Selling transportation service of airplane engines and engineering spare parts to vietnam airlines

The next chapter will be the detaileddescription about the work that i have accomplished during my internship period at thecompany including some research about airlines industry analysi

First of all, I would like to express my greatest gratitude to AIRIMEX for enabling me

to complete this report on “Selling transportation service of airplane engines and engineeringspare parts to Vietnam Airlines”

I would like to express my greatest gratitude to following person, thet had helpedme alot on the process of making this report :

Mrs Tran Thi Thanh Hoa, my tutor in the company

Prof Corinne Montoya of Jean Moulin Lyon 3 Universite

Mr La Tien Dung, consultant of the report

Mr Nguyen Hoang, the tutor of the report

Only under their guidance that I was able to complete the report

Finally, I would also like to thank the employees of Department 2 the managers ofAIRIMEX for helping throughout the process of making this report

The report will be divided into three chapters In the first chapter I will give you a briefinstruction about General Aviation Import-Export JSC The next chapter will be the detaileddescription about the work that i have accomplished during my internship period at thecompany including some research about airlines industry analysis and examples about thecontract that my company have signed with Vietnam Airlines The final chapter is about theevaluation of the achievements of the report and the experience that I have learnt throughoutthe time I have the honor to work here

TABLE OF CONTENT

ACKNOWLEDGEMENT i

SUMMARY ii

TABLE OF CONTENT iii

INTRODUCTORY 1

CHAPTER 1 : ABOUT GENERAL AVIATION IMPORT-EXPORT JSC – AIRIMEX 2

1.1 Company profile : 2

1.2 Products : 5

1.2.1 : AIRCRAFT ENGINE, EQUIPMENT AND PARTS 5

1.2.2 : AIRPORT GROUND SUPPORT EQUIPMENT 6

1.2.3 : IN-FLIGHT SERVICE PRODUCTS 8

1.2.4 : LOGISTICS SERVICE 8

1.2.5 : OIL & GAS: EQUIPMENT AND SUPPLIES 9

1.2.6 : OFFICE FOR LEASE 10

1.3 Air tickets : 11

1.4 CONTACTS : 12

CHAPTER 2 : DETAILED DESCRIPTION OF THE INTERNSHIP RESPONSIBILITIES 14

2.1 Market analysis : 14

2.1.1 Macro environment : 14

2.1.2 Micro environment: 17

2.2 Description of the tasks given : 20

2.2.1 Job description : Executive in import-export 20

2.2.2 Transportation service to Vietnam Airlines : 23

CHAPTER 3 : EVALUATION ON THE REPORT 26

3.1 Achievements of the report 26

3.2 Difficulties encountered on the process of completing the project 26

3.3 Experienced gained during the time of internship : 27

CONCLUSION 28

REFERENCES 29

The airlines industry provides air transportation for passengers and cargo by usingaircraft such as airplanes and helicopters The origins of flight date back to 400 B.C., whenthe Chinese invented the kite, which was used not only for fun but also to test the weather,and for later development of balloons and gliders In the 1480s, Leonardo da Vinci wasfascinated by the thought of flight and drew pictures and designs of his theories of flight andflying machines The first recorded flight was in 1783, when two French inventors flew thefirst hot air balloon, and the Wright brothers successfully flew the first airplane in 1903.The industry is structured into three main components: commercial, general, andmilitary Commercial aviation includes national carriers such as Delta and American, andregional carriers like GoJet and SkyWest Airlines Commercial airlines may also focus onother areas of business, such as crop dusting, fighting forest fires, and rescue operations.According to the trade organization Airlines for America, commercial aviation helps drivemore than $1.5 trillion per year in U.S economic activity and more than 11 million U.S jobs.General aviation includes personal and business or executive flights and flight instruction.The subsectors of the airlines industry include operations, maintenance, marketing, andfinance divisions

Air transportation may be scheduled or nonscheduled Most commercial airlines operateaccording to a schedule, flying regular routes, even if the plane isn't full Air carrers that don'toperate based on a schedule usually fly during offpeak hours, and usually have moreflexibility regarding choice of airport, flight times, and load factors Nonscheduled carriersoffer charter flights of passengers, cargo, or specialty flying services In 2014, Hartsfield-Jackson Atlanta International Airport in Atlanta, Georgia, was ranked the busiest airport in theUnited States, with more than 46 million airline passengers enplaning there MemphisInternational Airport in Tennessee was ranked number one in the U.S for the transporting themost cargo, with departing flights having carried nearly 23 trillion pounds of freight and mail

CHAPTER 1 : ABOUT GENERAL AVIATION IMPORT-EXPORT JSC – AIRIMEX

1.1 Company profile :

Our Office

Founded in 1989 and IPO since May 18,2006, the Company is now called GeneralAviation Import Export JSC (Airimex) with Vietnam Airlines as the founder and biggestshare–holder Head office located at 414 Nguyen Van Cu Stress, Long Bien District, Hanoi.

We have an air ticket agency in centre of Hanoi, a branch in Ho Chi Minh City

We are proud to be the leading importer/distributor of aircraft parts and airport groundsupport equipment in Vietnam with annual turnover of export and import of US$ 65 million.Main products and services:

Aircraft engines, equipment, materials, spare parts;

Airport/Airfield ground support equipment;

In-flight services products;

Marchinery and equipment for gas/oil coal exploitation, construction;

Forwarding and logistics, customs consultancy and clearance;

Airtickets sales and booking;

Office for rent

Airimex operated in accordance with the quality management standards ISO 9000:2015

With 25 years of experience in business, we always make all efforts to improve thequality of products and services in order to satisfy our customers

Visions, objects and value :

With the mission of guarantee for import-export activity for Vietnam aviation industry,

we always strive to have a strategy vision, achieve explicit objects based on persistent values

Our Vision: to affirm the position of leading enterprise in providing and distributing

machinery, equipment, material, spare parts, and import-export services for Vietnam aviationindustry

Our Objects:

Customer's satisfactory is our first object;

Being first choice for all of our partners and clients;

Building a dynamic, creative and competitive working environment;

Creating optimium benefit for our shareholders

Our Values: foundation upon which we operate and inspire us to deliver proven

performance:

To act with honesty and transparancy;

To strive and take highest responsibility for quality of products and services;

To improve continueously through training and development of staff;

To do business with many years of experiences and professional skills in all aspects;

To value cretivity and results in our works

With our vision, objects and values, we are always welcome any valuable co-operationfrom partrners and customers

DIRECTOR

Nguyen Quoc Truong

Our Partners

VIETNAM AIRLINES

AIRPORTS CORPORATION OF VIETNAM

VIETNAM AIR TRAFIC MANAGEMENT CORPORATION

AIRBUS

VIETNAM AIRLINES ENGINEERING COMPANY (VAECO)

BOEING

1.2.1 : AIRCRAFT ENGINE, EQUIPMENT AND PARTS

With nearly 30 years of experience, we are capable to supply engines, equiment and spare parts for a large range of helicopter aircrafts

AIRCRAFT PARTS, TOOLS AND MATERIALS

AIRCRAFT AND ENGINE

1.2.2 : AIRPORT GROUND SUPPORT EQUIPMENT

We are proud of maintaining the leading position in recent 10 years for the airportequipment and solutions not only in Vietnam but also in the Indochina region With the ability

of providing the general solutions, we have always been selected as the general supplier forthe big airport projects

Thanks wide range of feasible solutions, Airimex can consult and offer the bestsolutions for both full-service airlines as well as the low cost carrier where the P/P Index isthe most priority

With more than 80% of local market share and with the professional and dedicate ordination from our world-wide partners, we are happy to share our experiences to the cliens.And we are confident to satisfy all our clients' needs on basis of long-term partnership

AIRPORT GROUND SUPPORT EQUIPMENTS

AIRPORT TERMINAL EQUIPMENT

HANGAR AND MAINTENANCE EQUIPMENT

TECHNICAL SUPPORT

AIR NAVIGATION COMMUNICATION EQUIPMENT

1.2.3 : IN-FLIGHT SERVICE PRODUCTS

Over the past ten years, Airimex has always been a reliable partner of Vietnam Airlines,the biggest airline operating in Vietnam Every year, we provide Vietnam Airlines with US$millions of commodities to support its in-flight services Our range of provision includes butnot limited to:

MEAL SERVICE PRODUCTS

With application of VNACCS/VCIS, the most advanced e-customs system, Airimexhas successfully carried out over 14000 shipments of variety commodities

We are certified and awarded by the General department of Vietnam Customs as one

of the best import-export companies for many years

1.2.5 : OIL & GAS: EQUIPMENT AND SUPPLIES

Recently, we started to provide equipment and supplies to Vietnam Oil and gasindustry We are one of the short-listed suppliers of VietsovPetro (VSP) - biggest oilexploitation company in Vietnam Airimex has provided VSP with various types ofequipment, ranging from off-shore crane to logging system for open holes

A long history of experiences and good reputation has enabled Airimex to be a reliablepartner of many oil and gas equipment manufacturers in participating to the big andsophisticated tenders from oil and gas industry We always welcome new suppliers who want

to look for opportunities in Vietnam oil and gas industry so that we can better serve ourclients Our range of products provided are, but not limited to:

DRILLING EQUIPMENT AND RIG EQUIPMENT:

• Drilling bits

• Top drives

• Pumps

OTHER EQUIPMENT AND SUPPLIES

Beside Aviation and Oil and gas industries, Airimex also provide various equipmentand supplies to other industries Come from the world's well known manufacturers, theproducts we supply include the following categories:

CLEANING EQUIPMENT AND CHEMICAL:

• Cleaning equipment, machinery, and chemical,

• Odor eliminator/ control,

• Disinsection aerosols

FOR ELECTRIC INDUSTRY:

• Power generators,

• Transformers,

• Spare parts and supplies

FOR HEAVY INDUSTRIES:

• Roller tires and table liners for Polysius mills

• Spare parts for cement production

• Heavy duty cranes

WASTE PROCESSING EQUIPMENT:

• Waste processing equipment and spare parts

• Waste incinerator

1.2.6 : OFFICE FOR LEASE

Airimex service providers for high-quality office space with a prime location in thecenter of the capital of the northern economy, convenient transportation (with 2 contiguousfrontage on Nguyen Van Cu - Nguyen Son), convenience and travel deals Is the ideallocation for offices, trade centers

Office is modern design:

Modern Air Conditioning System

High Speed Elevators

Generator backup

PCCC Standards

Electrical Stable water

View nice and airy

Large area for parking zone

Protect 24/24 hours

1.3 Air tickets :

Airimex's Booking Office is official ticket agent for Vietnam Airlines, Jetstar Pacific,Vietjet Air,American Airlines, Qatar Airways, Aeroflot, Air Asia, Tiger Airways, ChinaSouthern Airlines, Thai Airways, Japan Airlines, Air France, Lufthansa, All Nippon Airways,China Eastern Airlines, Eva Airways, LOT Polish Airlines, Malaysia Airlines, SingaporeAirlines, Korean Air, United Airlines

- Efficient supporting in getting upgrades and other services

- Ticket delivery with flexible payments accepted

We are proud to be one of the Vietnam Airlines’ agents with highest sales revenue inVietnam for years With a qualified, trained and experienced team and professional services,

we commit to efficient consultation and quick flight booking services for customers withoptimal routes and the most cost-saving benefit providing the most satisfaction for ourcustomers

Airimex's Booking Office is official ticket agent for Vietnam Airlines, Jetstar Pacific,Vietjet Air,American Airlines, Qatar Airways, Aeroflot, Air Asia, Tiger Airways, ChinaSouthern Airlines, Thai Airways, Japan Airlines, Air France, Lufthansa, All Nippon Airways,China Eastern Airlines, Eva Airways, LOT Polish Airlines, Malaysia Airlines, SingaporeAirlines, Korean Air, United Airlines

- Efficient supporting in getting upgrades and other services

- Ticket delivery with flexible payments accepted

We are proud to be one of the Vietnam Airlines’ agents with highest sales revenue inVietnam for years With a qualified, trained and experienced team and professional services,

we commit to efficient consultation and quick flight booking services for customers withoptimal routes and the most cost-saving benefit providing the most satisfaction for ourcustomers

1.4 CONTACTS :

OUR HEAD OFFICE

414 Nguyen Van Cu street, Long Bien District, Hanoi, Viet Nam

AIR BOOKING OFFICE

No 414 Nguyen Van Cu, Bo De Ward, Long Bien District, Hanoi, Vietnam

Tel: (84-24) 37320995/37324155/37320996

Fax: (84-24) 37320997

Email: airbookofc@hn.vnn.vn

n.thuhoai@airimex.vn

ADMINISTRATION DEPARTMENT

Tel: (84-24) 38770265/66 Ext

470Fax: (84-24) 38271925

CHAPTER 2 : DETAILED DESCRIPTION OF THE INTERNSHIP

RESPONSIBILITIES 2.1 Market analysis :

2.1.1 Macro environment :

PESTLE analysis of the airlines industry:

As per an IATA report, there has been a 7.1% increase in passenger demand from 2015

to 2016 This is higher than 2014-15 This growth is also expected to continue Air trafficitself is expected to grow at a rate of 4.5% annually At this rate, at least 33000 new air-craftswill be needed in the next 20 years Not just this, the number of pilots needed in next 20 yearsexceeds 500,000 Economic factors are a major influence on the airlines industry However,there are several other factors of importance as well These factors can be social,technological, political and even legal in nature Their effect on the industry can be deep APESTEL analysis of the aviation industry will show how deeply they influence it

Air transport provides several important benefits both socially and economically Assuch, a large number of governments have focused on generating value by partnering with theairlines companies The regulatory environment has been relaxed in several markets leading

to increased partnership It can be beneficial for both governments and companies as well aspassengers However, globally the businesses and corporate travelers are also enjoying thebenefits Industrial regulation in a harmonized manner profits the entire world Increasedgovernment regulation affects the industry negatively It is obvious that governmentregulation or political factors play an important role in determining the growth andproliferation of the airlines industry Over time one thing has gotten absolutely clear; growth

of the airlines has benefited governments, businesses and individual passengers Airlines addspeed to trade This produces economic benefits and in turn benefits the entire society So,there is a need to strengthen the partnership between the government and the industry.Organizations like International Civil Aviation Organization are working to deepen thisrelationship

Economic:

Economic factors are also an important influence on the airlines industry The industryhas seen several downturns Airlines companies were impacted deeply by the recent recessionand slow economic growth thereafter Since the 1930s, it was the recent downturn that hurtthe airlines industry most deeply The air travel markets saw a low in the early 2009 Bothpremium and economy travel saw a decline However, it was premium travel that was morebadly affected Both travelers and the industry were forced to adopt cost cutting measures.The recession did not just influence the profits; but also employment Most airlines wereforced to reduce prices and to retrench Many thousands of jobs were lost

The economic recession left behind a few positive effects also The crisis changed thecompanies’ style of business Prices were reduced and service standards raised The boom inlow cost carriers has made air travel cheaper for the masses Overall, the impact has beenpositive Now that the economic recession is past, the industry must grow consistently Theaviation industry is not immune to economic pressures It has from time to time been forced toadjust per changing economic conditions However, a lot of growth is expected in the comingyears from maturing economies like Asia The latent demand for air travel in Chinese marketshas increased This provides opportunities as well as challenges Obviously, the importance ofeconomic factors in case of the airlines industry cannot be overlooked

Social:

Airlines create social value just as the other businesses do There are several industriesthat profit from the airlines industry In particular, it is the hospitality industry globally whichdepends heavily on transports The industry impacts and is impacted by social forces Airlinescompanies stimulated the demand for air travel by reducing prices They created employment