Marketing Strategy for welding and cutting products in Namviet company.doc

Marketing Strategy for welding and cutting products in Namviet company.

First and foremost, I would like to thank you all Nam Viet Trading and constructioninvestment joint stock Company's leaders and staff for their help during my studyfield and writing this report.

Sincere thanks should be expressed to the lecturers and professors who havedevoted their best in taking charge of the class of TATM6 - A1 Foreign TradeUniversity

The writer’s appreciation is to Ms Tran Thi Lan Huong (M.A) for her kindsupervision and suggestions in preparation and writing the report.

Gratefulness is to the readers also, whose feedback will help much in improving thereport.

Dam Thi Le Minh

In a market economy, to succeed in business, enterprises must have effectivemarketing activities Distribution strategy emerged as an important marketing toolto help companies create and maintain long-term competitive advantage in themarket It focused on system administration of the company’s marketing channelsin the market for product consumption

Start with the rhythm of development trend of the economy; hopefully bringthe best products, perfect customer service.

After many open fields and new business, because growth and developmentof its future development and to create momentum for a new powerful company,joint stock company investment and commercial construction Nam Viet was born.Namviet was separated from Cavico Constructions Main Power and Service jointstock Co,

NamViet company is a new company established in July 24, 2009 andinherited the system from the client company Cavico CMS

Viet Nam inherited from system customers and traditional CAVICOVN corporation is a company built bridges and tunnels already are experienced and verygood relationships with other companies provided industrial equipment products with the world brand as Boring machine KoKen from Japan, Uniweld Corporation from Singapore, NamViet should have taken the starting point is the business of cement, steel and business industrial equipment imported from the those big companies

Therefore I am an employee of the Commerce Department of the Nam Viet company has launched a business plan welding and cutting machine to contribute their small role in the development of the company so that I select subject

“Marketing Strategy for the welding and cutting products in Namviet company” for my field study report

As started above, my report consists of 3 (three) chapters, the first one is thecompany’s business operation background which provides general information ofthe company’s business operation to readers, the following one is a description of

the Marketing Strategy for the welding and cutting products in Namviet, and

the last one I give out some more main solutions to improve this.

CHARTER 1: INTRODUCTION TO NAMVIET TRADING INVESTMENT & CONSTRUCTION JOINT STOCK COMPANY

1.History and business field

a History

Namviet Trading and Construction Investment joint stock company is a new company established in July 24, 2009 and inherited the system from the customers of company Cavico CMS

Telephone: (84) 4 379 323 03Fax: (84) 4 379 323 02

Email: sales.navicon@gmail.com website:

b Business field

The main industries:

Trafficking machinery, equipment and spare parts.Building materials business

Broker dealers and auction

Installation of machinery and industrial equipmentConstruction of public works and civil

Business and production chemicals

2.Customers information

Now, Nam Viet is focusing on internal cavico customers system to sell cements,equipments as Namviet start to business and some key customers they are LilamaCorporation, Petro Shipyard Corporation.

3.Business products

a Cement

Nam Viet Co is distributor for Dong Lam Cement Factory, Fico CementFactory, Phuc Son Cement Factory.

b Industrial Equipments and machine

NAVICON supplies solutions for profession welding, cutting field, equipmentsand spare parts for welding, cutting – main supplier of Uniweld Corporation inVietnam – famous in over the World in welding, cutting area.

* Distribute products of famous brands as:

* Metrode offers one of the largest ranges of alloyed welding consumablesavailable from a single source The product range from those suitable for lowalloy steels, through numerous diverse steels, to those matching the performanceof nickel-based alloys.

* ESIWELD: supply welding, cutting machine with Europe Standard

* ESIWELD Ceramic packing tape system is breakthrough in creative toapplication for welding field in order to fix fillet., allowing welding all positionsand all kinds of welding easier very much.

* ESIWELD: All in one pickling Solution – Scale remove & pickling forStainless Steel any high temperature scale and any adjacent low chromium layerof metal from the surface of stainless by chemical means.

* Tempil® Tempil incorporates state of the art

* temperature indicator technology to develop a wide range of temperaturemeasurement products.

* Dykem® Dalo® Marker industrial paint markers stand out for theirdistinctive, bold oil-based paint markings The stainless steel – ball valve actiontip writes through oil, grease and underwater without losing legibility orbrightness even in extreme weather conditions.

* UNIWELD - the professional is a basic heavy duty cutting outfit Theultimate for construction and industrial applications Addition accessories arerequired.

And more, NAVICON provide industrial machines, equipments – spare partsfor drilling, ejecting…of KOKEN – Japan

4.Business Strategy

High Quality Products

Enthusiasm Services

Prompt Delivery

Competitive

Pricing Customer’s benefits

5.Organizational chart

Task of Board of Management: Board of Management responsible for capital investment and direction and control of all activities of the company through its meetings and the annual report from the Director as well as periodic management Task of Director: Director operate directivity all activities of the company and response to the Board of management activities of the company's such as interest, lost, turnover, human resource and set up a new business plan

Task of Vice Director: Vice Directors consult to Director and Board Manager to manage all marketing strategies for specific business directly, in charge of all worksof related departments, implementing functions other specific tasks

Task of Trading Department: implement all project business for welding and cutting products and cement business, implement import and export activities of industrial equipment The entire work of marketing, selling, customer service, maintenance of industrial products Trading Manager give out policies such as selling, marketing and other policies, in charge directive selling for all of products

Department

by month, quarter and year

Task of Administrative Department: in charge all issues of administrative human, labor salary policy, internal affairs, foreign affairs, equipment office Admin Manager consults human resources for Director and Board of Manager.Task of Finance and Accounting Department: responsible for all issues of financial companies on projects such as a loan bank for new business projects, manages the activities of the company's revenue and expenditure, together with Trading Dept is responsible for collecting debts, making the works of tax and banking

Construction and installation Department: is not formed, the border is Dept for future development of NamViet in three years.

CHAPTER 2: MARKETING STRATEGY FOR THE WELDING & CUTTING PRODUCTS IN NAMVIET

A MARKETING RESEARCH ENVIRONMENT

I INVIRONMENTAL MACRO ECONOMY

1 Environmental Government

a Advantages

Foreign investment has reached high levels, primarily focused on infrastructure, high capital disbursements, and use to buy equipment, high quality standard and high technique

There are many opportunities to win more contracts and preferential tax ODA has committed more than $ 5 billion for Vietnam in 2009

FDI, in 2008, about 11 -11.5 billion of capital was made According to the Ministry of Planning and Investment, the current registered capital of the period 2007-2008 ishigh due to latency so that these projects will be implement in 2009 and after years FDI capital flow in 2009 is not much but their quality will be better in and focus on the system infrastructure, major projects, using high technology and have ability to create competitive products (Excerpt from the book publisher's information release in June 2009)

b Disadvantages

we are still in the crisis period, inflation in 2009 is expected about 15%

Market welding & cutting machine went into low-level saturation, factories and companies bought enough equipment for workshops

2 Environmental industry

a Advantages

Through market research showed that although the welding machine market

compete very hard but there are some gaps in the high-tech welding machines, laser cutting machine, CNC high-tech cutting machine, welding rods for cover welding , pressured welding , low carbon alloy has high hardness And advanced

equipment protection In addition, this welding machine cutting equipment in the

workshop in the period 2004-2005 was to be replaced entirely or replaced spare parts and this can be a good opportunity for the Company to enter the industry

b Disadvantages

- There have been many companies offer the same products, they have the depth of market experience, team sales engineer, consultant and engineer, warranty,

maintenance and experienced

- There are many firms specializing in welding, cutting industrial and welding accessories are in the market

II MICRO ENVIRONMENT

1 Internal power of Company

a Advantages

- There is support for close attention from the Board of Management, has potential financial

- The new young, dynamic human resource and adapt easily

- Having good relationships with large corporations such as attracting, oil and gas and shipbuilding to have the advantage of direct sales by the project that these companies have

- Can be flexible in the marketing plan

b Disadvantages

Namviet has not got experience to business in this field, team engineer warranty, maintenance yet to get transferring technology, which is very important in this field.- have to set new the whole system operating companies

2 Researching competitors

Competitors is divided into two regional markets:

Ho Chi Minh: There are about 25 large companies including the direct production

companies and trading companies more productive factory and assembly In there these five companies are strongest

Sun Korean companies and TB WELDTEC: The team of mechanical engineers, electrical engineers and sales staff of engineers, officers and employees are: 150 people, they have one long development history, the brand name and experience in this field, they have established customers system, their customers are: Lilama Corporation, Vinashin, oil and gas corporation, the system of training schools They have full range of products from medium to high level

The company has strengths in business high-tech products is more: HANAN companies

Cat Son Company Company Catminh

Vietnam Coal Corporation

Ha Noi: five strong companies such as:

Ngoc Linh Company

Engineering staff crowded, with assembly plant in Hung Yen, branches nationwide, with enthusiastic sales team consulting, warranty service, maintenance good As an official agency of the Air - Liquide from 1994 sales of the Company are mainly brought from the sale to Air Liquide, which can in terms of flexibility for customers Contingent of technicians: 11 people, Business staff: 7people

Customers of NgocLinh company: Hong Lam Training College, Shipbuilding BachDang, Pha Rung Shipyard, Shipyard Halong, Saigon Shipyard, Marine Engineering,Mechanical Erection Song Da, Automobile Technology, Nghi Son Cement Factory, Tam Diep Cement A number of other training schools

Product leadership fully welding equipment cutting medium to high level Air Liquide-German, Masser, Chowel - Korea, Hualian - China, Thermadyne - U.S., Welding Alloys - English, Eutecic Castolin - Switzerland Their strength is the product of Air Liquide

An Hoa Company

An Hoa is also company imports and assembling machines, welding strengths is its

authorized dealer Dosun Korea They also import and sell the line of the Taiwan computer technology and WSM WSE They also have many years experience about

distributing and selling these machines

The An Hoa sell goods by internet and through project-based, 100% payment beforedelivery, they have strong consulting ability, their crowded, professional engineers team and available goods stock There are many types of machines can be deliveredwithin 2-5 days in Hanoi Their website was built very clear to sell goods by

internet Best selling of brands: ETS – ANHOA, Hypertherm (USA) and Kjilberg (Germany) This is a company famous on consulting, training technical for welding field and producing welding machine and assembly equipment is long to request of customers The company has built a professional selling Website by internet

Tien Dai Phat Company.

Provides a range of variety of machines and diverse types of South Korea, Italy, Japan, this company is developing very fast speeds, are conducted on

professionalize all parts of company such as Customer Service, ability to serve and meet the needs of customers quickly, fast delivery capability (many items available in store), the ability to better control financial policies but not on price flexibility Sales engineer team, mechanical engineer, the management team have more experience

Their products: and full types of industrial machines.

Company Phuclink

Project-based sales professional, has extensive experience in the sales channel, staff engineers and consulting sales professional, do not sell small orders Found they were quite similar to the trend of us, but far exceeding them in terms of expertise and experience

Main products: welding cutting equipment is advanced and they have enormous strength found for Air Liquide

How cluster market nationwide

Company Unitech

This is a company specializing in mechanical cutting including welding industry, high-capacity consultant, sales team and technicians crowded, agency official

airline of Finland Kemppi Addition, they also distributed the welding cutting equipment from Taiwan, China

Product leadership they can provide diverse category of goods from average to advanced, from simple technology to high technology They also have six years experience in this business.

3 Researching SWOT Matrix

a Strengths:

a.1 Namviet can implement customer care very well and amount of customers is not much yet because the company has started business so that we have a lot of timeto interest all customers.

a.2 Namviet can change quickly and flexibly if Namviet sees their marketing programs are not effective.

a.3 Namviet can be control all activity in first period so that we can offer values better to customers.

a.4 We have a certain number of internal customers are CavicoVN Corporation a series of partners we have good relationships.

b Weaknesses:

b.1 The company has no market and long-term reputation

b.2 We could not advoice key staff or one of managers of company who meet bad things as sickness, disease or even remove .

b.3 Flow of capitalism, which is unstable in starting period.

b.4 The welding and cutting machine market has come into saturated, many types of welding rods, welding wire produced in the Vietnam market

c Opportunities:

c.1 It is necessary to disburse FDI, the country is focusing so much on constructing infrastructure, urban works, hydroelectric power, building factories, industrial zones so that there have high demand for industrial products such as welding, cutting machines