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Scope And Limitation Of The Research Study Marketing Essay

Transition from a centrally-planed economy to market-economic structure, the Vietnamese market becomes more powerful. All business and development activities are encouraged investment to contribute into economic expansion and stabilization of the country. Like other industries, investment in telecommunication services locally is welcomed and facilitated. The Vietnamese telecommunication service industry has speedily developed. Together with development of the united states, demand for communication quickly increases and high quality services are much preferred.

More and more telecommunication providers enter the Vietnamese mobile service market. At present, there are 7 operators including VNPT, Viettel, EVN Telecom, SPT, HanoiPT, GTel and CMC. All players are facing the fierce competition.

Most of the operators try to exploit their distinctive competencies to gain competitive advantages and use the appropriate competitive ways of have more customers and make more revenue. They try to forecast the client needs and market fads to making long-term corporate strategy for over-all company to achieve the company objectives. In this situation, Vietnam Content and Telecommunications Group (VNPT) recognised that development of effective business strategy has been regarded as a highest top priority in order to safeguard its leading position in the forex market. Through business strategy helps the company to truly have a business intend to develop its talents, decrease its weaknesses to be able to achieve opportunities and avoid threats available on the market in which it operates.

In such a context, this research study deals with the development of business strategy for VNPT in Vietnamese Mobile service market.

1. 2. Problem Statement

As your competition is increasingly more fierce, producing appropriate corporate approaches for a firm is the main element to success in the market. But how do the business develop such a commercial strategy? In case there is Vietnamese telecom service market, it's considered that it's being in secure level. Especially the mobile service sector and set cellphone sector, they are believed to be in mature stage of its life-cycle. Yet, in broadband sector, it's being in the and growth level. VNPT is the biggest company in Vietnamese Telecom market which obtained the highest market talk about compare to other competitors. At the moment, VNPT is facing the intensified competition from many competition like Viettel, EVN, FPT, SPT, who make an effort to reduce product price to get more customers as well as market talk about. The question is how do VNPT protect its position in the Vietnamese Telecom service market? To answer this question, VNPT must develop the organization strategy to defend its current position and degree business in another potential market.

This research study examines how to build up the appropriate commercial approaches for Vietnamese Post and Telecommunications Group in order to safeguard its leading position and develop its business in the telecom service market.

1. 3. Aims of the study Study

The objectives of the research cover the following issues:

To review books dealing with the tactical management process, especially the procedure of strategy formulation

To examine opportunities and dangers of the Vietnamese telecom service market from external forces like the market styles, suppliers, consumers, challengers.

To analyze the current situation of VNPT in term of talents and weaknesses of its capacity, market share, and procedure activities.

To develop the business strategy for VNPT.

1. 4. Research Methodology

1. 4. 1. Analytical Framework

This research is offered in the form of a case study exposing the complexities of a genuine business environment in the Vietnamese telecom market. The goal of this research is to develop corporate approaches for Vietnam Articles and Telecommunications Group. Thus, it's important to the analyze market situation and current corporate strategy of VNPT to be able to formulate the corporate strategy.

A platform may enable to comprehend the various linkages and connections between the variables also to develop commercial strategies of the company. Physique 1. 1 illustrates this analytical platform.

The goal of external research is to identify opportunities and risks in the business environment where VNPT must face. Two interrelated conditions should be analyzed at this time: the macro environment of the Vietnamese market and the micro environment described the industry where VNPT works.

The research of the macro environment targets examining the main element achievements and restriction of the Vietnamese overall economy, politics factors and government procedures on the telecom service industry.

The analysis of the micro environment entails an assessment of industrial expansion, production, consumption pattern and your competition between existing providers where the analysis the primary competitors of VNPT is reviewed in the terms of advantages and weaknesses about their corporate activities.

The internal research is specialized in pinpoint the advantages and weaknesses of VNPT. Therefore, it is necessary to assess the production and business of the company in the conditions of capacity, market talk about, sales volume, financing and corporate activities.

After having examined the internal and exterior factors, the corporate strategy alternatives can be developed. To select the best solution, VNPT needs to measure the alternatives with respect to the possibility to achieve the corporate targets.

The framework of the analysis can be illustrated by Figure 1. 1

1. 4. 2. Information Needed

To examine this research, information needed consists of the following issues:

The Vietnamese Telecom service market accounts lately, basic information about Vietnamese financial climate, economical development, and federal government policies on the telecom industry are also gathered.

Competition in the telecom market, which is targeted on getting information about main rivals in conditions of talents and weaknesses engaged corporate and business activities such as product, price, distribution and promotion.

Information about the current situation of VNPT that should be obtained including the company profile, commercial objectives, production capacity, market share, corporate and business activities.

1. 4. 3. Data Sources

Data and information necessary for conducting the study were basically extracted from the following main sources:

Primary data: Interviews in-depth with professionals, key persons of the VNPT Group as well as other specific telecom companies.

Secondary source:

Data requirements were extracted from the publication of the government offices such as the Vietnamese Ministry of Information and Communication. Data associated with international framework was obtained from the Internet websites, the academics journals

Data and information from catalogs and journals, papers, articles related to the research were collected in CFVG library and the Vietnamese national library.

Data and information were also extracted from VNPT annual records, from in-depth interviews conducted with VNPT standard director, and efficient managers.


Strategic management

Michael Porter 5 forces

SWOT analysis

BCG matrix




Scanning exterior environment

Analyzing competitive environment

Scanning internal environment

Evaluating current performance results







Figure 1. 1 Framework of the research study

1. 5. Opportunity and Limitation of the Research Study

This study is conducted mainly at Vietnamese Posts and Telecommunication Group, Vietnam target mainly in 3 main areas: Mobile service, Fixed-phone and Broadband service. The study has been carried out strictly from a viewpoint of strategic management in order to create a long-term development for VNPT.

This research gets the following restrictions:

The process of strategic management involves 4 basic periods: (1) environment analysis (2) strategy formulation, (3) strategy execution, and (4) evaluation and control. The study focuses only 2 steps: environment evaluation and strategy formulation.

In examining the talents and weaknesses of VNPT, the research has not evaluated its financial capability due to issues in getting and evaluating data necessary.

Data about the competition of VNPT mainly accumulated from secondary data, not from those plug-ins themselves. Therefore, the info of these rivals is not sufficient.

The tools which is often i did so strategic analysis a wide range of but the only 5 will be under the study namely:

PEST examination: It really is a method understanding the "environment" factors like politics, economic, communal, and technology where the business operates.

Five forces examination: it is a technique for figuring out the forces which affect the amount of competition within an industry level and business level.

SWOT examination: it is a good summary technique for summarizing the key issues due to an assessment of the businesses "interior" position and "exterior" environmental influences to company.

Strategic Choice: This process involves understanding the type of stakeholder goals along with figuring out tactical options, and then evaluating and selecting strategic options in the business.

BCG matrix: It is a technique and research that seeks in summary a businesses' overall competitive position running a business level and industry level.

1. 6. Business of the study Study

This research is prepared in six chapters, as follows:

Chapter 1: Launch - provides an introduction including record, problem statement, targets, scope and limitation of the study review as well as research technique.

Chapter 2: Literature review - reveals the literature overview of the study and summarizes the work of previous studies, it relates to the essential ideas on developing business strategy including strategy evaluation and strategy coming up with.

Chapter 3: Analyzing exterior environment - within the monetary situation in Vietnam and situation of the telecom service market situation to be able to find out opportunities and hazards in the environment in which the company functions.

Chapter 4: Analyzing interior operation - analyzes and assesses the current position of the company regarding strengths and weaknesses of VNPT about its performance, market talk about and procedure activities.

Chapter 5: Growing strategies for VNPT - conclude about above analysis based on SWOT matrix, BCG matrix identify competitive position and suggest a proper approach, specifically a competitive strategy for VNPT's development in Mobile service Industry. Based on advised strategy, recommende practical strategies for VNPT.

Chapter 6: Conclusions - summarizes the main points acquire from the analysis.

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