to differentiate themselves in the market, which are:
Frequently executing customer research and preparing questionnaire and feedbacks about the resort service Since Premier Village Da Nang resort is a service provider, it is necessary for them to execute customer research, both online and offline, in order to study customer satisfaction of their service Besides, after every promotion, receive customer feedbacks will help the marketing team make change for better plan in future project
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Carefully studying competitors’ information and analyze its business strategy The market is still potential and the competition is fierce Therefore, only when the manager of Premier Village Da Nang resort gather information of all the competitors, about the strong and weakness in their business strategy, that the resort can compete effectively with other competitors
Continue updating information about market trend and the customers’ need In the service provider business, the market trend and customers’ need are changing daily If any of the business cannot catch up with the market trend, their business will be considered out of date and will not be picked by the customers Therefore, it is necessary for Premier Village
Da Nang resort to update and change their service annually in order to differentiate themselves in the market
Building an effective staff training process to ensure that all the staffs receive professional training and perform well at the resort As a service provider, the resort’s staff is the force that interact directly with the customers If the resort’s staff perform badly, it will directly affect the resort business The more professional the staff is, the more satisfy the customers will be As the result, Premier Village Da Nang resort need to prepare a staff training process and update it annually in order to keep the customers come back to the resort
Improving the welfare policy for the staff of the resort As a key stakeholder in the whole business, the staffs are all sharing the same hope: to receive a salary increase, to be given an opportunity to develop themselves and getting health insurance from the company Although the resort are providing all the classic need listed above, it is advised that the resort manager should work on the welfare policy, have a plan to change it annually Doing this correctly can help the resort push up the mentality of all the staff, which will increase their quality of work and therefore have positive effect on Premier Village Da Nang resort
For the internal environment, the resort need to build an information management process in each department, so that when the marketing department want to collect information to build a marketing plan, it will be easier and less time consuming When I work at marketing department for the resort, it takes a really long time to gather information from each department, and the information is not organized and take time to rearrange since the manager of each department do not care about organizing and manage information The manager of each department only cares if the main workflow is running or not and
36 consider information management job not important This is actually not good for future development of the resort and should be improved as soon as possible
The resort should also improve recruitment and work efficiency evaluating system The human resource if an important element in any business If the HR system of Premier Village Resort Da Nang can pick the suitable candidate right at the beginning, they do not need to waste resource and time to train the staff Moreover, work efficiency evaluating system will help the resort keep the value staff with them, therefore improve overall performance of the resort In the current situation, the resort are recruiting a lot of staff but most of them are being left out as well This is a proof that the recruitment process need to change as soon as possible if the resort want to expand their business in long term
Besides the marketing strategy, the resort should also start building a short & long term business expanding strategy In short term, since many corporation are picking resorts with huge conference hall and relax visit place to organize company meeting as well as let the staff families have vacation, the resort should consider building conference hall and providing corporations with promising price Doing this will attract more customers to the resort, as well as expanding the resort business into a new promising field In long term, the resort should consider building more all around services, like entertainment center or tourist activities to provide staying guests more interesting activities, which will definitely keep the guests coming back to use the resort service.
Conclusion
In conclusion, the internship is my great opportunity to experience real business, the tension and a fierce competitive between competitors for the market share This chance is a strong start for my future career, which not only allows me to put all of my knowledge and skill from the AMI course into real practice, but also help me training and greatly improve my abilities and soft skill Participating in this internship at Sun Group and joined the marketing team that in charge of Premier Village Da Nang resort project brought me a chance to study about service and hospitality business By analyzing the business and hospitality market, I also understand that this is one of the rapidly developing business
As the people income is increasing steadily, and the overall life quality of the citizen is improving day by day, people tend to spend more money to relax at luxury vacation spot The great amount of customers that travel to famous tourist location like Da Nang is a proof that the
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37 hospitality and convalescence tourism business are blooming, with high compete level but still have enough space for the new business to enter the market and gain the market share The risk is high but the market share are still have plenty left, therefore, any new investors should plan their strategy carefully if they want to start their business in this potential market
Being an intern at Sun Group and marketing department also gives me a chance to work individually, as well as work with other people in a team My communication skill as well as negotiation had improved dramatically and give me enough confident to work with other people I’d sincerely say my big thanks to the helpful colleague and passionate manager that teach me a lot in such a short time Overall, if the manager of Premier Village Da Nang resort carefully check my suggestion and execute it smoothly, the resort can differentiate themselves distinctly in the market and compete with other strong competitor like VinGroup to become the strongest service provider in the hospitality and accommodation service in Vietnam
1 Sun Group official website Sun Group official website [Online] (Updated 2017) – Available at: http://www.sungroup.com.vn/home/vi [Accessed 7 Jun 2017, 7:30 pm]
2 Premier Village resort official website Premier Village resort official website [Online] (Updated 2017) – Available at: http://www.premiervillage.com.vn/ [Accessed 7 Jun 2017, 7:30 pm]
3 The standing committee of national assembly, 1994 Labor law [Online] (Updated 23 Jun 1994) – Available at: http://www.moj.gov.vn/vbpq/en/lists/vn%20bn%20php%20lut/view_detail.aspx?itemid=2
4 The national assembly, 2015 Travel law [Online] (Updated 14 Jun 2005) – Available at: https://thuvienphapluat.vn/van-ban/Van-hoa-Xa-hoi/Luat-du-lich-2017-322936.aspx [Accessed 28 July 2017, 9:30 pm]
5 Central Intelligence Agency, 2016 CIA world factbook [Online] (Updated 06 September 2016) – Available at: https://www.cia.gov/library/publications/the-world- factbook/geos/vm.html [Accessed 28 July 2017, 9:30 pm]
6 Da Nang government, 2017 Da Nang government official website [Online] (Updated Jun 2017) – Available at: http://tourism.Da Nang.gov.vn/thong-ke [Accessed 28 July 2017, 9:30 pm]
7 The Prime Minister, 2010 Decision No.1866/QD-TTG [Online] (Updated 08 October 2010) – Available at: https://luatminhkhue.vn/en/decision/decision-no-1866-qd-ttg-dated- october-08 2010-of-the-prime-minister-approving-the-master-plan-on-da-nang-city-s- socio-economic-development-through-2020.aspx [Accessed 28 July 2017, 9:00 pm]
8 The state bank of Vietnam, 2014 Circular no.36/2014/TT-NHNN [Online] (Updated 20 November 2014) – Available at: https://luatminhkhue.vn/en/circular/circular-no-36-2014- tt-nhnn-dated-november-20 2014-of-the-state-bank-of-vietnam-prescribing-limits-and- prudential-ratios-in-operations-of-credit-institutions-and-foreign-bank-branches.aspx [Accessed 28 July 2017, 9:00 pm]
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9 H.M, 2017 Vietnam attract nearly 20 billion USD FDI in the first 6 month of 2017 [Online] (Updated 27 Jun 2017) – Available at: http://www.baomoi.com/viet-nam-thu-hut-gan-20- ti-usd-fdi-trong-6-thang-dau-nam-2017/c/22626964.epi [Accessed 28 July 2017, 9:00 pm]
10 Cafebiz, 2016 The current situation of convalescence market in Vietnam [Online] (Updated 2015) – Available at: http://cafebiz.vn/4-ong-lon-dia-oc-dang-lam-gi-tren-thi- truong-bat-dong-san-quang-ninh-20170824110650615.chn [Accessed 28 July 2017, 9:00 pm]
11 The national assembly, 2014 Bankruptcy law [Online] (Updated 19 Jun 2014) – Available at: http://www.itpc.gov.vn/investors/how_to_invest/law/Law_on_Bankruptcy_2014_0/mldoc ument_view/?set_language=en [Accessed 15 August 2017, 8:30 pm]
Table 1: Financial report of Sun Group ……… 7 Table 2 Stakeholder matrix ……… 22 Table 3 SWOT analysis ……… 28
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LIST OF FIGURES Figure 1 Company structure ……… 10