CHIẾN lược mở RỘNG KINH DOANH QUỐC tế của CÔNG TY cổ PHẦN NHỰA và môi TRƯỜNG XANH ANPHÁTe

CHIẾN LƯỢC MỞ RỘNG KINH DOANH QUỐC TẾ CỦA CÔNG TY CỔ PHẦN NHỰA VÀ MÔI TRƯỜNG XANH ANPHÁT STRATEGIC EXPANSION OF INTERNATIONAL BUSINESS CORPORATION PLASTIC AND GREEN ENVIRONMENT ANPHAT CONTENT I CORPORATE INFORMATION Brief Introduction Company Name: JSC Plastic and Green Environment Development English Name: AN PHAT PLASTIC AND GREEN ENVIRONMENT JOIN STOCK COMPANY Abbreviation: An Phat., JSC Address: Lot CN12 CN11 +, An Dong Industrial Park, Nam Sach district, Hai Duong province - Phone Number: 0320.3755988 Fax: 0320.3755113 Pursuant to the certificate of business registration number 0800373586 by Department of Planning and Investment Hai Duong Province, first registered on 09/3/2007 and 21/5/2010 changing times 14 days, the business line the company include: + Purchase of machinery, equipment, supplies and materials for plastic products, packaging of all kinds; + Production of plastic (PP, PE); + Print and advertising services on the packaging; + Construction of civil works; Installation of equipment for the construction work; The real estate business; + Purchase of machinery equipment and spare parts; Technology Transfer; Page + Sales agents, consignment goods, commercial brokerage, fiduciary sale of goods; Transportation of goods and passengers by automobile and ancillary activities for transportation; + Waste collection and handling of waste disposal, recycling waste; Remediation activities and other waste management; + Manufacture of machinery and equipment for the plastics industry Several key information about the company The company has three factories: Plant No Built on an area of 14,000 m2 in Nam Sach Industrial Zone - Hai Duong - Hai Duong Province, the plant's No.1 Plastics Corporation and Green Environment Development activities mainly in the field of plastic recycling , manufacturing food packaging bags, garbage bags, plastic films used exclusively in agricultural and manufacturing recycled resin HDPE, LDPE colorful Plant No Construction was started in 5/2007 in An Dong Industrial Complex in an area of 40.000m2, factory number has a design capacity of 700 tonnes / month, create stable jobs for about 500 local labor The factory is equipped with advanced production lines, modern imported from Taiwan, Korea, Japan, Singapore and China The factory put into operation marks a new development in the field of production of An Phat Plastic recycling plastics in particular and Vietnam in general Along with the introduction of the production line into operation, the company also coproduced the series for new products to meet the needs of the market, with particular Page emphasis in manufacturing product line "self-Plastic packaging destruction "- a product line promises to bring great success on the market of Vietnam and the world." Plant No Built in the third quarter of 2008 and completed in 9/2009, the building is located in the strategic scale development and diversification of the Company's products With a design capacity of 700 tonnes / month, focusing Factory released categories roll bag, zipper bag high level, serving food, or medical electronics at two main markets are Europe and America At the same time, also here, An Phat has been conducting research, produce biodegradable plastic bags - a product environmentally friendly With advanced production lines of many modern machines imported from Taiwan and Japan, pledged to plant satisfied customers from all over the world, including customers from the market difficult cases such as Germany, Italy, or Spain Organizational structure, the management of the Company MEETING OF SHAREHOLDERS BOARD BOARD OF SUPERVISORS CHAIRMAN OF THE BOARD Page THE PROJECT SECRETARIAT INTERNAL CONTROL BOARD DIRECTORS GENERAL DEPARTMENT DEPUTY DIRECTOR PRODUCTION DEPUTY DIRECTOR OF FINANCE ACCOUNTING OFFICE ROOM IT ENGINEERING DEPARTMENT FACTORY NUMBER FACTORY NUMBER FACTORY NUMBER SCIENCE BOARD PRODUCTION PREVENTION AND PROTECTION ORGANIZING DRIVE SALES OFFICE KCS ROOM CUSTOMS OFFICE DEPARTMENT Relationship control Coordinate relationships Dependent relationship (Source: Corporation Plastic and Green Environment Development) The financial situation and business results a) Financial situation: The unit of: million VND Target Total value of assets Year 2012 Year 2013 866.092 1.102.862 1.046.688 Net sales 48.791 Profit from operations 2.529 Other profit Profit before tax 51.319 Profit after tax 43.575 % Increase or decrease 27.34% 1.166.3 34 53.36 2.12 55.49 43.81 11.43% 9.38% -16.09% 8.13% 0.54% b) Structure of company assets over years as follows: Target Year 2011 Year 2012 Year 2013 Page Value (Millions) Current assets Share (%) Value (Millions) Share (%) Value (Millions) Share (%) 293.530 37,71 432.666 49,96 489.310 44,37% Long-term assets 484.820 62,29 433.425 50,04 613.552 55,63% Total 778.350 10 866.092 100 1.102.862 100% c) Results of operations 2013 Serial Plan year 2013 Target Implementation year 2013 Percentage (%) 1.100.000.000.000 1.167.323.929.038 106,12 Revenue (VND) Profit before tax (VND) 55.000.000.000 55.490.300.897 100,89 (Source: Financial statements Parent company AAA) Affirming Mission and Vision With foresight and desire to be the responsibility of businesses to the community and society, adhere to strict rules to ensure harmony between economic growth with environmental protection, leadership Corporation Plastic and green Environment Development has rapidly built a business in the right direction The plastics industry in the future still plays an important role in Vietnam's economy As one of the few businesses have the technology to recycle plastic production first in Vietnam Plastics Corporation and Green Environment Development has established a solid foundation as a prerequisite for the development plastic film recycling business in Vietnam exporters and thin film packaging largest North In the area of trade , the Company oriented investment made will strengthen the capacity of plastic recycling plant , ensure products are not only recycled plastic resins meet demand production inputs including packaging film , but also sell to other Page businesses from Vietnam In addition, the Company will enhance applied research activities ( R & D ) to export plastic recycling lines overseas and domestic markets In terms of raw materials for the plastic industry depends heavily on imported raw materials from abroad as at present , the growth potential of the company is very good In terms of long -term , Vietnam joined the WTO , the advantages will gradually take the competition when firms invested abroad and freely penetrate more deeply into the Vietnam market , but with benefits so go ahead and create a market basis , the strong growth potential of the company is very solid Thus, the development prospects of the company is relatively positive, consistent with the development of economy, the policies of the Government Products expected to hit the market overseas Phat Is the bag for the Japanese market: Plastic cover crops serve for Agriculture Products bag in many colors Page Grain Products Calbest II Products raccuon bag THE STRENGTHS AND WEAKNESSES OF BUSINESS PRACTICES IN VIETNAM Strengths Weakness Page • Vietnam is a member of the international • Vietnam is a developing country at trade organization WTO since 2007 and the a low level, nearly 80% of the association APTA, APEC have experience population (both successes and failures) in international agriculture, industry, the impact of business relations • Vietnam has many businesses investing the subsidy period, monopoly still still depend on abroad (more than 720 projects of Vietnam exists in some areas • Activity direct investment abroad is enterprises to invest 55 countries and limited, the implementation of the territories) and ranks 12th top 25 countries management with high FDI in 2012 (Bloomberg business investment abroad are not fully Week) is a country in which the foreign aware, there are concerns that business attention and effective investment in foreign capital flow stress with the Vietnam • Vietnam is dating political stability and domestic foreign exchange market, security in the region and around the world investment abroad, post audits, The system of legal documents on licensing monitoring and management of the foreign project after licensing, no specific provisions investment law and investment direct no development strategy of direct targets for each plan year, each government regulation of foreign investment procedures sector investment • Policies are not clear, no incentives for investment abroad as prescribed and be for investment abroad accordingly, guided by the Department of foreign taxes Investment - the investment plan has been withholding tax from overseas to adjusted and applied to 07/2007 • Ninth Party Congress is in April 2001, the Vietnam not convince investors • Lack of state budget funds for Party and the government of Vietnam has promotion of foreign investment, officially there is no specialized agency for 78/ND-CP confirmed "encourage and individuals Vietnam decree the dated 09/08/2006 of (the of of their assist intention businesses Vietnam to and are too investment high, promotion, including such as foreign Japan and South Korea are the two investment, state have a role to create a legal countries with investments abroad framework to encourage my head overseas to strong promote the comparative advantages of the organizations growth, there are dedicated to Page country In recent years a wave of foreign promoting investment strong professionals gather information, growth As of May 9/2012 Vietnam has more policies, investment opportunities than 720 projects of Vietnam enterprises to overseas • The agency counselors Vietnam enterprises Vietnam's invest 55 countries and territories • The authorities have proposed a number of foreign investment representative of overseas activities measures to promote direct investment in the field of investment promotion abroad in particular: - First, as direct investment abroad is is not interested ineffective, not in - - part of Vietnam's economy Monday: direct investment abroad are the number of projects, not fully understand the difficulties and treated equally as other economic advantages of the investment • The active management of direct sectors Thirdly, each investor is considered an investment abroad also interfere ambassador for economic activities of Vietnam in foreign countries • Vietnam has a long-standing culture with a rich history and built to protect the country and people of Vietnam friendly and open hospitality - the cultural norms and the State Party has been a primary concern in education, the government has also high on foreign language training and high technology for the younger generation to Vietnam are willing to integrate into the international economy with the administrative procedures, the sample documents related improvements still have not planted the cross, corruption is still quite popular According to international organizations, Vietnam ranks 123/176 countries on transparency in economic activity • Understanding and thinking about international business is limited, training schools and universities are weak Currently, Vietnam ranks 95/186 countries on education and • Vietnam has continued to identify and exploit advantage, training • Infrastructure is not yet meet the comparative advantages, natural advantages a needs of economic development, proper way help for businesses and foreign labor efficiency is not high, the investment research (such as rice, caffe ) • Vietnam has adjusted international trade efficiency of the market is still very and build the absolute poor Innovation has not improved, Vietnam ranks 75/186 countries by Page policy commitments of the international the World Economic Forum on the trade organization (WTO) as: tax the export, evaluation factors for the global import • Foreign exchange reserves of Vietnam now competition • The organizational structure of has over $ 32 billion • In terms of systems international as well as business cooperation management state agencies still Vietnam's WTO membership - twice as exist in relation to the house, president of the UN Security Council, a making immediate economic style, member of ASEAN Vietnam has actively not to create confidence among collaborated with the countries in the world for investors the contribution common objective to protect world peace through international co-operation and education, culture, environment, anticorruption, fight against crime, international cooperation and other These are grounds to believe that Vietnam wants to be friends with all countries in the world Equality, cooperation and development III BUT CHALLENGES OF INTERNATIONAL BUSINESS ENVIRONMENT IN VIETNAM NO International markets are influenced by many different factors, often diverse and abundant than the domestic market These factors may bring macro and micro Page 10 case is shown clearly done in some cases a very hidden, elusive for foreign businessmen Specific challenges as follows: Firstly; Meeting the international trade system; The foreign business is always faced with various trade restrictions such as tariffs, quotas, exchange controls and a variety of non-tariff barriers such as import licenses, the management of regulate shaped like discrimination to foreign bidders, the product standards discriminatory treatment of foreign investors On the other hand there are efforts to encourage free trade between countries or at least between a number of different countries General Agreement on Tariffs and Trade has an important driving force to go to the clearance level agreements tariff and non-tariff barriers around the world Monday; challenge the economies of countries to invest; When considering the foreign market, the business must study the economies of countries such as structured investment industry; income distribution Tuesday; challenging political environment law; For the business environment in the country, investors can understand about political institutions and the political stability, however, the business environment many potential risks when possible states of a conflict Therefore, investors should pay attention to these factors: attitude towards foreign traders, political stability, currency regulation, the validity of the government apparatus Finally the challenge comes from cultural differences, to compete in the global environment, enterprises must have above all the unique culture but also common features in common with other countries, the enterprise must also create the products consistent with its cultural invested IV CHANGES ON THE ETHICS OF BUSINESS INTEGRATION Awakening business ethics in the market mechanism is a very difficult problem By not rare cases, the manufacturers business also faced with a paradox: carelessly, lie often said, as "neat", not true profit Therefore, when entering the structure of global business ethics we need to change the following issues: - Transparency in business; - Integrity in business; Page 11 - View ethics and social responsibility is an essential part of business strategy, businesses will also feel more voluntary and proactive in the implementation As such, these issues are no longer a burden or a mandatory thing which is the source and basis of success According to the rankings of Transparency International, in 2013: Vietnam ranks 116 on 177 in the rankings, is 31 out of 100 points and on the organization's website V OPPORTUNITIES AND CHALLENGES TO OVERCOME THE MARKET EXPANSION OF AN OFFSHORE DEVELOPMENT From the analysis of the strengths and weaknesses of the AnPhat Company, SWOT model applied to position integrated assessment of AnPhat Company On that basis, forming strategies to exploit the strengths, maximize opportunities, weaknesses and limitations dodge challenges WO Strategies SO Strategy Use strengths to take advantage of opportunities Opportunities Take advantage of external opportunities to overcome The plastic industry is encouraged by the weaknesses State sector development Strategy 4: Demand for plastic packaging products is Development increasing both in the domestic market Strategy in brand and exports development Petrochemical Industry of Vietnam began developing should be able to have the Strength input of raw materials from the local Weakness Machinery systems modern market Processed products should not technology, producing products with identifiable brand high difficulty Higher debt ratio Reputable products and have been Production orders should be proactive confirmed in the market place sometimes not issue preventive especially in foreign markets materials Reasonable product price and can be reduced by partial autonomy inputs Strategy 1: Strategy product differentiation Strategy 2: Strategy leading to cost Page 12 Challenges (Threats) ST Strategy Use strengths to dodge challenge Strategy 3: Strategy for mining customer focused strategy The cheap products of China Prices change according to the raw material prices Taxation of environmental protection began to apply in Vietnam since 1/1/2012 WT Strategies Overcome weaknesses, reduce external threats In the coming year, determine that the product is biodegradable countries around the world, especially in major markets such as Japan, EU popular, the company will focus on developing this item In the long term, bags biodegradable products will be the main product of the company In addition, the Company's Board of Directors also constantly investing to improve machinery and equipment in order to improve labor productivity The technical staff of the Company are sent improve skills training The company is planning to apply for additional 10ha of land next to the company's headquarters in Hai Duong present to investors expand or build more plants in the next year The plant's No company not currently running at full capacity The company will invest around 30 billion worth of machinery and equipment to further increase plant capacity to 100%, yielding 2,000 tonnes / month With the policy to further improve the level of technology and product groups, the company has expanded the scale of investment and operating power plants recycled plastic, and more development of plastic packaging items arbitrarily canceled, meet the standards of EU environmental protection, organized in collaboration with the EPI Canada set up a production line packaging standards for environmental protection Page 13 With the optimistic outlook of the industry, backed by the government and the intrinsic capacity of the Company, the plastic manufacturing sector less common dangers threatening potential Differentiation strategy products So An Phat produced to order and nature of the processing is done mainly to differentiate the product will be different from the production of common consumer goods Differentiation strategy An Phat products that perform primarily related to meet all customer requirements including: - Orders require high technical elements, high quality - Orders require a large volume of products in short time It is this difference between creating An Phat with other manufacturers in Vietnam This is an advantage of Phat With the system current machinery, the manufacturer can not meet the high volume of orders that in a short time Meanwhile, Phat can meet and that is why every successive orders to An Phat and revenue is growing over the years An Phat main market is still exported to EU, Japan The solution strategy: To achieve differentiation strategy with products like the content, the company needs to implement solutions The solution includes:  Solution of machinery and technology Continue to promote the creative skills of the technical staff of the company based on the existing machinery to produce products with high technical requirements Investment in new machinery and equipment to produce advanced products with high difficulty level as the folded bag  Solution and financial investment  Marketing Solutions Actively participate in the fair industry at home and abroad plastic and promotion of innovative technologies that are going to be AnPhat, full introduction of AnPhat capacity to the customers can see real quality of capability and thus AnPhat order  HR Solution Page 14 Promote training for officers and staff to be able to absorb new technologies Leading strategy costs By analyzing the internal factors of the company in Chapter II, we find that, in order to implement strategies leading to cost the Phat focus on the following content: - Maximize the capacity of the existing machinery and equipment for new investment - Gradually reduce interest expense by source access to concessional export credit at low interest rates or issuing shares to increase charter capital - Gradually replace the imported raw materials in the production of raw materials for domestic petrochemical plants go into production - Continuously improve the skills of workers to meet the requirements of the high-tech equipment which reduces the cost of a defective, damaged goods The solution strategy: To implement the strategy leading to the cost of such content on, the company needs to implement solutions The solution includes:  Solution of machinery and technology  Financial Solutions  Marketing Solutions  HR Solution  Solution for production and operation The implementation of the above strategies will help to get AnPhat firmer foothold in the domestic market as well as export markets In the domestic market , by implementing strategies leading to cost AnPhat will be able to produce products at low prices with relatively good quality and thus increasing the ability to compete with other domestic manufacturers And in the difficult export markets such as the EU and Japan , the implementation of the two strategies on the one hand increases the likelihood of AnPhat response to orders require high technical quality , large volume and in the short term and the other manufacturers in Vietnam can not meet , on the other hand AnPhat can be increased through price competitiveness of their products Page 15 and thus may be advantages to with producers from countries such as Indonesia , Pakistan VI CONCLUSION Along with the traditional markets in the country, the expansion of investment international markets is a necessary step for An Phat now at this stage According to estimates based on the strength of AnPhat, strengths, weaknesses, opportunities and challenges presented above, I see the deployment of overseas investment is entirely feasible To expand, penetration, growth and sustainable development in the market and potential challenges in international markets requires the efforts of business management, with strategic vision, long-term, always innovating To implement this goal in detail, the article needs to be expanded with each item detail, thorough research of the market, and how specific actions based on the figures reported in the amount of detail that this article can not adequately addressed REFERENCES:  Documentation "International Business Management" - Dr Larry Williams  World Economic Forum : The Global Competitiveness Report 2012–2013  http://www.anphatplastic.com/vietnam/?act=Home  anphatplastic Annual Report 2013  http://www.indexmundi.com/vietnam  www.vietnamplus.vn  Corporate Governance Curriculum, Faculty of Business Administration, National Economics University in Hanoi, 2005  scientific research methodology, Jane Williams, Publisher Prentice Hall, 2004  Competitive Strategy - Michael E.Porter, Publishing House of Science and Engineering Hanoi Page 16 ... Affirming Mission and Vision With foresight and desire to be the responsibility of businesses to the community and society, adhere to strict rules to ensure harmony between economic growth with... technologies that are going to be AnPhat, full introduction of AnPhat capacity to the customers can see real quality of capability and thus AnPhat order  HR Solution Page 14 Promote training for officers... capital flow stress with the Vietnam • Vietnam is dating political stability and domestic foreign exchange market, security in the region and around the world investment abroad, post audits, The