(LUẬN văn THẠC sĩ) building business strategy in real estate for company 59, the ministry of defense

Overview of the research status

Since the early 1990s, the real estate business has significantly expanded, becoming a crucial economic sector in the country It represents approximately 40% of national wealth, with real estate-related activities contributing 30% to overall economic activity In developed nations, mortgage lending through real estate constitutes over 80% of banks' total loan portfolios Consequently, real estate investment and development are vital for converting assets into substantial financial resources that drive socio-economic development, particularly in infrastructure investment This importance has led to numerous research studies in the field, highlighting various case studies.

 Competitive environment of real estate sector - strategy of Binh Chanh Construction Investment Shareholding (BCCI) for the period of 2010 - 2015; Author’s group of the University of Economics Ho Chi Minh City

This study examines the evolution of Vietnam's real estate market following its accession to the World Trade Organization, highlighting a significant rise in transparency rankings The WTO commitment has facilitated the growth of major real estate developers, including Savills, Colliers, and CBRE The authors conduct a SWOT analysis of Binh Chanh Construction Investment Shareholding, identifying its strengths, weaknesses, risks, and external challenges to help the company gain a competitive advantage However, the study does not assess the implementation of real estate business strategies within the company, leaving a gap in practical solutions tailored to its specific circumstances.

 Preparation of a real estate investment strategy at Vinapol Joint Stock Company; Cao Xuan Cuong (2010)

The research aims to systematize the theoretical foundations of real estate investment strategies, assess the current capabilities of businesses, explore investment opportunities in the real estate market, and analyze potential challenges It applies the real estate investment strategy of Vinapol Joint Stock Company for the next decade and proposes effective solutions for implementation However, the study has limitations, notably the lack of external and internal matrix analyses, resulting in a somewhat superficial examination of opportunities, challenges, strengths, and weaknesses within the SWOT matrix.

 Real estate business in Vietnam, current situation and solutions; Nguyen

The author’s study provides comprehensive insights into real estate and its business dynamics, including market regulations and the interconnections between real estate and other sectors It also examines global experiences in real estate to derive lessons applicable to Vietnam While the study proposes solutions to enhance real estate business, it lacks a tailored development strategy that considers the specific strengths, weaknesses, opportunities, and challenges within the Vietnamese context The author focuses on global best practices to inform business strategies for Vietnam's real estate sector.

 Establishment of a strategy for the development of the Company 59 of Ministry of Defense by 2015; Ngo Vinh Tu (2007), master thesis,

University of Economics Ho Chi Minh City

In this essay, the author has codified the rationale for business strategy in general and has come up with strategies:

• Strategy to maintain and increase market share

• Strategy for enhancement of competitiveness

• Strategy for development of new product

This study aims to create a joint development strategy for Company 59 of the Ministry of Defense, rather than exploring its real estate business strategy Additionally, it highlights the need to update the research from 2007 to align with the current market context.

Accordingly, after studying the previous works, the author will synthesize the success of the works that continue to study the “gaps” to complete the subject in his research.

Objectives of the research

General objectives

Set up a real estate business development strategy at the Company 59 of Ministry of Defense for the five years from 2018 to 2022.

Specific objectives

(1) Systematize the theoretical basis for strategy and strategy development The concept of real estate business strategies, factors influencing the construction business strategies of real estate

(2) Analyze internal and external factors affecting the real estate business of the Company 59 of Ministry of Defense

(3) Make proposal of strategy for real estate business development at Company 59 of Ministry of Defense and propose several conditions to implement the strategy.

Subjects of the research

Business strategy in real estate for Company 59, the Ministry of Defense

Scope of the reseach

For space: The study was conducted at the Company of Ministry of Defense For time: Data was collected over the last five years (2014, 2015, 2016, 2017); The given strategy is valid until 2022

A successful real estate business strategy encompasses various activities, including the buying and selling of land and properties, investment for leasing purposes, and essential construction operations Understanding these key components is crucial for navigating the real estate market effectively.

Methods of the research

Use the case study method at the Company 59 of Ministry of Defense; thesis mostly uses qualitative methods In addition, use the method of comparison and synthesis

Secondary data collection involves gathering information from various sources such as books, newspapers, magazines, and industry statistical reports This data serves as the foundation for developing the theoretical framework in Chapter 1 Additionally, it includes data from the company, departmental insights, and performance reports related to Company 59 under the Ministry of Defense and other relevant entities.

 Primary data collection: The author combines a variety of methods including in-depth interviews with experts and sociological survey methods

In-depth interview methodology: Expert method is used to interview experienced professionals in the field of real estate and management of Company

The expert interview aims to gather insights on the current real estate business environment, focusing on internal and external factors, competition, and more Additionally, discussions with the management of Company 59 - Ministry of Defense will provide a comprehensive overview of the company's activities in the real estate sector The involvement of specialists in strategic management, including instructors and consultants, further enhances the depth of the analysis.

Sociological survey method (questionnaire) with experts and board of company, customers The number of votes is 100, the number of votes is 87 votes Questionnaires were divided into 2 groups:

 Group 1: Company leaders and experts: 33 questionaire forms

 Group 2: Corporate customers: 54 questionaire forms

The thesis is structured into three chapters, namely:

Chapter 1: Theoretical basis of Business Strategy in Real estate

Chapter 2: Current Situation of the Company's Real Estate Business Strategy at Company 59 of Ministry of Defense

Chapter 3: Building Business Strategy in Real estate for Company 59 of the Ministry of Defense at the stage of 2018-2022 and recommendations

THEORETICAL BASIS OF BUSINESS STRATEGY IN REAL

The general theories of business strategy

1.1.1 Concept of strategy and business strategy

The concept of strategy, rooted in ancient military art, has evolved to encompass both macroeconomic and microeconomic contexts, including nations and organizations Economists' perspectives on strategy vary based on research objectives and historical economic developments, yet there is a consensus in business research that aligns strategy closely with business strategy Traditionally, Alfred Chandler (1962) defined strategy as establishing long-term business goals and implementing necessary actions and resource allocation to achieve these objectives This approach views strategy as a framework of long-term goals, key policies, and solutions focused on production, finance, and human resources to foster business growth However, as the economic landscape has evolved, so too has the definition of strategy The modern perspective, as articulated by McKinsey (1978), emphasizes strategy as a series of activities aimed at creating a sustainable competitive advantage.

According to Scholes (1999), strategy encompasses the long-term direction and scope of an organization aimed at achieving a competitive advantage by effectively utilizing resources in a dynamic environment to satisfy market demands and stakeholder expectations This modern perspective views strategy as a comprehensive system of goals, objectives, and policies designed to optimize resource use, capitalize on advantages and opportunities, and foster competitiveness Ultimately, it seeks not only to achieve specific objectives but also to create a sustainable competitive edge and promote long-term development for businesses.

Most economists agree that business strategies are closely linked to business development strategies, forming a vital part of a company's overall approach These strategies encompass various components, including marketing, financial, and research and development strategies A well-defined business strategy creates favorable conditions for establishing a competitive advantage, synthesizing long-term goals, policies, and solutions across production, finance, and human resources Essentially, a business strategy serves as a comprehensive action plan designed to achieve specific objectives within a designated timeframe.

A business strategy outlines the long-term objectives and direction of a company, typically spanning five to ten years It encompasses all production activities to foster favorable conditions that enhance competitive advantage and ensure sustainable development for the enterprise.

A business strategy serves as a roadmap for a company's future, detailing the goals to be achieved and the methods necessary for their attainment It is essential for businesses to integrate both strategic and situational objectives, along with a balance of strategy and tactics, to effectively navigate short-term and long-term challenges This comprehensive approach enhances operational efficiency and helps mitigate any deviations from the established strategy.

Effective strategy formulation, decision-making, implementation, and evaluation must center around the business's top leader This approach guarantees the precision of long-term decisions while safeguarding sensitive information.

A successful business strategy is grounded in identifying and leveraging comparative advantages To achieve this, companies must thoroughly evaluate their production and business conditions, enabling them to pinpoint their strengths and weaknesses Additionally, it is essential to continuously assess internal factors throughout the strategy's implementation to ensure ongoing effectiveness and adaptability.

A successful business strategy is fundamentally designed around specific business lines, specialized areas, and the unique strengths and traditions of an enterprise This approach ensures that the business is positioned appropriately within the market, allowing for the selection and implementation of strategies that align with its prepared capabilities and competitive advantages.

1.1.3 The role of business strategy

The formation and implementation of a business strategy are crucial for the survival and growth of any enterprise According to Ngo Kim Thanh (2011), the significance of business strategy can be summarized in four key roles that highlight its importance for organizational success.

Effective business strategies provide clarity on organizational goals and direction, enabling executives to assess their path and timeline for achieving desired outcomes.

Effective analysis and strategic planning enable businesses to identify their strengths and weaknesses while recognizing current and future opportunities and challenges This proactive approach allows companies to capitalize on opportunities and mitigate risks, ultimately enhancing their competitive edge in the marketplace.

- The business strategy helps administrators use and allocate existing resources in an optimal way as well as effectively coordinate organizational functions to achieve common objectives

- The business strategy creates strong bases to help businesses proactively work out solutions to market fluctuations, as the basis for their R & D activities

According to Johnson, Scholes and Whittington (2008), the organization has different levels of strategy It is possible to distinguish at least three levels of strategy as follows: a Company-level strategy

Company-level strategy encompasses the overarching scope of an organization and its approach to creating value across various business units This strategy addresses key aspects such as geographic reach, product or service diversity, and resource allocation among different organizational segments It may involve significant decisions like mergers, acquisitions, and market entry or exit Additionally, business-level strategies focus on the expectations of owners, shareholders, and the stock market, often articulated through a clear or implicit mission statement Understanding company-level strategy is crucial, as it defines the business's scope and serves as a foundation for subsequent strategic decisions Key strategies at the company level include various forms of growth and resource management.

Businesses are leveraging growth strategies to capitalize on every opportunity presented by market-driven products or services offered by higher-performing competitors.

+ Centralized Growth Strategy: A strategy that seeks to increase market share of existing products or services in existing markets through strong marketing efforts Specifically:

 Market entry strategy: It is a strategy to find ways to grow by penetrating into new markets to sell products and services currently being produced or supplied by enterprises

 Market development strategy: It is a strategy to find ways to grow by penetrating into new markets to consume products and services currently being produced or supplied by enterprises

 Product development strategy: A strategy to find ways to grow through the development of new products and services for consumption in markets where the business is operating

 Vertical integration: A strategy of self-sufficiency in production and supply of inputs to the production process or the self-

 Horizontal integration: A strategy to find ways to grow through mergers, acquisitions or joint ventures with competitors

 Diversification: is the diversification into new business that is related to current operations or business activities by analogy of production, marketing, technology and others

 Diversification is to seek the methods to grow by targeting new markets with new products that are technologically unrelated to the products that businesses are producing

Stability strategy is the strategy of maintaining business scale as well as stability in the strategic period

 Business field is slowing down or slowing down

 Expenses for market expansion are too high to be effective

 Scale of small business, weak potential

 Enterprises go deep into specialization serving narrow markets

 Encounter unusual fluctuations in the market

 Cost-cutting strategy: This is a temporary short-term strategy aimed at reducing ineffective parts or temporary problems related to environmental conditions

Strategic return on investment involves an enterprise selling or closing a business to fundamentally transform its operations and recover investment capital This approach enables the reallocation of resources, which can revitalize existing businesses or pave the way for new business opportunities.

 Harvest strategy is a strategy that seeks to maximize the flow of money, without further investment

An effective exit strategy focuses on maximizing returns by selling a business before the industry experiences a downturn This approach emphasizes the importance of a well-defined business unit-level strategy to ensure optimal timing and value realization.

The process of building business strategy of enterprises

Business strategy is crucial for the long-term sustainability and success of enterprises, as outlined in section 1.1.1 Developing a business strategy goes beyond mere intuition; it necessitates a rational, scientific, and technical approach Ngo Kim Thanh identifies a seven-step process for formulating a business strategy, emphasizing that this process is both closed and continuous.

Figure 1.1 The process of building business strategy of enterprises

Source: Ngo Kim Thanh (2011); Strategic Management Course - National Economics University

1.2.1 Identification of the mission, the current business objectives of the business

Defining the mission and current business objectives is a crucial step in developing an effective business strategy A well-articulated mission fosters alignment around common goals within the organization and provides management with a framework to establish relevant objectives and allocate resources effectively Additionally, a clear mission statement serves as a foundation for managers to devise the most suitable business strategies, ultimately driving the enterprise toward success.

According to Philip Kotler (2003): “The mission of a company is its manifesto for society, which proves usefulness and meaning in the existence of the

Identification of missions and objectives

Implementation of strategy Establishment of strategic methods

Analysis and selection of strategy

The inspection and evaluation of a company's implementation within society highlight its mission, which embodies the business's purpose and the significance of its existence and longevity, alongside its commitment to corporate social responsibility.

A successful business must align its mission with both internal capabilities and external market demands, ensuring it meets customer needs while standing out against competitors By clearly defining its business motto and market position, the company demonstrates its commitment to delivering value and making meaningful contributions to both business and life This holistic approach to mission-building fosters a sustainable strategy that resonates with stakeholders and drives long-term success.

To effectively pursue their corporate mission, businesses must establish long-term goals that outline the key accomplishments needed for success over an extended period These goals are vital as they align with the business's mission and define its operational focus When setting these objectives, companies must clarify their core business activities, the products or services they intend to offer, and the target customer segments while addressing market demand Additionally, effective business goals should embody the organization's aspirations and adhere to essential criteria such as specificity, consistency, measurability, feasibility, challenge, and flexibility.

1.2.2 Assessment on the external environment of the business

Figure 1.2 Model of external environment analysis (business environment)

Business environment analysis involves examining various external factors that impact an organization, allowing managers to identify significant opportunities and threats By understanding these elements, organizations can formulate strategies to capitalize on opportunities while mitigating the effects of potential threats This analysis encompasses macro-environmental factors, the micro-environment (or sectoral environment), and the internal environment of the enterprise.

External environment of business, region and worldwide

10 Government a Analysis on the macro environment of the business

The macro environment encompasses various factors that indirectly influence an enterprise's operations by affecting industry dynamics A widely utilized framework for macro-economic analysis is the PESTEL model, which serves as an effective tool for situational analysis This model helps identify external environmental forces that can present both opportunities and challenges for organizations The macroeconomic factors highlighted in the PESTEL model include Political Factors (P), Economic Factors (E), and Social Cultural Elements (S).

Public Factors Technology (T), Elements of Ecology (E), Legal Elements (L)

Figure 1.3 PESTEL model of macro environment analysis

Economic factors play a crucial role in shaping business dynamics, as they are often unpredictable and can present both opportunities and challenges Companies closely monitor these macroeconomic variables, including growth rates, to navigate the complexities of the economic environment effectively.

BUSINESS trend of GDP, economic development, interest rates, exchange rates, inflation, Balance of payments, monetary and financial policies and others

Political and legal factors significantly influence business performance, presenting both opportunities and challenges Companies must assess the political stability and legal framework of their operating environment, including regulations on taxation, labor, and import/export procedures Understanding these elements is crucial for strategic development, as they can either facilitate growth or pose threats to the business.

Cultural and social factors significantly influence consumption trends over the medium and long term These factors encompass various elements, including population demographics, customs, beliefs, values, attitudes, and lifestyle choices of individuals within a society Understanding these aspects is crucial for analyzing consumer behavior and market dynamics.

Technological factors significantly influence business strategies, particularly in high-tech industries The emergence of new technologies enhances product superiority, making them more complete and competitively priced Consequently, strategic planning must account for rapid technological changes, emphasizing substantial investments in research and development to leverage these advancements and boost enterprise competitiveness.

Ecological factors play a crucial role in human life and serve as a vital resource for various industries While elements of the natural environment are typically stable, negative trends such as global warming, biodiversity loss, resource depletion, and rising pollution levels pose significant challenges for businesses To navigate these issues effectively, companies must thoroughly analyze and evaluate how the natural environment influences their production and business activities during the strategic planning process.

The micro-environment, also known as the sectoral environment, significantly impacts a business's performance by shaping its investment landscape, competitive strength, and industry profitability Michael Porter's Competitive Force model (1979) highlights that various forces influence the dynamics of this business environment.

Figure 1.4 Model 5 Competitive Force M Porter

Source: M Porter’s Five Forces (1979) Harvard Business Review

- Competition among competitors in the industry: The first force that

M Porter mentions in the model is the competition among competitors in the industry Competitors are constant pressure and direct threats to the company The increasing competition of existing companies in the industry threatens the company's profitability, survival and development Because of this competition, the company has to increase its investment costs in order to differentiate its product or service from accessing the market or reducing its cost Therefore, the process of

Competition among competitors in industry

In today's business landscape, companies must prioritize the analysis of competitive threats posed by substitute products and services Key factors to consider in this competitive analysis include the number of industry competitors, overall industry growth, competitor diversity, product and service characteristics, fixed costs, inventory levels, and the barriers to entry and exit within the industry Understanding these elements is crucial for developing effective business strategies.

The concept of real estate and property characteristics

Most countries classify properties based on Roman law, distinguishing between "real estate" and "estate." Real estate encompasses not only land and natural resources but also human-made structures, such as buildings and trees, that are permanently attached to the land According to our Civil Code, real estate is defined as non-movable property, including land and constructions, along with any assets attached to them (Article 181) Real estate possesses unique characteristics compared to other goods, including fixedness, increasing value, individuality, and value that varies based on intended use The fixed nature of real estate necessitates different trading and transaction management practices, as sellers and buyers must be present at the property, unlike other goods that can be easily transported Real estate cannot be displayed in markets like other commodities; it must be marketed through descriptions, models, or design drawings Furthermore, the value of real estate is significantly influenced by its location, with properties in urban areas typically holding greater value than those in smaller towns This fixedness requires the real estate market to be regulated differently, relying on forecasting and planning to adjust supply and demand, rather than simply moving goods Additionally, real estate is characterized by individuality and scarcity, particularly in the case of land, along with durability and interdependence among properties.

A successful real estate business strategy outlines the competitive approach of enterprises in the industry, defining the specific products or services offered, business scale, resource allocation, profitability, and growth potential This strategic framework helps ensure that business plans remain focused, enabling firms to establish a strong foothold in the real estate market while effectively navigating the competitive landscape.

1.3.2 Characteristics of real estate business

Business activities are inherently tied to their specific sectors and regions, with each property's location influencing its income potential and the interests of its owner and trader The uniqueness of businesses across various locations means that a business model successful in one area may not be applicable in another Additionally, the surrounding environment plays a crucial role in determining the overall value of each property.

Real estate requires significant long-term capital investment, as each property has both a physical and economic lifespan While the economic life of real estate concludes when market and operational conditions stabilize, the costs associated with the property should align with its benefits In the real estate sector, substantial capital investment is essential for sustained growth, and firms with stronger financial resources tend to enjoy a competitive edge.

Real estate management is heavily regulated by various laws and policies, with the state overseeing all aspects from land to buildings and associated assets Key legal frameworks, including land law, construction law, and business law, play a crucial role in governing these sensitive activities.

The real estate market is characterized by its multi-sectoral operations and specific business activities, marked by imperfections and incomplete information for participants This market experiences a slower supply response and is significantly influenced by various factors, including cultural norms and consumer habits.

1.3.3 Impact of real estate business characteristics on building business strategy

The unique characteristics of the real estate industry necessitate the development of tailored business strategies To effectively navigate this complex landscape, managers must conduct thorough analyses of market trends and fluctuations, as exemplified in the thesis "Building Business Strategy in Real Estate for Company."

59 of the Ministry of Defense” on the basis of the theories mentioned in 1.1.4 At the level of strategy, business strategy is defined as business unit level strategy.

CURRENT SITUATION OF THE COMPANY'S REAL ESTATE

About the Company 59 of Ministry of Defense

2.1.1 Introduction of Company 59 of Ministry of Defense

Company 59 is under the Ministry of Defense The Company has a wide scope of activities in the country, has many years of experience in the field of construction, has implemented many large construction projects of the State and the Ministry of Defense

 Name of the company: Company 59

 Type of ownership: state-owned enterprise

 Company 59 is established under Decision no 628/1999/QĐ-BQP dated 12/05/1999 of Minister of Defense on the basis of consolidation of company

 Head office: Floor 10 th , no 9 Dinh Tien Hoang, District 1, Ho Chi Minh City

 Hanoi branch: 36A Ly Nam De – Hoan Kiem district – Hanoi

 Subordinate units: Factory 159, factory 259, factory 359, factory 559, Department of domestic business

Table 2.1 Major business lines of the company 59

1 Construction of houses of all kinds

2 Construction of other civil engineering works

3 Construction of railways and road projects

9 Real estate business, land use rights owner, owner or rent

10 Consulting, brokerage, auction real estate, auction land use rights

11 Architectural and engineering related activities in detail: Architectural design of civil and industrial projects

12 Wholesale of machinery, equipment and spare parts

13 Wholesale of metals and metal ores

14 Rental of machinery, equipment and other tangible goods

16 Installation of water supply, drainage, heating and air conditioning

17 Installation of other system construction systems

18 Production of building materials from clay

19 Production of concrete and products from cement and plaster

22 Wholesale materials and other installation equipment in construction

23 Exploitation of stone, sand, gravel and clay

24 Installation of machinery and industrial equipment

26 Restaurant and catering services for mobile

Source: Business Registration Certificate - Company 59

A number of typical works that Company 59 has implemented in the past (details in the Appendix)

Table 2.2 List of typical works have been implemented

No Name of works Contract value

Source: Profile of construction experience, company 59 2.1.2 Organizational structure of company 59, Ministry of Defense

Source: Department of Personnel Organization - Company 59

OF REAL ESTATE BUSINESS & MANAGEMENT

The organizational structure of Company 59 includes a Board of Directors and various specialized departments Given the unique demands of the industry, the company employs a diverse team of professionals, including construction engineers, architects, machinery engineers, economists, and business management experts fluent in foreign languages Most of the technical and management staff have been educated at reputable domestic and international universities and possess a strong commitment to successfully completing their assigned responsibilities.

Table 2.3 List of capacity of technical workers

No Business fields Quantity Notes

6 Civil and industrial electrical engineer 14

Source: Department of Personnel Organization - Company 59 (2016)

2.1.3 Functions and missions of the Company 59 under Ministry of Defense

Company 59 is specialized in the field of construction, investment consulting and business development housing fund In addition, the company has the right to do business in other areas depending on the capacity at the time allowed for implementation

As a state-owned enterprise under the Ministry of Defense, Company 59 not only meets its obligations like other businesses but also plays a crucial role in national defense by providing jobs for defense workers and generating revenue for the defense budget Each unit operates as an engineering brigade, prepared to transition to combat service in times of war The company is authorized to conduct production and business activities as outlined in its business license.

The Company is tasked with the efficient management of funds, including cash, assets, and land allocated by the State and the Ministry of Defense, while adhering to legal regulations and fulfilling tax obligations Annual financial reports receive approval from the higher-level finance department, and a portion of the remaining profits, after enterprise income tax, is allocated to the defense budget.

2.1.4 Objectives and core values of the company 59 under Ministry of Defense

 Core value: Safety, product quality is top priority

 Objective: To develop and develop into a multi-disciplinary company, gradually transforming into a major player in the field of project investment

2.1.5 Business results of the company 59 under Ministry of Defense

A summary of the company's financial data for the past three years (2014,

Table 2.4 Summary of financial data

2,2 Analysis of the external business environment of company 59, Ministry of Defense

2.2.1 Macro-environmental analysis a Economic factors

In 2017, Vietnam's economy demonstrated a robust recovery following the economic crisis, with the General Statistics Office reporting a GDP increase of 6.41% in the first nine months compared to the previous year Quarterly growth rates showed a rise of 5.15% in the first quarter, 6.28% in the second quarter, and an estimated 7.46% in the third quarter These figures highlight the timely and effective measures implemented by the Government to stimulate economic growth.

Figure 2.2 Vietnam's GDP over the years

Source: Vietnam Economic Statistics 2017, GSO

Up to 15/9/2017, the budget was over 65,2 trillion VND Specifically, total state budget revenue was estimated at 786.3 trillion VND, equaling 64.9% of the year estimate,

Figure 2.3 Total state budget revenue 2017

As of September 15, 2017, the total state budget expenditure was estimated at 851.5 trillion VND, which represents 61.2% of the annual budget estimate.

In September 2017, the Consumer Price Index (CPI) rose by 0.59% compared to the previous month, with nine out of eleven major commodity and service groups experiencing price increases Notably, the education sector saw the highest rise at 5%.

The average consumer price index in the first nine months of 2017 rose by 3.79% over the same period last year

Crude oil Import and Export balance

In September 2017, core inflation experienced a month-over-month increase of 0.08% and a year-over-year rise of 1.32% Additionally, the average inflation rate for the first nine months of 2017 climbed by 1.45% compared to the same timeframe in the previous year.

In 2017, the residential real estate market experienced significant growth, particularly in affordable housing and land development Statistics from the Ministry of Construction revealed that during the first half of the year, 8,200 new enterprises were established, with 2,300 of those in the real estate sector, averaging 13 new real estate businesses formed daily.

In the first half of the year, Vietnam's real estate market experienced a significant surge in foreign investment, attracting $19.2 billion in foreign direct investment (FDI), marking a 54.8% increase compared to the same period last year, according to a JLL report Additionally, data from the General Statistics Office (GSO) revealed a 3.86% rise in real estate business activity, representing the highest growth rate in five years and contributing 0.21% to Vietnam's economic growth in 2017.

Vietnam is experiencing rapid urbanization, with a significant shift of its population from rural to urban areas, as noted by the CIA World (2017) Despite having a relatively low urban population compared to regional counterparts, the country is actively undergoing this transformation at an accelerated rate.

The speed of urbanization in Vietnam has increased rapidly

Figure 2.6 Speed of urbanization in Vietnam

The rapid urbanization in Vietnam has led to a significant increase in new families, with Ho Chi Minh City and Hanoi seeing annual figures of 58,000 and 42,000 respectively This surge in population has heightened the demand for new housing, while the need to renovate existing, outdated homes remains critical Currently, approximately 27% of urban residents in Vietnam reside in low-quality housing, a situation that is likely to worsen in the coming years.

Figure 2.7 Real estate market in Vietnam 2016

The number of new households, 2016

Source: Savills Consulting and Research team

Demand source of sustainable apartment

Domestic market (Ho Chi Minh City and Hanoi)

Ho Chi Minh City and Hanoi to be leading regional markets

Primary transaction - Left Transaction/1000 people - Right

Currently, the real estate market has almost no longer take profits from the

Investment in flat surfing is becoming increasingly appealing due to soaring rental rates Hanoi and Ho Chi Minh City are currently at the forefront of the region, offering high rental yields As the Vietnamese economy and real estate market experience positive transformations, substantial opportunities arise for businesses in this sector.

Company 59 is poised to capitalize on the growing demand in the real estate sector, particularly for housing and apartments in Ho Chi Minh City and Hanoi By leveraging real demand statistics, the company plans to implement competitive and flexible pricing and payment policies tailored for both individual and corporate clients Additionally, the rising interest in hotels and resorts aligns with the company’s strategy to expand into luxury hotel and resort construction in areas like Phu Quoc and Nha Trang The overall economic stability and genuine housing needs present a significant opportunity for Company 59, as evidenced by a survey where 100% of Group 1 participants and 78% of Group 2 respondents recognized the favorable business prospects.

This is a very important factor for the company to survive and develop Political stability is a strong asset for long-term investment in Vietnam

Analysis of internal environment of company 59, Ministry of Defense

Chapter 1 outlines the theoretical framework for resource analysis within an enterprise's internal environment, highlighting three key factors that significantly influence this setting: human resources, physical facilities, and intangible assets.

The company employs approximately 700 full-time employees with social insurance and engages around 2,000 seasonal workers The real estate industry is marked by significant labor fluctuations based on project size and geographic location, leading to frequent recruitment and termination of workers upon project completion To ensure sustainable growth and development, it is crucial for the company to establish a stable pool of skilled workers.

Company 59 with 40 years of operation in the real estate industry has a staff of staff who have a good spirit and work closely with the unit As a military unit, inherited discipline in the military and formal rules in the work Officers holding key positions are qualified engineers and military personnel, the lead agency is the Ministry of Defense should have a link with the Department of Defense

The Board of Directors and department heads, along with site supervisors and equivalent roles, are all university graduates with significant experience and expertise in basic construction works.

Professional sales teams, familiar with the volume of customers are military cadres, officers, middle-income subjects Through the survey, the results showed

Figure 2.8 Survey the sales team through survey questionnaire form 1

Customer feedback, obtained through direct interaction with the sales team, serves as one of the most precise and valuable metrics for businesses The survey results from customers further reinforce this insight.

Figure 2.9 Survey the sales team through survey questionnaire form 2

The advantage of a military unit lies in its structured hierarchy, which can also serve as a weakness due to the top-down nature of personnel management This dynamic can impact the effectiveness and adaptability of the unit, highlighting the importance of balancing authority and collaboration within the ranks.

Excellent Good Average Bad the company director is limited in personnel The organizational structure is lacking in flexibility In the survey panel of experts, the management also reflects this:

Figure 2.10 Survey qualifaction of management and leadership through survey questionnaire form 1 Source: Author 2017

The company's machinery is facing operational challenges due to poor interdepartmental relationships and inadequate coordination among qualified and experienced key staff Management has identified that the overall management level varies significantly across departments, with over 50% of feedback indicating this as a critical weakness that requires immediate attention to enhance efficiency and collaboration.

The company's training initiatives have been inadequate over the past five years, with no organized classes aimed at enhancing employees' professional skills Employees are required to cover 50% of their tuition fees for any training, which discourages personal development A survey of the target group revealed that recruitment and training are perceived as weaknesses, with 23% of respondents rating the average level of these efforts as low to medium.

The salary and compensation scheme is not commensurate with the work done, the average income is 5.889,478 VND (2015) The procedure of signing labor

Qualification of management and leadership

The process of managing contracts and transferring national defense personnel is often challenging and time-consuming, which poses a significant risk of failing to attract top talent and may lead to a shortage of human resources in the coming years.

As a specialized construction and installation enterprise, our approach involves utilizing unique technology tailored to each project rather than employing a mass production method We have invested in advanced machinery and equipment, including bridge towers, hoists, mixing equipment, and construction machinery like rollers, bulldozers, and excavators, to effectively execute high-rise building projects The quality of our work is primarily determined by the skill of our workers and the quality of materials used, rather than solely relying on the machinery Nonetheless, it is crucial to ensure that the layout of our machinery and equipment adheres to essential technical parameters.

The company is fully equipped for architectural and transport construction, featuring specialized machinery for high-rise building projects An appendix detailing the construction equipment capacity is available Positive feedback was received from both groups interviewed, highlighting the effectiveness of the company's equipment and technology.

Figure 2.11 Survey of technological capacity in group 1

The construction industry is facing challenges due to outdated equipment, primarily from before 2005, as periodic investment in equipment renewal has been hindered by insufficient capital Additionally, the lack of specialized construction equipment makes it difficult to target specific market segments effectively.

Company 59 is assigned to manage a large property that is land fund The total land fund allocated by the Ministry of Defense is 24,200 m2

Table 2.9 Statistics of the land fund allocated for management use

1 No 9 Dinh Tien Hoang, District 1, Ho Chi Minh

2 No 792 Nguyen Kiem, Go Vap District 3,500

3 No 26 Phan Van Tri, Go Vap District 2,000

4 No 6 Pham Ngu Lao, Go Vap District 3,000

5 No 5B Pham Ngu Lao, go Vap District 2,700

6 Trung My Tay ward District 12 10,000

7 145B Nam Ky Khoi Nghia, District 3, Ho Chi

Source: Company profile of Company 59 (2015)

The company 59 demonstrates a significant strength in managing and exploiting land assigned by the Ministry of Defense in districts 1, 3, 12, and Go Vap Survey results indicate that both group 1 and group 2 exceed 50%, highlighting the effective utilization of a strategically located land fund This advantageous positioning is recognized as a key strength within the SWOT matrix.

However, the current exploitation has not fully utilized the real potential of this resource If used well will bring many effects, but otherwise would be a huge waste c Factory

The auxiliary production area in Ho Chi Minh City supports key activities such as steel processing, carpentry, and storage, while also providing ample parking facilities Additionally, it features a system of temporary housing that is ideal for office setups and worker accommodations at construction sites.

Weaknesses: The workshop area is not large enough and is well positioned for the development of pre-manufactured concrete products for the construction industry d Finance

The company consistently develops proactive business plans that align with evolving economic conditions, ensuring effective investment activities in both the Vietnamese and global markets By actively mobilizing capital for production and business operations, the company has achieved business results that exceed planned targets, despite equity standing at only 31% of regulatory requirements.

Defining of the mission, goals, vision of the business

Company 59 is committed to its core values of prioritizing safety and quality, consistently fostering trust among agencies, partners, and customers both within and outside the military sector As it moves forward, Company 59 aims to further strengthen these relationships and uphold its mission.

59 is determined to build and develop a leading real estate company in Vietnam.

Development of strategic options

Based on the analysis of both external and internal environments, we have identified key opportunities and challenges facing Company 59, along with its current strengths and weaknesses Utilizing the SWOT matrix will allow Company 59 to develop effective business strategies that align with its positioning, facilitating a review and selection of the most suitable strategic options.

Table 3.1 SWOT matrix proposed business strategy for Company 59

Developed as a leading real estate company in Vietnam

S1 Equipment and machinery meet the construction, interior design of residential civil works

S2 The company is managed using a land fund with a favorable location to exploit

S3 Ability to raise capital to expand production

S4 The company has a large, professional and effective sales team

S5 The company has built the brand for the non-military market

W1 The level of management of specialized departments is limited and uneven W2 The recruitment and training of new staff is not good

W3 The investment cost for renovation of equipment is still low W4 The method of annual planning is also bureaucratic

W5 Debt recovery from customers is slow

T1 The corruption, bureaucracy in the real estate industry

T2 The bank tightens lending policies with real estate

T3 The trend of cooperation, trade, merger

T4 The change in technology application in the real estate industry

T5 Regulations and obligations of business units under the

T6 Real estate agents depend on sales agents, intermediary channels

ST1 Vertical integration growth strategy

ST2 Horizontal integration growth strategy

Law system, policies to support enterprises

O2 Economic growth has increased steadily People's incomes increase

O3 Preferential credit policy for military personnel

O4 Government is interested in investing in infrastructure development

O5 Demand for middle-class housing increased

In Table 3.1 of the SWOT matrix, we evaluate the strengths, weaknesses, opportunities, and challenges to formulate effective business strategies for the company Company 59 has numerous opportunities to leverage its competitive advantages against rivals Based on this analysis, several strategic recommendations are identified from the SWOT matrix.

The longitudinal integration strategy focuses on self-production and supply of inputs for the production process, allowing for self-consumption of products By leveraging strengths in ground preparation, rough construction, and interior decoration, along with substantial capital and comprehensive project management capabilities, the company effectively oversees the entire production process Additionally, its well-established and reputable sales team enhances market presence, enabling the company to independently build, develop, and sell its own products, unlike competitors who rely on intermediaries.

The horizontal integration growth strategy focuses on expanding through mergers, acquisitions, or joint ventures with competitors, particularly in a strong M&A trend Many real estate projects are facing bankruptcy due to a lack of capital and moderate operations Company 59, with its extensive experience and prestige, especially under the Ministry of Defense, is well-positioned to acquire other real estate companies and projects, thereby enhancing its resources and restructuring unfinished developments.

Product development strategies focus on growth through the introduction of new products and services in existing markets Company 59 can enhance its offerings by providing complete interior furnishing packages and luxury vacation options, rather than just selling raw apartments The analysis of opportunities indicates a strong demand and policy support for middle-class buyers and large military apartments Leveraging the company's strengths, it is recommended that Company 59 concentrate on developing apartments specifically for middle-income individuals and military personnel.

Analysis and selection of strategic options

Based on the SWOT analysis from Chapters 2 and 3, Company 59 can identify several business strategies aligned with its mission and goals for the next five years Given the constraints of limited resources, it is essential for the company to carefully evaluate these strategies to determine the best fit The QSPM matrix, introduced for this purpose, aids in the selection process A survey conducted among company experts and leaders assessed the attractiveness of each strategy, with the QSPM matrix reflecting the average results from 30 collected questionnaires (note: results are rounded).

Table 3.2 Matrix quantitative strategic planning

AS TAS AS TAS AS TAS

Political situation is stable Law system, policies to support enterprises

Economic growth has increased steadily

Preferential credit policy for military personnel

Government is interested in investing in infrastructure development

Demand for middle- class housing increased 3 3 9 2 6 4 12

The corruption, bureaucracy in the real estate industry

The bank tightens lending policies with real estate

Trends in cooperation, mergers and acquisitions

The change in technology application in the real estate industry

Regulations and obligations of business units under the

Real estate agents depend on sales agents, intermediary channels

Machinery and equipment are met construction, interior design of residential civil

The company is managed using a land fund with a favorable location to exploit

Ability to raise capital to expand production 4 3 12 2 8 3 12

The company has a large, professional and efficient sales team

The company has built the brand for the non- military market

The level of management of specialized departments is limited and uneven

The recruitment and training of new staff is not good

The investment cost for renovation of equipment is still low

The method of annual planning is also bureaucratic

Debt recovery from customers is slow 4 2 8 3 12 2 8

Recommendations of implementation of the strategy

Thus, based on the results from the QSPM analysis, we can see the results as follows:

 The vertical integration strategy (ST1) has a total score of 180, and is the lowest scoring TAS option

 The horizontal integration strategy (ST2) has a total score of 189, and is the second best

 Product Development Strategy (SO), which seeks to grow by increasing the number of utilities and services, has a total score of 208, which is the highest overall score

The proposed business-to-product (SO) strategy leverages existing strengths to capitalize on opportunities presented by the economic environment, aligning with the company's mission and both its internal and external business landscapes.

To implement the selected strategy, the company needs to implement the following solutions in a consistent manner:

3.4.1 Marketing mix solution a Promoting and building images

In today's media landscape, traditional channels like television (99%) and newspapers (72%) continue to dominate, but the Internet is increasingly significant, especially among young people, with 58% of users accessing it regularly Daily statistics reveal that 95% of Vietnamese people watch TV, 53% use the Internet, 48% listen to the radio, and 43% read newspapers Consequently, advertising strategies are shifting to focus on these prevalent media forms Company 59, targeting middle-income earners in major cities such as Hanoi and Ho Chi Minh City, as well as military officers, is poised to implement more tailored advertising campaigns.

The company prioritizes the military sector as its core market, ensuring stable employment opportunities Additionally, it aims to expand into the middle-income housing market in major cities, aligning with sector development policies and overseeing relevant projects through dedicated staff.

 Carry out marketing, tender or contractor appointment Get turnkey contracts, giving customers many options for building projects with different design options

 Associate with foreign design consultants to find clients from the foreign investment sector

 Organize customer conferences every year, tighten the relationship between customers and businesses

 Implement advertising programs in the form of mass media, sponsorship programs, sports exchanges, culture and arts Participating in domestic and foreign fairs

 Build up professionalism for employees in customer relations

Listening to customer feedback is essential for developing effective policies and ensuring high satisfaction levels Providing maintenance services after project completion is crucial for ongoing customer support Additionally, effective marketing strategies are necessary for promoting and selling products successfully.

To maintain and enhance its presence in the military market, the company must prioritize customer care The design department should provide clients with expert advice on project utility and efficiency, incorporating new materials and optimal layouts to ensure maximum satisfaction This approach will not only focus on user convenience but also ensure aesthetic harmony with surrounding structures, while effectively managing construction costs and timelines.

 Prepare sufficient resources and perform well in the construction process to ensure progress, quality and safety

 Effectively implement the work warranty, is willing to take responsibility for the work is not satisfactory

To enhance traditional customer care programs, it is essential to maintain consistent relationships with key clients, including the Ministry of Defense, Ministry of Construction, Ministry of Transport, provincial People's Committees, and project management boards Organizing customer conferences and supporting local social initiatives, such as financing poverty alleviation programs and constructing gratitude houses, as well as facilitating sports exchanges, can significantly strengthen these connections.

 Provide information on products, programs of application of science and technology, new technology of the company

 Carry out annual product maintenance for the unit's products

 Regularly survey customers about the services and products of the company to make appropriate adjustments

 Train a team of technically savvy employees to meet the needs of our customers

 Create customer profiles to understand current and potential needs in the future to have the right marketing strategy c Development of distribution channel

Currently, the majority of real estate transactions occur through intermediaries To enhance sales effectiveness, Company 59, known for its long-standing reputation and robust sales team, should focus on direct sales to consumers This strategy will eliminate the need for intermediaries and agents, thereby streamlining the supply chain and improving overall efficiency.

Supply Chain: Building an effective supply chain to deliver services, products to the best customers at cost-effective:

To effectively select and evaluate distributors and agents, it is essential to adhere to the company's standards This process involves assessing the distributor's capacity to establish new zones and the size of their marketing team, as well as providing necessary market support staff to enhance distributor performance.

 Develop policies for distributors (staff support, system development, infrastructure strengthening and others)

 Develop attractive policies for the company's direct sales staff to increase direct sales efficiencies

Develop attractive policies for direct sales staff to increase direct sales efficiencies

 Determine the human resources needs, including quantity, professional qualifications and age, in line with the company's annual development plan

To align salaries and bonuses with societal standards, it is essential to harmonize the interests of businesses and employees by implementing a reward system that recognizes and values the contributions of employees to the organization.

 Have a transparent and open recruitment policy for all subjects in the society, to avoid the recruitment of familiar factors and family factors

 Revise the system of labor contracts, social insurance, wage payment and remuneration policies for workers, especially for skilled workers and skilled workers

 Improve the functions and duties of the department and for each position by developing and applying the ISO 9001 quality management system in the unit

 Build up a culture within the company, creating a shared value among employees within the unit Create a unity in the company Identify the company as a common roof for everyone

 Develop an annual professional training plan for staffs To dispatch officials to study professional skills and management methods in advanced countries in the region

Collaborating with prestigious universities is essential for enhancing staff knowledge and skills The company offers scholarships to qualified students, ensuring they align with organizational needs, and provides employment agreements upon graduation.

Investing in new construction equipment and technologies, along with building a professional marketing team, is essential for enhancing production management Collaborating with industry peers will enable expansion into promising markets for both foreign and domestic enterprises By concentrating on specialized equipment like bored pile drills and retaining wall drilling machines, the company positions itself to successfully undertake underground and specialized projects, marking a significant turning point in its operations.

Establish a joint venture company in the field of construction of underground works and high-rise buildings with complex structure in order to transfer technology, equipment and construction experience

3.4.4 Financial solution relatively good unit in raising capital for production thanks to the timely and adequate capital adequacy of the Military Commercial Joint Stock Bank However, for sustainable long-term development, investment in construction equipment, the loan can not meet To overcome this, the company must mobilize from the following sources

 Identify Military Commercial Bank as a strategic partner providing long- term credit to finance the company's investment projects

 Mobilize capital from financial leasing organizations and investment funds

 Mobilize the advance funds of customers and business partners to finance the project

 Mobilize capital from equitization of the enterprise and issuing additional shares

 Mobilize capital from staffs in the unit

Some recommendations to the management level

 Perfect the business legal environment on the basis of equality among enterprises in the direction of integrating into the world construction market, in line with international practices

 Simplify investment procedures, improvement of basic construction management procedures

 Promote the prevention of corruption, harassment in the building

To enhance capital management in construction investment, it is essential to adjust the fiscal year for capital settlement to align with the country's climate conditions Although the government has outlined capital allocation for various projects, insufficient funding and the widespread distribution of resources lead to prolonged project completion, resulting in societal losses and increased contractor costs Disagreements regarding project volume processing further complicate matters, often causing delays that hinder timely project completion.

Revamping basic construction management involves establishing a capital construction management company to take over the functions of the project management board, transitioning from a supervisory role to a leadership position It is essential for projects to achieve both economic and community efficiency, thereby preventing the current trend of investing in construction projects that ultimately fail to deliver effective results, leading to significant waste for society and taxpayers.

 Amend a number of articles of the Bidding Law, which stipulate price ceilings, floor prices and unreasonableness in adjusting bids

 Have appropriate policies and resolutions in the enforcement of site clearance, avoid the situation as many projects can not be completed because of land clearance

To enhance efficiency in production and business activities, it is essential to minimize the involvement of higher-level agencies and streamline the organizational structure within enterprises By granting enterprises greater autonomy in proactive planning and production organization, they can better align their operations with their specific circumstances and market demands.

 Allow companies to carry out shares at the discretion of the Prime Minister and to reasonably settle policies for employees, especially those who are military employees after equitization

In response to economic shifts, businesses must adapt their operations and develop strategies that align with current conditions The topic of "Building a Real Estate Business Strategy for Ministry of Defense 59" is particularly relevant today, as outdated strategies are no longer effective, necessitating the formulation of a new approach Through careful analysis and strategy development for Company 59, the author has identified several key highlights that address these emerging challenges.

1 Systematize the theoretical basis of strategy, real estate strategy Introduce a model to build a real estate strategy in line with the reality of the company

2 The questionnaire has been developed, from which the assessment and assessment sheet is composed of strengths and weaknesses; Opportunities - challenges of the company

3 Develop SWOT matrix and propose strategic options, including 3 strategies, including:

 ST1 Vertical integration growth strategy

 ST2 Horizontal integration growth strategy

4 Use QSPM to analyze and select strategic options The result: SO strategy - Product development is the strategy with the highest score

5 Develop solutions to implement SO strategy

6 Recommendations to sectoral and state management agencies

Despite the efforts, the experience and knowledge of the trainees are limited

I anticipate receiving valuable input from both teachers and siblings to finalize my thesis, which will be instrumental in shaping the company's strategic development over the next five years.

1 Michael E Porter (1998), Competitive strategy, Statistics Publishing House, Hanoi;

2 Philip Kotler (1997), Marketing management, Statistics Publishing House, Hanoi;

3 Fred R David (2003), Concept of strategic management, Statistics Publishing House, Hanoi;

4 Prof Ph.D Ngo Kim Thanh (2011), Strategic management, National Economics Publishing House, Hanoi;

5 Ph.D Nguyen Thanh Hoi, Ph.D Phan Thang (2001), Management, Statistics Publishing House, Hanoi

6 Michael E Porter (1980), Competitive Strategy, New York, USA

7 Michael E Porter (2008), Competitive advantage, (Translation) Tre

Publishing House; Ho Chi Minh City

8 Micheal E Porter (2009), Competitive Strategy, Tre Publishing House, Ho

9 Garry D, Smith Danny R, Arnold, và BobbyG, Bizzell (1997), Business Strategy and Policy, Statistics Publishing House, Hanoi;

10 Prof Ph.D Hoang Dinh Phi (2011), Curriculum on Management Technology, Vietnam National University Press, Hanoi;

11 Nguyen Thi Lien Diep and Pham Van Nam (2003), Business Strategy and

Policy, Statistics Publishing House, Hanoi;

12 Authors’ group of University of Economics Ho Chi Minh City (2010), Competitive environment of real estate – strategy of Binh Chanh Construction Investment Shareholding (BCCI) at the stage of 2010 – 2015;

13 Ngo Vinh Tu (2007), master thesis, University of Economics Ho Chi Minh City; Building development strategy for Company 59 under Ministry of Defense until 2015

14 Tran Quoc Thai (2006); master thesis in economics, Strategic business plan of Vietnam Export Import Bank until 2015 University of Economics

15 Decree no 76/2015/NĐ-CP dated 10 September 2015; Detailed provisions on implementation of real estate business law

16 Law of the officers of the Vietnam People's Army dated 21 December 1999; Law on amendment and supplementation of articles of law of the officers of the Vietnam People’s Army dated 03 June 2008

Please tick X for the option you choose

Types Content Excellent Good Average Poor

Economic growth has increased steadily People's incomes increase Preferential credit policy for military personnel

Government investment is concerned with infrastructure

Demand for middle-class housing increased

The speed of urbanization is fast The number of new families increases rapidly

Vietnam built an open economy, socialist orientation, global integration

Improve legal institutions Get off to the forefront of technology People's living improves, demand for home ownership increases Flexible and various supplier

Challenges The corruption, bureaucracy in the real estate industry The bank tightens lending policies with real estate

The real estate industry is undergoing significant transformation due to advancements in technology, which enhances efficiency and improves customer experiences Additionally, business units operating under the Ministry must adhere to specific regulations and obligations that ensure compliance and promote accountability Furthermore, those under the Ministry of Defense face unique regulatory requirements that govern their operations, ensuring security and operational integrity in their business practices.

The fierce competition in the industry

Administrative procedures are not yet streamlined

Unfair competition in the industry The virtual demand for real estate Regulatory adjustment

Outstanding capital in real estate

Strengths Equipment and machinery meet the construction, interior design of residential civil works

Ability to raise capital to expand production

The company has built its brand in the non-military market

The company has loyal customers, stable (projects, customers in the military)

The company has a good record of

40 years of experience in real estate The company applies many new technologies in the process of construction execution

The process is professional, professional

Weaknesses The level of management of specialized departments is limited and uneven

Debt recovery from customers is slow

The remuneration policy is not good, not keeping good personnel

The image of state-owned enterprises (slow, bureaucratic) has an impact on the impression of corporate customers or individual customers

The task of urging debt recovery slowly Bad debt is relatively large

The budget budget has a late payment time

Allocation of management costs for each type does not follow a certain criterion

Expenditures of the Company's legal reserves are not high

QUESTIONAIRE STRATEGY SELECTION MATRIX FORM

Dear readers, following the release of Survey Number 1, the author has conducted research to identify three key strategies aligned with the company's reality To ensure an objective evaluation of the attractiveness of each strategy, additional feedback is needed Your cooperation is greatly appreciated!

1 ST1: Vertical Integration Growth Strategy

4 AS: Points of Attraction: The relative attractiveness of strategy versus other strategies, by factor

5 TAS: Determine the total number of points of interest by multiplying the number of points in the column with the AS score

6 In particular: point 1 is not attractive, point 2 means less attractive, point 3 is quite attractive and point 4 is very attractive