DSpace at VNU: Analysis and recommendations in strategic adjustment for VNDIRECT Securities Joint Stock Company (2011 -2016)

Analysis and recommendations in strategic adjustment for VNDIRECT Securities Joint Stock Company 2011 -2016 Nguyễn Thi ̣ Phương Thảo Khoa Quản trị Kinh doanh Luận văn Thạc sĩ ngành

Analysis and recommendations in strategic adjustment for VNDIRECT Securities Joint

Stock Company (2011 -2016)

Nguyễn Thi ̣ Phương Thảo

Khoa Quản trị Kinh doanh Luận văn Thạc sĩ ngành: Kinh doanh và quản lý; Mã số: 60 34 05

Người hướng dẫn: TS Nguyễn Viê ̣t Anh

Năm bảo vệ: 2010

Keywords: Quản trị kinh doanh; Chứng khoán; Thị trường chứng khoán; Công ty

VNDIRECT

Content

ACKNOWLEDGEMENTS i

ABSTRACT ii

TOM TAT v

TABLE OF CONTENT viii

LIST OF TABLES xi

LIST OF FIGURES xii

LIST OF ABBREVIATIONS xiii

INTRODUCTION 1

1 Necessity of the thesis 1

2 Objective of the thesis 3

3 Research questions 3

4 Scope of work 3

5 Methodology 4

6 Contributions of the thesis 5

7 Expected results 5

8 Further research directions 5

9 Limitation of the thesis 6

10 Thesis structure 6

CHAPTER 1: LITERATURE REVIEW 7

1.1 Strategy and role of strategy 7

1.1.1 Definition of strategy 7

1.1.2 Role of strategy 9

1.2 Strategic management process 9

1.3 Strategic vision and business mission 12

1.4 Setting objectives 12

1.5 External environment analysis 13

1.5.1 Macro environment analysis 14

1.5.2 Industry and competition environment analysis 17

1.6 Company situation analysis 26

1.6.1 Analysis of how well the current strategy works 26

1.6.2 Analysis of company’s roots of competitive advantage 27

1.6.3 Analysis of company‘s cost structure 30

1.6.4 Evaluate the company‘s competitive position 33

1.7 SWOT analysis 35

1.7.1 What is SWOT? 35

1.7.2 SWOT matrix 36

1.8 Formulating a strategy 36

1.8.1 Levels of strategy - The Strategy making pyramid 36

1.8.2 Specific strategy at different levels 37

CHAPTER 2: CASE STUDY OF VNDIRECT 45

2.1 Over all about VNDIRECT 45

2.1.1 General information about VNDIRECT 45

2.1.2 The establishment and development of the company 46

2.1.3 The company organizational structure 47

2.2 Analysis of strategic vision and business mission 48

2.2.1 Analysis of current strategic vision of VNDIRECT 48

2.2.2 Analysis of current business mission of VNDIRECT 49

2.3 Objectives of VNDIRECT 50

2.4 External environment analysis 50

2.4.1 Macro environment analysis 50

2.4.2 Industry and competition environment analysis 58

2.5 Situation analysis of VNDIRECT 80

2.5.1 Analysis of how well the corporate strategy works 80

2.5.2 Analysis of how well the business strategy works82Analysis of how well the functional strategy works 89

2.5.3 Analysis of business result of the company 106

2.5.4 Analysis of company’s resources and capabilities 108

2.5.5 The value chain and the company ‘s cost structure 111

2.5.6 Evaluate the company ‘s competitive position 113

CHAPTER 3: SUMMARY AND RECOMMENDATIONS 116

3.1 Summary and recommendations for theory development 116

3.2 Summary and recommendations for Government bodies 117

3.3 Findings for VNDIRECT 119

3.3.1 SWOT matrix analysis of VNDIRECT 119

3.3.2 Distinct competencies of VNDIRECT 122

3.4 Recommendations for VNDIRECT company from 2011 - 2016 122

3.4.1 Recommendations in strategic vision and business mission adjustment 122 3.4.2 Recommendations for corporate strategy adjustments 123

3.4.3 Recommendations for business strategy adjustments 125

3.4.4 Recommendations for functional strategy adjustments 129

3.4.5 Summary of strategic development direction of VNDIRECT 133

CONCLUSION 135

REFERENCES 137

APPENDICES 140

References:

English:

1 Arthur Thompson and Strickland (University ofAlabama), Strategic

2 Charles W.L Hill (University of Washington) and Gareth R Jones (Texas A&M

University), Strategic management - An integrated approach, 4 th edition, Houghton

Mifflin Company, New York

3 John A Pearce II and Richard B Robison, (University of Phonenix), Strategic

Companies

4 Porter, M E 1996, What is a strategy?Harvard Business Review

(November-December)

5 Porter, M E (Jan 2008), The Five Competitive Forces that Shape Strategy, Harvard

Business Review

6 Ayako Takai, Graduate School of Economics, The University of Tokyo, (September

2004), Success factors and their formation processes in early stage competition in the

Japanese online securities industry, Japan

7 Vietnam NetCitizens Report (March 2010), Internet usage and development in Vietnam,

Cimigo Company, Vietnam

8 Vietnam Salary Survey 2009, Navigos Group

Vietnamese:

9 Luat chung khoan, Viet Nam

Law on Securities, Vietnam

10 Nghi dinh so 14/2007/NB-CP cua Chinh phu Quy dinh chi tiet thi hanh mot so dieu cua

Luat Chung khoan

Decree No.14/2007/NB-CP regulating details of implementation several articles of the Law on Securities

11 Quyet dinh so 27/2007/QB-BTC cua Bo Tai chinh ve viec ban hanh Quy che to

chuc va hoat dong cong ty chung khoan

Decision No 27/2007/QB-BTC on the promulgation of the regulation on the organization and operation of securities companies, Ministry of Finance

12 Quyet dinh so Decision No 128/2007/QB-TTg phe duyet Be an phat trien thi

truong von Vietnam den nam 2010 va tarn nhin den nam 2020

Decision No 128/2007/QB-TTg for the approval of the Proposal to develop Vietnamese capital market and the vision until 2020

13 Trung Hung, Phat trien nha dau tu to chuc: Can loai bo nhieu rao can, bao Ha Noi moi

dien tu, ngay 24/1/2010

Trung Hung, Develop institutional investors: Needed to remove many barriers, Hanoimoi electronics newspaper, 24 January 2010

14 Ngoc Thuy, Cong ty chung khoan thanh Ngan hang dau tu: Binh mai, ruau chua

kip mai, Tap ch Nhip cau dau tu, ngay 14/9/2009

Ngoc Thuy, Securities company become Investment bank: New vase, unnew wine,

Investment bridge, 14 September 2009

15 Mai Phuong, Mua ban hang loat cong ty chung khoan, bao Thanh nien dien tu, ngay

13/12/2010

Mai Phuong, Acquiring a series of securities companies, Thanh Nien electronics

newspaper, 13 December 2010

16 Cao bach cong bo thong tin (neu co) cua cac cong ty: VNDIRECT, SSI, TLS, ACBS,

FPTS, HBBS, VCBS, BSC, BVSC, ABS, HSC, va mot so Cong ty chung khoan khac Prospectus (if any) of securities companies: VNDIRECT, SSI, TLS, ACBS, FPTS,

HBBS, VCBS, BSC, BVSC, ABS, HSC, and several other securities companies

17 Bao cao tai chmh cac nam tu 2007 den 2009 (neu co) cua cac Cong ty chung khoan:

VNDIRECT, SSI, TLS, ACBS, FPTS, HBBS, VCBS, BSC, BVSC, ABS, HSC, va mot

so Cong ty chung khoan khac

Financial reports (from 2007 to 2009) (if any) of securities companies: VNDIRECT, SSI, TLS, ACBS, FPTS, HBBS, VCBS, BSC, BVSC, ABS, HSC, and several other securities companies

18 Mot so quyet dinh va nghi quyet cua Hoi dong Quan tri va Ban Giam doc Cong ty chung

khoan VNDIRECT

Several resolutions and decisions of Board of Directors and Board of Management of VNDIRECT

Websites: