Building business strategy for one member limited liability company 17 in period 2017 2020 and vision to 2025

Lunghwa Universityof Scienceand Technology Department of Business Administration Thesis for a Master’s Degree Building business strategy for one-member limited liability company 17 in period 2017-2020 and vision to 2025 Researcher: Khuong Tat Thang Supervisor: Le Thai Phong Yuan Cheng Kang November 2018 Lunghwa University of Science and Technology Approval Certificate of Master's Degree Examination Board This is to certify that the Master’s Degree Examinations Board has approved the thesis “Building business strategy for one-member limited liability company 17 in period 2017-2020 and vision to 2025”published by Mr Khuong Tat Thang in the Master Program of Graduate School of Department of Business Administration Master’s Degree Examination Board Board Members： Tsan Chia -Chi Nguyen Van Dinh Doan Thu Trang Advisors：Le Thai Phong Yuan, Cheng-Kang Chair： Tsan Chia -Chi Date: 24/11/2018 ABSTRACT Thesis Title：Building business strategy for one-member limited liability company 17 in period 2017-2020 and vision to 2025 University：Lunghwa University of Science and Technology Graduate School：Department of Business Administration Date：January, 2018 Degree：Master Researcher：Khuong Tat Thang Advisor：Le Thai Phong Keywords: Business strategy Based on actual requirements, theoretical basis, documents, preceding studies on the issue about the business strategy in general and the business strategy one-member limited liability company in particular, I have chosen topic for my thesis: “Building business strategy for one-member limited liability company 17 in period 2017-2020 and vision to 2025” In this thesis, I use secondary data sources from the reports of Company 17 to analyze In thesis, the author simultaneously use primary data sources collected from of Company 17 to study At the same time, the author use the data of Truong Son Construction Corporation to compare Research methods: In the thesis, I use both qualitative quantitative research methods Documentation Methodology: The studied information and materials include publications, survey results, research, maps, statistics, summary reports on construction industry and issues related to research topics Qualitative research methodology: Interview and consultation with some leaders, managers at all levels of the One Member Limited Company 17 The content of the discussion focused on fundamental issues of business strategy of the company in the construction market i Comparative analysis methodology: PEST analysis, Five forces model M.Porter, SWOT analysis, IE matrix for analysis of strategic basis for Company 17 This is the main method of research in this topic Through comparative studies, the thesis will clarify the influence of business environment factors on the process of developing and implementing the business strategy of Company 17 Based on the summary of results, the thesis proposes suitable business strategy for One Member Limited Company 17 in the period 2017-2020 ii ACKNOWLEDGEMENT I sincerely thank the advior Prof Le Thai Phong, and the senior leader of of Truong Son Construction Corporation as well as the staffs in company 17 devoted to guide and help me complete this thesis Thank you! Author Khuong Tat Thang iii Table of contents ABSTRACT i ACKNOWLEDGEMENT iii INTRODUCTION 1.1 Urgency of the topic 1.2 Overview of research projects in the fields of the theme 1.3 Objectives of the research 1.4 Subjects and scope of research 1.5 Research methodology 1.6 The expected results of the dissertation 1.7 The meaning and contributions of the thesis THEORETICAL FRAMEWORK OF STRATEGY FORMULATION APPLIED FOR ENTERPRISES 2.1 General view of enterprise’s strategy 2.1.1 Some basic terms of enterprise’s strategy 2.1.2 Roles of strategy in bussiness activities of enteprises 1.1.3 Levels of strategy 2.2 Process of strategy formulation of company 10 2.2.1 Identification of mission, vision and objectives 11 2.2.2 Analysis of external impacts 14 2.2.3 Analysis of impacts of enterprise’s internal environment 17 2.3 Analysis techniques and Selection of strategy 21 2.3.1 General introduction 21 2.3.2 External Factors Evaluation (EFE) and Internal Factors Evaluation (IFE) 21 2.3.3 Competitive Profile Matrix (CPM) 23 2.3.4 Determination of feasible strategy with SWOT analysis 24 2.3.5 Selection of optimal strategy with QSPM 26 2.4 Basic competitive (business) strategies 27 2.4.1 Basis of business strategy 27 2.4.2 Basic competitive strategies 29 2.4.3 Seletion of suitable stratery 31 2.5 “Characteristics” affecting to determination of business strategy of military construction enterprise 31 iv 2.5.1 Characteristics of organization structure 31 2.5.2 Characteristics of duties 32 2.5.3 General evaluation 32 ANALYSIS OF CONDITIONS FOR FORMULATING STRATEGY OF ONE MEMBER LTD COMPANY 17 34 3.1 Introduction of One-member Ltd Company 17 34 3.1.1 Sketch of establishment and development processes of One-Member Ltd Company 17 34 3.1.2 Structure of organization, management and operation 37 3.1.3 Result of business activity period 2014-2016 39 3.2 Analysis of macroenvironmental impacts on strategy building of Onemember Ltd Company 17 41 3.2.1 Analysis of economic factors 41 2.2.2 Analysis of policy-stipulation factors: 44 3.2.2 Analysis of culture-society factors 45 3.2.3 Analysis of technology, infrastructure factors 46 3.2.4 Analysis of international economic integration environment: 48 3.2.5 Matrix of External Factor Evaluation - EFE of one-member Ltd Company 17 49 3.3 Analysis of task environment per model of competitive pressure year 50 3.3.1 Analysis of pressure from customers 50 3.3.2 Analysis of pressure from suppliers 51 3.3.3 Analysis of risk from substantial products 52 3.3.4 Analysis of competitive intensity between present opponents 52 3.3.5 Analysis of risk of new opponents 55 3.4 Analysis of internal environment of One-Member Limited Company 17 56 3.4.1 Capacity of production 56 3.4.2 Quality of manpower resource 57 3.4.3 Capacity of finance 59 3.4.4 Level of marketing 59 3.4.5 Organization and management 60 3.4.6 Matrix of Internal Factors Evaluation of Company 17 60 3.4.7 Building of Competitive Profile Matrix CPM 61 3.5 General evaluation on SWOT of One-member Ltd Company 17 62 v 3.5.1 General evaluation on opportunities and threats 62 3.5.2 Evaluation on strengths, weaknesses of Company 17 63 PROPOSAL AND SELECTION OF BUSINESS STRATEGY FOR ONE MEMBER LTD COMPANY 17 PERIOD 2017-2020 AND BUSINESS VISION TO 2025 65 4.1 Vision, mission and strategic target 65 4.1.1 Business vision 65 4.1.2 Mission 66 4.1.3 Strategic target 66 4.2 Proposal and selection of business strategy 67 4.2.1 Summary of SWOT analysis 67 4.2.2 Strategies under consideration 70 4.2.3 Select strategy based on QSPM matrix 72 4.3 Main solutions for implementation of chosen strategy 77 4.3.1 Solutions on organization and management 77 4.3.2 Solutions on production and technology 78 4.3.3 Solutions on manpower management 78 4.3.4 Solutions on finance 78 4.3.5 Solutions on Marketing and PR 79 4.4 Requirements and conditions of strategy implementation 79 CONCLUSION 81 REFERENCES 82 vi INTRODUCTION 1.1 Urgency of the topic Nowadays, Vietnamese enterprises operate in a constantly changing environment, which requires companies to set up new approaches in managing economic activities in order to keep up with changes The instability of the economic situation, the tightening of competition, the increasing demand of consumers for the product, the reduction in the life cycle of the goods significantly complicate the managerial process, and the prospects for development are becoming less predictable In these conditions, the advancement in the practice of new ideas and technologies in strategic management play an undeniably important role The main goal of strategy development is to achieve long-term competitive advantages that will ensure the survival, sustainable functioning and development of enterprises However, as the practice of the majority of market participants shows, not all domestic enterprises are ready to form long-term development guidelines Even with a stable financial position and competitive advantages in the market, many of local businesses are not able to formulate an effective strategic plan due to the lack of methodology and methodological tools of strategic management that are relevant to specific Vietnamese conditions Consequently, principles, methods and tools of strategic development are of great interest to Vietnamese enterprises Vietnam construction industry is one of the key economic sectors, attracting investment The share of construction sector in GDP of Vietnam is approximated to percent to over percent of GDP However, the construction industry are still facing some difficulties and challenges Therefore, in order to survive and develop sustainably, construction firms must formulate a strategic plan that is not only scientific but also practical As one member of the Corps 12 (Truong Son Construction Corporation), Onemember limited liability company 17 is also under implementation of comprehensive renovation, reorganization of the security apparatus In operation, the company always persevered with the orientation "Taking basic construction as a core business, in which infrastructure construction, transportation is the center, combined with diversified trading activities" quickly adapting to market conditions, actively investing in modernizing equipment and acquiring, applying advanced science and technology, creating high quality products and always " keep promise" with customers With the right managing direction and the efforts of officers, soldiers and defense workers, company 17 has step by step strived for self-recognition However, with the increasing demand for construction, company 17 is facing strong competition in the market The 3) Labor productivity is not high 4) Promoting joint ventures with partners is limited Opportunities (O) are the following: 1) High demand on construction market 2) Opportunity to cooperate with foreign partners 3) The government encourages soft loans to small and medium enterprises, and develops the construction industry 4) Young and quickly adapted labor force Threats (T) are the following: 1) 2) 3) 4) Reduce public investment, encourage socialization Increasing competition in the market with foreign companies The level of research and technology is limited The legal system on báic construction is not yet completed The summary of SWOT matrix of One Member Limited Company 17 in order to propose a number of strategic options showned in the Table 3.1: 68 Table 3.1: Summary of SWOT matrix of One Member Limited Company 17 Opportunities (O) Threats (T) O1 High demand on construction market T1 Reduce public investment, encourage socialization O2 Opportunity to cooperate with foreign T2 Increasing competition in the market with foreign partners companies O3 The government encourages soft loans to small and medium enterprises, and develops the construction industry T3 The level of research and technology is limited T4 The legal system on báic construction is not yet completed O4 Young and quickly adapted labor force Strengths (S) Strategy SO S1 A reputable construction company Fast growth through: Strategy ST Promote strengths to cope with threats: S2 High disciplined human resources S1, S5, S6/ O1, O2, O4: Differentiation S1, S2, S3 / T1, T3: Cost leadership S3 Good financial strength S1, S2, S3 / O3: Cost leadership S4, S5, S6/ T2, T4: Focus strategy (Differentiation) S4 Synchronous, materials timely supply of S5 High quality construction S6 Disciplined working environment Weaknesses (W) Strategy WO W1 Management mechanism depends on Overcome weaknesses to exploit opportunities: Strategy WT Promote strengths to cope with risk: the Truong Son Construction Corporation W1, W4 / O1, O2, O4: Differntiation S1, S2, S3 / T1, T3: Cost leadership W2 Limited management ability W2, W3/ O3: Focus strategy (Differentiation) S4, S5, S6/ T2, T4: Focus strategy (Differentiation) W3 Labor productivity is not high W4 Promoting joint partners is limited ventures with 69 4.2.2 Strategies under consideration From the summary table SWOT matrix, the author has proposed a number of strategic options as follows: Firstly, cost leadership or low-cost strategy This strategy is built based on the following strengths as a reputable construction company, high disciplined human resources Good financial strength in the context that the Vietnamese government encourages soft loans to small and medium enterprises, and develops the construction industry The purpose of Company 17 in implementing the cost leadership strategy is to operate more effectively than the two direct competitors (Lung Lo and Company 236) to construct at a lower cost • Advantages of the strategy:  Thanks to the lower construction costs, company 17 can offer competitive prices compared to competitors while obtaining the same level of return If the bidding price is the same, the return on the company will be higher than the competitors thanks to lower costs  In the case of high competition, price competition will help the company not only maintain its position but also have the advantage to occupy more market share • Limitations of strategy: When pursuing low cost strategies, the differentiation of the product or service that the company brings will not be high (construction tempo, construction quality ) because differentiation, as previously mentioned, requires expensive investment.This strategy will require the company to pay attention to the market in a large scale because the lower bidding price is to attract more customers According to the SWOT matrix, the SO strategy should aim to exploit strengths to capture opportunities.Here, Company 17 has two options: low cost or differentiation If the low cost strategy is followed, the company should step up the bidding of projects like basic construction works to take advantage of its reputation on the basis of improved management practices to reduce cost, shorten the construction time (focus on improving capacity and management ability, upgrading equipment as well as sense and discipline of employees) Secondly, differentiation strategies 70 The differentiation strategies are the second option off company in SO quarter that are built based on the following strengths as a reputable construction company, synchronous, timely supply of materials and disciplined working environ These factors will be encouraged in the context that Vietnam is the developing country so the demand construction market still very high, the labor force is young and quickly adapted, thus, Vietnam is the destination of many international companies in the world The goal of the differentiation strategy is to maximize profits by providing specialized products, separating the company from the rest of the competitors Differentiation is an effective business-level strategy, in which a company offers unique features that convince customers to pay premiums for their goods and services.To that, the company needs to create a competitive advantage that is different from competitors through three main ways: quality, innovation and customer adaptability.One major advantage of effective differentiation strategies is the ability to sell products to customers at higher prices In this circumstance, the customer gains better satisfaction as well as the belief of the customer in the differentiated quality or brand of the product In pursuit of differentiation strategy, company has to separate the market into different segments.Then based on the specific analysis of each segment, the company will plan to provide appropriate products.The company can maintain a wide range of operations, but it may also focus on a number of niche markets where there is a distinct advantage (eg construction of highway roads, bridge construction) In pursuit of a differentiated strategy, the company needs to actively participate in bidding activities for projects such as highways, bridge construction on the basis of differentiation in construction quality or branding, construction timeframe (focusing on improving labor quality, reputation and market share) Thirdly, the focus strategy (focusing) The focus strategy has two variants: - Low cost focus: In the low cost focus the company seeks a cost advantage in the target segment in order to exploit the difference in cost behavior in several segments - Differentiation Focus: In a differentiation focus, the company seeks to create a distinct product in the target segment that exploits the special needs of buyers in certain segments 71 The difference in the strategy of focusing compared to the two strategies mentioned earlier is that the strategy focuses on serving a specific customer segment or segment of a particular market For a company to achieve this strategic goal, it needs to focus on a particular customer segment or targeted market segments, which can be defined by different criteria such as geography (region), customer type (Industry Ministry or commerce), or a branch of the product line (highways in the product group of infrastructure construction) The focusing strategy creates opportunities for the company to meet the unsatisfied needs of customers.Competition between companies and companies that pursuing differentiation strategies only occurs in one or some segments of the market, so the company needs to ensure the development of a differentiated strategy based on outstanding capacity for a small set of customers In addition, the focus on a small segment can also drive the company to achieve faster innovation 4.2.3 Select strategy based on QSPM matrix 4.2.3.1 Strategic Options In order to effectively use resources, every business cannot pursue different strategies at the same time.The selection of the optimal strategy for the Company 17 in the period 2017-2020 with a vision to 2025 will be based on inputs from the EFE, IFE and SWOT Matrix Strategic selection must meet the following requirements:  In line with the vision and mission of the company;  Compliance with business conditions for the period of 2017 - 2020  It is the highest scoring strategy through the assessment and comparison process, ensuring the scientific integrity of the analytical data QSPM is a tool used to re-quantify information analyzed at earlier stages to enable managers to select best strategies 72 Table 3.2: Business strategy selection by QSPM matrix (External factors) Main factors Weight Proposed strategies Cost leadership (2) (1) Score (3) Conversion Differentiation Conversion (4=2*3) Score (5) Focusing Conversion (6=2*5) Score (7) (8=2*7) Opportunities Increasing construction demand 0.12 0.36 0.48 0.24 Opportunity transfer technology with foreign partners 0.10 0.20 0.30 0.30 The government encourages soft loans to small and medium enterprises, and develops the construction industry 0.15 0.60 0.45 0.45 Young and quickly adapted labor force 0.09 0.18 0.27 0.27 Government reduces public investment, encourages socialization 0.09 0.18 0.09 0.27 Increasing competition in the market with foreign companies 0.17 0.34 0.51 0.34 The level of research and technology is limited 0.15 0.30 0.45 0.30 The legal system on basic construction is not yet completed 0.13 0.39 0.39 0.26 Total E 1.00 Threats 73 2.55 2.94 2.43 Table 3.3: Business strategy selection by QSPM matrix (Internal factors) Main factors Weight Proposed strategies Cost leadership (2) (1) Score Diferentiation (3) (4=2*3) Score (5) Conversion Focusing Conversion (6=2*5) Score (7) Conversion (8=2*7) Strengths High disciplined labor force 0.10 0.40 0.30 0.40 Synchronous, timely supply of materials 0.10 0.30 0.20 0.20 High quality of construction 0.14 0.28 0.42 0.42 Good reputation in basic construction 0.13 0.39 0.52 0.26 Disciplined working environment 0.09 0.27 0.27 0.27 Management mechanism depends on the Truong Son Construction Corporation 0.09 0.27 0.18 0.27 Limited management ability 0.09 0.18 0.18 0.18 Labor productivity is not high 0.14 0.42 0.42 0.42 Promoting joint ventures with partners is limited 0.12 0.24 0.36 0.24 Total I 1.00 Weaknesses Total E + I 74 2.75 2.85 2.66 5.30 5.79 5.09 Table 3.2 shows that the proposed strategies not have noticable differences in adaptation and response to macro-environmental factors However, the differentiation strategy is still superior (with the highest score) on the ability to seize the opportunities and overcome the challenges from the business environment Focusing strategy has the lowest score Similar to the QSPM results with macroeconomic factors, the results of comparisons between strategies from an internal environmental perspective (Table 3.3) show that although the differences between strategies increased but still minimal.Differentiation strategy remains the highest scoring strategy, reflecting the ability to develop strengths and restrict weaknesses when the company implements this strategy The scores for the three strategies were differentiation (5.79 / points), low cost (5.30 / points) and focusing (5.09 / points) This result brings out some remarks: - Firstly: The total score of the three strategies is not high, just above the average In other words, the application of these strategies will allow company 17 to seize opportunities, overcome challenges on the basis of promoting strengths, and restricting weaknesses, but the results are not so great - Secondly: Small difference in total points reflects that the company 17 has not gained competitive advantages, which will be an urgent requirement for the company in the future - Thirdly: The chosen strategy will be a differentiation strategy with the highest total score and the final total score 4.2.3.2 Content of chosen strategy Differentiation strategies are chosen based on the high degree of differences (market share, quality of construction, project progress, reputation and brand name of Company 17) The core competencies are customer satisfaction, technology innovation and construction quality Product differentiation strategies require reinforcing the value of products and services to best satisfy the needs of customers to create competitive advantage by distinct ability In order to implement the strategy of differentiation, Company 17 can apply solutions on investment in equipment, science and technology and human resources to create advantages 75 - To be able to dominate the construction market in differentiation strategy, companies should focus on specific projects that take advantage of the available projects of national defense and road and bridge construction projects - In order to improve the quality of integration, it is necessary for the company to focus on a number of advanced technologies in the construction and investment of specialized testing systems for each construction domain, develop a quality management process that meets domestic construction standards and complies with international practices, balances quality and efficiency, and build a team of supervisory and management consultants which have the ethical and professional capacity, build a reasonable remuneration policy to attract skilled staffs - In terms of construction progress, the company should promote the advantages such as discipline of organizational management, the control of construction progress as well as the mobilization Timely supply of equipment and human resources in the implementation of the project including support to clear the site as well as during the construction process However, company 17 must focus on communication activities to provide information about the unique characteristics and differences By choosing and implementing differentiation strategy, the company will have the following advantages: Firstly, product differentiation helps the company stay competitive in the marketplace thanks to customer loyalty Secondly, product differentiation and loyalty can create barriers to entry for new companies seeking opportunities to enter the market, particularly foreign ones Thirdly, differentiation relieves the threat of substitutes, depending on the ability of competitors to meet customer needs and the ability to break customer loyalty However, there are also disadvantages for the company 17 when choosing a differentiation strategy: Firstly, the imitation of competitors when differentiation in the design of the building or the physical characteristics of the product and difficulty in maintaining high prices Secondly, differentiating the product will increase the company's costs To achieve success, the company needs to ensure that the price for difference (due to the quality of construction, progress made ) must be greater than the additional cost 76 Thirdly, the successful use of differentiation strategies depends not only on providing unique features, but also on communicating the value of these features to potential customers Therefore, in order to pursue this strategy, the company needs to invest in advertising in general and branding in particular 4.2.3.3 Strategic solutions and create competitive advantage Firstly, to improve the efficiency of construction process: the company should simultaneously implement measures to increase sales, increase project bidding and cost savings Secondly, to improve the quality of the works: The company should ensure the creation of high quality products, thereby, satisfying the increasing demand of customers / investors and enhancing the company's reputation Thirdly, innovation: Incorporating the modernization of equipment, production lines, construction as well as management system, organizational structure and functional strategies to ensure the implementation of the chosen strategies Fourth, focusing on the ability to meet customers: The company provides products (design, construction ) in line with the needs at the time that customers or investors expect 4.3 Main solutions for implementation of chosen strategy 4.3.1 Solutions on organization and management In order to implement the differentiation strategy, company 17 must have a clear organizational structure with its parent company - Truong Son Construction Corporation.Accordingly, the parent company can follow the multi-sector strategy, multi-field of operation Subsidiaries, including Company 17, will restructure as specialized organizations in the field of roads construction, bridges, hydropower or support functions In order to achieve this model, it is necessary to: - To renovate the organizational model to be more associated in ensuring security and national defense ability while effectively implementing the business operation with the flexible guidance model - Focus on combining different departments in performing the bidding task and improve efficiency in management - Complete the control system with the implementation of inspection and supervision starting from the management of each unit to have quick assessment data 77 4.3.2 Solutions on production and technology In order to improve labor productivity and increase competitiveness in the market, the company should continue to invest in basic procurement and repair of fixed assets such as purchasing some specialized construction machines: bulldozers, excavators, trucks In addition to investment in equipment and machinery, the company also needs to promote the application of technology and information to improve the efficiency from office activities to the construction process The ineffective, slow communication of information is one of the reasons that affect the results of management and operation of the company Managers must recognize the important role of information technology in the management so that company has plan for modernization by modern information technology systems 4.3.3 Solutions on manpower management In order to meet the planning and development strategy of company 17, it is required to have a high-quality labor force and a dynamic and creative management team.Therefore, the company should take measures to improve the quality of human resources as follows: - Continuing to evaluate and arrange human resources according to quality and efficiency requirements and provide long-term jobs for laborers; - To focus on improving the management level for leaders as well as the professional level for staffs - To formulate policies for training, acclimatization by domestic short courses, organizing study tours - To develop attractive compensation policy to attract skilled and experienced staffs for the key positions of the company; - Formulating the regulation on salary and bonus payment based on productivity, quality and labor efficiency, ensuring competitiveness with competitors to encourage employees, promote creativity 4.3.4 Solutions on finance - Maintaining and extending co-operative relationships with banks to increase borrowing limits At the same time, it is possible to mobilize idle capital of officials and 78 employees in agencies, economic organizations and individuals for investment in development and expansion of operating activities in order to increase revenues, profit - Enhancing the role and responsibility of the financial management staff, speeding up the payment of completed works, strengthening debt collection, including bad debts to have enough capital to run business - Strengthening the technical supervision of quality and safety at the construction site, strictly controlling inputs, avoiding losses and poor quality, improving production and business - Implementing publicity and transparency in the management and administration Developing a reward mechanism, clear rules to promote the full capacity of staff 4.3.5 Solutions on Marketing and PR - Building an e-commerce website to introduce products of the company as well as geographical indications of product areas that have been completed; - Investing in market research and investigation to grasp the trend of market movement in a scientific and authentic way For example, collecting and researching secondary information related to infrastructure market and influencing factors; - Implementing a marketing communication plan to introduce products to potential customers The company also needs to invest in PR activities to strengthen and develop relationships with partners and investors - Trademark registration, private brand of the company - Actively participating in bidding to seek new partners as well as improve negotiation skills, negotiate with customers 4.4 Requirements and conditions of strategy implementation Implementation is the process of turning strategies and plans into actions to achieve strategic goals.Implementing a strategic plan is especially important, or even more important than setting a strategy The requirements and conditions for strategic implementation at Company 17 may include the following:  Budget: Based on the strategy, a budget for implementation will be prepared  Policies and regulations: Must support the objectives of the chosen strategy 79  Setting up optimal activities into a journey with no end points, no destination  Establishing the best information system to control the authorized clues It is very important to delegate the team to implement the strategy  Rewards and incentives policy should consider staffs’ recommendations and engage with performance on a strategic level  Depending on different situations, there should be adjustments in the direction of strategy implementation to adapt quickly 80 CONCLUSION The conducted research helps to identify the most important theoretical and practical problems associated with the strategy development of a military construction enterprise and substantiate approaches to its application in the current Vietnamese economic conditions Given the hierarchy of enterprise managementat Company 17, various fields of its operation, possible patterns of behavior in the industry and the market, this paper proposed a system of strategies that will allow the company to formulate options and make a more informed choice of development strategies Company 17 has a strong reputation in the field of basic construction field with high products quality and disciplined working environment The company needs to maintain its positions by striving to explore the available projects of national defense and road and bridge construction projects as well as focusing on innovation and technologies in the construction and investment of specialized testing systems for each construction domain, develop a quality management process that meets domestic construction standards and complies with international practices, balances quality and efficiency, and build a team of supervisory and management consultants which have the ethical and professional capacity, build a reasonable remuneration policy to attract skilled staffs Due to the limit of time and experience, the thesis has certain shortcomings The diversity and abundance pratical situations require the author to continue to carry more in-depth research so that the planning and implementation of business strategy for OneMember Limited Company 17 would be better To accomplish this thesis, the author has received the dedicated guidance of Prof Le Thai Phongas well as the lecturers, officers of MBAprogram of Lunghwa University Thank you very much / 81 REFERENCES VIETNAMESE REFERENCES Resolutions and Decisions of the Ministry of Defense on integration between economic with defense tasks and direction of construction enterprises in the army Draft Resolution of the Government's Action Program to implement Resolution No 05-NQ-TW on 1/11/2016 at 4th Conference of the Central Executive Committee, Session XII and Resolution No 24/2016 / QH14 on November 8, 2016 of the 14th National Assembly on economic restructuring, renewal of growth model, improvement of quality of growth, labor productivity and competitiveness of the economy in 2016-2020 period FPT Securities, 2017, Construction industry report, www.fpt.vn Ngo Kim Thanh (2015), "Strategic Management Textbook", Publisher: National Economics University, Hanoi Micheal Porter (2008), "National Competitive Advantage", Statistical Publishing House, Hanoi Micheal Porter (2009), Competitive Strategy", Youth Publishing House, Hanoi Nguyen Thi Lien Diep (2015), Management Studies, Social Labor Publishing House Nguyen Khoa Khoi (2008), Strategic Management, Statistics Publishing House One-Member Limited Liability Company 17, Business Report 2014-2016 One Member Limited Company (2016), Development orientation of the company to 2025 ENGLISH REFERENCES Graham Hubbard, John Rice, Peter Galvin (2014), “Strategic Management”, 5th Edition, Washington Fred David (2009) “Strategic Management: Concepts & Cases”,12thEdition, Pearson Education, Inc Publishing as Prentice Hall 82 ... limited liability company in particular, I have chosen topic for my thesis: ? ?Building business strategy for one- member limited liability company 17 in period 2 017- 2020 and vision to 2025? ?? In this... opportunities and challenges in order to determine the company' s business strategy in the coming years • Proposing and selecting suitable business strategies for Company 17 in the period of 2 017- 2020, ... Construction In that context, as a member of the board of directors of the company, I decided to select the topic "Building business strategy for One- member limited liability company 17, period 2 017- 2020