Business strategies

vietnam national university, HANOI school of business Nguyen Huyen Trang Business strategies: The case of baoviet’s fronting and broking corporate insurance master of business administration thesis Hanoi - 2011 vietnam national university, HANOI school of business Nguyen Huyen Trang BUSINESS STRATEGIES: THE CASE OF BAOVIET’S FRONTING AND BROKING CORPORATE INSURANCE Major: Business Administration Code: 60 34 05 Master of business administration thesis Supervisor: PhD Nguyen Viet Anh Hanoi - 2011 This watermark does not appear in the registered version - http://www.clicktoconvert.com TABLE OF CONTENTS ACKNOWLEDGMENTS i ABSTRACT ii TÓM T T iv TABLE OF CONTENTS vi LIST OF TABLES viii LIST OF FIGURES ix LIST OF ABBREVIATION x INTRODUCTION 1 The problem Scope of work Objectives and aim Research questions Research methods and data sources Significance .3 Limitations Expected results Thesis structure CHAPTER 1: THEORETICAL FOUNDATION 1.1 Business strategy 1.1.1 Strategy 1.1.2 Concepts of business strategy 1.2 Strategic management 1.2.1 Vision and Mission statement .9 1.2.2 Strategy formulation 1.2.3 Strategy implementation 22 CHAPTER 2: FORMULATION OF BUSINESS STRATEGIES 24 2.1 The concept of service area 24 2.1.1 Insurance in general 24 vi This watermark does not appear in the registered version - http://www.clicktoconvert.com 2.1.2 Characteristics of fronting and broking corporate insurance 28 2.2 Introduction to Bao Viet Insurance 30 2.2.1 Introduction to Bao Viet Holdings 30 2.2.2 Bao Viet Insurance Corporation (Bao Viet Insurance) 34 2.3 Vision and Mission statement 36 2.4 Strategy formulation 37 2.4.1 External analysis 37 2.4.2 Industry analysis 48 2.4.3 Internal environment analysis 58 2.4.4 Choice of strategies 69 CHAPTER 3: IMPLEMENTATION OF CHOSEN STRATEGIES 72 3.1 Choosing strategic solutions 72 3.1.1 SWOT matrix for strategic solutions 72 3.1.2 The GREAT 75 3.2 Performing components of strategy implementation 75 3.2.1 Communication 75 3.2.2 Support 76 3.2.3 Tactics 76 3.3 Actions plan 76 3.3.1 Activities to strategic solution 01 - Improving clients discovery and services 76 3.3.2 Activities to strategic solution 02 - developing professional underwriting 78 3.3.3 Actions plans (for strategy of years from 2011 to 2015) 80 3.4 Recommendations to Bao Viet Insurance 82 3.5 Recommendations to the Government 83 CONCLUSION 85 REFERENCES 87 APPENDICES 89 vii This watermark does not appear in the registered version - http://www.clicktoconvert.com LIST OF TABLES Table 1.1: Sample SCA identification process 20 Table 1.2: A complete SWOT analysis 20 Table 1.3: SWOT matrix 21 Table 2.1: 5-year base-line forecasting 37 Table 2.2: Vietnam Economic Activity 38 Table 2.3: Real GDP growth 39 Table 2.4: Foreign direct investment projects licensed in period 2000 - 2009 39 Table 2.5: Numbers of enterprises (2008 – 2009) 44 Table 2.6: Some figures of non-life insurers 50 Table 2.7: Competencies comparison 52 Table 2.8: Identification of sustainable competitive advantage 68 Table 2.9: Assessment of Weaknesses 68 Table 2.10: SWOT profile 69 Table 2.11: SWOT matrix for generic strategy 69 Table 2.12: GREAT model for generic strategy - 70 Table 2.13: GREAT model for generic strategy - 71 Table 3.1: SWOT matrix for strategic solutions 72 Table 3.2: GREAT model for strategic solutions 75 Table 3.3: Actions plan for 5-year strategies 80 viii This watermark does not appear in the registered version - http://www.clicktoconvert.com LIST OF FIGURES Figure 1.1: Generic strategies matrix Figure 1.2: Strategic management process Figure 1.3: Business environment 11 Figure 1.4: Five forces model 12 Figure 1.5: Value chain model 18 Figure 2.1: Structure chart – Bao Viet Holdings 32 Figure 2.2: Structure chart - Bao Viet Insurance Corporation 36 Figure 2.3: Baseline forecasting for years 38 Figure 2.4: Exchange rate VND/USD 41 Figure 2.5: Interbank USD/VND 42 Figure 2.6: Typhoons and storms 47 Figure 2.7: Non-life insurers divided by owners 49 Figure 2.8: Market share - 2009 51 Figure 2.9: Financial figures of giants – 2009 61 ix This watermark does not appear in the registered version - http://www.clicktoconvert.com LIST OF ABBREVIATION SWOT Strengths, Weaknesses, Opportunities, Threat GREAT Gain, Risk, Expense, Achievability, Time bound PEST Political, Economic, Social, Technological SCA Sustainable Competitive Advantage SCIC State Capital Investment Corporation CEO Chief Executive Officer GDP Gross Domestic Price IT Informatics Technology R&D Research & Development x This watermark does not appear in the registered version - http://www.clicktoconvert.com INTRODUCTION The problem “Tomorrow always arrives It is always different, and then even the mightiest company is in trouble if it has not worked on the future” - Peter Drucker, the legendary management theorist, writer and consultant Business strategies help organizations figure out the right ways to increase their competitiveness and compete successfully, especially in the under-systematic and changing market As the saying above, companies who applying appropriate strategies will create sustainable development On the contrary, companies with unsuitable strategies or without strategies will come to an end Bao Viet Insurance is a big insurer in Vietnam at the moment However, nothing is ever built to last without its own vision and efforts, especially in doing business with foreigners In fast-changing environment, right strategies are of much more importance The study will help formulate and implement appropriate strategies for Bao Viet’s fronting and broking corporate insurance with the hope that this service will get and maintain its sustainable development Scope of work This research focuses on the strategic analysis, business strategy formulation and implementation; and applying the analysis and suggestions to fronting and broking corporate insurance of Bao Viet in order to suggest suitable business strategies f o r the company in terms of fronting and broking corporate insurance until 2015 Objectives and aim In terms of objectives, the research helps review the theory of business strategies and helps give a clear view on industry and service area And then it will apply the theory of business strategies formulation, selection and implementation into the case of Bao Viet in order to figure out appropriate business strategies for Bao Viet’s fronting and broking corporate insurance This watermark does not appear in the registered version - http://www.clicktoconvert.com In terms of aim, t he suggested appropriate business strategy can help Baoviet remain the sustainable leading insurance company in increasingly complicated and challenging Vietnam insurance market Research questions For getting suggested business strategies for Bao Viet’s fronting and broking corporate insurance, it is vital to answer and make clear of the following research questions: - What are business strategies? - What is the way/process to formulate, select and implement the business strategies? - What is the nature of industry and service area? - How should Bao Viet to formulate suitable business strategies for fronting and broking corporate insurance? - How should Bao Viet to implement the selected strategies into business and operation reality? - What are recommendations to the company as well as Government in terms of strategic performance? Research methods and data sources The qualitative (descriptive) methodology is applied to this thesis through specific case study A review of theoretical foundation is carried out to understand the process to formulate, and choose the right strategies; and then know how to apply them into reality Both secondary and primary data collection are used for this research The theoretical foundation part deals with studying books, articles, online documents and other sources The secondary data are also collected from Bao Viet Insurance and its d ifferent departments; from State’s administration offices, from other insurance companies’, brokers’ and partners’ reports and websites (both local and foreign ones) The primary data are collected though interviews of managers, staffs, clients and partners from Bao Viet Insurance as well as from other insurance This watermark does not appear in the registered version - http://www.clicktoconvert.com companies, insurance brokers and partners Some in-dept interviews have been conducted with experts and managers from several companies regarding non-life insurance in order to complete the assessment, ranking, comparison and so on (the detailed results show i n tables of chapter and chapter and the detailed list of interviewees shown in Appendix C) Significance In terms of theory, the thesis will help understand more about business strategies formulation and implementation (vision and mission statement; external and internal environment analysis; recognition of opportunities, threats, strengths and weaknesses; and selection and implementation of the right business strategies in order to achieve company’s goals) In terms of practice, the thesis should help suggest business strategic analysis and business strategies selection and implementation f o r Bao Viet, especially for fronting and broking corporate insurance This is also the reference for other firms and products/services, especially for insurance companies and insurance products/services, which need suitable business strategies for their development Limitations The thesis is directly applied to the case of Bao Viet Insurance, especially fronting and broking corporate insurance In so as to be applied to the cases of other products/services and other firms, it is necessarily required further researches In addition, the thesis is also applied to the case of Bao Viet’s fronting and broking corporate insurance in the period of years from 2011 to 2015 For different period’s appropriate business strategies formulation and implementation, further researches are also required Expected results The study reviews the process to formulate, select and implement suitable business strategies for the company And then the study successfully formulates and selects right business strategies for Bao Viet in terms of fronting and broking This watermark does not appear in the registered version - http://www.clicktoconvert.com integrated processes to serve and sell insurance products to clients through various placement channels (bancassurance, customer referring, multi-level marketing…) which allow Bao Viet to maximize customer acquisition, retention, cross sell and customer profitable wallet-share 3.3.1.3 Developing sales and marketing process This activity comprise of: - Agent management: provide operational capabilities to manage agents acceptance, regulatory documentation and approval, sales agreements, and commission payments - Sales force performance analysis: provide sales performance analysis per placement channel - Agent broker help desk: provide added-value sales support services to agents and brokers in terms of referrals, scheduling, quick quotations and product and sales help desk - Customer help desk: provide to customer services in terms of products and services questions and answers - Telemarketing: execute telemarketing plans according to Bao Viet’s sales plans - Cross sell and up-sell: cross sell and up-sell to customers based on buying propensity - Customer retention: provide retention services to the business based on well designed retention scripts 3.3.1.4 Centralized operations center This activity will be applied in all provinces in a phased approach and will cover all existing and future business units This activity is the centerpiece of this functional strategy It should be designed to work integrated with Head office and branches so as to assure the delivery of the best customer experience for the lowest possible cost and drive sales growth Relevant processes and services at the center are organized to a well defined set of processes using HSBC Process definitions and 77 This watermark does not appear in the registered version - http://www.clicktoconvert.com best in class technologies in order to achieve excellence in customer services, process quality, cost and productivity management This activity is based on best in class management practices using reengineering tools for process management from HSBC (Total performance management for organization alignment, Core competence management framework for people development) 3.3.2 Activities to strategic solution 02 - developing professional underwriting 3.3.2.1 Developing business and underwriting process This activity consists of sub-processes such as: - Expert underwriting: providing the following services (1) allocate underwriter, (2) identify reinsurance agreements with global reinsurers and other insurance companies for risks, (3) analyze accumulation of risk, (4) analyze claims history for underwriting, (5) analyze object at risk administratively, (6) analyze object at risk by expert, (7) analyze requested coverage, (8) determine imposed condition and rates, (9) define terms and conditions, (10) experience “discount” for corporate groups, (11) package contract - Approval and issuance: (1) accept or reject cover, (2) calculate agreement value, (3) calculate charges and commission for premium, (4) calculate installments and discounts and others, (5) confirm calculated premium, (6) insurance contract issuance, (7) contract structure - Actuarial services and pricing: provide actuarial and product pricing services 3.3.2.2 Improving insurance contract administration Including: - Contract monitoring: provide contract monitoring services in order to assure that all customer and contract information are correct and updated - Payment processing: provide (1) payment allocation services, (2) payment management services - Billing: provide (1) debt control and management, (2) billing control and management, (3) taxes control and management, (4) payment methods 78 This watermark does not appear in the registered version - http://www.clicktoconvert.com control and management, (5) lapse and off-set control and management, (6) legal actions control and management - Premium collection: provide premium collection for all phases of the collection cycle - Renewals: provide renewal services to all customer groups and product lines - Insured customer services: provide Insured’s customer services in terms of any changes in contract terms, basic information, cancellation, etc - Customer satisfaction survey: provide customer satisfaction surveys so as to assess the quality of customer experience throughout the value chain 3.3.2.1 Claims management Claims management includes sub-processes as following: - Benefit offering: (1) authorize service benefit offering, (2) calculate claim value and interest payable on benefit, (3) create benefit offering, (4) determine and modify recurring benefit payment, (5) negotiate with vendor to adjust estimate, (6) record service benefit estimate request - Claim anticipation/loss event maintenance: (1) forecast loss event amount, liability and resources, (2) obtain external incident report, (3) record loss event - Claims investigation: (1) allocate claims cost code to claims expenses, (2) analyze information on investigation report, loss circumstances and loss amount estimate, (3) determine claims, liability in loss event and potential fraud, (4) evaluate damage, (5) record damage details, investigation expenses and investigation results, (6) review applicable legislation - Claims recording: (1) receive claims notification, (2) record claims details, claimed loss events and new claim - Claims recovery: (1) accept outgoing claims, (2) calculate salvage value estimate and subrogation value estimate, (3) determine reinsurance eligibility, (4) determine salvage and subrogation potential, (5) initiate recovery payments reconciliation, salvage activities assignment and 79 This watermark does not appear in the registered version - http://www.clicktoconvert.com subrogation assignment, (6) issue outgoing claim, (7) negotiate outgoing claim, (8) offering outgoing claim benefit, (9) record salvage and subrogation result, (10) settle outgoing claim - Claims reporting and statistics: (1) generate claim statistics, (2) review claim trend analysis - Claim settlement: (1) accept claim, (2) accept loss coverage - Claim verification: (1) allocate claim adjuster and investigation activities, (2) analyze claim history, (3) calculate factored reserves, (4) determine claim authorization level and investigation requirements, (5) evaluate claim value and pre-authorization, (6) identify contract claimed against, (7) reject claim, (8) verify coverage viability and contract validity - Service and claims status: (1) close claim, (2) generate loss summary, (3) receive claim communication, (4) request loss documentation, (5) retrieve claim cost, claim history, claim status and contracts under claims, and (6) send claim communication 3.3.3 Actions plans (for strategy of years from 2011 to 2015) Table 3.3: Actions plan for 5-year strategies IMPROVING CLIENTS DISCOVERY AND SERVICES Activities Resources - existing loyal clients - potential clients - existing Customer global groups insurers and brokers - existing client relationships - Current Multichannels channel distribution (bancas, Responsibility/ HR Expected objectives - Managers - Customer care center - Sales forces - Support sales - finish sorting lists of customers - knowing customer’s needs - increase client’s interactions - Deputy CEO - Developing - Various bancas and distribution agent quality 80 Time Schedule Evaluation - From Jan 2012 to Dec 2012 - Quarterly monitoring and revision - Data of sorted clients - Increase client’s interactions (7%/ year) - Clients management - From Jan 2011 to Jan 2013 - Increasing no of products This watermark does not appear in the registered version - http://www.clicktoconvert.com Developing sales and marketing process agents…) - Relations with banks - Available insurance types departments (Bancas dept., agents dept.) - Push more new types of insurance provided by distribution channels (house, credit insurance…) - Regular management and adjustment (monthly and/or quarterly) - Existing skilled staffs - HSBC insurance support - Deputy CEO - Managers - Sales forces - Sales support - customer services section - Agents & brokers & customer help-desks - Call center establishment (time of getting feedback, transfer…) - From Jan 2011 to Dec 2012 - Quarterly report and adjustment - Deputy CEO - Managers - Leaders of member companies - IT section - Contact system among Head office & member companies - Detailed regulations & policies on multi-level management - From Jan 2013 to Jan 2014 - Regular management and adjustment (monthly) - Existing member companies all over Vietnam - HSBC Centralized processes operations - IT support center through channels - Increasing no of insurance contracts/ revenue risen - Channels management - The readiness of help-desks (get all kinds of questions, complaints ) - Call center (real-time transactions limit to max.3 mins…) - No of member companies having operations centers - Full regulations & policies - The fluency of centralization DEVELOPING PROFESSIONAL UNDERWRITING Activities Resources Developing business and underwriting process - Existing skilled underwriters - Available documents on underwriting & various insurance types Responsibility/ HR - Deputy CEO - Operational depts (property, vehicle, fire & engineering ) Expected objectives - Expert underwriting - Approval & issuance - Actuarial services and pricing 81 Time Schedule - From Jan 2011 to Dec 2014 - Quarterly monitoring and revision Evaluation - Expert underwriting on various insurance types - Standard approval & fluent issuance This watermark does not appear in the registered version - http://www.clicktoconvert.com Improving insurance contract administration Claims management - Available documents - Skilled contract management staffs - Current process on contract administration - Deputy CEO - Sales dept - Accounting & finance dept - Management by IT system - Updated accounting - Clients identification - Surveys system - From Jan 2011 to Jan 2013 - Regular management and adjustment (monthly and/or quarterly) - Existing claimhandling staffs - Existing claim management process - Existing relations with loss-adjusters - Deputy CEO - Operation management sector - Claims dept - Other operational depts - Skilled claim staff teams - Claims statistics - Claim management process - Good relations with loss-adjuster - From Jan 2011 to Dec 2015 - Regular management, report and adjustment - Proper pricing & increasing revenues - Complete IT system for contract management - Proper accounting system - Updated clients identification system - Complete surveys system - Complete claim statistics - Complete claim management process - Building relations with current lossadjusters 3.4 Recommendations to Bao Viet Insurance The process of strategy implementation and evaluation is continual and always has the linkages and unitization among steps Bao Viet should follow the process of strategy implementation and evaluation as such: Planning è Implementing è Monitoring è Adjusting è Planning The generic strategy and strategic solutions should be strictly followed actions plan However, actions plan is not constant, it is, and should be, flexible and appropriate with the changes in market, legal framework, and other factors Besides, the actions plan also does matching with overall strategy of Bao Viet Insurance 82 This watermark does not appear in the registered version - http://www.clicktoconvert.com Also, the company should have a regular revision to see if intended action steps in the plan and gained results aligning with expected objectives Evaluation and monitoring are periodically required for necessary and flexible changes in actions, in strategic solutions, even in generic strategy and objectives if needed This is especially true in the fast-changing and challenging market In addition, strategy implementation and evaluation needs suitability of both vertical and horizontal communication Vertical communication is performed when there is a coordination and cooperation among departments, divisions, sections And horizontal communication goes through all of these departments, divisions and sections 3.5 Recommendations to the Government Along with strategy and actions of all kinds of companies working on insurance market, the Government should also have suitable application and alteration to follow the rule of development In details, Government should: - Make all kinds of laws and other legal regulations/framework fit with the development of insurance market - Limit the method of prohibition, as it is an improper way to control market; market is an overall combination of many different factors; therefore the impact on a factor should definitely create multidimensional impacts on other factors The threat is that Government cannot control all the multidimensional impacts; then they would lead to other uncontrolled issues - Orient competition in insurance to a healthier and more equal way with decreasing unhealthy competition that harms the market; levy suitable fines and sanctions on unhealthy and illegal competition - Support in professionalism and standardization of insurance market; develop insurers’ organization such as association and promote standard education in insurance, especially underwriting skills and customer care spirit 83 This watermark does not appear in the registered version - http://www.clicktoconvert.com In general, together, enterprises, law- makers, Government and other objects should have directional and co-operational thoughts and actions in order to push the development of insurance market in Vietnam in going along with global insurance market 84 This watermark does not appear in the registered version - http://www.clicktoconvert.com CONCLUSION As mentioned in Introduction part and through out the contents, this study provides fundamental theory on business strategy and strategic management After mentioning known concepts on business strategy, the formulation, selection and implementation of business strategy are also stated Further, the thesis also helps formulate and choose the most appropriate business strategies for Bao Viet Insurance in terms of fronting and broking corporate insurance in the period of next years Then, the research provides suggested implementation of chosen strategies into business and operation reality, and recommendations to both the company and the Government for better strategy performance Since the opening up of Vietnam insurance market, the Vietnam’s insurance sector has seen noticeable growth, especially in the last few years This is, in a large part, due to a dramatic increase in the number of foreign insurers, brokers, reinsurers that getting access to the insurance market in general and non-life insurance market in particular Although the industry remains small and under-developed, both local and foreign insurers are confident that growth will continue at an accelerated rate There will be challenges as well as the tremendous opportunities for growth and development In this more and more fast-growing, challenging and complicated industry situation, Bao Viet Insurance is placed to find the new way for sustainable development, especially with areas concerning foreign cooperation such as fronting and broking corporate insurance By strategically utilizing the market opportunities and taking advantage of the company’s competitive strengths, Bao Viet Insurance is recommended to apply the generic strategy of Differentiation, which focuses on Customer services From the light of generic strategy Differentiation, and from the result of GREAT analysis, the two strategic solutions with highest marks should be applied are (1) improving clients discovery and services, and (2) developing professional underwriting 85 This watermark does not appear in the registered version - http://www.clicktoconvert.com By scanning the knowledge on strategy and strategic management, and by using the theory into the analysis of the specific case – Bao Viet’s fronting and broking corporate insurance, the thesis gives some strategic suggestions on business strategy formulation and implementation for Bao Viet Insurance To some extents, the theoretical approach, the process and somewhat of analyses can be applied in cases of other companies in insurance industry in Vietnam or applied for different periods of Bao Viet’s strategies as well 86 This watermark does not appear in the registered version - http://www.clicktoconvert.com REFERENCES Alex Miller, Gregory G Dess (1996), “Strategic management”, McGrawHill, New York Aon Benfield (2009), “Vietnam insurance market” Association of Vietnamese Insurers (2010, 2009, 2008, 2007), “Vietnam insurance market statistics” Bao Minh’s annual reports and brochures (2009) Bao Viet Holdings’ annual reports (2009, 2008, 2007) Bao Viet Insurance’s seminar on insurance – fire and engineering 2009 – 2015 Bao Viet Insurance, “Basis on non-life insurance” Dang Quang Tinh (2009), “Vietnam country report of flooding and typhoons”, Institute of Meteorology and Hydrology Lloyd L Byars, Leslie W Rue, Shaker A Zahra (1996), “Strategic management”, Irwin, Chicago 10 Michael E Porter, “From competitive advantage to corporate strategy”, Harvard Business Review 11 Michael E Porter, “The five competitive forces that shape strategy”, Harvard Business Review 12 Michael E Porter, “What is strategy”, Harvard Business Review 13 “Notes on the structural analysis of industries”, Harvard Business Review 14 NRMA, “Insurance basics” 15 Samuel C Certo and J Paul Peter (1998), “Strategic management – a focus on process”, Mc GrawHill, New York 16 Swiss Re (2010), “Sigma – World insurance in 2009” 17 Willis Group Holdings Limited, “Vietnam insurance report 2010” 87 This watermark does not appear in the registered version - http://www.clicktoconvert.com 18 www.wikipedia.org 19 www.gso.gov.vn 20 www.mot.gov.vn 21 www.marketingteacher.com/lesson-store/lesson-generic-strategies.html 22 www.12manage.com/methods_porter_five_forces.html 23 www.eiu.com 24 www.exchange-rates.org/history/VND/USD/G 25 www.f319.com/home/1228062/page-12 26 www.12manage.com 88 This watermark does not appear in the registered version - http://www.clicktoconvert.com APPENDICES APPENDIX A INSURANCE PREMIUM INCOME BY LINE OF INSURANCE First months of 2010 (Unit: 000 000 VNĐ) no 5.1 5.2 Lines of Insurance Direct insur premium Domesti c reinsur assumed Overseas reinsur assumed Domestic reinsur ceded Overseas reinsur ceded Premium deduction ,returns Net premium 8=2+4-6-7 Personal Accident, Heath Insurance Insurance of good transported Aviation Insurance Motor Vehicle Insurance Fire, Explosion & property all risk Insurance Fire and Explosion Insurance Other Property All Risks Business Interruption Insurance Hull and P&I Insurance Public liability insurance Agricultural 1,687,642 3,729 385 17,304 31,932 3,631 1,652,464 875,273 96,028 14,466 139,061 212,891 11,658 665,190 362,775 8,480 1,297 20,003 274,576 19,738 69,758 3,884,536 34,066 2,205 17,863 10,145 14,397 3,862,199 1,099,236 117,124 101,132 279,443 464,624 6,220 729,524 254,124 1,240 34,777 50,148 48 203,928 845,112 115,884 101,132 244,666 414,476 6,172 525,596 29,977 3,243 (28) 2,781 10,316 196 19,437 1,380,553 171,839 19,681 354,446 450,165 23,023 927,046 323,648 6,117 28,755 582 493 42,616 11 85,642 4,635 843 237,656 1,482 89 This watermark does not appear in the registered version - http://www.clicktoconvert.com 10 11 11 11 11 11 11 12 insurance Credit & financial risk insurance Property & Casualty Insurance Including Car & EAR insurance Machinery breakdown insurance Electronic equipment insurance Oil & gas insurance 13,784 213 49 4,053 325 9,406 2,753,863 269,077 152,566 584,309 1,397,860 48,492 1,460,077 1,428,541 215,367 81,818 376,686 555,811 30,819 923,729 46,898 1,540 126 6,774 14,446 951 31,627 53,823 429 83 1,061 2,230 31 51,645 1,041,102 25,547 63,302 167,259 736,604 16,227 351,573 Others 183,499 26,194 7,237 32,529 88,769 464 101,503 Total 12,417,404 733,136 292,197 1,457,886 2,946,839 128,523 9,634,239 Note: Net Premium of whole market does not include domestic reinsurance Source: Association of Vietnamese insurers APPENDIX B GROWTH RATE OF DIRECT PREMIUM BY LINE OF INSURANCE First months of 2010 Direct Ins.Premium No Lines of insurance Reported period Personal Accident, Heath Insurance Insurance of good transported Aviation Insurance Motor Vehicle Insurance Fire, Explosion & property all risk Insurance In which: 5.1 Fire and Explosion Insurance 90 The same period before % Growth rate 1,687,642 875,273 362,775 3,884,536 1,310,939 671,059 326,988 3,246,418 28.74% 30.43% 10.94% 19.66% 1,099,236 817,484 34.47% 254,124 143,507 77.08% This watermark does not appear in the registered version - http://www.clicktoconvert.com 5.2 Other PAR insurance Business Interruption Insurance Hull and P&I Insurance Public liability insurance Agricultural insurance 10 11 11 11 11 11 12 12 Credit & financial risk insurance Property & Casualty Insurance Including CAR & EAR insurance Machinery breakdown insurance Electronic equipment insurance Oil & gas insurance Others Total 845,112 673,977 25.39% 29,977 1,380,553 323,648 6,117 20,587 1,143,039 226,801 986 45.61% 20.78% 42.70% 520.39% 13,784 2,753,863 5,554 2,087,964 148.18% 31.89% 1,428,541 1,113,396 28.30% 46,898 53,432 -12.23% 53,823 53,965 -0.26% 1,041,102 708,145 47.02% 183,499 159,026 15.39% 12,417,404 9,857,819 25.97% Source: Association of Vietnamese insurers APPENDIX C List of interviewees: 01 Mrs Nguyen Thi Minh Thi – General Manager, Corporate & Broking Account Department, Bao Viet Insurance Corporation 02 Mr Adrian – General Manager – Risk Management Sector, Bao Viet Holdings 03 Mr Do Anh Tuan – Deputy CEO, Vietinbank Insurance 04 Mrs Dao Thi Minh Phuong – Deputy General Director, QBE Insurance (Vietnam) Company Limited, Hanoi branch 05 Mrs Do Thi Thuy Trang – Executive Director, Gras Savoye Willis Vietnam, Hanoi Branch 06 Ms Pham Quang Trinh – Account Manager, Gras Savoye Willis Vietnam, Hanoi Branch 07 Ms Van Thi Ha Chau – Deputy Manager, Aon Vietnam Limited, Hanoi Branch 08 Mrs Vu My Lan – CEO, Aon Vietnam Limited 09 Mrs Do Thi Hong Minh – Business Development Manager, Marsh Vietnam Limited 91 ... focuses on the business strategies formulation, selection and implementation Chapter 2, Formulation of business strategies, presents the specific process to formulate the suitable business strategies. .. implementation of the right business strategies in order to achieve company’s goals) In terms of practice, the thesis should help suggest business strategic analysis and business strategies selection... HANOI school of business Nguyen Huyen Trang BUSINESS STRATEGIES: THE CASE OF BAOVIET’S FRONTING AND BROKING CORPORATE INSURANCE Major: Business Administration Code: 60 34 05 Master of business administration