LUẬN văn THẠC sĩ CHIẾN lược KINH DOANH QUỐC tế của VIETTEL GLOBAL

CHIẾN LƯỢC KINH DOANH QUỐC TẾ CỦA VIETTEL GLOBAL INTERNATIONAL BUSINESS STRATEGY OF VIETTEL GLOBAL TABLE OF CONTENTS Acknowledgements List of figures, tables & charts INTRODUCTION CHAPTER I: LITERATURE REVIEW ON INTERNATIONAL Page 11 BUSINESS STRATEGY 1.1 Overview of international business strategy 1.1.1 Importance of business expansion to international market 1.1.2 Definition of international business strategy 1.2 International business strategy Formulation and 11 11 13 13 Implementation 1.2.1 Analysis and evaluation of international business 13 opportunity 1.2.1.1 Analysis of local business environment 1.2.1.2 Competitive environment analysis 1.2.1.3 Analysis of Enterprise’s internal resources 1.2.2 Selecting market – group of target nations/countries 1.2.3 Select a form of international business 1.2.3.1 Importing and Exporting 1.2.3.2 International Licensing 1.2.3.3 International Franchising 1.2.3.4 International Strategic Alliances and Joint 13 18 20 23 25 25 26 26 27 Ventures 1.2.3.5 Foreign direct investment (FDI) 1.3 Marketing mix for international market penetration 1.3.1- Product strategy 1.3.2 Price strategy on international market 1.3.3 Distribution strategy 1.3.4 Promotion strategy on international market 1.4 Some criteria to evaluation an international business strategy CHAPTER II: OVERSEA TELECOM BUSINESS STRATEGY OF 27 28 29 30 31 32 33 35 VIETTEL OVER THE PAST 2.1 Overview of Viettel Global Investment Joint Stock Company 2.1.1 General introduction about foundation and development: 2.1.2 Organizational structure: 2.1.3 Business philosophy 2.2 Business performance at current investment markets 2.2.1 General introduction about the Viettel international 35 35 35 36 36 36 market penetration process 2.2.2 Current foreign market of company 37 a.1 CombodiaMarket a.2 Lao Market 2.2.3 Results of Investment promotion of Viettel Global until 37 42 47 late 2010 2.3 Analysis and Evaluation on Viettel Global’s international 47 telecom services business strategy 2.3.1 Business strategy of Viettel Global 2.3.1.1 Context of strategy formulation: 2.3.1.2 Strategy over the past: 2.3.2 Viettel Global’s International Marketing Activities 2.3.3 Limitation during strategy implementation over the past CHAPTER III: SOLUTIONS TO IMPROVE INTERNATIONAL 47 47 49 49 55 58 MARKET PENETRATION STRATEGY OF VIETTEL 3.1 Overview of international telecom market during 2011-2015 3.1.1 Total volume of International Telecom Market 3.1.2 Business environment analysis of foreign markets 3.1.3 Industrial Analysis and competitors of Viettel in 58 58 58 59 investment promotion activities VIETTEL GLOBAL SWOT Analysis 3.2.1 Opportunities 3.2.2 Threats 3.2.3 Strengths 3.2.4 Weaknesses Select a potential market for market expansion activities of 60 60 61 61 63 64 Viettel STRATEGIC ORIENTATION OF VIETTEL 2011-2015 3.4.1 Strategic orientation: 3.4.2 Main objectives to 2015 3.4.3 Objectives in 2011-2015 Solutions from enterprises for investment promotion market 3.5.1 Search for new markets and select the suitable 67 67 68 69 70 70 penetrate methods Organization Recruitment, Training and Using of human resources 3.5.4 Policy 3.5.5 Financial resources 3.5.6 ROI 3.5.7 Investment form 3.5.8 Solutions for science, techniques, technology Solutions of enterprises for current market 3.6.1 Training human resource for a knowledge economy 3.6.2 Strengthen market research activities 3.6.3 Define the right target market 71 72 72 72 72 72 73 73 73 74 75 3.2 3.3 3.4 3.5 3.5.2 3.5.3 3.6 3.6.4 Improve the product and services quality 3.6.5 Building a flexible fee calculation scheme 3.6.6 Establish an appropriate distribution channel 3.6.7 Designing effective sales promotion and support programs 3.7 Solutions from state government 75 77 78 80 81 CONCLUSION 83 REFERENCES 84 Acknowledgements COMMITMENT LETTER We hereby undertake: CAPSTONE PROJECT REPORT "INTERNATIONAL BUSINESS STRATEGY OF VIETTEL GLOBAL (2011 – 2015)" was the subject of research by our group All of the data relating & information provided by Viettel Global JSC To the present time, this is the first topic to be researched Members of the group no one has any conflicts of interest to this company Hanoi, 29 October 2010 GROUP OF AUTHORS Le Nguyen Tuyen (Leader of the Group) Phan Truong Son Nguyen Van Trung Dang Hoang Tuan Nguyen Thi Phuong Lan LETTER OF THANKS We would like to say thanks to Viettel Global JSC has enthusiastically supported us in the process of providing data as well as working sessions to make strategic business strategy for the company Besides, we would like to thanks the professors and doctors - who have given us the skills and knowledge of corporate governance throughout the entire course This knowledge is the basic foundation necessary for us to write this topic as applied in practical work In particular, we sincerely thank the Academic Council of Griggs University has guided us in the process of conducting research GROUP OF AUTHORS LIST OF FIGURE, TABLE AND CHART Page FIGURE: Figure 1.1: The External Environment Figure 1.2 & 1.5: The External Analyses‘ Outcomes 14 17&2 Figure 1.3: The Diamond Model 19 Figure 1.4: The Value Chain 22 Figure1.6: General structure of distribution channel in international 31 marketing Figure 3.2: EFE & IFE TABLE: Table 1.2: Comparison of international business forms Table 3.1: EFE and IFE matrix for telecom business strategy in 28 64-67 Mozambican market Table 3.3: Main objectives to 2015 68 Table 3.4: Objectives in 2011-2015 69 CHART: Chart 2.1: Market Shares of Cambodia Chart 2.2: Market Shares about Fixed Phone of Cambodia 39-40 41 Chart 2.3: Market Shares about Mobile phone of Laos 43-44 Chart 2.4: Market Shares about Fixed Phone of Laos 45 Chart 2.5: Market Shares about Internet of Laos 46 INTRODUCTORY RATIONAL: As one among the Vietnam’s leading telecom companies, Viettel telecom has implemented an international business strategy This is a pioneer in developing Vietnam’s telecom industry for international integration through investment in telecom infrastructure in domestic or oversea According to the ranking by BMI (Business Monitor International), Viettel is currently ranked No 27 among 100 biggest international telecom brands This is not only the success of Viettel, but also achievements of Vietnam’s telecom industry because with Viettel brand, Vietnam became a highly ranked nation with good recognition on the world map However, the implementation of international business strategy in telecom industry is very difficult and challenging This requires Viettel not strategic thinking about international development, and also a good compliance with the logic procedures in international transactions That’s the reason why we chose the topic“ International business strategy of Viettel Global (2011-2015)” as the main research object of this thesis Research objectives : On the basis of liternature review on international business strategy, this casptone project focuses on analysis, evaluation and reference to Viettel’s international development From the practical experience, this capstone will suggest a suitable international business strategy for Viettel development orientation as well as business environment, at the same time propose solutions to implement the selected strategy Research object and scope: This capstone researches some theoretical and practical issues of Viettel’s international business strategy over the past This capstone also analyze some oversea markets which are considered highly potential Among them, there are some market where Viettel just began negotiation, research, and project formation Therefore, the research scope of this capstone focuses only on the international business strategy in terms of coverage with some example of Viettel’s Mozambic market Research Methodology: During the research process, the capstone use mainly documentary method with the analysis and evaluation on secondary statistics Qualitative method is conducted by consulting some executives and experts working in Viettel Besides, this capstone also uses figures, charts, tables to increase the visual effects and maintain the details Research Structure In addition to the introductory and conclusion, the capstone is presented in chapters: Chapter I: Literature review on international business strategy Chapter II: Telecom Business strategy oversea of Viettel Global during the Chapter III: Solutions to improve Viettel’s international business strategy CHAPTER I LITERATURE REVIEW ON INTERNATIONAL BUSINESS STRATEGY 1.1 Overview of international business strategy 1.1.1 Importance of business expansion to international market  For enterprises - Improve the competitiveness of enterprises International market participation requires Vietnamese goods to take world market demand as the production basis The market expansion process require to put production structure in the competitive relation in the world market, production keep improving the technological level and productivity, meeting the demand from domestic and world market at reasonable price This requirement is useful for the enterprise’s development, forcing enterprises to self-improve for enhanced competitive capacity - Looking for new customers Non-domestic market is very wide Therefore, the current products of enterprise can meet the demand of new customers in different places and different market segments Enterprise’s products are familiar with the domestic customers, but for oversea markets, they are still new and fresh, somehow they are still attractive to the consumers and can generate the revenue and profit for the enterprise - Lengthen the product life circle: In domestic market, the products are at the saturated stage, while they are still at the beginning of its life circle in some foreign markets, the products’ life is therefore lengthened with its existence in the international market - Lower production cost The enterprise entering new markets will take advantage of equipments and machineries, experience, production at a larger scale, which will enable lowering product unit cost and therefore enhance competitiveness - Spread the market and reduce the business risk: Due to the limited scope of domestic market and increase of competition…, it’s difficult for enterprise’s business operation Therefore, international business expansion will enable enterprises to benefit from preferential policy by state government regarding the business domain, which will reduce the competition and business risk  For country development:: - Benefit from national advantages over other nations in economic development, improving the country position on international level 10 Partnership with big supplier and banks to search for investment opportunities developing markets There are 224 nations and territory regions around the world, among which 43 nations are potential for investment There are 22 nations of priority for 2011-2015 Different methods will be applied for different nations Normally, the potential of telecom service markets are considered by following basic criteria: + Population: over 11 millions people + Mobile usage rate: + ARPU: below 45% > 2.5USD + Political stability: according to ranking Scale and potential of market is the key factor to decide the penetration method ( mode of international business) Total population of 22 nations is nearly 700 millions people, with the success rate of 50% after year, Viettel will increase its market with additional 300-350 millions people, which increase its market to 450 millions people + 11 nations with M&A opportunities + 11 nations without lisence opportunity + Success opportunity of Viettel in M&A transactions and lisence application: 50:50 On the other hand, for each market penetration method, it’s necessary to select a appropriate impelementation Method for market with M&A transactions: Coordniate with vendors, banks to understand better about operators who plan to withdraw the capital Research on companies who are capable in terms of technical requirements, but lack of financial resource to implement the network Sending staffs to follow up and supervise at the place, connecting tiwh other operators Method for markets with lisence application: Via the Vietnamese Embassy at the countries, conferences and seminars search for information, lisence plan of countries Searching for all the channels to connect ot the state goverment with invesment encouraging policies (the top leader) Sending staffs to follow up and supervise the market 63 3.5.2 Organization Building up an organization structure with full capacity to conduction foreign investment strategies in telecom domain with the orientation that: Viettel Global is a holding company with leadership for operations of sub-companies The holding company must be the “window“ to see 100% all the markets, and able to monitor and solve 90% of works, the rest demanding 10% will be supervised and solved by the Group Each country is a sub-company operating independently under the governace of VTG VTG sell all equipments to the sub-companies Viettel proactively arrang the organization, supplement and complete the human resources for each stage, prepare the resources for new markets months before the implementation time, heading for good and stable human resource Viettel tried to reach the target of Viettel’s staff in host market is lower than 15% after year since offical business launch 3.5.3 Recruitment, Training and Using of human resources Staffs sent oversea must be the best with good english and strong expertise Using the Group’s human resource, all arrangement and organization are decided by the Group; the recruiter must learn the way of doing business, study Viettel culture, then improve their profesional skill Local labor recruitment must follow 80% of guidance applied for Viettel’s employees Total human resources in need is 20-25 thousands people 3.5.4 Policy Viettel pay higher salary than the world average, for key positions, it’s even higher than the world average Maintaining the best policies for Vietnamese experts: Transportation, meals, family care, and life insurance for key staffs 3.5.5 Financial resources With the capital need of - billions USD, which come from: Equity (1) + Cooperation (1) + Payables of equipments (1) + Credit (2) + Profit + depreciation (1) So, the financial leverage rate is 1-4, the equity is about billion USD 3.5.6 ROI Control ROI 60-80 USD/ subscriber, optimize the cost to meet the average time for investment return 5-6 years 64 3.5.7 Investment form Big and fast investment, dominant share and managing power is decisive factors Using both acquisition and licensing at the same time in developing countries In host country, Viettel became full service provision of telecom services: fixed phone, internet, mobile… 3.5.8 Solutions for science, techniques, technology Transmitting and localizing all the instructions for technical processes, business operation and financial management of Viettel in Vietnam to apply in foreign market in order to save the cost of investment and operation Enhancing IT applications in management, operation and performance It’s necessary to acknowledge that present good and new software account for only 50% of the success, the rest 50% depends on performance and operation without IT 3.6 Solutions of enterprises for current market 3.6.1 Training human resource for a knowledge economy Post and telecom is a sensitive domain The IT boomt gave considerably influenced the production lines, management styles, behaviours and manners of labors Therefore, human resource training and development process should be dynamically adapted to the changes in future changes and technological innovations Selecting a suitable training and evaluation scheme is very critical in the current context In order to penetrate and gain a firm position in the new markets, enterprise should enhance its competitiveness before the competitors In fact, a labor force with good capability and market sense is needed The training and development should be invested professionally and attentively During the initial stage in foreign markets, skillful labors are still limited, the Group should focus more on training technical experts, managers and professionals Besides, the perception that saving labors cost will reduce the cost unit and increase the productivity should be changed to the perception that attention to labor force enhancement will increase the productivity, improve competitiveness, generate better profit and revenue For each different type of labors, different aspects should be focused: 65 - Managing staffs: Clear organization and empower is need It’s encouraged for independence, creativity and understading of guidance and policy made by industrial and corporation leaders of all levels - Technical staff: Regular training and retraining for better adaptation to new technology will enbale the technology master and its functional optimization During the training stage, there should be practical works, supervision, real case for the staffs to understand the reality The training programs should be comprehensive and match well with the technology, and appropriate for the job demand Labors should be evaluated on productivities and capability - Labors in operation and services: Improving the understanding about services to avoid mistake during operation At the same time, working skills and behavors will be taken as the evaluation criteria In fact, many customers complained about the working manners of Viettel’s transaction staffs, while all the direct contact with customers are done at this stage Evaluation of labors situation on education, qualification, skills is essential because that’s the basis for planning traning programs for the company’s development Evaluation should be carried out according to specific job title and flexibly follow the production and business plans and requirements, not only based on general remarks about opinion, viewpoint, ethics and level standards In parallel with the current human resources, Viettle need to recruite and appeal more local experts and engineers Viettel need to combine training course by foreign experts with self-traning courses Highly experienced experts of Viettel will organize human resource training and development at the place after recruitment 3.6.2 Strengthen market research activities Market demand decide the productivities of product sales Therefore, market reasearch play a critical role If the market research is not well done, all other efforts not make sense The market research objectives are estimating the possible consumption of enterprise’s products and services On the basis of good market research, the enterprise can define its product strategy in order to push sales, increase market share, improve economic productivities Especially for enterprises operating in oversea market, market research is more critical Becuase the company strategy depends on a lot of factors, which requires high sensitiveness, 66 consideration and study in order to avoide possible risk of investment in a new markets Due to some typical features of telecom industry, market research is indispensible works for Viettel Demand for telecom products and services changes day by day, which forces Viettel to evaluate and consider each type of market on regular basis to make necessary and time adjustments 3.6.3 Define the right target market Viettel focus on services which can meet the huge need from customer and the markets with good development prospective Development of new services should be done on the basis of market research to understand the demand and supply on that market This will enable the enterprise to dominate the market and gain competitive advantage For relatively stable and developed market, newly developed market, attention should be paid to highly competitive services which can generate high revenue and numerous demand such as quick money tranfer, express courrier, fixed phone, mobile phone, internet, data transmission For far and remote areas, where public welfare whould be seved, it requires for basically traditional services such as post, package delivery, fixed phone, fixed television 3.6.4 Improve the product and services quality In such a fierce internationally competitive market, in order to attract customers, Viettel should care more about improving and diversifying services and products quality  Improving services quality:: Improving services quality can be understood in two aspects: improve the physical and technical quality and improve the services manner of staffs  Improve the technical and physical quality of service: There are many way to improve the service quality with the ultimate purpose is that providing customers with the best service quality regarding all aspects such as: accessibility, access speed, security, rate of mistake (south quality, image transmitssion, rate of signal loss ) This issue can be solved with modernization and adaptation the current network so that the customers can have good connection with best service, at the same time 67 customers in different locations can access to all services and easily connect to each other Besides, Viettel need to have some specific survey statistics in order to timely upgrade, expand or maintain the networks, ensuring need statisfaction, avoiding network failure during rush hours  Improve customer services: Customer services are related to following stages: - Before sales activities (Marketing, Advertising): This is the first step to build Viettel image in customer’s perception Viettel will push more for communciation activiites, especially presentation of new and added services of Viettel - Sales activiites/ partnership in services delivery: it’s required to simplify all the administrative procedure, shortern the waiting time for services reception, repairing serivces to make sure that customers’s need are addressed in shortest at best convenience - After sales services/ Customer care: fee calculation and collection should be precise and effective; minimize the trouble; reduce immediary stages in operation to make sure that customer’s claims will be addressed at soonest; all the questions are replied: set up hot line, CRM center, automatic responder  Service diversification: Within this economic globalization context, in order to maintain and expand the market oversea, Viettel need to map out a service diversification strategy in order to best satisfy the communication need of customers Service diversification can be conducted by application of new technology and solutions, which enable Viettel to provide more added values to users Ex: the launch of digital stations will help enterprise to provide added services such as alarm, call limitation, call recognition, call diversification At the same time, Viettel also need to implement added value services in order to offer more uitilities for users Then, the enberprise will be able to expand the operation scope, objects and services Besides, Viettel need solutions to open and generate demands of customers in rural ares, make them understand the convenience of various services and study to expand services in this area via network of agents and stores In details, Viettel can diversify services by implementing following activities: - Rearch and study the market demand to launch diversification policy of product range and services which are matching with the production and business conditions of the Group in different development stages 68 - Push invesment, purchase more modern equipments and machineries, contribute to diversification of services, and lowering the unit cost for each product and service at the same time - Change of service and product lines to meet the customer’s need At the same time, create new services to generat demand Especially for added value services, the corporation should study to offer more new services 3.6.5 Building a flexible fee calculation scheme Price is factor which give direct impact on the consumption decision The optimum price is the one which can maximize the market needs and statisfy the enterprise’ s objectives Price is also a decisive element in the competitveness of enterprise If we consider other factors the same for different enterprises, the enterprise with lower price will gain more customers, which will lead to increase of market share, profit, revenue and enhance market position as a whole During the first stage, the right definition of price policy are critically important, which will decide the development and survival of Viettel in new markets Some notes for Viettel during setting up a flexible price policy: - Price influencing factors: income factors, technological innovations, market’s demand and supply relation - Competitive situation in oversea markets, impacts from price fluctuations in the world market - Proposed price should be reasonable with the afordability of consumers and encourage healthy competition To send up an appropriate fee calculation scheme, Viettel can apply following solutions: - Defining the cost policy for service business operation and base on that to work out a reasonable fee policy and reduce service business cost - Study about the suppliers and market, prepare best equipments and offer cheap price, try to avoid intermediary to reduce transportation and commission cost - Strengthen the relations with domestic and oversea suppliers in order to select the best supplier with most reasonable price and optimum quality - Study and apply scientific achievements in order to take a good use of available equiments and machineries, which will save the purchasing expensive, reduce service cost, lower selling price 3.6.6 Establish an appropriate distribution channel 69 In order to push sales, it’s necessary to set up a distribution channel, select markets, study markets, then propose suitable and effective distribution polices to satisfy the cusomter the customers’ need Establishment of a distribution channel which is suitable for each type of product and service, each market segement, each target groups will shorten the time needed to connect the information, ensure that information about services and products will come to cusotmers in quickest time, by which Viettel can increase its prestige Building a suitable servie and product distribution strategy will help Viettel to push sales, optimize the equipments and machineries, gain max profit To that, Viettel need: Defining components of distribution channels:  Direct store: Building direct stores in every provinces They are business entity to take care of customer, supervise the agents and partners at the region  Agent: Telecom services and products shop with distribution contracts with Metfone The functions of agent is to focus on sales and building image The more agents the better, no limitation on the quantity  Selling points: stores, telephone boots, wholesales and retailers… they sell Metfone’s product and services based on the selling agreement Their role is to ensure the coverage, make it convenient for customer The more selling points, the better, no limitation on the quantity  Freelancer: Persons who signed a cooperation contracts with Metfone They are paid with salary and commission Generally, there are or persons for each commune who will sell products and services, collect fees and other customer services  Direct salesmen: Staffs who sell products and services, take care of the agents, selling points, and freelance selling persons … in the region  Other channels such as online sales will be developed and diversified Sales policy for each components of distribution channel: To have an effective sales policy, Metfone need to pay attention to following aspects:  Define clearly the regions for each channel and target group which the channel should focus on, which will avoid the duplication in sales and customer care  Sales policy is identified clearly for each specific object, which will enhance the effectiveness of sales activities (ex: policy for freelance salesmen, 70 policy for agents, selling points…) and follow up the development orientation of distribution channel  Policy should be attractive and flexible for different stages and more competitive than rivals  Policy should be comprehensive and fair to facilitate the development of all distribution channels (ex If the policy for agents is too high, it’s hard to develop freelance salesmen, while the discount of different sales volume are much different the big agents will dominate the market … 3.6.7 Designing effective sales promotion and support programs  Improving advertising and communication Beside advertising on public media such as: magazine, newspaper, television, radio…Viettel also care about advertisement at the post office network, agent system all round the country with pano, banner, flyers, flash… Besides, Viettel need to take better use of the website In this world economic integration stage, it’s very often for someone to work, tourist and live oversea Therefore, the website should be updated with English version to favor the English speaking foreigners who want the information In addition, Viettel need to invest more on the design and regular update of its website In such an IT area, online advertising with internet and website is the most efficient advertising method A professional website will improve the enterprise’s image, enhance the recognition in transaction with customers and lay a good impression for any one who log in the website (customer, visitors, media…)  Improve customer care Customer is the direct user of product and service They bring about revenue for enterprise; better frequency and quantity they use products and services, the more revenue generated Therefore, it’s vital to care about customer and encourage them timely To take a good care of customers, beside quality improvement, there are other things: create a good impression, draw the attention of customers to the company’s products and services In order to that, leaders of enterprise should open a feedback collection box to understand customers’ thinking and perception The enterprise should build a good service manner such as polite, caring… Customers’ claims should be addressed as soon as possible… 71 In short, the enterprise should comply with the traditional business philosophy “Bring customers happiness and satisfaction”  Proactively organize customer meeting Successful customer meeting will help enterprises to be more self-confidents on the markets This event will build up the customers’ loyalty and appeal more potential customers to the Viettel’s products and services This is the occasion to tighten the relationship between Viettel and its customers and affirm the belief of customer in Viettel’s offerings Therefore, Viettel should organize this event on annual basis to communicate new messages to customers and at the same listen to their feedback and expectation from customers However, in order to be successful at this event, it requires an art of marketing techniques from enterprise Generally, customers are eager to participate in this kind of activity where they got an opportunity to express their need and expectation, and also they can have chance to receive valuable prizes from attractive promotion programs offered by providers Because of that, Viettel need to understand better this two way relationship in order to address the desire and taste of customers, which will ensure the success and effectiveness of the annual meeting with customer Besides, before the meeting, Viettel should study about the customers with customer management system, which will help the staffs who will be in direct contact with customers know how to serve them well Normally, the participant are quite passive, Viettel should organize animating games such as zapping logos and package image…This activity will be quite appealing to people, and at the same time can communicate for the enterprise image in an interesting and effective way 3.7 Solutions from state government State supports to Vietnamese enterprises in general and to telecom enterprise in particular are essential during their integration to the international market But, it’s hard to find out the best useful way Many people think that support is relating with capital and infrastructure provision That’s correct, but not enough because what enterprises really need are a healthy economy with stable and effective economic policies which will create favorable conditions for the enterprises to enhance their competitiveness over the foreign competitors 72 Government should formulate a stable and tight legal framework will facilitate foreign investment enterprises Firstly, legal system should be reviewed, inappropriate and intransparent rules should be corrected according to the international standard, especially for Business law and investment law Government should push the administrative reform in business sector, remove all the troubling investment and import and export regulations Among the above mentioned solutions, marketing solutions (market research, product innovations, distribution channel improvement, image promotion…) play especially important role Firstly, marketing offer connecting function, which meant that the company can decide the mobilization and usage of internal resources (finance, technology, HR…) based on the results from market research Secondly, marketing have direct impacts on the customer satisfaction and, therefore, affect the market share (present and future) of the company Thirdly, in a strange overseas market, marketing and communication activities will allow us to build up and promote the image of product and company Finally, PR activities will enable the company to establish a good relation with the local state authorities, which will facilitate the overseas market integration process of the company 73 CONCLUSION Apparently, the foreign market is always a prosperous land for Vietnamese enterprises in general and telecom enterprises in particular to target Especially in this globalization context, the competition is becoming fierce and the domestic market is saturated, the decision to invest oversea is the right one However, the roads to these markets are not simple because of visible and invisible barriers in nations For Viettel, opportunities are there, but also challenges and risks In order to survive and develop in foreign markets, Viettel need to be proactive in business, searching around and be creative to catch up with the market trends and demand With the topic “International business strategy of Viettel Global”, this capstone project focused on a systematic study of literature review on penetration strategy, which then served as a theoretical background for promoting investment and business of Viettel in oversea markets This project also consider and compare the current situation of Viettel penetration strategy including influents analysis, target market selection, penetration methods, marketing mix, in order to find out achievements and failures Based on that, the project proposed some strategic solutions to improve the international business strategy Due to certain time and effort constraints, and limitation of strategic information disclose by Viettel, the research outcomes are subjected to some drawbacks and limitation, which are out of author’s expectation During our study with Griggs’ program, we gained valuable understanding which can be applied in this research project We would like to send sincere thanks to international and Vietnamese professors as well as program coordinators and staffs 74 REFERENCES Le The Gioi, Nguyen Thanh Liem and Tran Huu Hai, “Strategic Management”, Statistical Publishing House, 2009 Liam Fahay & Robert M.Randall , “Portable MBA – Strategic Management”, 2009 Fred R 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house, 2008 14 « International Marketing », Micheal R Czinkota and IIkka Ronkainen, Business and Economics, 2007 15 Report of Viettel 75 ... holding dominating share - Viettel global was established on 24/10/2007 Transaction name: Abbreviation Head office : Viettel Global Investment Joint Stock Company VIETTEL GLOBAL 6th floor, CIT building,... BUSINESS STRATEGY OF VIETTEL OVER THE PAST 2.1 Overview of Viettel Global Investment Joint Stock Company 2.1.1 General introduction about foundation and development: - Viettel Global Investment... Global Investment Joint Stock Company (Viettel Global) is previously the oversea project management unit of Viettel The group decided to establish Viettel global based on the resources of oversea