Chuyên đề tốt nghiệp: Some recommendations to promote export activities in VNT Import-Export Trading Joint Stock Company

Research Objectives:To get the desired outcomes of the research, the following research objectiveswere identified: > Studying the factors contributing to successful export in VNT Import

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D6 Thúy Huyễn - 11131797 - Business English 55B

been immeasurably difficult

My academic tasks can’t be completed without the participation of the ViceDean of the Department of English, Mrs Pham Thi Quynh Hoa I would like totake this opportunity to extend my sincere appreciation to her for her helpfulcomments, kindness, immense knowledge and time spent reading and fixing myreport Also, I also want to take this opportunity to extend my thanks to all of thelecturers of the Faculty of Foreign Language of National Economics Universitywho supported me during my four years in University, their dedication andenthusiasm will always be my motivation life

Finally, I would like to acknowledge with gratitude, the support, and the lovefrom my family They are my endless enthusiasm, support, and inspiration forwhich I worked tirelessly

I consider this opportunity as one of the biggest potential mile stones in mycareer I will try my best to take full advantage of the gained knowledge and skillsthat would be gained from this internship and integrated into my future working

career.

Sincerely,Do Thuy Huyen

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TABLE OF ABBREVIA TIONS

GDP Gross Domestic Product

GATT General Agreement on Tariffs and Trade

WTO World Trade Organization

EVFTA European-Vietnam Free Trade Agreement

CIF Cost, Insurance, Freight

CNF Cost And Freight

FOB Free On Board

CO Certificate of Origin

VND Viet Nam Dong

il

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LIST OF TABLES AND CHARTS

LIST OF TABLES

Tablel: Business information Of VNÏT c t1 11111111 S* S11 11111 re 4

Table 2: The total business capital of VNT (2017-2019) c«cc+<<<xx+ 13

Table 3: The main export items of VNT between 2016 and 2019 23

Table 4: Export turnover and the proportion comparing to the total export turnover of

feldspar product to the markets from 2016 to 2019 of the company 24

Table 5: Feldspar demand in VNT from 2016 to 2019 <<c<<+<<c+ 27

LIST OF CHARTS

Chart 1: The organizational structure Of VNT 0 esc eeeeeeesseceseeeseeseneeeeesseeenaees 6Chart 2: Revenue and profit of the company from 2016 to 2019 14Chart 3: The staffs frequency of communicating with foreign customers in VNT 15Chart 4: The staff’s satisfaction when using online translation apps 15Chart 5: Suggestions for the staff?s language skills improvement 16Chart 6: The export turnover of VNT (2016 - 2019) -Ặ Sex 17

Chart 7: Evaluation on the company’s quality of equipment and techniques 18 Chart 8: Evaluation on the company’s market research acfIVities 19 Chart 9: Evaluation on the company’s telesales aCtIVIẨV - c2 20

Chart 10: Evaluation on the company’s website quaÌ1fy -‹ s<s+++ss2 21Chart 11: Opinion about the company’s sales department and marketing

department COMBINING - - + 1112 1 v9 vn key 22

Chart 12: Opinion about the company’s market expanding - - -‹-› 26

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TABLE OF CONTENTS

ACKNOWLEDGEMENTTS ng nệt 1

TABLE OF ABBREYVTIA TIONS HH ghe ilLIST OF TABLES AND CHARTS 1.0.0 ecccccccceeneeceteeeeeneeeeeaeeeesneeenaes 11TABLE OF CONTENTS - LH HH TH HH kh ivINTRODUCTION 000 0 ccceccccecccceeseeeeesceeseeeeseaneceeaeeceeneeeseaaeeseeeeseaaeeneneeeeeaeees 1CHAPTER 1: INTRODUCTION ABOUT VNT COMPANY 4

1.1 Overview about VÌNTTỶ SH HH KH HH re 4

1.1.1 General business information - s5 + 11183 kkSskErsseeree 41.1.2 Company’s missions and main areas of activities ‹ -+ 51.1.3 Organizational S†TUCfUTG - - cv SH ng ven 5CHAPTER 2: THEORETICAL FRAMEWORK OF FACTORS AFFECT

EXPORT 0111 7

2.1 Definition, functions and types Of ©XDOT - cv re 7

2.1.1 Definition Of ©XDOT c0 HH g nenưy 72.1.2 Functions Of XOI( - - << «1k 1E vn kh 8

2.1.3 Types Of XDOY - SG ST TH TH ng kt 82.2 Traditional Export Procedures - -.- <1 82.3 Factors affect export DerÏOrIa'CG - s1 119kg kg, 10

2.3.1 International ÍaCfOTS - s11 1199 SH ng ng it 102.3.2 National ÍaCfOFS - c1 SH HH HH it 11“No 200i 12CHAPTER 3: ANALYSIS AND EINDINGS Ăn eeeee 133.1 The real situation Of VN TTỬ ch kg 13

ENNAI vi) 21v 0n 13 3.2 The real situation of the company’s export reSuÏf -.-s+++5<<s+++sxs2 17

3.2.1 Export FUTTOV€T- cọ ng re 173.2.2 EXport 1f€TTS - Gv rre 23

3.2.3 Export maTK€(S c1 ng re 243.3 Overall eVaÏUafIOTNS - - - - SH re 26

3.3.1 Achl€V€IT€TIS - - << 10 nọ ngờ 26

1V

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CHAPTER 4: RECOMMEDATIONS TO ENHANCE THE EXPORTEFFICIENCY IN VNT IMPORT-EXPORT TRADING JOINT STOCKCOMPANY 1 4a1A 314.1 Recommendations for the St4f€ - <5 100111911 99 111 9 vn ky 31

4.1.1 Creating favorable business environment for enterprises 31

4.1.2 Upgrading 1nÍraStTUCẦUTC - - - << 33111139911 vn re 314.1.3 Completing and stabilizing export operation mechanism and legislation 324.2 For voi 7 33

4.2.1 Establishing a specialized marketing departmen( - «- 33

4.2.2 Improving the competitiveness Of VN Ï - se, 34CONCLUSION 00000 eeeeccccsceseeceseecsseceeessseceaeeesaecsaeessaeesseessaeseaeessaeeeaeesas 36REFERENCES

APPENDIX

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INTRODUCTION

Nowadays, as we all know the increasing internationalization andglobalization has become of great importance recently There are more and moreenterprises starting to look abroad to expand their businesses as the world becomesmore and more interconnected Therefore, export plays an essential role in

contributing to a company’s successful development and it is gaining more

attention among all the markets, whether they are companies, consumers or eventhe country’s economy Integration into the world economies brings Vietnam bothopportunities and challenges, especially since Vietnam has become a member ofthe World Trade Organization Therefore, it is wise and necessary for Vietnam totake advantage of free trade and the open policies of the Government

With the above reasons, the author would like to introduce the activities of

feldspar exporting in VNT Import - Export Trading Joint Stock Company with the

decision to create a study with the subject: “Some recommendations to promote

export activities in VNT Import-Export Trading Joint Stock Company” after

a two-month internship period This report is compounded of four chapters.Chapter one starts with mentioning general information about VNT such asformation history, operation and development In addition, it also refers to the mainproducts the company focuses most on as well as its business volume The nextpart shows data on the business operations of the company in the last four yearswhich the readers find it easy to understand more about the company as well as get

the results of the company’s business Last but not least, the last part of chapter

one giving us the system structure and the functions of all departments, especiallythe tasks and the situations that the export staff have to deal with Chapter twodeals with theoretical framework such as definition of export, export activities aswell as factors affecting to export activities which are related to research topicmentioned above Chapter three is one of the most indispensable parts of the report;the author focuses on the analysis of not only the strengths but also the weaknessesof the company in term of doing export activities Therefore, factors affecting thecompany’s export activities will be thoroughly investigated In the last chapter,based on careful analysis as well as thorough findings in the real situation fromVNT, the author suggests some solutions and recommendations to enhance exportactivities of the company

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VNT Import-Export Trading Joint Stock Company (VNT) was founded in2009 according to the decision made by the Minister of Industry of Vietnam Withthe purpose of exporting high-quality feldspar products abroad, VNT has beentrying to become a national symbol in the feldspar field Since its foundation, VNThas developed increasingly and has gained a good reputation and trust fromdomestic and international business partner as well However, like many othercompanies in Vietnam, VNT has to face up with a lot of difficulties in term of

exporting their product in the context of increasing globalization and economics

integration

1 Research Objectives:To get the desired outcomes of the research, the following research objectiveswere identified:

> Studying the factors contributing to successful export in VNT

Import-Export Trading Joint Stock Company (VNT)

> Identifying and evaluating the weaknesses and limitations in the company’s

export activities

> Giving some recommendations to enhance export activities of the company 2 Research Questions:

The subject of the study raises the following research questions:

s* What are factors contributing to VNT’s successful export activities? +s* What are their strengths as well as weaknesses in doing export activities

The study will be mainly based on some data collected from both primary data

and secondary data

First of all, the author will conduct a questionnaire for 40 staffs to fill in forachieving the primary data Therefore, candidates can give feedbacks, results,recommendations to help improve the exporting process in the company

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Secondly, the secondary data from the company’s annual exporting plans willbe collected from Import — Export Department In addition, other companies’reports data as well as the documents related to this topic will be collected fromthe library and internet for the purpose of providing more accurate analysis

After collecting all the necessary data, both qualitative and quantitative

methods will be used to clarify the current problems Based on these discoveries,the author will draw-up some recommendations to help the company overcome theweaknesses to reform a better export operation

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CHAPTER 1: INTRODUCTION ABOUT VNT COMPANY1.1 Overview about VNT

1.1.1 General business information

Headquarter Room No 1803, Building No 101, Lang Ha

Street, Dong Da District, Ha Noi City

Industry Import and Export Email sales @ vntradimex.com

VNT Import-Export Trading Joint Stock Company (VNT) was founded in

2009 according to the decision made by the Minister of Industry of Vietnam With

the purpose of exporting high-quality feldspar products abroad, VNT has been

trying to become a national symbol in the feldspar field Since its foundation, VNThas developed increasingly and has gained a good reputation and trust fromdomestic and international business partner as well

With more than ten years of development under increasingly globalcompetition as well as economic crisis, VNT has faced up with many challenges,especially, from 2012 until so far However, along with experienced and flexibleboard of director and skillful workforce with endless efforts, the company has

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gained remarkable achievements such as:

Y Actively negotiating with a large number of both domestic and oversea

partners to provide input materials For this reason, the company offer newcustomers variety of substantial orders of feldspar with reasonable prices as wellas attractive discounts

v Signing many big business contracts with oversea customers from the

beginning of 2015 with competitive prices

v Extending business environment to different countries, except for

Philippine, such as Canada, Bangladesh

With the purpose of providing high — qualified products as well as services inthe feldspar field, making a great contribution to domestic economic development andimproving the life quality of Vietnamese people, VNT has trying so hard to becomemore powerful and competitive in the feldspar field With their high competitiveadvantages, timeless innovation as well as flexible methods of cooperation, VNTwould like to co-operate with overseas and domestic business partners to gain a biggerstep of development in the near future

1.1.2 Company’s missions and main areas of activitiesVNT aims to become one of the industry leaders in Vietnam in terms of scale

and efficiency in areas including: - Feldspar import and export

Being one of the firms with position in import — export field, VNT 1s

established for the purpose of providing customers with the best services and themost competitive price “Your support, we export” is the guiding principle of thecompany in the field of export Moreover, the company often pays a lot of attentionto create professional workforce making a great contribution to the sustainabledevelopment of the company

Feldspar supplying are the main activities of the company

1.1.3 Organizational Structure

VNT’s company structure is quite simple but effective which is clearly shown in

the chart below:

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Đồ Thúy Huyền - 11131797 - Business English 55B

Administrative Sales departments department Branch & office

Pesonnel-Planning

Departments Trade promotion & | ' Southern branch

investment dep in HCM city

Finance & accounting

s* Sales Department Functions

> Searching and identifying prospective clients in both domestic and

oversea market

> Transacting and signing contracts with foreign customers then taking care

of them before, during and after closing the deal, growing business and retainingexisting customers

> Carrying out some trading promotion activities such as launching and

promoting new products or services, taking part in trade exhibitions

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CHAPTER 2: THEORETICAL FRAMEWORK OF FACTORS AFFECT

EXPORTIn the age of globalization, interdependence among countries especiallydeveloped (North) and developing countries (South) is increasing Vietnam's export

activities are more vibrant than ever before, therefore, export’s performance is

making great contribution to not only GDP but also sustainable economicdevelopment

Currently, import and export is in the top 10 industries with the highest numberof recruiting requirements It is predicted that Import and Export trade will definitelybecome one of the most attractive professions in the next two decades

2.1 Definition, functions and types of export

2.1.1 Definition of exportAn export is a function of international trade whereby services and goodsproduced in one nation are shipped to another nation for future trade or sale(Duenas-Caparas, 2006; Montobbio and Rampa, 2005) The disposal of such

services and goods adds to the countries’ gross domestic product (GDP) In

international trade, exports are exchanged for other services or products (Gilaninia,Monsef and Mosaddegh, 2013)

In conclusion, all specialists above believe that export is goods or servicespurchase from one country shipped to other countries Therefore, export isconsidered essential part of international trade bringing benefits to the companies

or enterprises

Because of global market increase, exporting has become easier for the lastfew years The gradual decline in trade barriers under GATT and WTO, along withregional economic agreements such as European Union and the North AmericanFree Trade Agreement, has significantly increased export opportunities Moreover,being the first country joining EVFTA, Viet Nam’s export activities have taken ahuge advantage of EVFTA free trade agreement in term of preferential tax rate,

tariff barrier elimination, and economic cooperation At the same time the advent

of modern communications and transportation technologies have alleviated thelogistical problems associated with exporting Firms are increasingly using fax

machines, international telephones and international air express services to reduce

the costs of exporting

Nevertheless, every coin has two sides, exporting still remains lots of

challenges for many enterprises There are more and more competitors with high

competitive advantages as well as experience, therefore, to stay ahead of

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competitors, it is essential for Viet Nam to identify foreign market opportunitiesand anticipate challenges which are associated with doing business in foreignmarkets Besides, learning how to deal with foreign risks is one of key factorscontributing to the stable development of the company

2.1.2 Functions of export

Exports play a significant role both at the macro and at the microeconomic level

e At a macroeconomic level, exports contribute significantly to the GrossDomestic Product (GDP), to the level of economic growth, to employment, livingstandard, and balance of payments

e At the microeconomic level, exports provide companies with opportunitiesfor economies of scale, not being confined to a saturated market, broadening theirmarket reach as well as serving customers abroad, gaining stability by not beingoverly dependent on any particular market, and increasing profits

2.1.3 Types of export

There are several types of export and here are two main types:

e Direct exportDirect export is an exporting form the firm, manufacturers, and exporters

themselves are in charge of undertaking selling their products and dealing with

foreign firms in term of contracts signing, price negotiation, goods delivery, export

procedures, etc through agents, overseas sale branches, representative, etc Theparities can meet and discuss directly with partners or through phone calls, emails,

faxes

e Indirect exportIndirect export undertaken by the third party (except for exporter and importer)called middle men (intermediaries), who are responsible for the conditions of salesof goods, purchase, payment methods, good delivery, etc There are some

intermediaries such as buying and selling agent, export agent, export managing

company, cooperative organizations, etc

2.2 Traditional Export ProceduresAfter closing deal, it’s time for enterprises to prepare an export procedure.Normally, export procedure contains the following steps:

s* Step 1: Negotiation and contract signing

The two sides negotiate to reach agreement on the content of the foreign tradecontract including the terms of goods, the terms of delivery (Incoterms), and theresponsibilities of each party

s* Step 2: Export license apply

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‹,

«+ Step 3: Transportation bookingsDepending on the terms of trade signed in the foreign trade contract, thearrangement with the shipping company and international freight charges will takeresponsibility for the buyer or seller

"If exported CIFIf the seller exports under CIF or CNF conditions (or conditions of group Cor D in general), it will be responsible for arranging and paying shipping costs

which means that the seller must actively contact the shipping company: usually

the shipping line (Shipping lines) or the freight forwarder, to sign a storageagreement (Booking note) for the export shipment

"If exporting FOBWith FOB terms, the seller just needs to complete the customs clearance forexport and transfer goods to the port Foreign buyers will arrange international shipping.In other words, the buyer will arrange Booking Note with the shipping line

For coordination, the buyer will notify the seller of the information of thecarrier (or its representative) in Vietnam The carrier will coordinate, arrange andagree with the seller the appropriate train schedule

“+ Step 4: Goods and documents preparations

After the scheduled delivery date is available, the seller immediately preparesfor goods and arranges the necessary documents related to the export shipment

“* Step 5: Shipment on board

" Use Booking of shipping lines to get empty containers Depending on theshipping company, there are differences in how to do it Some companies requirebringing booking to their office in exchange for issuing orders Some carriers allowshippers to book booking and then go straight to the yard to take the shell (no needto change the order issued shell) The other company must add a step to send thebooking file to the shipping line to confirm the order of shell delivery via emailthen go to the designated yard to receive the container

= Pull empty container to warehouse=" Pack and seal lead seal (seal)

= Drop goods to the port, or yards as directed by the ship owner

s* Step 6: Export customs procedures

Prepare a set of documents for carrying out export procedures, including:

= Foreign trade contracts= Commercial invoice

= Packing slips

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"_ Goods delivery note (issued by the port when goods are delivered to port in

step 5 above)" Referral

After customs clearance step, the seller submits the customs clearance formto the ship owner for them to sign export with the supervising customs Afterdispatching ships, they will return the customs clearance declaration with theactual export

s* Step 8: Insurance buying, CO making

Once the bill of lading is available, the seller should send the voucherpackage software early to notify the buyer of the shipment

At the same time, the seller proceeds to complete the procedure to obtain other

documents as prescribed in the contract, such as:

= Marine Insurance Policy=" Certificate of origin (CO)= Phyto sanitary certificate or phyto sanitary certificate

«+ Step 9: Payment

= Payment is the final step of all export business transactions There are

currently two widely used payment methods:

= Payment by letter of credit (L /C)

= Payment by collection method: If the export contract requires payment bycollection method, after delivery, the enterprise must complete the making of

documents and then deliver it to the bank to entrust the bank collect money

from the partner.2.3 Factors affect export performance

2.3.1 International factors

The following factors are the ones which are beyond the scope of nationalcontrols and they make great direct or indirect contributions to export operationsof enterprises:

e Economic environment

Customers’ demands are strongly influenced by economic situation of export

market; therefore, it affects the export activities of enterprises There are severalfactors affecting the economic development of the export market such as inflation,

exchange rate, individual’s income, interest rate, total gross domestic (GDP).

e Political environmentPolitical situation is frequently recognized important factor when selectingexport markets due to devastating impacts associate with government and/or court

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decisions and regulation because political situation in a country can impactattitudes toward the country in the international market Hence, politicalinternational cooperation is decided in the trend of cooperation between twocountries This will lead to the formation of economic blocs, the politics of a groupof countries will therefore affect export situation of the business

e Social and culture context

Based on cultural changes as well as characteristics in the society, export

market has great impact on customers’ needs, thus affects the purchasing decisions

of customer and export situation

e Competitive environment

Due to globalization, enterprises are threatened by increasing competition.The more competitive the environment tends to be, the more threatened and lessconfident about existing opportunities the enterprises feel Nowadays, when taking

part in certain export market, it is more and more difficult and stressed for

enterprises to integrate and expand their export market

2.3.2 National factors

Besides international factors, national factors play a pivotal role inenterprises’ decisions before deciding to penetrate and expand any export market,here are those factors:

e Infrastructure system

The synchronous and modern development infrastructure system willpromotes economic growth, improve productivity and efficiency of the economyas well as contribute to social problems solving In contrast, an underdevelopedinfrastructure system is a major impediment to development In many developingcountries, weak infrastructure has caused stagnation in the flow of resources,difficulty in absorbing capital, investment capital, causing "infrastructurebottlenecks" affecting directly economic growth

e Technology environment

Technology including the techniques used in the creation of the product andthe educational technical know -how possessed by the industry (consumers andcompetitors) All this impacts on the quality, the level of demand and types ofproducts demanded, the way the product is distributed and marketed in the export

market and the means of manufacturing the product Nowadays, technology has agreat impact on all social and economic sectors Thanks to the development oftelecommunications, enterprises have opportunities to negotiate with consumers

via email, over the phone, fax, therefore, it brings huge benefits in term of less time

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- consuming, accurate-timely information, just-in-time transactions, etc

e National law system

State law system is one of the most important factors contributing to exportactivities of enterprises in both short-term and long-term business plans Whenentering and expanding any export activity, it is essential for enterprises to pay

careful attention to state laws, hence, businesses can take advantage of the state’s

policies on export performance and stay away from involving export operationsnot allowed

2.3.3 Enterprise

e Human resources

Human resources refer to the level of experience and commitment within thefirm It is found to be a driving force in the export development process and toreduce perceived export environment uncertainty Having strong human resources

with experience and good skills means having the greatest contributing factor to

export performance, hence human resources play a key part in enterprise’sbusiness success and its sustainable development

e Managerial level

With the growing complexities of business, the process of management alsobecomes more complicated and calls for a higher degree of skill and ability.Particularly in view of the technological features influencing the size and the scaleof modern enterprises, management cannot be a simple task that can be performedby an individual or a few persons interested in as proprietors Therefore,

establishing the organization and operating methods of leadership are decisive

factors to the business’s efficiency Having a clear and strong management levelis a crucial element contributing to enterprises’ stable development not only inshort but also in long run

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CHAPTER 3: ANALYSIS AND FINDINGSIn this chapter, the author will focus on analyzing the real situation of VNTImport-Export Trading Joint Stock Company in general and export activities inVNT in particular Based on data collected as well as careful analysis, the author

will draw an overall evaluation

3.1 The real situation of VNT

3.1.1 The company’s capital

With more than 10 years of establishment and development, VNT has carriedout a lot of methods to raise additional funds besides bank loan and equity,

particularly capital raising from export activities Here are the statistics about the

Table 2: The total business capital of VNT (2017-2019)

(Source: Official document of the company)The table shows the capital of the company over a three-year period, as wecan see clearly from the statistics, there was a considerable increase over the threeyears The total capital went up dramatically from 10.3 billion VND in 2017 to17.4 billion VND in 2018 before reaching a peak at 20.6 billion VND in 2019, anincrease of more than 10 billion VND in comparison with the two previous years.Looking at sharp capital increase over the last three years, it is clear that VNT hasoperated efficiently with the business activities, right decisions in investment as

well as gained lots of trust from the shareholders

The reason for massive increase in capital in 2018 was because, after morethan ten years of development and operation, the company has positioned itself inthe export market Most noticeable of all, it can be seen that there is a big gapbetween working capital and fixing capital, particularly in the year of 2019 whenthe gap is more than 50% It is undeniable that the company has taken advantageof capital and had such a very great capital mobilization without dead capital

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3.1.2 The business’s result

100,000,000,000.00

50,000,000,000.00

2016 2017 2018 2019

Chart 2: Revenue and profit of the company from 2016 to 2019

(Source: Annual report of the company)The chart above illustrates the revenue and profit of the company in the lastfour years from 2016 to 2019 thanks to the great achievement from exportactivities It is clear that there was a significant increase over the period from 2016to 2018, however, for the next one year it witnessed a decline in both of them

The company seems not to pay too much attention to market research ormarketing strategies, it is only interested in long — term customers and partners,therefore, sometimes the staff doesn’t stay informed enough of new domestics aswell as international customers with huge demand of feldspar Moreover, withmore than 70% of the staff is at the age around 35 — 55 years old, language barrieris one of the most challenging problems in the company for the last few years

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The staff's frequency of communicating

with foreign customers in VNT

8 Daily

5 days a week # 3 days a week

Chart 3: The staff?s frequency of communicating with foreign

customers in VNT

(Source: Author’s survey)

According to the survey, there are 70% employees who are asked have todeal with foreign customers daily, and there are about 88% of candidatesquestioned use online translation apps when they have difficulty in communicatingwith foreign customers in terms of face to face communication, email sending, etc

The staff's satisfaction when using

online translation apps

l8 Satisfied

8 Unsatisfied

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However, look at the research, we can easily see only about 12% of the staffwere satisfied with the online translation programs, the rest felt dissatisfied andunprofessional when using those programs during meetings as well ascommunication via email Therefore, improving the staff’s language skills is oneof the top tasks of the company In addition, depending too much on sometraditional markets without paying attention to diversify export markets is anotherfactor preventing the company from having higher business productivity and

missing opportunities from new markets such as Europe, America, etc

Suggestions for the staff's language skills

improvement

100%

90% 80%

70% 60%

8 Suggestions for the staff's

language skills improvement

Online cources Teacher hiring Specialized staff

hiring

Chart 5: Suggestions for the staff’s language skills improvement

Based on the author’s research, there are 50% of employees asked want the

company have a specialized multi-language department to deal with documents,translation, as well as negotiations while the another 50% prefer to have onlinecourses or offline trainings at the weekend or at night to help them improve their

language skills And from the author’s observation, the company’s recruiting

procedure for import-export position is quite loose because the company just asks

candidates for experience and certificates related to import-export field without

having any requirement for language skills Therefore, it is very important for thecompany to not only enhance the language skills of the existing staff but also focuson the quality of recruiting criteria

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3.2 The real situation of the company’s export result

3.2.1 Export turnoverGoods and services export is seen as an engine of economic and socialdevelopment Therefore, export is considered one of the most important activities ofthe economy bringing huge benefits to any nation in terms of economic growth, socialdevelopment, nation income increase, living standard improvement In the world ofglobalization and high competition, export plays a crucial role in economicdevelopment not only in a nation but also in its enterprises Hence, boosting export isconsidered matter of strategic significant for the development of any nation Here wewill learn more about export situation of VNT by the following chart:

Figure: Billion VND

Turnover

200,000

180,000 160,000 140,000 120,000 100,000 80,000

60,000 40,000 20,000

Chart 6: The export turnover of VNT (2016 - 2019)

(Source: Annual business report of the company)As it is evident from the chart, there was a significant increase in the exportturnover of the company during the period of three years from 2016 to 2018 Theexport turnover rose considerably from 110.568 billion VND in 2017 to 175.643billion VND in 2018, an increase of 65.075 billion VND, which is equivalent tonearly 60% increase in comparison with the previous year thanks to TPPagreement sign, Viet Nam export operation received tons of benefits as well as

export opportunities in term of more preferential tariffs, tax reduction, tariff barrier

elimination, economic cooperation

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Chart 7: Evaluation on the company’s quality of equipment and techniques

(Source: Author’s survey)The reason for considerable increase was because, in the recent years, thecompany has paid lots of attention to improve technology According to theresearch, there are more than 80% candidates questioned agree that the companyhas focused on investing in advanced technology in the last 5 years such as laserfluorescence scanning and portable X-ray fluorescence, which can directlydetermine concentrations of elements in rocks, and leaching techniques developedand used for exploration and hyper spectral technologies are developed to gather

additional data to map the mineralogy of the ground surface Moreover, there are

huge advances in drilling technologies as well as cutting techniques in the recentyears bringing powerful support to mining operations in term of data collection,rock sample analysis, drilling and cutting techniques, etc

Moreover, there has been a significant rise in export turnover during thosethree years was because of experienced leadership with appropriate business plansas well as solutions to effectively take advantage of opportunities from free tradeagreements It is also worth pointing out that the quality of human resources playsa crucial role in the survival and stable development of the company

Although the export turnover from 2016 to 2018 increased sharply, there was

a rapid decline the next one year from 191.235 billion VND in 2018 to 159.482

billion VND in 2019 There are many reasons for this decline but one of the most

important reasons the author has to take into consideration is because of their poor

market research and marketing strategy

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Evaluation on the company's market

research activities.

80% 70% 60% 50% 40% 30% 20% 10%

0%

The company's market The company hasn't focused The company is focusing too research activities are on the market research much on the existing

effective activities customers without

expanding its market to

other countries.

Chart 8: Evaluation on the company’s market research activities

There are 75% of employees who indicated that the company is focusing too

much on the existing customers without concentrating on expanding its market tocustomers in new markets such as Europe, America, etc while 20% of themagree that the company hasn’t focused enough on market research activities in thelast few years The company is only interested in existing markets withoutrecognizing higher increasing competition from other strong markets such as India

or China

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#Agree

8 Disagree

TM Strongly disagree

Chart 9: Evaluation on the company’s telesales activity

Moreover, telesales and website are two of the main ways in the company’s

marketing strategy, however, according to the survey, 75% of candidates stronglydisagreed that telesales is an effective way to reach potential customers for the

company because the customers list is not regularly updated and most customers refused to continue listening after the first few minutes when they realize it is an

unwanted sales call

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# Agree 8 Disagree

TM Strongly disagree

Chart 10: Evaluation on the company’s website quality

In addition, based on the survey, more than 50% of candidates don’t agree

that the company is taking advantage of its website because they are not regularly

updated information about the products, price as well as product images, etc In

conclusion, market research and marketing strategy are not paid attention by thecompany in the recent years Therefore, annually, the number of orders from newcustomers just account for 5% of total orders It is clear that the company is missinghuge opportunities from other large markets, especial the demand for feldspar israpidly increasing over the years

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Opinion about the company's sales department and marketing department

combining

8ø Should 8 Shouldn't

Chart 11: Opinion about the company’s sales department and marketing

department combining(Source: Author’s survey)It is worth pointing out that currently in VNT, there has no marketingdepartment; Sale department is in charge of both sales tasks and marketing tasks

However, according to the author’s survey, there are more than 90% of the staff

questioned think that it is ineffective to combine Sales department and Marketingdepartment as one because of the fact that when combining these two departmentsas one, the Sales department is always overloaded leading to low work efficiencyand lack of access to potential customers, poor market research and limitedmarketing strategy in the recent years meanwhile only the rest 7% think that thecompany should combine them because of expense saving

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Tiêu đề	Some Recommendations to Promote Export Activities in VNT Import-Export Trading Joint Stock Company
Tác giả	Do Thuy Huyen
Người hướng dẫn	Pham Thi Quynh Hoa, Vice Dean of the Department of English
Trường học	National Economics University
Chuyên ngành	Business English
Thể loại	Internship Report

Định dạng
Số trang	55
Dung lượng	11,53 MB