Chiến lược hoạt động sản xuất và bán hàng thiết bị giáo dục tại thị trường việt name

PRODUCTION AND MARKETING STRATEGY OF EDUCATION EQUIPEMENT ON VIETNAM MARKET CONTENTS I About Education Equipment joint stock company Development and establishment, function and duties 2 Organisational structure About Company’s products II Educational equipment production and marketing strategy on Vietnam market Company’s strategy, market analysis and competive advantage 1.1 Company’s business strategy .3 1.2 Market analysis 1.3 Analysis of competitive advantage Educational equipment production strategy 2.1 Strategy of producing sample equipment for Ministry of Education and Training 2.2 Associating strategy with foreign partners 2.3 Market – to – order strategy Decision on productin and marketing 3.1 Decision on process .7 3.2 Decision on quality 3.3 Decision on capacity 3.4 Decision on production arrangement 3.5 Invetory forecasting and distribution network .8 III Conclusion I Introduction of Educational Equipment Joint Stock Company 1 Company history and the company’s functions Educational Equipment Joint Stock Company (EECo1 JSC) is a company under the Ministry of Education & Training The company was established on the basis of transformation (Privatization) Government Company, which was Educational Equipment Company (under Ministry of Education and Training), following the Decision No.2690/QD-BGDDT dated 25/5/2007 of the Ministry of Education and Training Currently, the government is holding controlling share of EECo1.JSC, which is 51% The representative of the government managing this share is Vietnam Education Publisher Headquater: No.18/30 Tạ Quang Bửu street, Hai Bà Trưng district, Hà Nội city Tel: ++84.4 38693285 Fax: ++84.4 36863236 Educational Equipment Joint Stock Company 1was established with the objectives to produce and provide educational equipment for schools of all level ranging from kindergarten school to universities Educational Equipment Joint Stock Company is the biggest one in its industry The company has had experiences in this field since 1962 Company Structure Chart 1: Company Structure of Educational Equipment JSC 1– Source: Educational Equipment JSC Product and Service The core business products: - Education Equipment for all educational levels - Education Equipment and toys for kindergarten - Tables and chairs, board and academic interiors Other products and service: - Supply, install informatic equipment, computer, internet - Supply, install equipment of foreign language class - Supply, install technical and scientific equipment - Supply, install equipment for skills training - Distributor in Vietnam for some foreign manufacturers II Production strategy and marketing strategy of educational equipment on Vietnam market Company’s strategy, market analysis and competive advantage 1.1 Company’s strategy The market that company focuses on is domestic market, only few export contracts to Laos and Cambodia The main company’s customers are investors who purchase educational equipment by government’s budget and projects funded by foreign capital Customer’s purchasing is mainly conducted by bidding Company only focus on this type of customer and not focus on individual customers (low demand) 1.2 Market analysis Domestic market for educational equipment is still dominated by home manufacturers, which is producing and importing components from China The well-known manufacturers such as Phywe – Germany, Leybold – Germany, Pirron – France, the manufacturers from South Korea, Japan, … is still not able to access to Vietnam market due to high cost It is forecasted that in the near future imported equipment from well-known manufacturers is still difficult to access to Vietnam market From 2002 – 2009: Educational equipment market was booming due to drastically increasing of market demand (because of educational reform) Many competitors had entered market but market was still dominated by 03 companies which are EECo 1, JSC ( approximately 30% market share), Hong Anh educational equipment joint stock company (Ho Chi Minh city), address is B8 lot, Hiep Phuoc industrial zone, Nha Be district, Ho Chi Minh city (approximately 25% market share), support for mountainous reconstruction Limited company, address at 47 – 49 Hang Buom, Hoan Kiem, Ha Noi ( approximately 25% market share) From 2009 – now: The more competitiveness of traditional competitors and other competitors have grown after period of operation Market demand still increases because Vietnam’s economy is continually developing, investment in the whole education and purchasing educational equipement increase Today, each year demand on purchasing tables and chairs, ctoys is approximate 1,000 billion VNd and until 2015, text book will be changed, together with equipement purchased at the first period from 2002 was broken so the market demand will increase significantly The quality of educational equipment is low because investors don’t have sufficient capital to purchase high quality equipment and many manufacturers pursuit profit and don’t take much consideration in equipment In my opinion, next time, situation of purchasing demand will change a lot to address better quality, meet the requirement on educational equipment for new text book which will be conducted in 2015 Educational equipment aims at meeting average and fair standard level of other developed education in Asia (Japan, South Korea) Table Government budget for training and education - Source: http://www.moet.gov.vn/?page=11.11&view=3544 2008 2009 2010 Tổng số/ Total 74.017 94.635 104.775 Central 18.912 23.834 27.216 Local 55.105 70.801 77.559 Capital expenditure 12.500 16.160 20.275 Central 5.900 7.450 8.416 Local 6.600 8.710 11.859 61.517 78.475 84.500 Central 13.012 16.384 18.800 Local 48.505 62.091 65.700 Of which Recurrent expenditure Of which 1.3 Competive advantage analysis Investors decide to purchase mainly by procurement (almost by govement’s budget, Grant projects), to win their companies (and their distributors) need to earlier reach to investors to get advantage information for company, advise investor on equipment so company will get more advantage of bidding In addition to good quality equipment, suitable price, company’s ability should be good enough (ability of staff, producing sample equipment, production and financial capacity, experience in similar implemented contract …) and outstanding sale staff and tender staff to win Competive advantage of EECO1 Human resource: high ability and experience Information: quicky updated Capital: The area of office and workshop is quite large to get the credibility of commercial bank so company have competive advantage to other companies in term of capital (Head Office: 1,260 m , at 187 Ngoc Khanh – Ha Noi: 1,000m2, one factory at Phan Dinh Giot: 22,000 m 2, one at Ban – Hung Yen: 8,600 m2, one at Hai Phong: 8,600 m2) Network: under Ministry of Education and Traning so Company have good relationship with Ministry as well as projects managed by Ministry Company is assigned to produce sample equipment by Ministry so company get more competive advantage Moreover, Vietnam Education Publisher owns 51% state capital of company and own market share of 63 Books and educational equipment company in cities and province nationwide so company have large national network High competive advantage in tender: staff ability, ability to produce sample equipment, production and financial ability, experience in similar implement contracts, ability of tender staff … to join all bidding in home country and IndoChina area Educational equipment production and maketing strategy 2.1 Strategy to produce sample equipment for Ministry of Training and Education Litte number of companies have sufficient ability to conduct the production of sample equipment for Ministry of Training and Education (after Approval Committee approve sample equipment, Ministry will approve and make decision to apply uniform equipment nationally Only approved equipment can be used at school) The fact is producing educational equipment is costly but company can get competive advantage Now company continues to be assigned to produce sample equipment by MOET 2.2 Joint venture strategy with foreign partners Manufacturers of educational equipment from advanced coutries like Japan, South Korea,… all rank company as the first priority in Vietnam when considering business partner Now Company is cooperating with some partners from Japan and South Korea to produce high quality equipment with suitable price so this is the big competitive advantage of company in the next period (especially the changing textbook program 2015) 2.3 Make – to – order strategy Small market, many types of equipment (nearly 3,000 types of equipment), and because company and distributors mainly sell to investors which is Department of training and education, Ministry of training and education, Education project by bidding, company can only produce quantity as signed contracts and small number of inventory to reduce costs and avoid the risk when not able to sell goods It is necessary to pay attention to seasonal factor because 06 months at the end of year company can sign more contracts than 06 earlier months Decision on production and marketing of educational equipment 3.1 Decision on process Conduct steps of process as follows: Selling contract – Request to production department – Producing – Packing – Delivering – Payment –after sale service With the sample production: after receiving the request from the ministry of Education and Training about the categories, requirements of the exercie ( in the textbook) to the equipment,… - Step 1: Research, design the products - Step 2: Producing samples - Step 3: Sending for the ministry of education and training for approval - Step 4: Storage and preservation of samples The main departments carrying out the bidding and selling process are the project deparment, the equipment and technology transfermation department in coordination with other centers Because this is special goods, so the TechnologyQuality department has the responsibility to control the quality, guide the use of devices for the schools in the signed contract The Research and development department design samples or consider whether the samples of Japanese, Korean coordinators suitable with Vietnamese programe and educational equipment requirements or not The company will select some units who have enough capability of processing equipment details for the company in order to reduce cost and meet the delivery time as the signed contract 3.2 Decision about quality The price is set not too high in comparison with Vietnamese income to be able to sell Additionally, company can not produce the low quality products according to the price competition as our competitor which leads to discredit With the Japanese and Korean coordinators, we will produce the national standard equipment with calculated cost reduction factors suitable with the Vietnamese education equipment market The company is currently appying the quality management system according to the international standard ISO 9001:2008 Production meet the government regulation to the kindergarten educational equipment 3.3 Decision about capacity The company bussiness strategy is to dominate about 30% of the market (forcastable), therfore the capacity decision of company is to reach that target Capacity provision when we reach above that marketshare: the quick building of factory, steel frame on land of plant, transportation of machine from Japan, Korea to Vietnam also relatively convinient (01 week) so we are not passive about capacity 3.4 Decision about positioning and laying out production Plant is located on 62 Phan Dinh Giot, Thanh Xuan dist, Hanoi: producing decices causing less environmental pollution, less noise, assembling educational equipment Another plant on Ban, Yen Nhan, Hung yen: producing and assembling the remaining equipment 3.5 : Inventory forecast and distribution network • Production without inventory EECo1 mainly produce accoding to contracts, so not have inventory Goods only been stored when the company haven’t produced enough quantity and category of the products as contract before delivering to the customers Ordinary, the inventory time is about months for each contract( or many contracts at the same time) Inventory are not products with special storage condition and the company has good warehouse condition so the company does not have any difficulties in warehouse Warehouse should avoid insects, harful mouse, avoid warehouse contamination which can be harful to good package • Logistics sale and distribution network About the materials for production: Company has set up a list of reliable suppiers to make sure the quality, quantity of materials Cost reduction due to suitable material cost, low inventory, defered payment to materials Materials of the company also not the special ones, not unique in the market Distribution network Because the company mainly buy products through bidding, the company can take part in bidding and selling nationwide on mass media Agents of company are book and school equipment company in many provinces Vietnamese education publishing house is the representative unit of 51% governmental capital in educational equipment joint stock co number and has the shares in 63 books and educational equipment companies all over the country therfore the company has nationwide distribution network III Conclusion Educational equipments have major impacts to teaching quality and working results of both teachers and pupils Company should pay more attention to lauching new products to the market which assure following factors: highly educational, good design, easy to use, good quality, anti- rust chemicals, durable, 10 which meet requirements, regulations of Ministry of Education and Training about educational equipments Educational Equipment Joint Stock Company is one of leading companies in producing educational equipments in Vietnam However, a small company which operating in current competitive market, should try their best to develop and contribute to society 11 References: - Material of Educational Equipment Joint Stock Company - Website: http://www.moet.gov.vn/?page=11.11&view=3544 12 ... design samples or consider whether the samples of Japanese, Korean coordinators suitable with Vietnamese programe and educational equipment requirements or not The company will select some units... signed contract 3.2 Decision about quality The price is set not too high in comparison with Vietnamese income to be able to sell Additionally, company can not produce the low quality products... produce the national standard equipment with calculated cost reduction factors suitable with the Vietnamese education equipment market The company is currently appying the quality management system