THE UNIVERSITY OF DANANG VIETNAM – KOREA UNIVERSITY OF INFORMATION ANDCOMMUNICATION TECHNOLOGY Faculty of Digital Economy and E – Commerce FINAL PROJECT VIETTEL'S INTERNATIONAL BUSINESS
General overview of Viettel
With 76 million users, the military telecommunications firm Viettel is presently the biggest telecommunications business in Vietnam The Group is made up of more than
20 businesses that operate in a variety of industries such as telecommunications, investment, real estate, international commerce, and technical services.
Viettel generate 11.8 billion USD in sales and 1.7 billion USD in profit in 2021,making it one of the most profitable firms in Vietnam.
Business activities
Main lines of business: providing telecommunications, mobile, Internet-TV services, digital applications, information technology, postal, communication, and delivery
The Group's core business lines span material trade, distribution, retail, equipment, information goods, information technology, and communication, complemented by finance, banking, and real estate services, while also training and supplying human resources to support the Group's local and international manufacturing and commercial operations.
Goals and Missions
Goals
The goal is progress, the driving force is reform, and the foundation is humanity, peace, and unity These are three interconnected factors But the most important aspect
Viettel solidarity means organization-wide unity in which every employee and every division thinks and acts with the highest level of consensus, putting the interests and the future of the entire business first This consensus-driven approach requires cross-functional collaboration, clear alignment on strategic goals, and a culture that prioritizes long-term success over short-term gains When all parts of Viettel move in lockstep, the company strengthens its competitive advantage, accelerates innovation, and sustains long-term growth for the business as a whole.
Missions
Guided by the Creation for People philosophy, Viettel treats every customer as an individual—valuing, caring for, listening to, and understanding them with personalized attention The social dimension is the cornerstone of a successful company, and Viettel reinforces this by reinvesting in society, integrating its manufacturing and economic activities with social initiatives in health care, education, and poverty alleviation.
Viettel’s dedication to customers, partners, investors, society, and its own people is evident in every action the company takes, reflecting a culture of accountability and service These core values form the foundation of Viettel’s mission to build an innovative, people-centered enterprise that delivers practical solutions, strengthens communities, and creates lasting value for all stakeholders.
Milestones of Viettel Global
Viettel Global Investment JSC was established under Business Registration Certificate No 0102409426, issued on October 24, 2007 by the Department of Planning and Investment of Hanoi The company’s initial share capital was 960 billion VND.
1/2008: Viettel Global received the investment project in Cambodia from Viettel
2/2008: Viettel Global concluded a joint venture contract with Lao Asian Telecom
(LAT) to establish Star Telecom Co., Ltd in which Viettel holds 49% share capital, officially started investment in Laos.
2/2009: official launch of telecommunications network in Cambodia, started business operation and services provision in the country.
10/2009: official launch of telecommunications services in Laos.
2/2010: establishment of Viettel Overseas Co., Ltd to implement the investment project on the expansion of the telecommunications network in Haiti.
11/2010: Viettel Global won the tender of the investment project of a telecommunications network in Mozambique.
9/2011: official launch and started business operation of telecommunications services in Haiti.
5/2012: Official launch and started telecommunications services provision in the
7/2012: Viettel Global won the tender of an investment license in East Timor.
12/2012: Viettel Global won the tender of the 3rd mobile license in Cameroon.
3/2013: Official launch of mobile services in East Timor.
8/2013: Viettel Global’s Extra-Ordinary Shareholders Meeting made decision on 3 major issues:
- Change the Company’s Vietnamese name from: “Company” to “Corporation”
- Increase share capital from VND 6,219,052,000,000 up to VNĐ 12,438,112,000,000
- Supplement: "Rent of machines, equipment and other tangible facilities" to the Business Registration of the Company.
2/2014: Receive investment license in Burundi.
9/2014: Official launch of mobile services in Cameroon 10/2014: Official launch of mobile services in Peru
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
ANALYSIS OF VIETTEL'S BUSINESS ENVIRONMENT IN LAOS
Macro-environmental analysis – Pestel Model
2.1.1 Political and legal environment 2.1.1.1 Political institutions
The Lao People's Democratic Republic is a politically institutional state that leads and implements a centralized form of democracy The only legitimate political party is the Las People's Revolutionary Party.
The Lao People's Army is small, underfunded, and resource-limited, with a mission focused on border and domestic security—primarily countering Hmong rebel groups and other opposition Together with the Lao People's Revolutionary Party and the government, the Lao People's Army forms the third pillar of the Lao state apparatus and is charged with preventing political and civil unrest or similar emergencies There is no external threat to Laos, and the Lao People's Army maintains close ties with Vietnam.
Laos has long enjoyed political stability, strong social order, and security, guided by the Party and State policies that shape the country’s trajectory This stability reflects a coherent policy framework considered the country’s guiding force, contributing to a favorable climate for investment Vietnamese investors in particular see Laos’s stable environment as an attractive setting for investment, production, and business activities As a socialist state following a socialist path, Laos’s trajectory influences the mindset and expectations of investors from other socialist countries when engaging with its economy.
Investing in Laos currently involves significant uncertainty as the investment-related legal framework undergoes revision and refinement Ongoing changes bring inconsistencies and limited transparency, making it difficult for enterprises to anticipate risks and access reliable information This environment can lead to delays and obstacles in project development and implementation To navigate the Laos investment climate, companies must monitor regulatory developments and adapt strategies to an evolving legal landscape.
Laos has developed and promulgated a comprehensive legal framework to regulate the economy, including enterprise law, tax law, customs law, foreign investment law, telecommunications law, and related decrees issued by the government, the Ministry of Commerce, and other competent state agencies This body of laws has created a secure environment and a clear regulatory corridor for economic activities in the Lao market, including telecommunications services However, the Lao legal and policy system currently suffers from numerous inadequacies, and it remains unsynchronized and not fully unified.
Laos' state agencies oversee telecommunications and information technology policy and regulation, including the National Agency for Post and Telecommunications (NAPT), the National Agency for Science and Technology (NAST), the Ministry of Culture and Information (MIC), and the Ministry of Communications, Postal, Transport and Construction (MCTPC) Within MCTPC, the Department of Post and Telecommunications functions as a key unit responsible for shaping and implementing long-term development policies and strategies, and for issuing licenses and regulations related to post and telecommunications.
NAPT was established by Decree 375/PM on January 22, 2007, to lead policymaking in Laos for telecommunications, postal regulation, information technology, and the long-term development planning of the telecommunications industry NAPT sets policy for telecom and IT and develops strategies for the sector’s long-term growth, while NAST establishes policies on information technology and manages Internet service providers, Internet cafes, and information centers in Laos The Ministry of Culture and Information (MIC) is responsible for promulgating policies and regulations related to culture, media, information, and Internet service issues The division of management responsibilities among NAPT, NAST, and MIC is not uniform or transparent, resulting in overlapping authority in issuing licenses to Internet service providers.
Customs procedures in Laos remain unclear, and tax collection often diverges from the published tax rates The development of trade law and the commercial court system in Laos is slow and not transparent, leading to trade disputes that are rarely adjudicated in favor of foreign investors Investment procedures are cumbersome with long approval periods that do not align with the law These challenges involve entities such as Lao Holdings N.V and its subsidiary Sanum Investment, highlighting persistent obstacles for investors operating in Laos.
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
Limited has filed an application with the International Centre for Settlement of Investment Disputes (ICSID), the World Bank’s independent arbitration arm, to resolve disputes over Sanum Investment’s direct investments in Laos To date, more than $85 million has been raised to pursue the case Sanum contends that Lao government policies have adversely affected its investments and could put up to $400 million of assets at risk The dispute also involves licenses and franchises for projects valued at hundreds of millions of dollars As a result, Lao Holdings N.V is reporting monthly losses of approximately $1.8 million.
In February 2018, the Lao Government issued Order No 2 on Improving Business Coordination Regulations and Mechanisms in the Lao PDR, aiming to enhance Laos’ position in the World Bank's Ease of Doing Business rankings The reform streamlined the process of establishing a business by simplifying licensing and company seal registration, cutting the time from 174 days to less than 40 days However, tax administration has long been identified as one of the biggest barriers to trade for small and medium-sized enterprises, and Laos was ranked 154th out of 190 economies in 2019 for ease of doing business by the World Bank.
Beyond these challenges, the Lao government is shaping a more favorable investment climate by revising laws to boost investor confidence The reforms include land incentives, reductions in corporate income tax, and policies to ensure a level playing field, collectively laying a solid foundation for sustainable investment in Laos.
Vietnam and Laos share a long-standing tradition of friendship under the leadership of their Parties, forged through a history of bearing hardships together against aggression and through efforts in national defense and development The two peoples attach great importance to this special relationship, helping each other in all aspects, overcoming difficult times together, and standing united on the path of renovation and development toward socialism.
Vietnam and Laos have signed trade agreements to deepen mutually beneficial, equitable trade in line with longstanding cooperation and international trade practices, and bilateral commerce continues to grow Vietnam–Laos trade exchanges are increasing, with plans to boost bilateral trade in 2021 by 10–15% from the previous year, potentially reaching $1 billion, while Vietnam remains Laos’ third-largest trading partner after Thailand and China, and one of the three biggest investors in Laos with 413 projects and registered capital of $4.22 billion, up 35% since 2010 Preferential import-export tax mechanisms for goods originating from both countries are being maintained and expanded In 2020, the partnership achieved a breakthrough with nine new or adjusted projects and accumulated capital exceeding $143 million, up 130% from 2019, as many projects promote production efficiency, profitability, job creation and social welfare, and contribute to Laos’ poverty reduction efforts Despite capital challenges, Vietnam provides development aid to Laos, totaling VND 3,250 billion from 2016 to 2021 across diverse fields, with priority given to human resource development.
2.1.2 Economic environment 2.1.2.1 Size of economy
Laos has posted one of the fastest growth rates in ASEAN, averaging about 7% annually from 2009 to 2017, while maintaining low inflation around 1.3-2% A straightforward investment framework, expanding bank credit for agriculture and small businesses, and the development of special economic zones have helped attract foreign investment and sustain growth in the Lao economy According to the World Bank, Laos’s total GDP reached 18.17 billion USD, with GDP growth of 4.7% in 2019.
Despite this, the Lao economy still has many difficulties, the infrastructure is in the development stage, labor productivity and labor quality are still low Laos' economic development depends largely on mining, electricity, foreign investment (FDI) and foreign aid The road system is currently at a basic level, but is improving, and there are restrictions on telecommunications in internal and external lines Electricity is available to 83% of the population Recently, the country has faced persistent current account deficits, falling foreign currency reserves and growing public debt
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
International companies are developing special economic zones in Vientiane, Savanna khet and Champassak provinces and others Special economic zones offer a wide range of incentives and tax exemptions to investors depending on the industry, besides the Lao Government constantly strives to improve the business environment.
International investors have been attracted by the abundance of cheap electricity, low labor costs, Laos' central location in the expanding Mekong Subregion, the improvement of transport infrastructure.
Micro-environment analysis – Porter’s 5 Forces Model
2.2.1 Overview of the telecommunications industry in Laos 2.2.1.1 Laos' telecommunications network and infrastructure
Over nearly a quarter-century of reform, opening up and integration, Laos has dramatically modernized its road transport system The domestic road network now covers a vast expanse of tens of thousands of kilometers, enabling rapid access to major cities and tourist destinations for both residents and international visitors Supported by official development assistance and loans from foreign governments and international financial institutions, the north–south corridor links Laos to southern China (Guangxi, Guangdong) and Yunnan and to Myanmar, while facilitating southern connections to Cambodia and east–west routes from Vietnam in the east to Thailand and Myanmar in the west Integrated with the Greater Mekong Subregion (GMS) transport network, Laos’s road system significantly advances its socio‑economic development and strengthens its role on the regional and global stage.
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
Although notable progress has been achieved, Laos still faces significant gaps in its transport, electricity, and water infrastructure, particularly in rural and mountainous areas The existing networks often fail to meet daily living needs and support local production, leaving communities with limited mobility, unreliable power, and inconsistent access to clean water.
With support from the World Bank and other international partners, the Lao government has begun building modern telecommunications infrastructure under the 1989 9th Flagship Plan, with assistance from the International Telecommunication Union (ITU) In 1994, Fujitsu FETEX 150 switches were installed at major centers, advancing Laos’ national switching system to 55% digital Shanghai Bell equipment was deployed in several provincial centers, and Alcatel-supplied gear was also installed as part of the expansion, strengthening the country’s connectivity.
1994, 1995, the transmission axis was built between Vientiane and LuangPrabang in the north, Paksane and Thakhek in the central and Savanakhet and Pakse in the south.
In 2008, Plessey Asia Pacific Pty Ltd was contracted to expand the micro- transmission network, phase 1 was completed between 20 09, phase 2 was completed in year 2010.
Thailand's Shin Satellite has supplied Lao Telecom with a Thaicom satellite-powered backbone that links Vientiane to five provinces, with hubs in Luang Prabang, Savanakhet, Bokeo, Xiengkhuang, and Champasack To date, the service has not yet been officially commissioned.
In November2008, Thailand's TTI company was contracted to upgrade the micro- triple axis from Vientiane to the southern regions of the country under a $5 million project.
Initiated in 1994, the German-funded rural telecommunications project completed Phase 3 by the end of 2010 Phase 3 involved roughly $2.7 million in investment and extended services to 30 districts.
$4.9 million cost for phase 4 and phase 4 that has begun to be underway Phase 4 is the final part of a $17 million project from German aid to Laos' telecommunications industry.
In 2011, StarTelecom of Laos joined forces with Viettel Vietnam and Viettel Cambodia to finalize the Vietnam–Laos–Cambodia axis network, deploying dense wavelength-division multiplexing (DWDM) technology to expand cross-border bandwidth and strengthen regional connectivity.
400Gb/s connected to many border crossings to facilitate economic development and for people in the region including Laos.
Laos established its international switchboard in Vientiane in 1987 with Australian aid, enabling a micro-triple connection to Thailand and routing most long-distance traffic through satellite links for decades Much of Laos' international traffic passed via Australia's Telstra network, and after 1996 the system began to rely on additional providers The biggest transformation in Laos’s international telecommunications market has been the emergence of VoIP services, reshaping how the country connects with the global network.
In year 2002, both Lao Telecom and ETL began offering prepaid VoIP cards even though the majority of VoIP traffic was illegal and illegal.
With German aid, Laos participates in the China-Singapore Cable (CSC), a fiber-optic link from Shanghai to Singapore that traverses Vietnam, Laos, Thailand and Malaysia The project is represented by ETL and targets a design capacity of 2.5 Gb/s The CSC uses Synchronous Digital Hierarchy (SDH) technology to carry data between East and Southeast Asian countries, operating under the Droit de Passage (DDP) principle and delivering connections to other major submarine cable systems to strengthen regional connectivity.
Laos has made notable progress in its network and telecommunications infrastructure, showing clear improvements over the past years However, the framework remains uneven and underdeveloped in many regions, with gaps that hinder the growth of a modern and dynamic telecommunications market By continuing to invest in universal connectivity, upgrading networks, and addressing regional disparities, Laos can attract investment, improve service reliability, and expand access to advanced telecom services.
2.2.1.2 The demand of the Lao telecommunications market
Laos, with a population of over 7 million, presents a significant market for telecommunications-related services, though its telecom sector remains in its early stages compared with other ASEAN economies; demand is growing, but overall consumption is still low and largely concentrated in major cities due to lower incomes and purchasing power, while a shortage of ICT professionals, very few specialized ICT programs, and many schools that do not meet international standards further constrain the expansion of Laos's ICT and telecommunications ecosystem.
Starting from 2008, with the emergence of foreign joint venture providers, the proportion of people with access to telecommunication services such as the Internet and
As Laos' economy grows rapidly, demand for telecommunications services is increasing significantly This surge pushes providers to adopt new technologies and upgrade networks to meet rising consumer and business needs Investing in advanced connectivity and digital solutions will help Laos sustain growth, improve service quality, and expand access to reliable telecom services nationwide.
Among Indochinese countries, Laos entered the telecommunications market relatively late, with competition beginning only in 2002 and initially a limited number of operators Since then, the Lao telecommunications market has grown at a rapid pace, driven by new entrants and expanding services This swift expansion reflects rising demand for connectivity and ongoing investment in telecom infrastructure.
Beginning in 2003, foreign operators’ participation and investment spurred rapid development of the Lao telecommunications market, with subscriber numbers rising sevenfold within just two years By the end of June 2012, the total length of fiber-optic telecommunications cables in Laos reached 51,000 kilometers.
Laos now has 6,780 mobile phone base stations covering 138 districts across 17 provinces and cities, with 3G networks reaching 2,000 villages A 2020 global digital overview by We Are Social and Hootsuite shows that 79% of the Lao population uses mobile phones and internet access reaches 43%, while Facebook accounts for 43% of social media usage, underscoring the prominence of social networks among internet users in Laos As telecommunications infrastructure expands, Laos’ average internet speed reached 25.54 Mbps, accompanied by a 68% annual increase in broadband connection speed With a population growth rate of 1.5%, mobile device users rose by 1.3% from 2019 to 2020, internet users grew by 6.5%, and active social network users increased by 12% in the same period.
Supplier Delivery time Service provided
Lao Telecom Co Ltd (LTC) 1994 Mobile, Internet
Enterprise of Telecom Lao (ETL) 2002 Mobile, Internet
Star Telecom Co Ltd (Unitel) (51% thị phần) 2009 Mobile, InternetMilicom Lao Co Ltd (Tango, Tigo, Beeline) 2003 Mobile, Internet (Wimax
Sky Tel & Net Co Ltd 2006 Internet (Wimax)
Planet Co Ltd 2000 Internet (Wimax)
Lanexang Internet Co Ltd 2001 Internet (Wimax)
2.2.3 Barriers to entry into the industry
In February 2018, the Lao Government issued Order No 2 to improve business coordination regulations and mechanisms in Lao PDR, aiming to boost Laos’ standing in the World Bank’s Ease of Doing Business ranking The reform streamlined licensing and company seal registration procedures, significantly shortening the start-up timeline and reducing the time to establish a business from 174 days to under 40 days.
SWOT analysis
SWOT analysis is built on the four elements—strengths, weaknesses, opportunities, and threats—providing a practical tool to analyze strategy and evaluate a company or a business project By examining internal strengths and weaknesses alongside external opportunities and threats, it helps teams review performance, assess risks, and determine the orientation and strategic direction of the organization This structured framework supports decision-making, competitive positioning, and proactive risk management, making SWOT a foundational method for shaping growth and guiding initiatives.
We use the SWOT model to help UNITEL with business planning, strategy development, competitor evaluation:
+ Long term development and well reputation.
+ Operating in over 13 countries around the world, provides services to 72 million customers.
+ Limitations in human resources management, especially in foreign countries.
+ Owned-state company with military manner and inflexible working environment.
+ Lao's government promotes telecommunication services in this market.
+ Relationship between Vietnam and Laos + Limited telecommunication services in this country.
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
VIETTEL'S INTERNATIONAL BUSINESS STRATEGY AND
Viettel's global standardization strategy
To broaden its footprint, Viettel Group began overseas expansion in 2006 to explore new, high-potential markets Viettel Global was established in October 2006 with the vision and responsibility of turning Viettel into a strong telecommunications group on the international stage.
After 9 years of development, Viettel Global is one of the biggest Vietnamese overseas investors It is now operating 9 telecommunications companies in 9 countries across Asia, Africa, and Asia with total population of over 175 million and 13 million customers Its total revenue for 2014 was US$1.2 billion.
Viettel adopts a sustainable investment strategy that harmonizes corporate, governmental, public, and customer interests We invest in a robust nationwide network infrastructure and an extensive supply chain that reaches every village, making our services accessible to all regardless of location or income Backed by decades of telecom experience in Vietnam and a solid financial foundation, Viettel leverages the latest technology to innovate and diversify its service portfolio.
Viettel Global demonstrates its capabilities through the success of its subsidiaries, with many of them ranking as leading players in their national telecom markets by subscribers, revenue, and infrastructure Notable examples include Metfone in Cambodia, Telemor in Timor-Leste, and Movitel in Mozambique.
By the end of 2017, nearly 40 million customers from international markets used Viettel’s mobile services, broadband Internet, landlines, and wireless phones By June 2018, Viettel achieved profitability in eight markets, with Laos, Cambodia, and Timor-Leste returning their initial capital investments, and Viettel Global now generating profits four to five times the initial investments in these three markets (Thanh Thu, 2018) Viettel was the top telecommunications provider by market share in five countries—Cambodia, Laos, Timor-Leste, Mozambique, and Burundi (Viettel Global, 2017).
Viettel Global’s revenue from telecommunication services in overseas markets grew rapidly and steadily The annual growth rate hit 21.5% in 2016, more than twice the 2015 level, and rose to 24% in 2017, a 2.5 percentage-point increase.
In 2017, Viettel’s foreign-market customers accounted for 13% of total, about four times the global average of roughly 3% African markets continued to show strong growth, with Viettel Tanzania up an astonishing 1,343%, Viettel Cameroon rising 43%, and Viettel Burundi up 42% (Minh Anh, 2018) In Myanmar, the newly penetrated market, Mytel (Telecom International Myanmar Co) captured more than 2 million subscribers in just over a month following the June 9, 2018 launch, surpassing Viettel Global’s full-year target of 2–3 million subscribers for 2018 (Tu An, ).
2018), contributing to Viettel’s business achievements on foreign markets.
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
3.1.1 Selecting target markets and target groups of customers
Before committing to investment and expansion into international markets, Viettel Global conducted extensive research into the potential and development of the global telecommunications market In 2015, data on mobile-broadband services—the area where Viettel Global has strength—showed there were over 7 billion mobile cellular subscriptions worldwide, up from less than 1 billion in 2000, with an annual growth rate of more than 14% (ITU, 2015) Also in 2015, the number of mobile cellular subscriptions per 100 inhabitants worldwide was 46.1, with developed countries at 81.3, while the Asia-Pacific region and Africa stood at 42.3 and 17.4, respectively (ITU, 2015).
According to Viettel Global (2015), global mobile subscriptions are projected to rise from 7.2 billion at the end of 2015 to 8.5 billion by the end of 2019, a 4.2% annual growth rate The forecast also identifies Africa and Central and South Asia as the locations of the 20 fastest-growing markets, underscoring the emergence of markets in these regions Africa stands out with an estimated 7.4% annual growth, marking it as a high-potential market for mobile connectivity.
Forecasted annual growth rates of mobile subscriptions in the world and by region, (2015-2019)
The World West Europe East of Europe North America Latin America&Caribbean Southeast Asia&Oceania
Middle East Middle&South Asia
Viettel Global's primary criterion when selecting a target country is the growth potential of the telecommunications services market Equally important are the political, cultural, and social environments, which can significantly influence telecommunication market development These factors together shape regulatory conditions, consumer demand, and the overall dynamics of the telecom sector in the chosen country By assessing how these environments interact, Viettel Global can better anticipate the pace and scope of telecommunication market development in the target market.
Subsequently, we weighed the competitive environment, potential competitors, threats from substitute products, and pressures from customers and suppliers, among other factors Additionally, we considered environmental factors that affect inputs, outputs, and the speed of implementation.
Within Southeast Asia, Laos, Cambodia, Timor-Leste, and Myanmar emerge as high-potential markets with a low barrier to entry Their appeal stems from similarities in cultural, social, and natural environments with the region, while their mobile markets remain underdeveloped—the density of mobile cellular subscriptions is below the regional average and lower than in the Philippines and Vietnam More importantly, these markets exhibit very high annual growth rates in mobile subscriptions, signaling rapid expansion opportunities for mobile-enabled services and digital penetration.
Table 2 Mobile cellular subscriptions per 100 inhabitants
Country 2005 2010 2015 Average annual growth rate (%) ASEAN
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
3.1.2 Market penetration and investment strategies
In early 2018, Viettel Global expanded into 10 foreign markets by establishing ten subsidiaries and joint ventures Four of these were directly invested by Viettel Global as subsidiaries and branches, while the remaining six were joint ventures with major local enterprises, in which Viettel Global held more than 40% of the charter capital.
Table 3 Viettel Global’s subsidiaries, their brands, and methods of investment in 10 countries
Country Enterprise Brand Method of investment
Cambodia Viettel (Cambodia) Pte., Ltd Metfone Direct investment Laos Star Telecom Co., Ltd Unitel Joint venture
Timor-Leste Viettel Timor Leste
Telemor Direct investment into Viettel branch
Cameroon Viettel Cameroun Nexttel Joint venture Burundi Viettel Burundi S.A Lumitel Direct investment Tanzania Viettel Tanzania Ltd Halotel Halotel Joint venture
Mozambique Movitel, SA Movitel Joint venture
Peru Viettel Peru SAC Bitel Direct investment
Haiti Natcom SA Natcom Joint venture
Viettel's entry into the Laos telecom industry
Viettel Global has formed a joint venture in Laos with Laos Asia Telecom Company to create Star Telecom, the vehicle for establishing the Unitel telecommunications brand Viettel Global will contribute 49 percent of the capital investment in the form of equipment, securing a significant stake in the venture.
+ Company name: Star Telecom Co, Ltd.
+ Address: Nongbone road, Phonxay village, Saysettha district, Vientiane Capital, Lao P.D.R.
+ Website: www.unitel.com.la
Uni is derived from United, embodying the solidarity that is a highly respected social value among the Lao people Built on this sense of unity, Unitel was established as a Lao telecommunications network to connect the Lao community and strengthen social ties By delivering reliable telecom services across Laos, Unitel aims to bring a better life to Lao citizens, empowering communication, education, and everyday connections throughout the country.
+ Established: 2007 + Service launching: November 2009 + Employees: 1.540 staffs.
+ Services providing: Mobile, Internet, fixed broadband
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
Unitel is the leading mobile operator in Laos accounting for 47% market share with 1.8 million customers, owning the biggest telecom network in terms of:
Network infrastructure with more than 21,000 km fiber optical cable and 3,100 base stations (2G and 3G).
Distribution channels with 143 shops, 174 agents and sales points, 400 salespeople.
Customer care system with 200 agents/shift at the same time.
International Awards achieved: Best Operator in Emerging Market by World Communications Awards (2012).
Star Telecom built 3,500 km of fiber-optic transmission networks across 17 cities in under a year, collaborating with Viettel Vietnam and Viettel Cambodia to establish a Vietnam–Laos–Cambodia central transmission line By July 2012, the company had completed the largest fiber-optic network totaling 17,000 km with 2,500 transmitters, reaching all districts and serving about 95% of Laos' population This momentum mirrors Cambodia’s strategy of investing in high-quality, systematized technology infrastructure to deliver enhanced communications services and greater accessibility for local citizens.
3.2.2 Viettel Global selected a joint venture to enter the Lao telecoms market
The entry modes always play an important role for any organization that wants to enter international trade and workplace They are very important in determining the profitability and success of an organization or a business entity It sets the objectives,goals, resources, and policies that always guides the operations international business It aims at ensuring that an organization attains sustainable growth in the global markets.
The main three entry modes to international markets will include:
Factors influencing entry mode decisions are key issues organizations must assess before selecting how to enter a foreign market Critical considerations include market size and growth potential, competitive dynamics, political and regulatory risk, and cultural differences that affect demand and operations Companies also evaluate internal capabilities, resource commitments, and the level of control and profit retention they desire, alongside potential coordination costs and time-to-market By analyzing these factors, firms can identify the most suitable entry modes—ranging from exporting and licensing to franchising, joint ventures, or wholly owned subsidiaries—and tailor their strategy to the specific market conditions.
Model-driven analysis suggests several factors point to a joint venture as Viettel's optimal market-entry option in Laos, with government assistance as a key driver A local-partnered venture enables better access to government support, permits, and regulatory alignment, while spreading risk and stabilizing capital outlay It also leverages local market knowledge and networks to accelerate licensing, infrastructure deployment, and customer acquisition, making the Viettel joint venture the most suitable approach among alternatives for entering the Laos telecom market.
Viettel Global holds a significant edge in the Lao market due to government backing and strong Vietnam–Laos economic collaboration As a state-owned enterprise, Viettel benefits from official support that, especially in telecommunications, eases market entry and accelerates its penetration of the Lao telecom market.
Opening a joint venture with the Lao government's telecom business might be a huge chance for Viettel to compete with other current market competitors. b Lower the expenses
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat
By leveraging its existing infrastructure, Viettel can implement targeted upgrades to deliver higher-quality telecom services to suburban regions with lower incremental costs This approach reduces the expenditures required for modifications and innovations while ensuring the network aligns with the local market culture and consumer preferences, boosting efficiency and competitiveness in underserved areas.
Viettel has successfully implemented a global joint-venture business model across five countries, driving international expansion by localizing its brand to fit the language and culture of each market This market-entry strategy through joint ventures offers strong potential for partnerships with shared goals, enhancing the likelihood of mutual success.
Internationalization has become a common business strategy for many firms aiming to expand operations, offering benefits such as extended market share, increased sales, and higher profits, while also posing challenges that require thoughtful strategic planning Viettel Telecom Corporation exemplifies success in internationalization by expanding its market presence to more than 13 countries across Asia, Africa, and the Americas, and by becoming one of the leading telecom providers in Southeast Asia In each market, Viettel establishes a local joint venture under a new brand name and delivers high-quality telecom services to local customers.
Against the backdrop of a shifting global economy, Viettel should consider entering the Laos market as the most suitable new frontier A comprehensive market analysis—covering macro-environment and micro-environment factors through PESTLE, SWOT, and Porter’s Five Forces—identifies compelling reasons to choose Laos: strong government support in the host country, favorable socio-economic conditions, a smooth relationship between Vietnam and Laos, and an underdeveloped telecommunications sector with room for robust growth With market selection settled, Viettel can map the internationalization strategy to a preferred market entry mode, and the joint venture emerges as the optimal choice, a proven business model Viettel has successfully deployed in five countries The joint venture offers advantages such as local market access, shared risk, and synergies from Vietnam-Laos collaboration, positioning Viettel to effectively enter and compete in the Laos telecom market.
TIEU LUAN MOI download : skknchat123@gmail.com moi nhat