Nghiên cứu thực trạng và triển vọng phát triển ngành công nghiệp lắp ráp và sản xuất xe máy Việt Nam

General context, the necessity and implication of the research project Vietnam’s motorcycle assembly and manufacturing industry, formed since

1990, initially based on the investment of Japanese and Taiwanese motorcycle makers, has rapidly developed and sufficiently met the domestic demand for basic motorcycles. The positive development of the motorcycle industry has come from the great demand for motorcycles in Vietnamese market and the policies to encourage foreign investment by government. Yamaha Motor Vietnam, one of the FDI manufacturers has gained a relatively strong position in the motorcycle market in Vietnam.

Although it was a latecomer, Yamaha has worked to build products which stand among the very best in the country through its constant pursuit of quality; and at the same time, through these products, it has sought to contribute to the quality of life of people nationwide. Following on the success, Yamaha has set up their target to become the number one brand name in manufacturing motorcycles for the youth. In order to achieve this goal, the company should engage in strategic planning to make effective decisions.

Based on the need for intergrating analysis and intuition in strategic management, our group has decided to formulate some strategies for Yamaha in the capstone project report: “Building up business strategy for Yamaha Motor Vietnam by 2015”.

Objectives of the study The study objectives include

Scope of the study

Methodology

Structure of the study

Theoretical background on Business strategy management

Building up business strategy for Yamaha Motor Vietnam by 2015 Chapter 3: Some solutions to implement business strategy for Yamaha Motor

Class: GaMBA.X0409

THEORETICAL BACKGROUND ON BUILDING BUSINESS STRATEGY

 Identify opportunities and threatens from external environment, the internal strengths and weaknesses; then to promote the strengths, minimize weaknesses, catch opportunities and prevent risks from outside. In conclusion, the three basic levels strategies are not independent but have such a closely connection that the strategic level is a precondition for lower-level strategies, while lower-level strategies should adapt to the higher-level strategies so that the new strategy implementation can be sucessful and effective. With a limited scale of the capstone project report, we hereby just base on some keys tools to analyze Yamaha business performance such as: EFE matrix, IFE matrix, SWOT matrix, BCG matrix, IE matrix and QSPM.

An EFE matrix allows strategists to summarize and evaluate economic, social, cultural, demographic, environmental, political, governmental, legal, technological, and competitive information. Regardless of the number of key opportunities and threats included in an EFE matrix, the highest possible total weighted score for an organization is 4.0 and the lowest possible total weighted score is 1.0. The IFE matrix summarizes and evaluates the major strengths and weaknesses in the functional areas of a business, and it also provides a basis for identifying and evaluating relationships among those areas.

The BCG Matrix allows a multidivisional organization to manage its portfolio of businesses by examining the relative market share position and the industry growth rate of each division relative to all other divisions in the organization.  Step 4: Determine the Attractiveness Scores (AS) defined as numerical values that indicate the relative attractiveness of each strategy in a given set of alternatives (range for AS from 1 to 4).

BUILDING UP THE BUSINESS STRATEGY FOR YAMAHA MOTOR VIETNAM BY 2015

In Vietnam two decades ago, motorcycles were just the minority, being considered as an asset rather than means of commuting; however, motorcycles are now more and more popular and become the majority means of transportation across the country, accounting for about 61% total vehicles. In the period from 1996 to 2002, the major demand was basic moped motorcycles whose engine capacity was from 50cc to 100cc, but from 2003 to 2008 the demand for motorcycles was more diversified and there was the appearance of scooter models. 002/2007/QD-BCT of Ministry of Industry and Trade to formulate the “Master Plan for the Development of Vietnam’s Motorcycle Industry in the period of 2006-2015, with a vision to 2020”, Vietnam determines: By 2015, Vietnam will become a center for designing, manufacturing and assembling motorcycles in a large scale, have.

 Be able to produce big motorbikes with engine capacity over 125cm3, high-class scooters, sport motorbike, three or four-wheeled motorcycles for invalid people, Off-road motorcycles for tourism and agriculture products transportation, for domestic and export markets; production capability of these models will share 30% of industrial capability;.  Supporting industries of motorcycle industry will have international competitiveness, take part in production and supply chains of international motorcycle groups; export revenues of motorcycles and components will reach about 400 million US dollar. Together with the higher personal income level, the demand for personal means of commuting also increase, that facilitates YMVN and other motorcycle makers in Vietnam to continue investment and production development.

This has boosted the demand for purchasing personal vehicles for daily commuting purposes in cities, where the motorcycles are considered as the most popular means thanks to its economy and mobility. The demand for high quality products which is not merely within the limited urban areas but also is expanding to the rural area facilitates YMVN to expand the sale to wider area with higher sale result. Within the period from 1999 to 2004, the major manufacturers focused on dealing with the invasion of cheap motorcycles from China but now the competition is just within 5 FDI makers (Honda, YMVN, SYM, Piaggio and Suzuki).

Honda Vietnam (HVN): Thanks to the advantage of brand-name that deeply rooted in mind of Vietnamese since the year 1970s of previous century, the establishment of HVN in Vietnam was quickly welcomed by customers, and from which they always lead the market with above 55% share of total demand. With the huge demand for motorcycles with engine capacity under 175cc, the world leading motorcycle makers which are Honda, Yamaha, Sanyoung, Piaggio and Suzuki have established their plants in Vietnam. Customers: The motorcycles’ demand tends to increase rapidly, not only the demand of beginners but also including the demand for replacement of over 12 million Chinese motorcycles sold in Vietnam since the year 2,000.

Distributors: According to statistics and market survey of the Marketing department of YMVN, there were over 3,000 of motorcycles retail sales shops nationwide in the year 2005 and 70% of which specialized in retailing Chinese motorcycles. As the current technology standard and competency of supporting industries towards motorcycle manufacturing industries in Vietnam are too weak so there are only 80 vendors that can meet the quality and technical requirement of FDI manufacturers. YMVN is one of the leading company in motorcycle manufacturing industry, thus their strategic implementation process always bears a lot of impact force from the industry’s environment under economic integration progress and rapid changes like today.

Aware of the importance of R&D when Vietnam had been becoming the 4th biggest demand country in the world and the second biggest market of YMC, the company sent many key officers to Japan to study and do research for such a long time. During the past 12 years, YMVN has conducted hundreds of market researchs in Vietnam, and the collected data have contributed remarkably to the process of forecasting and designing colors, graphics and styles.

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Basic moped: This category accounts for 56% of total motorcycles demand in Vietnam; focus on customers with low income. With the ability to modulize many models in all ASEAN market, HVN has great advantage in fixing low price. However, YMVN has advantage in quality and particular design for only Vietnamese end-users, resulting in quite good penetration and 22% market.

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