Đề tài Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong

Nội dung text: Đề tài Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong

1. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong PREFACE In the period of economic transformation in the entire world, the economy of Vietnam has also witnessed many changes. In fact, developed countries have tendency to shift from manufacturing economy into service economy, whereas developing nations are still mainly focusing on manufacturing economy. Therefore, Vietnam are promoting industrialization and modernization to become an industrial country in the future. Vietnamese government is tempting to facilitate favorable conditions for development of industrial zones in the whole country. However, in fact, some industrial zones already projected, but no investors. The status of industrial lands enclosed with costly infrastructure investment, poor investment attraction is prevalent. Slow land clearance or insufficient investment capital are one of the main justification for this negative situation. Hence, it requires a throughout and clear marketing strategy to deal with this warning issue. Enterprises need to figure out their own marketing strategies for attracting investors from outside unless they want to face to this consequence. Especially, Trans-Pacific Partnership Agreement (TPP) and Asia Economic Community (AEC) are considered as a golden opportunity to attract foreign investors coming to Vietnam. It can be obviously seen that marketing strategy plays a crucial role in developing industrial zones. I declare that this report is my own unaided work. It has never been submitted before. If violated, I am solely responsible for and bear the punishments of the Institution and University Student Name and Signature Name: Tran Cong Thanh Class: GMA02 Page i
2. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong ACKNOWLEGEMENT In order to finish my dissertation “Recommendations for marketing strategies to attract investment in Industrial Park at VSIP Hai Phong”, I received many support from lecturers of Vietnam Maritime University. Firstly, I would like to express my sincere gratitude to my supervisor Mrs. Hoang Thi Lich who directly support and help me during the dissertation time for her patience, dedication, motivation, and immense knowledge. That brings me a solid foundation to accomplish this dissertation. Her guidance helped me in all the time of research and writing of this thesis. I could not have imagined having a better advisor for my study. Besides, I also really appreciate all employers and employees of VSIP Hai Phong Limited Company who facilitate favorable conditions for me to have good working environment, as well as valuable documents, data to write this dissertation. Due to limitation of understanding, that is a little double that mistakes are inevitable, so I really hope to receive feedbacks from the lecturers to accomplish my dissertation. Name: Tran Cong Thanh Class: GMA02 Page ii
3. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong TABLE OF CONTENTS PREFACE i ACKNOWLEGEMENT ii LIST OF ABBREVIATIONS v LIST OF TABLES vi LIST OF FIGURES vii INTRODUCTION 1 CHAPTER 1: THE LITTERATURE REVIEW OF MARKETING AND MARKETING STRATEGIES 3 1.1 General Understanding about Marketing 3 1.1.1 Definition of Marketing 3 1.1.2 Definition of Marketing Strategy 3 1.2 Factors Affecting Marketing Strategy 3 1.2.1 Marketing Environment 3 1.2.2 Customer Behaviors 6 1.2.3 Competitors 7 1.2.4 Target Markets 8 1.3 Marketing Strategies (4P) 9 1.3.1 Product (Service) Strategies 9 1.3.2 Price Strategies 10 1.3.3 Place (Distribution) Strategies 11 1.3.4 Promotion Strategies 11 CHAPTER 2: THE MARKETING STRATEGIES TO ATTRACT INVESTMENT IN INDUSTRIAL PARK AT VSIP HAI PHONG 13 2.1 Introduction about VSIP Hai Phong 13 2.1.1 History of Foundation and Development 13 2.1.2 Main Business Activities 15 2.1.3 Organization Chart 17 2.1.4 Operational Business Result from 2012 - 2014 18 Name: Tran Cong Thanh Class: GMA02 Page iii
4. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong 2.1.5 Future Development 20 2.2 The Marketing Strategies to Attract Investment in Industrial Park at VSIP Hai Phong 21 2.2.1 Service Strategies 21 2.2.2 Price Strategies 22 2.3.3 Place (Distribution) Strategies 23 2.3.4 Promotion Strategies 24 2.3 Evaluation of Marketing Strategies to Attract Investment in Industrial Park at VSIP Hai Phong 26 2.3.1 Strengths 26 2.3.2 Weaknesses 30 CHAPTER 3: RECOMMENDATIONS FOR MARKETING STRATEGIES TO ATTRACT INVESTMENT IN INDUSTRIAL PARK AT VSIP HAI PHONG 33 3.1 Factors Affecting Marketing Strategies to Attract Investment in Industrial Park at VSIP Hai Phong 33 3.1.1 Current Market Environment 33 3.1.2 Target Customers 34 3.1.3 Competitors 35 3.2 Recommendations for Marketing Strategies to Attract Investment in Industrial Park at VSIP Hai Phong 37 3.2.1 Service Strategies 37 3.2.2 Price Strategies 39 3.2.3 Place (Distribution) Strategies 40 3.2.4 Promotion Strategies 40 CONCLUSION 43 REFFERENCES 44 Name: Tran Cong Thanh Class: GMA02 Page iv
5. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong LIST OF ABBREVIATIONS AEC Asia Economic Community FDI Foreign Direct Investment HEZA Hai Phong Economic Zone Authority IP Industrial Park MICE Meetings, Incentives, Conferences, and Events TPP Trans-Pacific Partnership Agreement VSIP HP Vietnam – Singapore Industrial Park Hai Phong Name: Tran Cong Thanh Class: GMA02 Page v
6. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong LIST OF TABLES Table 1: The investment capital in industrial park in the period from 2012 to 11/2015 18 Table 2: The list of land prices of industrial zones in Hai Phong 22 Table 3: The promotional situation of VSIP Hai Phong in the period from 2012 – 2014 24 Table 4: The investment capital attraction by country 29 Table 5: The top 5 big investors in Hai Phong 30 Table 6: The tax incentives in VSIP Hai Phong 34 Table 7: The industries benefit from TPP 38 Name: Tran Cong Thanh Class: GMA02 Page vi
7. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong LIST OF FIGURES Figure 1: The marketing environment 4 Figure 2: The buying decision making process 7 Figure 3: The Ansoff Matrix 9 Figure 4: The pricing strategies 10 Figure 5: The VSIP Projects 13 Figure 6: The strategic location of VSIP Hai Phong 15 Figure 7: Ready-built factory in VSIP Hai Phong 16 Figure 8: Organization chart of VSIP Hai Phong Co., Ltd 17 Figure 9: The investment capital in industrial park in the period from 2012 to 11/2015 18 Figure 10: The industrial park tenants by country 19 Figure 11: The industrial park tenants by industry 20 Figure 12: The list of land prices of industrial zones in Hai Phong 23 Figure 13: The promotional situation of VSIP Hai Phong in the period from 2012 – 2014 25 Figure 14: VSIP Hai Phong IP Land Availability July 2015 31 Figure 15: Top 10 foreign investors in Vietnam in 2014 35 Figure 16: The distribution of big industrial zones in Hai Phong and Hai Duong 36 Name: Tran Cong Thanh Class: GMA02 Page vii
8. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong INTRODUCTION Necessity The Vietnamese economic crisis in 2010 has led to the increase in interest rate. It has led many Vietnamese enterprises including VSIP Hai Phong‟s potential customers and current customers decline and impact significantly on attracting investors for the company. Besides, the year of 2010 also occurred many economic fluctuations in the world. Meanwhile, VSIP Hai Phong just started conducting business and competition has growingly become bigger and bigger. In fact, there are 10 per 18 Hai Duong Industrial Zones received government permission are already operated with occupancy rate 99.25 % for Nam Sach Industrial Zone, 87 % for Dai An Industrial Zone, 71,67 % for Tan Truong Industrial Zone and 100% for Phuc Dien. Obviously, the success of these industrial zones and the new establishment of other industrial zones are undeniable. Apparently, competition is one of the basic economic laws of market economy and as a tool to promote economic development, thereby creating strong enterprises to stand firmly on the market. Besides, the industrial zones in the city is increasing, so the competition becomes tougher, requiring industrial park management of VSIP Hai Phong should have throughout marketing strategies to effectively attract investment. Research Object In this dissertation, the variety of basis for marketing will be pointed out to evaluate the situation of marketing activities to attract investment at VSIP Hai Phong Limited Company. Based on this analysis, the dissertation will give some recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong. It is not only beneficial for company, but also helps improve Hai Phong economy. The responsibility of author is answer these questions below: What is overview of marketing and marketing strategy? What is the status of marketing activities at VSIP Hai Phong? What are the recommendations for marketing strategies to attract more investment in industrial park at VSIP Hai Phong? Name: Tran Cong Thanh Class: GMA02 Page 1
9. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong Research Scope The dissertation are researched at VSIP Limited Company, located at Thuy Nguyen District, Dinh Vu-Cat Hai Economic Zone, Hai Phong City, Vietnam. Besides, author also focuses to investigate some competitors and current customers of company. Data was collected in the period of 4 years from 2010 to 2014 and recommendations for period of 5 years from 2015 to 2020. Methodology The research within the paper is basically based on qualitative and quantitative methods. During the internship period, the marketing strategies to attract investment into industrial park at VSIP Hai Phong is summarized through real observation and small talks to get information from company‟s directors, officers and employee. Regarding to quantitative method, the detailed data will be collected from documents and reports of the company. After that, the data will be calculated, clarified into different categories and evaluated. The analysis will be supported with descriptions from bar charts and tables. Qualitative method is applied to find out the basis of marketing and marketing strategy, which will be selected from reports, research papers, proposals and articles in the internet. Name: Tran Cong Thanh Class: GMA02 Page 2
10. Recommendations for marketing strategies to attract investment in industrial park at VSIP Hai Phong CHAPTER 1: THE LITTERATURE REVIEW OF MARKETING AND MARKETING STRATEGIES 1.1 General Understanding about Marketing 1.1.1 Definition of Marketing Marketing is human activity directed at satisfying needs and wants through exchange process (Kotler, 1980) . The aim of marketing is to make selling superfluous. The aim is to know and understand the customer so well that the product or service fits him and sells himself (Drucker, 2009). Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably (CIM Definition, 2009). 1.1.2 Definition of Marketing Strategy A marketing strategy is a process or model to allow a company or organization to focus limited resources on the best opportunities to increase sales and thereby achieve a sustainable competitive advantage (Kazoo Associates, 2014). 1.2 Factors Affecting Marketing Strategy 1.2.1 Marketing Environment The marketing environment of the organization consists of elements which are uncontrollable or controllable by the management. Firms need to understand their marketing environment so that they can make the most of positive factors and manage the impact of negative factors, as well as adjusting their marketing strategy properly. A firm's marketing environment can be divided into two parts: micro-environment and macro-environment. Name: Tran Cong Thanh Class: GMA02 Page 3