Đang tải... (xem toàn văn)
DEVELOPMENT OF BUSINESS STRATEGY FORNAM HA GARMENT STOCK COMPANY.The different views of Corporation business strategyPlanning business strategy processAnalysis the impacts of macro environmentUsing Porter’s Five Forces model to analyze business sectorAnalysis potential new entrantsANALYZE THE SITUATION OF NAM HA GARMENT STOCK COMPANY
BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 THESIS DEVELOPMENT OF BUSINESS STRATEGY FOR NAM HA GARMENT STOCK COMPANY BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 ACKNOWLEDGEMENTS Firstly, we would like to give my deeply appreciation to Faculty Group for their comments We also want to give many thanks who offer us support throughout the academic year We guarantee this capstone project is our team’s research It was gathered from multiple sources and the actual document This capstone project is not copied from any research before We are completely responsible for the content of this capstone project Hanoi, August 11th 2009 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 TABLE OF CONTENTS ACKNOWLEDGEMENTS TABLE OF CONTENTS INTRODUCTION CHAPTE R 1:LIT E RATURE REVIE W AND THE ORETI CAL BA SIS 11 1.1 Business strategy: Concepts and classifications 11 1.1.1 The different views of Corporation business strategy 11 1.1.1.1 Classical views 11 1.1.1.2 Evolution views 11 1.1.1.3 According to process views 12 1.1.1.4 Systems views 12 1.1.2 The concept of business strategy 12 1.1.3 Classifications of business strategy 13 1.1.3.1 General Strategy 13 1.1.3.2 Functional strategies 15 1.2 Planning business strategy process 16 1.3 Develop business strategy 17 1.3.1 Analysis the impacts of macro environment 17 1.3.1.1 Analysis the impacts of economics 18 1.3.1.2 Analysis the impacts of politics 19 1.3.1.3 Analysis the impacts of social 19 1.3.1.4 Analysis the impacts of technology 22 1.3.2 Using Porter’s Five Forces model to analyze business sector 22 1.3.2.1 Analysis the rivalry among competitors 22 1.3.2.2 Analysis the bargaining power of buyers 26 1.3.2.3 Analysis the bargaining power of suppliers 26 1.3.2.4 Analysis potential new entrants 27 1.3.2.5 Analysis the threat of substitute products 31 1.3.3 Enterprise analysis 31 CHAPTER II: ANALYZE THE SITUATION OF NAM HA GARMENT STOCK COMPANY 36 2.1 Introduce about Nam Ha Garment Stock Company 36 2.1.1 Introduce about Nam Ha Garment Stock Company 36 2.1.2 The process of formation and development 36 2.1.3 Functions, responsibilities and organization structure of Nam Ha Garment Stock Company: 37 2.1.3.1 Functions: 37 2.1.3.2 Organization structure of Nam Ha Garment Stock Company 38 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 2.1.4 Quality Standard 40 2.2 Analyze macroeconomic environment 41 2.2.1 Economics 41 2.2.1.1 The growth of the economy 41 2.2.1.2 Inflation 42 2.2.1.3 Unemployment rate 43 2.2.1.4 Exchange rate 44 2.2.2 Analysis the impact of politic events 44 2.2.3 Analysis of impacts from law and policies 47 2.2.4 Analysis of impact by social conditions 51 2.2.5 Analysis of impact from technology change 52 2.3 Analysis of environment of garment and textile industry 53 2.3.1 Analysis the rivalry among competitors 53 2.3.1.1 The competitors of Nam Ha Garment Stock Company 53 2.3.1.2 Analyis of rivalry of competitors 56 2.3.1.3 Making the table of position assessment of Nam Ha Garment Stock Company compared to its competitors 59 2.3.2 Analysis of customers’ pressure 61 2.3.2.1 Classification of customers 61 2.3.2.2 Analysis of customers’ position 62 2.3.3 Analysis of suppliers pressure 62 2.3.4 Analysis of pressure from potential competitors 63 2.3.5 Analysis of pressure from substituted product 63 2.4 Analysis of internal situation of Nam Ha Garment Stock Company 63 2.4.1 Analysis of productivity 63 2.4.2 Financial analysis 66 2.5 Summary of opportunity, risks, strong points, weak points of the Company 71 CHAPTE R III: B U SINESS STRAT ER GY OF N AM H A GARME NT STOCK COMPAN Y IN 2009 - 2015 73 3.1 Summary the situation of Nam Ha Garment Stock Company 73 3.2 General strategy of Nam Ha Garment Stock Company in 2009-2015 75 3.3 Functional strategy of Nam Ha Garment Stock Company 75 3.4 Implementing functional strategies of Nam Ha Garment Stock Company 79 Using Value chain Model to apply functional strategies 79 3.4.1 Infrastructure 79 3.4.2 Human Resources Management 79 3.4.3 Technology Development 80 3.4.4 Procurement 80 3.4.5 Operations and Logistics 80 3.4.6 Marketing, Sales and Services 81 CONCLU SION 82 REFERE NCES 83 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 I Vietname se Sources 83 II English Sources 84 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 LIST OF TABLES Table Name 2.1 GDP of Vietnam in 2006 – 2009 2.2 Inflation rate of Vietnam in 2006-2009 2.3 Unemployment rate of Vietnam in 2006-2009 2.4 List of Domestic competitors 2.5 Turnover of Nam Ha Garment and competitors in US and EU market in 2008 2.6 Assessment of rivalry of Nam Ha Company compared to its competitors 2.7 Market share of competitors of local market 2.8 List of international customers of Nam Ha Garment Stock Company 2.9 Export turnover of Nam Ha Garment Stock Company in 2008 2.10 Productivity of the company in 2006-2008 2.11 Company’s Profit& Loss in 2007-2008 Solvency and profit of the company in 2007-2008 2.12 2.13 Capital structure of the company in 2007-2008 2.14 Organization by profession and skill BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 2.15 2.16 3.1 Summary of opportunities and threats of Nam Ha Garment Stock Company Summary of strengths and weaknesses of Nam Ha Garment Stock Company SWOT Matrix BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 LIST OF FIGURES AND GRAPHS Figure 1.1 The Five Forces That Shape Industry Competition Figure 2.1 Organization structure of Nam Ha Garment Stock Company Figure 2.2 Quality Standard of Nam Ha Garment Stock Company Figure 3.1 Value Chain Model BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 INTRODUCTION The necessity of project Enterprises when involve in the market have to define the specific long-term goals and long-term business strategy for development However, the existence and development of a business not only depends on the enterprises’ activities but also affected by many factors The changes of business environment and the demands are these enterprises’ opportunities but also are the challenges for other enterprises To develop, the enterprises have to determine policies and strategies to take full advantage of business opportunities and limitations at risk From that, the enterprise can enhance the effectiveness, competitiveness and performance of business Therefore, business strategy cannot be missing, it is very important for the development of enterprises in the future In studying and research period of Nam Ha Garment Stock Company, I found that strategic business planning is an important factor to the enterprises’ success Therefore, I chose the topic: “Development of Business strategy for Nam Ha Garment Stock Company in 2009-2015” Research range Topics focus on three mainly ideas: - The basis of business strategy - The issues to develop the business strategy - Develop a strategic business for the company from 2009 to 2015 and the solutions to implement strategy Methodology - The analysis, comparison, synthesis - Method of statistics: Outlines of capstone BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 Besides the introduction and conclusion, the topic is divided into parts: Part 1: The theory of planned business strategy Part 2: Analysis of base to form a strategic business Part 3: Strategic formed 10 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 As per the presentation of technology by Nam Ha Garment Company above, we can see that, the company has invested modern equipment and machinery, complete lines, closed from design patterns, preparation techniques, the complete product to the washing stage, packing, even embroidery equipment is specialized equipment used for a specific products Equipment and machine are from famous manufacturers such as Juki, Brother, Textima With the investment on technology, we have to meet the following criteria: • Increase productivity, resolve the problem of increasing labor cost • Ensuring the quality products right from the first stages of production processes to meet customers' needs As such, the Nam Ha Garment Stock Company can consider this as strong points and implement the production plans to utilize that strengths 70 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 2.5 Summary of opportunity, risks, strong points, weak points of the Company Table 2.15 Summary of opportunities and threats of Nam Ha Garment Stock Company Opportunities Threats Increased income leads to the increase Increasing inflation rate of garments demand 2.Hard to attract high quality human Increase exchange rate resources Vietnam joined to WTO The Government had to cut down the Government issued the garment support for area development plan for investment encouragement and business local material area policies Growth reduction The formation of general laws and 5.Interest rate increase anti-corruption law The development 6.Reduced import tax for garments of garment 7.Stricter demand from consumers technology 8.Foreign companies want to invest in Stable material with low price Vietnam, including the garment industry and domestic competitors with very strong potential to create competition intense 9.Many substituted products 10.The Government cut down the support for domestic material resources development planning 71 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 Table 2.16 Summary of strengths and weaknesses of Nam Ha Garment Stock Company Strengths Weaknesses 1.Low labor cost 1.No 2.Modern and uniform technology development 3.High productivity, policy for human resource international 2.No high class T shirt standard product quality Bad domestic distribution system 4.Financial potential 4.No powerful brand name Undiversified design 6.Few customers consumed large amount of products of the company 72 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 CHAPTE R III: B USINESS ST RAT ERGY O F NAM H A GARME NT ST OC K COMP ANY I N 2009-2015 3.1 Summary the situation of Nam Ha Garment Stock Company From the analyzing of Nam Ha Garment Stock Company in Chapter II, we have situation summarized of this company PEST model (politics, economics, social and technology) was used to analyze the effects of macroeconomic environment to Nam Ha Garment Stock Company In 2008, the recession of global economic influenced many countries, Vietnam GDP was decreased It led the decreasing of export market In addition, the inflation and interest rate increased rapidly The inflation rate led the increasing price of input prices The investment to infrastructure of this company had to stop or launch slowly because of high interest rate The order from foreign customer was decreased It was hard for Nam Ha Garment Stock Company in business and operation in 2008 The raising of USD/VND exchange rate had both advantage and disadvantage for NAGAR The price of machine, equipment and material, which were import from foreign countries, is higher when USD/VND exchange rate is high However, it made a competitive advantage for NAGAR because of low export price Joining WTO of Vietnam brings both opportunities and challenges to Nam Ha Garment Stock Company This company has change to expand export market and select material from many suppliers on the world However, NAGAR will have many new competitors in Vietnam market The politics in Vietnam are stable, so it is a good business environment Vietnamese law is more and more better to make good conditions for enterprises The raising of unemployment rate in Vietnam is a good change for garment companies to employ unskilled labor Vietnamese social and economic are developing, so the people life is improving The people have believed for Vietnamese products so the interior demand is increasing Nowadays, the technology is developing rapidly, so the production companies have change to improve capacities However, if enterprises want to invest for improving capacities, they have to pay huge money for technology From the situation of macroeconomic 73 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 environment, we can see that there are many opportunities and changes for Nam Ha Garment Stock Company in business To analyze the impacts of garment sector for Nam Ha Garment Stock Company, we used Porter’s Five Forces Model (rivalry among competitors, bargaining power of suppliers, bargaining power of buyers, threat of new entrants, and threat of substitute products) In both export and interior market, NAGAR is competed by Chinese enterprises and strong Vietnamese garment companies such as Viettien, Saigon 3, Garco 10… Compared with competitors, NAGAR is weaker Vietnamese consumers always want a product, which is cheap, good quality and design It is a challenge for garment companies, but interior market is potential NAGAR not have any problem with suppliers, source of supply is always stable from foreign and interior suppliers Many companies in both export and Vietnamese market can supply jacket, shirt and trouser, which are NAGAR products, so NAGAR is threatened by substitute products Joining WTO, tax barriers and investment incentive of government is being removed, so Vietnam is an attractive investment place It will lead to the appearance of new competitors In garment sector, Nam Ha Garment Stock Company has many threats from competitors and consumer, but they have an advantage from profuse source of supply In 11.500m2 areas, 950 experienced and skilled workers and staffs with 28 garment production lines and 810 garments equipment, productivity of NAGAR is increasing regularly every year Therefore, the revenue is growing strongly in both export and interior market However, characterized of garment industry, net profit always is a low percentage of revenue Although, NAGAR controlled management system to decrease management cost, sale cost increased in 2008 However, NAGAR maintained a good financial report through payable and profit ratios In garment sector, most of workers are unskilled labor, but the standard of management officers in NAGAR not meet company requirement In technology, NAGAR is investing strongly to improve capacities and product quality 74 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 3.2 General strategy of Nam Ha Garment Stock Company in 2009-2015 There are the strategic goals of Nam Ha Garment Stock Company in 2009-2015 Maintain the existing position in the market and strive to become a strong brand name in domestic market Expand and looking for new export market while continue to maintain export market to U.S and EU Investment to expand production, diversify products to enhance competitiveness and maintaining sustainable growth Based on the situation analysis, we can find that the problem of Nam Ha Garment Stock Company is the market In both domestic and foreign market, the market share is very low and NAGAR’s brand name is not famous From the strategic goals, we can see that the company should develop market if they want to develop Therefore, the general strategy is market strategy for developing in the future 3.3 Functional strategy of Nam Ha Garment Stock Company From the evaluation of strengths, weaknesses, opportunities and threats, we can set up tables Matrix SWOT (Strengths, Weaknesses, Opportunities, and Threats) (Table 3.1) 75 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 Table 3.1 SWOT Matrix Opportunities (O) Threats (T) Increased income leads to Increasing inflation rate the increase of demand Hard to attract high quality human resources garments Increase exchange rate The Government had to cut Vietnam to join WTO down Government issued the garment investment encouragement and business The formation of general laws and anti-corruption law The development support plan for for area local material area Growth reduction Interest rate increase policies the development of garment technology Stable material with low price Reduced import tax for garments Stricter demand from consumers Foreign companies want to invest in Vietnam, including the garment industry and domestic competitors with very strong potential to create competition intense Many substituted products 10 The Government cut down the support for domestic material resources development planning Strengths (S) Combination Strategy (SO) 1.Low labor cost Strategy 2.Modern and of Combination Strategy (ST) Exploiting Low Price Strategy uniform Potential Capacities 76 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 technology 3.High productivity, international standard product quality 4.Financial potential Weak (W) Combination Strategy(WO) Combination Strategy (WT) No policy for human resource development 2.No high-class T-shirt Bad domestic distribution system Product Strategy Focus on Key Factors Strategy No powerful brand name Undiversified design Few customers consumed large amount of products of the company From SWOT Matrix, we can have four functional strategies: SO strategy is the strategy to utilize opportunities and strengths, called the strategy of exploiting the potential capabilities WO strategy is the strategy to utilize opportunities and overcome weaknesses, named product strategies ST strategy is to utilize strategic strengths and overcome weaknesses, called lowcost strategy WT strategy is strategy to overcome weaknesses and risk, called the strategy focus on key factors To achieve the general strategy (market strategy), Nam Ha Garment Stock Company should implement three functional strategy in 2009 – 2015 such as focus 77 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 on key factors strategy, product strategy and exploiting the potential capabilities strategy In short-term, the company should apply focus on key factors strategy This strategy is that enterprises focus the resources to the areas, which can make the competitive advantages and high profit in business With this strategy, Nam Ha Garment Stock Company uses most of resource to products, which have stable markets and get high profit Implementing this strategy, the company focus to maintain and develop the old market Base on that they can prepare finance for developing There are many advantages such as saving cost for machine and equipment investment, taking less time for labor training In addition, the company can improve capacity efficiency and ready to receive large orders The profit will be higher because the management cost, fixed cost and storage cost are lower than producing variety products However, producing some products will make the enterprises to remain passive in expand or penetrate new market In medium-term, base on traditional, solid market and investment finance, they invest to develop products With this strategy, the enterprises have to attend and enhance the characteristic of the product such as durability, longevity, color, design, materials, safety, packaging, the convenience, the variety of options, the level of processing, service associated with Applying this strategy, the company can develop the product to meet customer needs From this developing, the company can diversify products, expand the market and raise the revenue In long-term, the company should apply the exploiting potential capabilities strategy Develop strategies based on the analysis with information systems to exploit the abilities of all other factors surrounding key factor Since then, the enterprises find the solution to use and promote these abilities for the best business effect Utilization of existing technology, the skill of staff and infrastructure to create competitive advantage in the market Painting the opportunities, policies and available opportunities to penetrate and create properly on the domestic market and export Implementing this strategy, Nam Ha Garment Stock Company can break 78 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 through new market; expand market in both foreign and domestic, increase market share and utilizing capacities to raise profit 3.4 Implementing functional strategies of Nam Ha Garment Stock Company Using Value chain Model to apply functional strategies Figure 3.1 Value Chain Model (Porter 1985) [II.2] 3.4.1 Infrastructure - Receiving the infrastructure development requirement of company - Proposal the finance budget of infrastructure development - Investment in machinery and equipment for specialize production 3.4.2 Human Resources Management - Define the training needs of the company, make training plan and propose training finance budget - Training sale skills for sale staffs focus on sale and after sale service - Training skills for marketing staffs - Training the workers for specialize and saving production - Training for technology development staff to catch new technology 79 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 - Improving living condition of labor to encourage them in enterprise development and saving training cost for new labor - Re organize management system to cut our waste of human resource - Recruit high skill labor for developing production - Make reward program to encourage labor who have innovation and development idea 3.4.3 Technology Development - Receive market information from marketing and sale department - Base on company infrastructure, apply technology to developing the products such as create new products, improve product quality and saving production cost to satisfy customers… - Research and development new products - Proposal the technology development finance budget and training requirement to human resource management department - Co-ordinate with others department to implement new technology - Looking for the way that utilize capacity to develop business 3.4.4 Procurement - Receiving market information from marketing and sale department - Make purchase plan to meet operation requirements - Procurement department have to looking for low cost material - Looking for stable supply of material 3.4.5 Operations and Logistics - Receiving market information from marketing and sale department and producing to meet customer needs - Using developing technology to innovate productions and logistics such as apply ERP 80 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 3.4.6 Marketing, Sales and Services - Research and analyze both foreign and domestic market to find new market, consumer behavior and needs - Transfer market information to technology and production department - Make marketing plan for spread the company’s brand name such as advertising on TV, newspaper - Make marketing plan and program to increasing sale - Organize distribution system well to maintain markets - Marketing and sale to take up target market 81 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 CONCL USION Planning strategies help businesses to take advantage of business opportunities and strengths, also limit the weaknesses and the threats may affect the future development of enterprises In addition, strategic planning is to find out the relationship between the environment and business, between past, present and future Relationship with the link is the foundation for goals and strategies of business Although market position and market share of Nam Ha Garment Stock Company are not strong, it has potentialities to develop and expand market such as high technology, good financial and infrastructures… From researching and analyzing company situation, there are three strategies for company to achieve market strategy such as Focus on Key Factors Strategy, Product Strategy, Strategy of Exploiting Potential Capacities In short term, company should focus on Focus on Key Factors Strategy to maintain the market and gather capital In medium term, NAGAR should follow Product Strategy develop products, expand market in both foreign and Vietnam Strategy of Exploiting Potential Capacities is suitable for long term From objective research, this capstone project attempted depth research, analysis, surveys and gather opinions assessed by experts knowledgeable in garment sectors Hopefully, this project will contribute to Nam Ha Garment Stock Company development in future Although research group tried hard, this project will have mistakes because of the limited research time and conditions We wish to receive the comments of teachers, friends and colleagues discovered to be more perfectly 82 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 REFERE NCES I Vietna mese So u rces Nguyễn Thành Độ (2002), “Chiến lược kinh doanh phát triển doanh nghiệp”, Nhà xuất Lao động Xã hội Đào Duy Huân, “Quản trị doanh nghiệp hiệu quả” Công ty Cổ phần May Nam Hà (2008), “Báo cáo nghiên cứu thị trường” Nguyễn Văn Nghiến (2003), “Giáo trình quản lý chiến lược”, Đại học Bách Khoa Hà Nội Đỗ Văn Phức, “Khoa học quản lý hoạt động kinh doanh”, Nhà xuất Khoa học kỹ thuật Micheal.El.Porter (2006), “Chiến lược cạnh tranh”, Nhà xuất Khoa học kỹ thuật Phan Thị Ngọc Thuận (2003), “Chiến lược kinh doanh kế hoạch hóa nội doanh nghiệp”, Nhà xuất Khoa học kỹ thuật Văn phòng Chính phủ (2008), “Báo cáo tình hình kinh tế xã hội” Văn phòng Chính phủ (2008), “Quyết định 36/2008/QĐ-TTg” 10 Văn phòng Chính phủ (2000), “Quyết định 19/2000/QĐ-TTg” 11 Văn phòng Chính phủ (2002), “Nghị định 59/2002/NĐ-CP” 12 Văn phòng Quốc Hội (2005),”Luật Doanh nghiệp” 13 Văn phòng Quốc Hội (2005),”Luật Đầu tư” 14 Văn phòng Quốc Hội (2005),”Luật Thương mại” 15 www.nagar.vn, Tài liệu nội doanh nghiệp cung cấp 16 http://en.wikipedia.org/wiki/Product_lifecycle 83 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 II Engli sh So urce s Porter.M.E (1985), “Competitive Advantage: Creating and Sustaining superior Performance” Porter.M.E (2008), “The Five Competitive Forces That Shape Strategy”, Harvard Business Review 84 [...]... reputation of business - Score of the enterprise to achieve 34 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 - Organize information system interface - Organizations control system - Atmosphere of organization - Capacity, the level of interest and leader - Planning strategy system 35 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 CHAPTER II: ANALYZE THE SITUATION OF NAM HA GARMENT. .. develop strategy: (1) Strategy based on customers (2) Strategy based on competitors (3) Strategy based on the strength of the company b Based on the content of the strategy are the four types of strategy such as: (1) Strategy focus on key factors: This strategy is not spread the resources and focus to the areas which are good for business enterprises (2) Strategy to create advantages: In this strategy, ... NAM HA GARMENT STOCK COMPANY 2.1 Introduce about Nam Ha Garment Stock Company 2.1.1 Introduce about Nam Ha Garment Stock Company - Name: Nam Ha Garment Stock Company (NAGAR) - Logo: - Address: 510 Truong Chinh road, Nam Dinh City, Nam Dinh - Legal form: Stock Company - Phone: 0084 350 649563 - General Director: Mr Doan Tien Dung - Established year: 1969 - Number of employees (2009): 950 - Company area... Increase profitability + Create powerful on the market + Ensure safety in business - Increase profitability 13 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 In case of no competitor, and even with competitors, all businesses want to maximize profits The high capital rate and high profits rate are general objectives of any business - Create powerful on the market However, in the most of the... strategy effectively, the strategist often classify strategy based on multiple different targets Each strategy is planning enterprises’ future development Sorting by the scope of strategy: "We can divide business strategy into 2 levels, general strategy and functional strategy 1.1.3.1 General Strategy Outlines the long-term development goals, general strategy often mention to the important long-term... 27 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 efficient and must know how to compete with new properties (for example using a distribution system based on the Internet) The existing company of the industry is trying to prevent the potential competitors from joining the industry Therefore, the risk of entering of high potential competitors shows a threat to the profitability of. .. productivity, resources of research and development, the level of technology, availability of funds 1.3.3.1 Analysis the capacity of enterprise In a business, a production function cannot be missing because it is the beginning of any process of production Production is the source of benefit, thereby bringing income for business owners and employees Production function in business is the conversion of inputs into... objectives of a sector will be implemented." In general, the concept of business strategy is inclusive and reflects the following issues: + The objective of the strategy + Time implementation + Decision-making strategies + Environmental factors + Strengths, weaknesses, opportunities and risks of the business in general and for each operation 1.1.3 Classifications of business strategy To manage strategy. .. on competitors combined with strategy of exploiting the potential abilities [I.5] 1.2 Planning business strategy process Planning business strategy, the first step is analysis the business environment Analyze the business environment is looking for the opportunities, threats, strengths, weaknesses of the business Businesses strategic management is development of their strengths, overcome the weaknesses,... style, affecting the formation of different markets and this force managers to consider in calculating the decision management of their business + The style and lifestyle 20 BUSINESS STRATERGY OF NAM HA GARMENT STOCK COMPANY IN 2009-2015 Society is a colored picture which created by the individual styles and different lifestyles Each style and lifestyle has its own characteristics of each of their individual