business strategy for bach viet food industries ltd in the period of 2014 2018

Capstone project report.GaMBA01.C0112.Group Global Advanced Master of Business Administration BUSINESS STRATEGY FOR BACH VIET FOOD INDUSTRIES LTD IN THE PERIOD OF 2014 – 2018 Class Ga.MBA01.C0112 – Group PHAM THI THU MINH HA THI TU CHI DOAN AI VY TRAN VAN TIEN Ho Chi Minh City, October 830, 2013 Capstone project report.GaMBA01.C0112.Group ADKNOWLEDGEMENTS Our team of the Group 4, the writers of this thesis, commit that this thesis of "Building Business Strategy for Bach Viet Food Industries Ltd in the period of 2014-2018" is our serious study The data and figures used in this writing are honest, objective and suitable for the business practices We also get the permission and official confirmation of the Business Owner in the use of those data and figures Taking the advantages of this opportunity, we sincerely thank the Council members of MBA Assessment program for your guidelines, comments and supports in the implementation of the thesis We also thank Bach Viet Food Industries’ Ltd leaders and management board for giving us favorable conditions and data supply for our thesis completion Another thank for Griggs University – America, Employment and Training Center - Ha Noi National University, lecturers in the program and classmates in the Ga.MBA01.C0112 for discussion, research, criticism on practices and theories during the course Special thanks for specialized consultants in honey production, friends, families of group members for continuous supports to finish this thesis Once again, sincerely thanks for all Ho Chi Minh City, September, 2013 Group 04 – Class GaMBA01.C0112 Page i Capstone project report.GaMBA01.C0112.Group TABLE OF CONTENT ACKNOWLEDGEMENT i TABLE OF CONTENT ii LIST OF MODEL – TABULATION v INTRODUCTION 1 Purpose of statement: Scope of research: Goal and objective of research: Research methodology: Research meaning: Research outline: CHAPTER 1.FUNDAMENTAL THEORY OF BUSINESS STRATEGY 1.1 Over view about business strategy 1.1.1 Definition of business strategy 1.1.2 Roles of business strategy 1.1.3 Important note in business strategy administration 1.2 To build a business strategy 1.2.1 Business environment analysis 1.2.2 Internal Analysis 11 1.2.3 Analysis and selection of business strategy 13 CHAPTER 2.CURRENT STATUS OF BUSINESS OPERATION OF BACH VIET FOOD INDUSTRIES LTD 21 2.1 About the company: 21 2.1.1 Overview: 21 2.1.2 Establishment and development: 22 2.1.3 Organizational Structure: 23 2.1.4 Introduction about honey production and consumption situation of the company: 24 2.1.5 Clients and Partners 26 Page ii Capstone project report.GaMBA01.C0112.Group 2.1.6 Business performance in the recent years 27 2.2 Impact factors from external environment 25 2.2.1 Analys macro factors effecting to company operation 25 2.2.2 Honey bee production environment analysis 29 2.2.3 Main domestic competititors analysis 33 2.2.4 Main foreign competitors analysis 38 2.3 Internal environment analys 41 2.3.1 Operation and management 42 2.3.2 Employee, product, product quality 42 2.3.3 Product process, equipment, technology of factory 44 2.3.4 Marketing and customer relationship management: 45 2.3.5 Accounting and finance 46 2.3.6 Information system and risk management 52 2.3.7 Core competitive advantages 53 2.3.8 Internal Factor Evaluation matrix 54 2.4 Honey market and the company capability 55 CHAPTER 3.BUSINESS STRATEGY FOR BACH VIET FOOD INDUSTRIES LTD IN THE PERIOD OF 2014 – 2018 60 3.1 Development orientation of honey production 60 3.1.1 Bee honey business global market: 60 3.1.2 Bee honey business in Viet Nam 61 3.2 Company goal in 2014 – 2018 62 3.2.1 Mission and vision: 62 3.2.2 Annual business plan: 62 3.2.3 Branding Bach Viet to 2018 60 3.3 Matrix for strategy evaluation and selection 60 3.3.1 SWOT Matrix: 61 3.3.2Matrix of Business Strategy Positioning (SPACE): 62 3.3.3 Preliminary Selection of Strategic 67 Page iii Capstone project report.GaMBA01.C0112.Group 3.3.4 Quantitative Strategic Planning Matrix (QSPM) 68 3.3.5 Select business strategy: 72 3.4 Organization, solutions to apply strategies 74 3.4.1 Market penetration strategy 70 3.4.2 Market Development Strategy: 78 3.4.3 Horizontal integration strategy: 82 RECOMMENDATIONS – CONCLUSION 79 REFERENCES a OPINION’ EXPERTS SURVEY FORM c Page iv Capstone project report.GaMBA01.C0112.Group LIST OF MODEL – TABULATION Chart 1.1 The interaction among levels of environment Chart 1.2 The competitive forces model Chart 1.3: Effects of micro environment and industrial environment on honey producing and trading 11 Chart 1.4: SWOT Matrix 17 Chart 1.5: The SPACE matrix 18 Chart 1.6: Q.S.P.M matrix 19 Picture 2.7: The Company’s logo 21 Chart 2.8: Organizational Structure Management 23 Chart 2.9: External Factor Evaluation Matrix 35 Chart 2.10: Competitive profile matrix – domestic companies 39 Chart 2.11: Competitor profile matrix – foreign companies 42 Chart 2.12: General process of produced honey 47 Chart 2.13: Process of impurities filter and separation 47 Table 2.14: Yearly total assets of the company 50 Table 2.15: Yearly general capital of the company 51 Table 2.16: Yearly business result of the company 51 Table 2.17: Yearly cash flow of the company 53 Table 2.18: Financial indicator through years 54 Table 2.19: Internal Factor Evaluation Matrix 57 Table 3.20: SWOT matrix 65 Table 3.21: SPACE Matrix of Bach Viet Company 67 Table 3.22: QSPM Matrix of 1st strategy group 70 Table 3.23: QSPM Matrix of 2nd strategy group 72 CONCLUSIONS - SOLUTIONS: Table: priorities in the selected strategies Page v Capstone project report.GaMBA01.C0112.Group INTRODUCTION Purpose of statement Honeybee growth, the production and process of honey and honeybee's products are one of high-valued economic sectors in Vietnam where is still an agricultural country The very large labor force in this sector, the favorable natural conditions for production and the big domestic and foreign consuming markets make it a potential economy for the high incomes contributing to the GDP Especially, in the difficult stages of 1990s and recent years, honeybee growth and production have still been developing Additionally, the production freedom and market opportunities help Vietnam become one of the ten large export countries in the world on honey and honeybee's products However, the economic value of this sector is still low mainly because of the export and sale of new materials through the raw process to other productions or the low quality of products which fails in creating added values from the production to consumption The development of food process industries is still low and the advantages of inputs cannot be used as well as there are no effective business strategies Hence, how to use the inputs of honeybee production in cheap prices to produce unique, high quality products aiming at adding values, developing and competing in the market mechanism is an important problem for the economy in general and the seekers of business opportunities in particular As the economy develops, physical and mental demands increase, consumers' attitudes with traditional useful products such as honey and honeybee's products are expressed significantly The Vietnamese widely integrated economy brings a lot of opportunities for vietnamese enterprises in exporting products but big challenges also The clearest one is that the business globalization in the economy of liberalization becomes more diversified and complicated Moreover, since 2014, as WTO's regulations, Vietnam has to widen the policies for the foreign invested Page Capstone project report.GaMBA01.C0112.Group companies, with strength on capitals and technologies to be liberalized in the investment of many fields, strictly increasing the pressure of competition For the sustainable competition and development in the market, Vietnamese enterprises are required to make continuous efforts in product quality improvement, cost and price reduction, more effective promotion and marketing especially, the most important thing is to identify and choose for the company a right "Business strategy" which is suitable for the capacity, market and strategic vision in the long term This Business Strategy must be built on the basis of real market analysis in a sufficient and scientific way, which recognizes company's strength and weakness as well as matches the macro-economy environment, development direction of the sector in the economy and other geographical and social aspects moreover, taking the opportunities and minimizing possible risks are required From the above requirements in real and knowledge on Business Administration in MBA program, Griggs University (America), our group with 04 members including 02 members of family relationship with the selected company for the research therefore having certain understanding on the company and its products, and 02 members working in the Commercial Bank and Real Estate has made decision to choose the topic of "Building Business Strategies for Bach Viet Food Industries Ltd in the period of 2014-2018" as our final capstone project report in this course Scope of research  Research objects: Issues related to planning the Business strategy (Building the strategy, planning, sorting out the solutions for the strategy implementation), in which, the thesis provides an analysis of theoretical basis in line with operational realities of the sector, market and enterprise, then delivers a specific business strategy for Bach Viet Food Technologies Industries Ltd in the period of 20142018  Research scope: Bach Viet Industries has been currently producing one kind of product which is processed honeybee food including honey and some other Page Capstone project report.GaMBA01.C0112.Group honeybee products Therefore its business guarantees as a SBU (Strategic Business Unit) This thesis focuses Bach Viet's activities in domestic market and exports to some countries such as USA, Japan, EU The process of analysis and strategy building include the comparison and checking with the big rivals in the Honeybee Production sector of the market Goal and objective of research - The research targets of this thesis are to focus steps of strategy building process, to systematize theoretical knowledge on planning business strategies, then to use as a basis for preparing the business strategy for the company to research appropriately This thesis will focus on the basic studying issues as follows:  Theoretical basis on business strategy, management of business management in operation of some enterprises Basic procedure for building and management of business strategy  Assessment on internal and external environment, current business situations of Bach Viet Industries, withdrawing shortcomings and strengths, opportunities and challenges effecting company business activities in the past years and recent years - Throughout targets of this research are to build an effective business strategy for Bach Viet Food Technologies Industries, including possible solutions and recommendations to the company for the successful application of the business strategy in the period of 2014-2018 Research methodology In our research process, we have used some basic studying methods as follows: - Data collection method: Using general and detailed figures provided by Bach Viet; Referring in materials, magazines, websites on Honeybee sector and statistic figures Collect information through the interview method with the Enterprise owner, managers, workers, suppliers, consumers, distributors and Page Capstone project report.GaMBA01.C0112.Group consulting methods with some individuals and colleagues who are keen on honeybee production and business - Data solving method: Using the method of modeling, causal analysis, and descriptive statistics in analysis of business activities' results incorporated the method of administration subjects - Method of quantitive analysis based on data results, survey and collection data and the use of statistical tools for analysis - Expert method via communication and discussion with specialized experts for assessment and comments to the research - General analysis method based on matrix tools and popular strategic analysis models such as CPM, EFE, IFE, SWOT, SPACE, QSPM Research meaning With the company's internal existing conditions and market potentials, this research does not help Bach Viet Industries to plan its own business strategy only but overcome its shortcomings, promote the business opportunities for the competition and penetration to the old markets, development of the new one aiming at gaining growth and profits Research outline Beside introduction, suggestions, solutions, reference…, the thesis including chapters as below:  Chapter 1: Fundamental theory of business strategy  Chapter 2: Current status os business operation of Bach Viet food industries ltd  Chapter 3: Business strategy for Bach Viet food industries ltd in the period of 2014-2018 Page Capstone project report.GaMBA01.C0112.Group - Bach Viet will not try to boost exports at all costs The trended market is developing countries which have walked through the recession and high-income people in the EU such as France, Germany and Britain Promote new contract signed with Safra Group International - Dubai, UAE to introduce pure honey products to United Arab Emirates adn develop to potential markets in the Middle East - Don’t export raw product of low quality honey like many other businesses, but to export pure honey products, ensuring adequate technical requirements of the market and the company's products have to distribute to consumers by distributors 3.4.2.2 Solutions for strategy implementation - Basically, market development strategy of Bach Viet also needs to have the solution, similar to the market penetration strategy However, to develop selected market, company need to focus more on some specific solutions: - Finance: should transact with more than only bank as current to ensure sufficient capital for exports increased scale At the same time, use all resources for production, stop to invest in in basic construction that not really necessary now (like plan to buy and renovate investment farms beekeeping) - Regarding exports, the company needs to make specific products for specific market, as:  The UK, France, and Germany: rubber leaf nectar products, coffee nectar are prefered with the technical standards required by the EU, including Carbenzamin impurity less than 0.01 mg/kg  The UAE and the Middle East countries like the sweetness of high density, so selecting the appropriate type of nectar This market does not require high technical standards, so the production of export products is not difficult - Product introduction: Page 79 Capstone project report.GaMBA01.C0112.Group  For the EU market: before implementing communications solutions, promotional images, Bach Viet should design a detailed introduction to the market Base on the list of top imported honey company of UK, France, Germany, company choose the strong distributiors to send a message of business cooperation with the detailed descriptions of pure honey products (selected types) The detailed product introduction should convey sufficient information about the health and nutrition, convenience in daily life use of pure honey; product quality meets requirements EU imports of technology, emphasizing natural origin honey from the flowers, leaves; achievements in the export to “difficult” market as the company's U.S., Japan , price policies, trade discounts, product commitments  For the UAE market: This nation has economic relations, politics, diplomacy with Vietnam since the early 1970s and is constantly evolving good relationship So product introduction program of Bach Viet and Safra International - Dubai, UAE necessarily should invite representatives of the consular, counsellor of Vietnam to attend, and propose partners that have retail network in the emirate of the UAE and the Middle east with the demand of pure honey, to develop the dealer for Safra International - Dubai and expand market for Bach Viet later - Price policy: Competition is extremely intense and complex on the export market between domestic companies For bach Viet, because the price of the company's products is lower but the quality is higer than other companies’ product so the company often put in tough competitive situation Many times, company has to decrease price and profit to ensutr export volume In the case of developed markets, company should adopt towards price: for the finished product, the quality and the customer preferred to accept the initial high valuation, then Page 80 Capstone project report.GaMBA01.C0112.Group descend to attract more customers, expand markets, increase sales and lead to increased profits - Itenerrary of strategy implementation and salesItinerary of strategy implementation and sales targets targets:  The UK, France, Germany: 2014 invites businesses to visit the raw materials product area and processing technology to promote cooperation program, product introduction and sales contract From the years 2015-2018 boots the sales volume to reach average annual exports 50-100 tons of pure honey (20% yields)  UEA Markets: 2014 exported 50 tons of pure honey, in 2015-2018 the average annual export growth of 10-15% yield From 2016 to 2018 introduce and sale more products: royal jelly, pollen - Budget for strategy: in the first year, no sales or low sales, the company expected to cost up to each job category like media promotion, product launch, participating agency, information capture to arrange adequate budget for implementing the plan The following year when sales increase, the budget allocation will be based on the annual turnover rate as market penetration strategy (Unit: million VNĐ) Content/year 2014 2015 2016 2017 2018 Advertising and marketing for company 300 300 200 100 100 500 300 Promotion program in the focused market 400 600 200 100 100 Back up 200 100 50 50 50 and product Invitation to visit material area, technology, promote cooperation Page 81 Capstone project report.GaMBA01.C0112.Group Total: 1.400 1.300 450 250 250 3.4.3 Horizontal integration strategy Appeal investors, transform operational model into a joint stock company or joint venture partner, unite to the financial capacity to overcome weaknesses, take advantage of opportunities, boost production and expand markets, increase business profits 3.4.3.1 Implementing orientation - Most defects are derived from the weak financial capacity To strengthen internal resources, improve competitiveness, meet the development requirements, especially a business major in export sector, the preferred solution for company is to attract investment, transformation into joint stock company, with the capital at least times now (2 billion) - To ensure the target of increasing financial resources, but limited influence of management, leadership and decision, Bach Viet should follow below steps:  The Company will assess all assets and ability to appeal additional capital contributions from business owners, board of directors and all employees These are attached with the company performance and willing to contribute capital  Company also calls for investments from relatives – that have trust as well as don’t have to share power, just take advantage of these relationships to support their business  Finally, if not yet achieved the scale necessary capital, firms will invite companies in the honey bee associations to buy shares 3.4.3.2 Solutions for strategy implementation - Company hired a consultant, designed the entire contents of the equitization plan objectives on time, the volume of capital, shareholders calling method Page 82 Capstone project report.GaMBA01.C0112.Group - Evaluate company’s assets to transfer to share, notice: + The value of land in Hocmon should be included in property; + The value of machine, equipment increased from technical improvement process in many years has create best quality products (added value at least billion - Sell internal shares with fixed amounts: 100 million/board of director member; 70 million/manager; 50 million/ deputy and deputy managing director, in charge of collecting stations… The entire share capital will bring at least billion for the company Thus, perhaps this may ensure the feasibility, and protect the company not to become too complicated by many shares; The total capital will be more than 12 billion, times before; capital of business owners will account for over 50%, ensuring dominant right, decision making for company - Itinerary of strategy implementation: The company should promote equitization from 2014 The company revaluation of assets and capital funding by 2016 , lLatest by 2016 will transform the company business model into a joint stock company 3.4.3.3 Budget for strategy In this strategy, the company will incur not too big costs and the current budget of the company can fully meet: share advice rental, evaluation and assessment, the cost of printing, papers, meetings, procedures for conversion Unit: million VNĐ Content/year 2014 2015 2016 Hiring consultant, setting plan 300 100 50 150 150 2017 2018 for equitization Re-evaluate assets Page 83 Capstone project report.GaMBA01.C0112.Group Meeting fee, Administration 100 200 100 50 50 50 600 500 200 Management fee Back up Total: Page 84 Capstone project report.GaMBA01.C0112.Group RECOMMENDATIONS – CONCLUSION Through research and analysis for 17 external elements and 12 internal elements, even though the Bach Viet company had plenty of weaknesses and challenges in the honeybees business market, but the company apparently also the core advantages of pure honey products, such as very good product quality, modern production technology, low cost input in conditions of a lot favorable factors So, if Bach Viet organizes deployment strategies, combined with the determination to implement solutions, in the near future, the company can develop stablly, firm and take important position in the honey production market In the process of implementing 03 business strategies, company needs to pay attention to some following issues: Firstly: Follow the work plan Priorities in the selected strategies 2014 2015 2016 2017 2018 Appeal investment and equitization Introduce product to UEA Work with EU enterprises Recruitment Marketing and advertising Enhance sales to US, Japan Expand penetrate to domestic market Sale to UEA and Middle East Sales to UK, France, US Research and develop, improve quality and technology Research and develop new product Evaluate strategy deployment Table: priorities in the selected strategies Page 85 Capstone project report.GaMBA01.C0112.Group Secondly: deeply understand that there are always difficulties in executing strategy and have to be ready to overcome all obstacles and don’t fear of failure Thirdly: The important point Bach Viet has to is to transfer the company to joint stock to have enough capality in competitive environment and during the progress, Bach Viet should strengthen relationship with the bank to ensure the normal operation and development And finally is about production technology security: This is an important factor deciding the success of Bach Viet business strategy If the company loses it, honey product exclusivity will no longer exist While the registration of intellectual property, copyright in Vietnam is still very loose so the company has to protect itself in this time Competition is an inevitable problem in any economies and is a fundamental law of the market, the driving force for development Self-improvement and continuous efforts to strengthen the advantage competition is the goal of every business, including Bach Viet This topic is the result of a research process based on theories and models and methods of management in MBA courses offered by Griggs University (USA) and the faculty of the program, application the actual market performance and internal/external factors of the company in combination with references and advice from experts in the industry We expect the recommendations for Bach Viet business strategy in 2014 – 2018 may help the company have right directions, methodology and proper action plans for development ahead of rivals; gradually expand operation scale, expand market share and become one of the leading company in honey product, as well as a business pioneer in Vietnam honey product – as the slogan: The purity of nature Page 86 Capstone project report.GaMBA01.C0112.Group REFERENCES MBA textbook - Strategic Management of Griggs University, USA; Strategic Management by Dr Tran Doan Kim; Annual report of Bach Viet company (2010, 2011, 2012 and business performance at first months 2013) Strategic Management, Liam Fahey and Robert M Randall - General Publishing House, HCMC Strategic management definition, Fred R David, Labor Publisher 2012; Strategy and Business Policy, Dr Nguyen Thi Lien Diep and Pham Van Nam MA, Statistics publishing Strategic Management, Dr Phuoc Minh Hiep Develop business strategies of the company Vissan 2015 – MBA thesis of Ms Tran Thi Diem, university of economics Business strategies for Hai Chau Confectionery in the period 2013 – 2017, MBA C0411-Griggs University; 10 The article published in the electronic information: + Vnexpress: http://www.vnexpress.net + Newspaper VietnamNet: http://www.vnn.vn + Business Forum nghiep.com.vn + Report of thuong.com.vn+ Vietnam bao.vn 11 The Website: + www.dongnaihoney.com.vn + www.dakhoney.com + www.vinapi.com.vn + www.vba.org.vn + www.dlhco.com Page a Capstone project report.GaMBA01.C0112.Group APPENDIX: LIST OF CONSULTANT Topic: BUILDING BUSINESS STRATEGY FOR BACH VIET FOOD INDUSTRIES LTD IN THE PERIOD OF 2014 2018 Mr Pham The Cuong, director of Bach Viet food industries Ltd Mr Nguyen Minh Hoang: Director of Huy Hoang, honey production company ltd, vice president of Vietnam Association of bees Mr Pham Hoang Vinh: Head of research and development, Bach Viet food industries ltd Dr Nguyen Thuc Boi Huyen: Lecturer, Quality management expert MBA Pham Dinh Thien: Deputy Manager Vietinbank, credit analyst in the food processing business technology Mr Nguyen Quoc Cuong: Branch director, Eximbank Dak Lak, the long time management client for Dak Lak Honey Company Mr Nguyen Duc Hanh: head of Vietcombank transactions office, credit management officer of Bien Hoa honey Bee Company Page b Capstone project report.GaMBA01.C0112.Group EXPERTS’ OPINION SURVEY FORM Dear Mr (Mrs.), We are members of group - Practitioner of the MBA class C0112 Griggs University - United States With the permission and support of business owner, we are researching the topic "Building a business strategy for company Bach Viet food industries ltd period 2014 - 2018." To accomplish this study, we look forward to receiving the support of experts in assessing the importance and extent of the influence of external factors and inner factors to the operation of company Would you please take some time and answer by circling appropriate numbers, degree of response choices for each element according to preset criteria below: 1/ The degree of importance of factors Absolutely not Unimportant important No Important Very comments Important Assessment factor Selection External factors Social and political situation is stable The world and Vietnam economy is gradually 5 Large material areas, diversity, cheap labor costs 5 Information and communication are developed recovering The State has policies to encourage exports, increase product value Page c Capstone project report.GaMBA01.C0112.Group Mordern and developed production technology Large consumer market, increasingly open Barriers to domestic integration sectors are high Lax Market management , not stricly trademark protection 10 Unstable and more difficult Macroeconomics 11 Unhealthy and fierce bussiness competition 12 Materials regions are affected by the environment, urbanization and climate change 13 Market penetration of foreign companies 14 Technical requirements for the quality of the market increase and diversify 15 Interest rate remains high, hard to reach 16 The exchange rate constantly fluctuates 17 Low consciousness of suppliers to approach clean production technology Processes, modern production technology The level of skilled workers Low cost of product prices High-quality products 5 Good research and development Manage the inputs Popularizing marketing, communications is low Distribution limited Internal factors Page d Capstone project report.GaMBA01.C0112.Group Financial capacity is weak 10 Lack of experience in contract negotiation skills Business 11 Low production capacity 12 The product is not diverse, rich 2/ Influence level of these factors * The external environment Most threatening Threatening at least Opportunities at Most out least Opportunities Factor to assessment Selection Social and political situation is stable The world and Vietnam economy is gradually recovering The State has policies to encourage exports, increase product 4 Large material areas, diversity, cheap labor costs Information and communication are developed Mordern and developed production technology Large consumer market, increasingly open Barriers to domestic integration sectors are high Lax Market management , not stricly trademark protection 10 Unstable and more difficult Macroeconomics 11 Unhealthy and fierce bussiness competition value Page e Capstone project report.GaMBA01.C0112.Group 12.Materials regions are affected urbanization and climate change by the environment, 13.Market penetration of foreign companies 14.Technical requirements for the quality of the market increase and diversify 15.Interest rate remains high, hard to reach 16.The exchange rate constantly fluctuates 17.Low consciousness of suppliers to approach clean production technology * Internal Environment of Company Weak Most out Weak at least Strong at least Strong Most out Factor to assessment Selection 1.Processes, modern production technology 2.The level of skilled workers 3.Low cost of product prices 4.High-quality products 5.Good research and development 6.Manage the inputs 7.Popularizing marketing, communications is low 8.Distribution limited 9.Financial capacity is weak Page f Capstone project report.GaMBA01.C0112.Group 10.Lack of experience in contract negotiation skills Business 11.Low production capacity 12.The product is not diverse, rich According to you, other important factors should add in are: ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… Sincere thanks for your support Group – C0112, Griggs University - United States Page g [...]... report.GaMBA01.C0112.Group 4 strategy because a penetrative business strategy will guarantee the advantage of the company in comparison with others in the market 1.1.2 Roles of business strategy - Business strategy helps the company determine its targets which is a base for all of the activities of the company - Business strategy help the company catch and take use of all chance in the market as well as bringing method... reflecta the impact of business activities to cash flow in and out of an accounting period In other words, it is reported revenues in a fund accounting period, it says the cash position of the business represented by the amount of money raised and used in the operation of the business, from which said Ending cash balance b Financial Analysis through Financial Indicators The financial statements together indicate... Balance Sheet is financial statements reflects the assets and liability of the business a time in the business process - The operating result is a summary of the income of the business during the accounting period (usually a year), it indicates the profit allocated to stakeholders of the business now such as the creditor, state, preference shareholders, our shareholders and all other resources - Cash... general financial position of the business from time to time or in a period of activity However, in order to better understand the financial performance and appreciate the power and value of the business, it is necessary to conduct analysis of financial indicators Financial indicators were designed to quantitatively evaluate all the different aspects of the financial operations of the business The goal of. .. 1 FUNDAMENTAL THEORY OF BUSINESS STRATEGY 1.1 Over view about business strategy 1.1.1 Definition of business strategy  There are many definitions about business strategy which consider it as art to compete in the market and to develop the business: - Strategy is maquette of targets and plans to get the targets (Kenneth, 1965); - Quinn (1980): Strategy is pattern or plan to integrate main targets, policies... to overcome risks in the competitive market - Business strategy helps the company to use the man power more effectively which will bring stable development of the company - Business strategy creating stable foundation for providing policies and decision which is suitable to changes of the market Therefore, business strategy takes an important part in the success or lost in business of a company 1.1.3... strengths and weaknesses of the business It was created with the purpose of creating basis information for strategic planning in business management strategy, but objects we consider in this analysis is about control of business, different from external environment Hence, pointed out strengths and weaknesses of each side, each field as a basis for formulating business strategies Internal analysis conducted... met the most rigorous standards, most difficult of the U.S importers Page 22 Capstone project report.GaMBA01.C0112.Group 4 - In the same year 7/2009 he established Bach Viet food industries Ltd At the same time, the company has invested equipment for honey production lines, changed processing technologies in line with the general trend of the industry and the requirements of the specification honey for. .. infrastructure, industrial directly affects the production of raw honey - The unfavorable changes of weather, climate and the material make the cost of the company increased The company will also pay more for the cost of finding and maintaining the cleaning materials as well as transportation costs to rising production costs, the company's profit will be reduced, while importers foreigners often very difficult... SPACE Matrix This is the defining tool, help businesses define business strategy SPACE Matrix for information analyzed in the period, including two within factors: financial strength (FS) and competitive advantage (CA), two external factors: environmental stability (ES) and the strength of the sector (IS) The matrix includes 6 steps: - Step 1: Select a set of variables representing FS, CA, ES and IS ... team of the Group 4, the writers of this thesis, commit that this thesis of "Building Business Strategy for Bach Viet Food Industries Ltd in the period of 2014- 2018" is our serious study The data... realities of the sector, market and enterprise, then delivers a specific business strategy for Bach Viet Food Technologies Industries Ltd in the period of 20142 018  Research scope: Bach Viet Industries. .. planning the Business strategy (Building the strategy, planning, sorting out the solutions for the strategy implementation), in which, the thesis provides an analysis of theoretical basis in line