Life is a sea – if they can not swim up, it will be submerged”. This has become the rule in both natural and proper business of business. One of the key success factor of that’s the business marketing strategy. This term is no stranger to anyone from pupils, students to entrepreneurs.
Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 MINISTRY OF EDUCATIONAND TRAINING HANOI UNIVERSITY OF BUSINESS AND TECHNOLOGY FACULTY : ENGLISH …….o0o…… FIELD TRIP ON REPORT Subject: Marketing strategies in Vinh Son Joint Stock Company Instructor practice: Mrs Nguyen Hong Ha Student perform : Nguyen Thi Van Student Code : 06D10174N Class : 1103 Ha Noi, August 2010 i Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 TABLE OF CONTENTS TABLE OF CONTENTS .ii ACKNOWLEDGMENTS iv LIST OF ABBREVIATION v LIST OF FIGURES AND TABLES vi INTRODUCTION CHAPTER 1: THEORETICAL MARKETING OPERATION PROCESS .3 1.1 Definition of Marketing 1.2 The marketing process 1.2.1 The old marketing process 1.2.2 The new marketing process 1.3.Marketing mix 1.3.1.Traditional marketing mix .8 1.3.1.1.Modern marketing mix (4Cs) 1.3.1.2.SWOT analysis .9 1.4.Strategic content Marketing 10 1.4.1 Markets .11 1.4.2.Segmentation .11 1.4.2.1.Product policy 12 1.4.2.2 Price policy 12 1.4.2.3 Place policy 13 1.4.2.4.Promotion policy 14 1.5.Factors affecting the marketing strategies of business .14 1.5.1.Group companies outside factors (internal environment sector) 14 1.5.2.Group internal factor in business 14 CHATER 2: ANALYSIS OF THE MARKETING STRATEGIES OF VINH SON JSC 15 2.1 Vinh Son JSC profile 15 2.2 Organization and finance 16 2.3 Business operation .17 2.4 Marketing activities of Vinh Son JSC .17 ii Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 2.4.1 Vinh Son JSC’s Product Activities 18 2.4.2 Vinh Son JSC’s Price Activities 19 2.4.3 Vinh Son JSC’s Place activities 20 2.4.4 Vinh Son JSC’s Promotion Activities .20 2.5 Overall assessment of the company’s marketing activities 21 2.5.1 Some positive aspects of the marketing in company 22 2.5.2 The limitations and problems resolved 22 CHAPTER 3: ORIENTATION OF DEVELOPMENT AND SOME SOLUTIONS TO ENHANCING MARKETING STRATEGIES IN VINH SON JOINT STOCK COMPANY 23 3.1 Development orientation of the company in the future 23 3.2 Some solutions to building marketing strategies for Vinh Son JSC .23 3.2.1 Extremely perfect marketing strategy 23 3.2.1.1 Perfecting product policy 24 3.2.1.2 Development of pricing strategies for the company’s products 24 3.2.1.3 Perfecting the system of placing channels 25 3.2.1 Perfecting promotion policies 25 3.3 The solutions – oriented through the SWOT matrix of Vinh Son JSC 26 3.3.1 The solution combines SO (use power to take opportunity) 26 3.3.2 The solution combines ST(Using the strength to overcome the threat) .26 3.3.3 The solution combines WO (Use the opportunity to rectify weaknesses) 27 3.3.4 The solution combines WT (Limit weaknesses and avoid threats) 27 CONCLUSION 28 BIBLIOGRAPHY 29 iii Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 ACKNOWLEDGMENTS First of all, I would like to express my deepest gratitude to my supervisor, Vu Thi Thanh Ha, M.A, for her time, materials, valuable suggestions and advice and her enthusiastic guidance during the time I was writing this graduation paper Secondly, I would like to thanks all my teachers of English at Hanoi University of Business and Technology who gave me background on methodology, especially knowledge of English and language skills as well as studying and researching skills Thirdly, I would also like to express my sincere gratitude to Mr Tran Anh Tho for his valuable suggestion, my family and my friends for both material and spiritual supports in completing my work Last but not least, I would like to thanks all the manager and staff of Vinh Son Joint Stock Company for their helpful guidance and great supports so that I have been able to fulfill my graduation paper successfully Hanoi, July 2010 Student NGUYEN THI VAN TA 1103 iv Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 LIST OF ABBREVIATION • BOM: Business Organization • DSS: Dynamic Security Software Manager • DP: Department • JSC: Joint Stock Company • Ps: P words • SWOT: Strengths, Weaknesses, Opportunities, Threats • VAT: Values Added Tax • VND: Vietnam Dong v Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 LIST OF FIGURES AND TABLES Figure 1: The Old Marketing Process.(Page 5) Figure 2: The New Marketing Process (Page 6) Figure 3: SWOT (Page 9) Chart 1: Vinh Son’s Organization.(Page 16) Chart 2: Vinh Son JSC’s Pricing strategy.(Page 25) Chart 3: Vinh Son JSC’s Promotion policies.(Page 26) Table 1: Product list of Vinh Son JSC (Page 19) vi Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 INTRODUCTION Life is a sea – if they can not swim up, it will be submerged” This has become the rule in both natural and proper business of business One of the key success factor of that’s the business marketing strategy This term is no stranger to anyone from pupils, students to entrepreneurs And I have been lucky enough to study in the Business English Faculty at HUBT, which is one of the best private Universities in Vietnam Here I have change to study both English and Business that are the two essentials things for me to find a good job to earn a living The most important thing is that I have been equipped with the basic knowledge of business, marketing, finance, banking… all of which I have found very necessary for me to deal with my future job All these were proved very clearly during my practical period in Vinh Son Joint Stock Company What has been learnt could be used effectively during my field trip After my training trip at Vinh Son Joint Stock Company, I discovered that what I need now is the knowledge of Marketing as well as Business English I must improve these two things for the better so that I can get ahead in my career, which is the reason why I have chosen Vinh Son Joint Stock Company for my Graduation Assignment with title “Vinh Son Joint Stock Company and Solutions to Enhancing Its Marketing Strategies” for my graduation paper Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 The methods applied to write this paper include: • Vinh Son Joint Stock Company’s documents are collected carefully studied • All the figures, documents and reports retrieved in the job training trip are used to write this paper • Ideals about the corporation marketing and sales operation have been consulted from experts and marketing board This Graduation Assignment is divided into chapters: Chapter 1: Theoretical Marketing Operation Process Chapter 2: Analysis of the Marketing Strategies at Vinh Son Joint Stock Company Chapter 3: Orientations of Development and Solutions to Enhancing Marketing Strategies in Vinh Son Joint Stock Company However, with my limited knowledge & experience, there may be some shortcomings in my essay, which is why I really am looking forward to receiving help and assistance from my teachers to make the assignment successful Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 CHAPTER 1: OPERATION THEORETICAL MARKETING PROCESS 1.1 Definition of Marketing Actually, it is not easy to define exactly what marketing is? It is partially because this field is quiet large and long lasting for ages In addition to, it is made more difficult by fact that many people think their definitions of marketing are excellent and nothing will be better Therefore, whether the most accurate understanding about this is concluded has still been unknown Nigel Hill, in his Tutor Guide Book named “Marketing”, has defined Marketing as follow “Marketing is a kind of matching process It seeks to learn what people want and then tries to match the resources of the company to supplying those wants”.(Page 25) The father of marketing studies, Phillip Kotler, also spoke what he thought about Marketing, “Marketing in the market is to satisfy wants and needs of customer So, marketing is human beings’ action and meets the demand of human being through exchanging” The definitions above have some things in common, which are very easy to recognize when they are being made comparison Firstly, marketing is considered to be process, which includes many stages and points Therefore, if any organization wants to marketing well and then to generate much profit, they must learn how to carry out the Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 right stages and arrange these stages in the suitable and accurate orders Secondly, although, Marketing is understood to be a process, it is not the ordinary one, it must be the creative process Once they are defined the creative process, it must “seek to identify and satisfy customer needs profitably by matching company strengths to market opportunities” (Page 47, Nigel Hill.) 1.2 The marketing process As mentioned in two definitions, marketing is s process, in which many points and stages will be arranged respectively However, marketing processes are not the same time to time, industry or area to area Time is the most accurate illustration for this Because marketing has been existed for a long time, marketing process in old time mostly differs from the one in modern time because trading, the model of economy and society have been changing profoundly after many years had passed In old times, trading are not as complicated as that of nowadays because at that time the global economy has been separated, one common marketing for the whole world has not been born yet In addition to, the outlook of traders, manufacturers is limited, they don’t find out much about the customer as well as the market Their knowledge of marketing is so simple Perhaps the only knowledge helped them conduct business is experience they gained within many years The picture of trading today has been much changing in comparison with previous time Globalization is the popular trend; therefore, the marketing has enlarging, which leads to more complicated market Obviously, marketing process must be changed to adapt the new conditions According to John Thomas Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 CHATER 2: ANALYSIS OF STRATEGIES OF VINH THE MARKETING SON JSC 2.1 Vinh Son JSC profile Headquarter : Tien Phong Communal, Me Linh District, Ha Noi City Date of signing DSSA: 12 / 10 / 1993 Expired date of DSSA: / / 2009 Business Scope: Investment and development center residential housing and luxury villas Chairman of BOM: Mrs Duong Thi Thanh Hang Dealer Principal: Mr Le Dinh Dat Business Style: Joint Stock Company Date of Establishment: 12th September, 1993 Registered Capital: VND 20 billion 10 Current Assets: VND 120 billion 11 Number of employees: 32 15 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 2.2 Organization and finance Chart 1: Vinh Son’s Organization Mr LE MINH DAT DEALER PRINCIPAL Ng.T.T Huyen C.E.O Nguyen Tuan Lam HR Office Duong Vu Anh Sale Manager Tran Xuan Cuong Marketing DP Ng Truong Vu Accounting Services Car fleet Guards Vu The Hoang Technology DP Utilities team Vinh Son JSC…, • Headquarter: Tien Phong Communal, MeLinh District, Hanoi • Business Style: Joint Stock Company • Date of Establishment: 12th, September, 1993 • Number of Staff: 32 • Human Resources: • Marketing DP: 10 • Accounting Services: 16 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 • Technology DP: • Car Fleet: • Guards: • Utilities team: 2.3 Business operation • From 1995 to 2006, Vinh Son Joint Stock Company is a landscaping company to meet the greatest needs of customers in MeLinh area • Up to May 2008, Vinh Son JSC has built and consumers meet many apartment houses and luxury villas • With business and marketing strategies to penetrate the housing market so far Vinh Son JSC has been a lot of potential customers There are about high-rise apartment buildings and about has garden villas • Estimated gross profit of Vinh Son JSC in recent years is approximately VND 120 billion 2.4 Marketing activities of Vinh Son JSC Marketing activities in any company always has dominated and influenced by four factors Product, Price, Place, and Promotion That’s Ps crucial importance and perfect for programs in Business Marketing and especially in Vinh Son JSC 17 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 2.4.1 Vinh Son JSC’s Product Activities Product policy is the first factor and the most important marketing strategy carried out by Vinh Son JSC to boost sales And it is also one of the most basic four Ps development of the management’s decisions, the survival in the business of Vinh Son JSC It also decided to add more to the activities of the other departments and ensure the business on track The product policy applied for their products includes: - Decisions about product quality - Decision about customer services - Decision about product portfolio Since the company’s products must be made with high quality, which should be considered as a firm decision in the company’s product policy 18 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 Table 1: Product list of Vinh Son JSC Products line I … Zone planning II … Building Products Industrial Park Warehouse – Factory Shop Urban – residential Unit hectares hectares Complex III … Villas IV- Real Estate Apartment - group Office Senior Villas The garden Hotel – Resort Agricultural land Farms Hectares Hectares (From: Marketing DP) 2.4.2 Vinh Son JSC’s Price Activities Valuation of consumption is directly to the profit of the company, so the price of research company has been very careful calculation based on prices and purchasing power of the market Simultaneously the company also factors into account the attractiveness of products to customers, the cost of advertising services… Each product has a certain life cycle So the company has developed methods of pricing products based on the formula: Selling Price = Cost + Tax + Profit Of which: Cost = Total cost (direct materials, direct labor production…) 19 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 Tax (VAT calculated in % of the purchase price depending on state regulations) Profit (based on the price of competitors, product life cycle…) from which by deciding how much the price 2.4.3 Vinh Son JSC’s Place activities Organization of the Business Channel in the market is a complex issue but it is very important It is a key resource in the external and related to the development of new distribution channel where it has not previously existed or to improve existing channels On the basis of determining the factors affecting the distribution of company managers to make choices based channel to establish appropriate scientifically Pursuant to establish the company’s distribution channels include: - Target market - Product Highlights Company - Business Environment - The ability of the company 2.4.4 Vinh Son JSC’s Promotion Activities 20 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 In modern business, enterprises are interested in measures to promote mixed This is one of four marketing tool in which the Company has built in recent years to impact on the market to achieve business objectives of the company The promotion activities of the company include: - Advertising: The company has used a form of journalism, internet because this is a common means to bring products to customer - Promotion: Companies use this tool to respond more to their products to consumers and further expand the business strategy - PR: Using mass media communications to targets customers, potential Currently the company has been participating in social events such as grants for charitable programs bring education, charity… 2.5 Overall assessment of the company’s marketing activities Vinh Son JSC has applied the SWOT matrix to assess their marketing activities, and they gave the motto: “With the current market mechanism, in business always requires acumen, competing in anywhere” To increase business performance, companies should look for opportunities in line with the objectives, resources and business areas of their business 21 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 2.5.1 Some positive aspects of the marketing in company • The rate of annual growth rate is always positive and stable • Market operations of the company are always good and extended care • Always involved in social activities, the company increasingly brand and reputation in customers’ mind, the public and the media… 2.5.2 The limitations and problems resolved • Because the work forces market research should also thin and small So market research is limited Therefore, should invest in market research and build more business plans in accordance with market practice • Not oriented to specific strategies for the current period, which is one of the challenging factors that the company has not seen So companies need to offer ways to further improve the marketing strategy • Promotion activities are still and have no long-term strategy 22 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 CHAPTER 3: ORIENTATION OF DEVELOPMENT AND SOME SOLUTIONS TO ENHANCING MARKETING STRATEGIES IN VINH SON JOINT STOCK COMPANY 3.1 Development orientation of the company in the future In the next time, the company expected growth rate of at least 13% over a year, looking for business methods are more effective for the growth of mutant Besides need to maintain and further develop a little area: • Continue to maintain growth, stand firm and plans to gradually expand, aim to stable growth • Maintaining market share and further expand the market into new market areas • Fair use, efficiency, conservation and development are capital of the company, to fully implement the provisions of the State • Perfect distribution channel and place strategy 3.2 Some solutions to building marketing strategies for Vinh Son JSC 3.2.1 Extremely perfect marketing strategy It can not be refused that what the company has achieved depends mostly on its marketing strategy In Vinh Son JSC, marketing 23 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 activities are done regularly and frequently This means a lot of spending must be taken out and big amount of money must be spent on marketing In spite of big investment, their retuning is usually many times more than what they have to spend, which is shown by increasingly high number of sales or revenue In terms of functional departments belonging to this company, marketing department holds the top position with a lot of skilled staff working here This department also has biggest number of workforce about nearly 10 people comparing to 3, or in other departments 3.2.1.1 Perfecting product policy • The company always focuses on product quality, services quality • Though sales channels to structures, companies must constantly listen to feedback from customers to use methods appropriate response • Companies must strengthen the competitiveness of its product line • The company should provide more complete service to customers everything must be absolutely sure 3.2.1.2 Development of pricing strategies for the company’s products The price is one of the two most important factors in marketing strategy of companies Besides the product factor, price was also respected company and a competitive weapon of the company And to determine a fair price the company needs to consider processes like valuation model: 24 The value of experience Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 Chart 2: Vinh Son JSC’s Pricing strategy Production Price Estimated Price Final price Environment 3.2.1.3 Perfecting the system of placing channels • The establishment and organization of effective exploitation of the distribution channel plays very important role in promoting consumer products • The wine in the channel underlying the company focused on accelerating the transfer of product through the channel 3.2.1 Perfecting promotion policies The formulation of policies to promote the products must be based on how the effectiveness of promotion activities to increase product sales and enhance the company’s reputation on the market In each period will have to use a certain form of promotion To implement the company should increase the activity diagram below: Chart 3: Vinh Son JSC’s Promotion policies 25 Communication-promoting strategy Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 Advertising Direct Consultancy PR Direct Marketing 3.3 The solutions – oriented through the SWOT matrix of Vinh Son JSC 3.3.1 The solution combines SO (use power to take opportunity) • Combine low-price policy, diversification of products, customer care services to better market expansion throughout the national territory • Combining the company’s reputation and the loyalty of the market to maintain existing markets and expand its target market 3.3.2 The solution combines ST(Using the strength to overcome the threat) • Combine the power available on existing relationships with other departments, ministries and partners to get these quality products, competitive prices to dominate the market and pushing back the risks unintended • Take advantage of the sensitive parts of the business, its expertise and market knowledge to bring macro anticipate the potential difficulties 26 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 3.3.3 The solution combines WO (Use the opportunity to rectify weaknesses) • Taking advantage of open, off the market will be opportunities to develop Marketing systems, increase business promotion • Take advantage of market gaps, the expansion of the market to develop revolutionary products and dominates the penetration 3.3.4 The solution combines WT (Limit weaknesses and avoid threats) • Anticipating the reaction of competitors, given the measures of price and product to maintain market • Select service subjects, only subjects for payment quickly to avoid the risks of capital flow 27 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 CONCLUSION During the process of formation and development, up to now Vinh Son JSC has been known by many investors and business enterprises in the field of real estate The company has grown quickly and has achieved certain successes The company has met a lot of apartments, villas, many collective customers The company has hit many areas of the bid to built new Resorts, hotel, penthouses… But to be successful as to day, the Vinh Son JSC has faced with many difficulties as financial issue, workforce, losing some customers… Therefore, with the efforts both of companies, they have improved every problem, has booted the annual the revenue and assuring stable development of the company Being a trainee graduate, I have experienced long time at the Vinh Son JSC and deal with marketing department With my limited knowledge and practical experience, I researched about company’s operation It is very difficult for an inexperienced graduate like me to understand about company business operation However, I would be so grateful to receive generous assessments, suggestions and instructive corrections from you All your opinions are welcome to help me understand more about what I have written in my graduation paper 28 Website: http://www.docs.vn Email : lienhe@docs.vn Tel (: 0918.775.368 BIBLIOGRAPHY Market Leader Pre – intermediate, New Edition 2009 Report on Sales of Vinh Son JSC (2002 – 2009) Report on Business Activities of Vinh Son JSC ( 2002 – 2009) Financial Report ( 1995 – 2009) Marketing basics Author Philip Kotler-Northwesterm Education Publishing House in 1990 Marketing management Author Philip Kotler-Northwesterm Education Publishing House in 1997 Strategy and business strategy Statistical Publishing House in 1998 A broad inter-sectoral approach to developing human resourcefulness sees United Nations Expert Meeting on Human Resources Development Changing Perspectives on Human Resources Development ST/TCD/SER.E/25 June 1994 Nadler L Ed., 1984, The Handbook of Human resources Development, John Wiley and Sons, New York 10.McLean, G N., Osman-Gani, A M.,& Cho, E (Eds.) Human resource development as national policy Advances in Developing Human Resources, August (2004) (3) 11.Elwood F Holton II, James W Trott, Jr., 1996, Trends Toward a Closer Integration of Vocational Education and Human Resources Development, Journal of Vocational and Technical Education, Vol 12, No 2, 29 ... Analysis of the Marketing Strategies at Vinh Son Joint Stock Company Chapter 3: Orientations of Development and Solutions to Enhancing Marketing Strategies in Vinh Son Joint Stock Company However,... ENHANCING MARKETING STRATEGIES IN VINH SON JOINT STOCK COMPANY 23 3.1 Development orientation of the company in the future 23 3.2 Some solutions to building marketing strategies for Vinh Son JSC... clearly during my practical period in Vinh Son Joint Stock Company What has been learnt could be used effectively during my field trip After my training trip at Vinh Son Joint Stock Company, I