11 the situation of marketing activities at bvtt construction and trading service jsc and some advanced solutions to improve the performance of marketing work

MINISTRY OF FINANCE
ACADEMY OF FINANCE
--------------------

Student:

Nguyen Thi Khanh Ly

Group:

CQ56/51.01

GRADUATION THESIS
TOPIC:
THE SITUATION OF MARKETING ACTIVITIES AT BVTT CONSTRUCTION
AND TRADING SERVICE JSC AND SOME ADVANCED SOLUTIONS TO
IMPROVE THE PERFORMANCE OF MARKETING WORK

Major

:

English for Finance and Accounting

Student code

:

1872202010015

Supervisor

:

MA. Doan Thi Thuy

Hanoi – 2022


MINISTRY OF FINANCE
ACADEMY OF FINANCE
--------------------

Student:

Nguyen Thi Khanh Ly

Group:

CQ56/51.01

GRADUATION THESIS
TOPIC:
THE SITUATION OF MARKETING ACTIVITIES AT BVTT CONSTRUCTION
AND TRADING SERVICE JSC AND SOME ADVANCED SOLUTIONS TO
IMPROVE THE PERFORMANCE OF MARKETING WORK

Major

:

English for Finance and Accounting

Student code

:

1872202010015

Supervisor

:

MA. Doan Thi Thuy

Hanoi – 2022


DECLARATION
I hereby state that I, Nguyen Thi Khanh Ly, being a student of Faculty of Foreign
Languages, Academy of Finance certifies my authorship of the thesis submitted
today entitled:
“The situation of marketing activities at BVTT construction and trading
service JSC and some advanced solutions to improve the performance of
marketing work”
The thesis is the study of my own work and substance of the thesis has not, wholly
or in part, been submitted for a degree to any other universities or institutions.
Ha Noi, May 2022

Nguyen Thi Khanh Ly

ABSTRACT
The thesis studies the situation of marketing activities of BVTT construction and
trading service JSC and some advanced solutions to improve the performance of
marketing work from perspective of 4-year-student of Faculty of Foreign
Languages, Academy of Finance. The purpose of this thesis is to learn about the
actual situation of marketing at the company, thereby finding out the remaining
problems in the marketing strategy and what are the causes of those problems. From
those limitations and causes, propose solutions to improve the company's
marketing. The writer has made the analysis based on the business report as well as
the analysis of the company's activities in order to find the most correct solutions to
help the quality of the company's marketing work more and more effective.


ACKNOWLEDGEMENTS
In my exploring of knowledge and in the course of completing this thesis, many
individuals have assisted me. I would like to acknowledge wholeheartedly their
assistance, cooperation and encouragement which all contributed to make this study
completed. This thesis would not have been feasible without their guidance and help
of which in one way or another rendered their valuable assistance during the whole
process of carrying out and completing this study.
First and foremost, I would like to express my utmost gratitude to my supervisor,
M.A Doan Thi Thuy for her precious guidance and constructive criticism from the
start of my work. She has constantly provided me with encouragement and support.
I would not have made steady progress without her kind support. It is an honor for
me to have her guidance as a supervisor to complete my thesis.
Second, I owe special thanks all the teachers at Academy of Finance who have
imparted valuable lessons expertise knowledge during the past 4 years. Without
them, this study could have never been completed.
I also wish to thank all my colleagues at Academy of Finance who are the subjects

of my thesis for their willingness to answer the questionnaire and interview.
Without their help, I could not have finished the thesis.
Last but not least, I also owe a deep debt of gratitude to my beloved friends and
family members for their unfailing encouragement and valuable support until the
completion of this research.


LIST OF FIGURES AND TABLES
No

Tittle

Diagram Marketing Mix Tools

Page
12

1.1
Table
2.1

Main business sectors of BVTT construction and trading
service JSC

Diagram Organization structure of BVTT construction and trading
2.1
Table

22
24

service JSC
Income Statement from 2019-2021

26

Diagram The company's revenue chart from 2019-2021

28

2.2
2.2
Table
2.3
Table
2.4

Analysis of total profit structure of the last 2 years (2020-

29

2021)
Capital structure and capital contribution rate of foundation

31

shareholders

Diagram The BVTT Company’s product distribution channel diagram

47

2.3
Table

Objectives, tasks of company

53

3.1
Diagram The parts of the marketing department
3.1

58


TABLE OF CONTENTS
DECLARATION.........................................................................................................i
ABSTRACT................................................................................................................ii
ACKNOWLEDGEMENTS.......................................................................................iii
LIST OF FIGURES AND TABLES..........................................................................iv
TABLE OF CONTENTS............................................................................................v
INTRODUCTION......................................................................................................1
1. Rationale of the study.......................................................................................1
2. Aims of the study..............................................................................................1
3. Scope of the study.............................................................................................2
4. Methodology.....................................................................................................2
5. Organization of the study..................................................................................2
CHAPTER 1: LITERATURE REVIEW....................................................................3
1.1. The basic concepts...............................................................................................3

1.1.1 The definition of Marketing...............................................................................3
1.1.2 Classification of Marketing................................................................................4
1.1.2.1 Traditional Marketing.....................................................................................5
1.1.2.2 Modern Marketing..........................................................................................6
1.1.2.3 Marketing Mix................................................................................................7
1.1.3 Basic Functions of Marketing............................................................................7
1.1.4 The role of marketing in business......................................................................8
1.2 Content of Marketing Mix activities in the business............................................9
1.2.1 Market segmentation..........................................................................................9
1.2.2Target Positioning.............................................................................................10
1.2.3 Marketing Mix.................................................................................................11
1.2.3.1 Marketing Mix Strategy................................................................................11
1.2.3.3 Marketing Mix Tools....................................................................................12
1.3 Factors Influencing Business Marketing.............................................................13


1.3.1 External Factors...............................................................................................13
1.3.1.1 Political and regulatory.................................................................................14
1.3.1.2 The Economic Environment.........................................................................14
1.3.1.3 The Competitive Environment......................................................................15
1.3.1.4 The Technological Environment...................................................................15
1.3.1.5 The Social and Cultural Environment...........................................................16
1.3.2 Internal Factors.................................................................................................16
1.3.2.1 Resources......................................................................................................16
1.3.2.2 Capabilities and core competencies..............................................................17
1.3.2.3 Management values and corporate culture....................................................17
1.3.2.4 Stakeholder goals..........................................................................................17
1.4 Criteria for Evaluating Your Marketing Activity................................................17
1.4.1 Market Reaction...............................................................................................17
1.4.2 Customer Response..........................................................................................18

1.4.3 Sales Performance............................................................................................18
1.4.4 Cost-Per-Acquisition........................................................................................19
CHAPTER 2: THE STUDY.....................................................................................21
2.1. Overview of BVTT at BVTT Construction and Trading JSC...........................21
2.1.1 Process of formation and development of the company..................................21
2.1.2 Functions of tasks and business sectors...........................................................21
2.1.3 Organizational structure of the company apparatus.........................................24
2.1.4 Report on results of production and business activities...................................26
2.2 Technical and economic effects affecting marketing activities at the company.30
2.2.1 Capital characteristics......................................................................................30
2.2.2 Characteristics of human resources..................................................................31
2.2.3 Characteristics of customers and competitors..................................................32
2.2.4 Characteristics of corporate culture.................................................................35
2.3 Marketing status at the company.........................................................................36


2.3.1 Market research activity...................................................................................36
2.3.2 Customer characteristics..................................................................................38
2.3.4 Market segment and target market...................................................................40
2.3.5 Marketing Mix strategy of the company..........................................................43
2.3.5.1 Product Policy...............................................................................................44
2.3.5.2 Price Policy...................................................................................................45
2.3.5.3 Product Distribution Policy...........................................................................47
2.3.5.4 Sales Promotion Policy.................................................................................48
2.4 Assessing the successes, limitations of existence and causes.............................49
2.4.1 The success achieved in the company's marketing activities...........................49
2.4.2 Causes and limitations exist in the company's marketing activities................50
CHAPTER 3: THE RECOMMENDATIONS..........................................................52
3.1 Direction, objectives and tasks in the coming time.............................................52
3.1.1 Direction...........................................................................................................52

3.1.2 Objectives, tasks...............................................................................................52
3.2 Recommendations to complete marketing activities at the Company................54
3.2.1 Recommendations for product policy..............................................................54
3.2.2 Recommendations for price policy..................................................................55
3.2.3 Recommendations for product distribution policy...........................................56
3.2.4 Recommendations for sales promotion policy.................................................56
3.2.5 Recommendations for the company.................................................................58
3.2.5.1 Establishment of Marketing department.......................................................58
3.2.5.2 Training staff.................................................................................................59
CONCLUSION.........................................................................................................61
REFERENCES..........................................................................................................62


INTRODUCTION
1. Rationale of the study
In the context of the volatile market economy, especially the increasingly
fierce competition, marketing is considered as one of the indispensable tools in
production and business activities, contributing to helping businesses create prestige
and a strong position in front of competitors. Marketing helps businesses find
customers and push their products towards them. In the market mechanism, if an
enterprise enters the business without understanding marketing, it is like a living
organism that separates itself from the conditions of existence. Marketing-mix is the
most basic element in marketing activities. These are activities aimed at improving
the competitiveness of enterprises and adapting to market fluctuations. Decisions
about products, prices, distribution and promotion play an important role throughout
the entire production and business process of enterprises. However, current
marketing decisions are still the weak point of many Vietnamese businesses. Most
still do not understand the nature and importance of these activities, but only do it
based on their own experience and those of previous companies. Therefore, the
enterprise budget used for marketing activities is not small, but still has not been

effective, causing waste.
Realizing the importance of Marketing to businesses, along with the
internship period at BVTT construction and trading JSC, the writer chose the topic:
“The situation of marketing activities at BVTT construction and trading
service JSC and some advanced solutions to improve the performance of
marketing work”.
2. Aims of the study


The topic focuses on researching marketing activities at the BVTT construction
and trading service JSC to analyze the strengths and weaknesses of the company.
On that basis, proposing the solutions that can improve the effectiveness of
marketing activities.
3. Scope of the study
-

Time: data is collected and used from 2019 to 2021 at BVTT construction
and trading service JSC.

4. Methodology
The study approach has been chosen to investigate the situation of marketing
activities of BVTT construction and trading service JSC. The sampling
procedure is described, followed by the means of data collection. Methods of
data analysis and the limitations of the research are discussed. Finally, the
recommendations for this research is introduced.
5. Organization of the study
Including 3 chapters:
 Chapter 1: Theoretical foundations of marketing activities in
enterprises.
 Chapter 2: The situation of marketing activities of BVTT

Construction and Trading Service JSC.
 Chapter 3: Some advanced solutions to improve the performance of
marketing work at BVTT Construction and Trading Service JSC.


CHAPTER 1: LITERATURE REVIEW
1.1. The basic concepts
1.1.1 The definition of Marketing
The term "Marketing" first appeared in a lecture of "Product Marketing" in
1905 by Dr W.E.Krensi of Pensylvania University (United States of America).
From then until 1915, this subject has been officially taught in California University
and other universities in the country. Many firms have then started to implement
marketing in their business activities. Over the years, the contents and philosophies
of the subject have been more and more completed and developed, bringing real
effectiveness to business activities. In 1937, the American Marketing Association
was established, a real contribution to the development of marketing in terms of
both practical and theoretical aspects.
After the Second World War, marketing had spread to many countries
worldwide. Some Socialist countries such as Poland, Rumania, Hungary, and
German Democratic Republic and so on have also chosen to teach marketing at
economic colleges since 1960s. By the end of the 20th century, marketing had been
taught in most countries all over the world. As a newly-born science, established
and developed in the 20th century, marketing has developed thoroughly in terms of
theories, business ideas, and practical application. This development process can be
divided in to two main stages as we so called classic marketing theory and modern
marketing theory.
According to America Marketing Association(2013):“Marketing is the
activity, set of institutions, and processes for creating, communicating,
delivering, and exchanging offerings that have value for customers, clients,
partners, and society at large”. Philip Kotler- an American marketing author,

consultant, and professor; the S. C. Johnson & Son Distinguished Professor
of International Marketing at the Kellogg School of
Management at Northwestern University. He is known for popularizing the


definition of marketing mix. He said: “Marketing is the human activity directed
at satisfying human needs and wants through an exchange process” (1980).

1.1.2 Classification of Marketing
 Based on material form of exchanging process
Marketing is divided into product marketing, service marketing, and non-goods
marketing.
 Product Marketing: Marketing applied in domains of goods and business
production. Firms applying this are production companies. This type of
marketing is commonly used and reflects its full contents, opinions, and
behavior methods. Product marketing is then divided into several fields:
 Industrial Marketing: Applied in business production for social material
wealth. Business production companies of industrial, agricultural, and
construction industries will apply this marketing type. These firms produce
materials, visible products. There are three important business processes
which are material purchase, production, and selling.
 Commercial Marketing: Activity of commercial trading organizations
(including domestic and foreign trade). The main functions of commercial
organizations are to circulate goods and distribute products. The content of
commercial marketing is oriented on selling and promotion activities to
ensure distribution process, expand the market, and strengthen the
competitiveness.
 Service Marketing: Applied in service trading firms who do not make up
material wealth but can meet human immaterial needs. In this area, marketing
is designed according to service characteristics such as insurance, banking,

post, transportation, tourism. The contents of service marketing take
orientation to best satisfy service conditions, and to increase immaterial
demands of society.
 Non-Goods Marketing: Applied in areas of politics, culture, and society. Subbranch of non-goods and marketing is widely diversified. Some typical non-


goods marketing types are: political marketing, diplomatic marketing, cultural
marketing, sport marketing.
 Based on scope of application
Marketing is divided into:
 Marketing for company: marketing activity of business production
organizations such as companies, companies and trading firms.
 Marketing for industries: This marketing type implemented by macroscopic
management organizations (ministries, branches, directorates).
 Marketing for countries: The object of study and effecting impact go beyond
a nation. Normally, marketing for countries is studied applied by business
groups, transnational and multinational trading firms, import-export
businesses.
There are other ways of classification according to different research goals.
However, above-mentioned marketing classifications were chosen due its closeness
to business production activities of companies.
1.1.2.1 Traditional Marketing
Classic marketing theory (also known as traditional marketing theory) first
appeared around the beginning of 20th century in the United States of America
(USA). Marketing activities at this time was simple activities together with goods
distribution activity of producers. Activities which are seeking new markets, skills
and solutions to boost sales are advertising, promotion, and salesmanship.
Therefore, a majority of the public considered classic marketing theory as selling
activities for their firms' products and services. During this period, the American
Marketing Association defined the marketing as "activities relating the distribution

of final products/services from manufacturer to end- consumer". Classic marketing
theory's philosophy "sell what enterprise has". Accordingly, business has no need
for market demand research, as well as seeking solutions to best satisfy market
demand and customers. Customers are not the centre of marketing research and


activities. In practice, classic marketing theory limited its activities only to goods
and service trading, not yet developed in to other domains of the social life.
1.1.2.2 Modern Marketing
After the Second World War, due to the drastic impact of science and
technology revolution and other factors, commodity market evolved quickly, which
lead to exceed supply, the market became saturated. Distribution and sales became
pressing matters for all businesses. In addition, market competition at this stage
became fierce as governments then started to employ anti-monopoly laws as well as
effective anti- monopoly solutions. The appearance of a series of other
socioeconomic issues such as economic crisis, market replacement, and
development of the socialist system also added more to the stress. These caused
fundamental changes in the relationship between sellers and buyers in market. The
market changed from "market of the seller" to "market of the buyer”. To solve these
issues, activities under classic marketing theory were no longer enough and firms
needed to adjust and changed their way of thinking and doing business. As a result,
marketing theory in this period developed into a new phase, so called modern
marketing theory.
For comprehensive consideration, compared with classic marketing theory,
modern marketing is not only an inheritance but also revolution in business domain.
According to modern marketing perspective, marketing activities are no longer
limited to market seeking and salesmanship. Marketing now starts before products
are made, ongoing during production process and distribution, during purchase, and
finally post-sale services. As such, modern marketing theory penetrated three other
important steps of businesses: Production, Distribution, and Consumption. It helps

businesses answer two core issues "What to produce?" and "How to distribute
products to end customers?"
Modern marketing perspective places strong emphasis on research and
satisfaction of customers is the centre of all activities. The central character is now
of the customers, displaying through saying:"Customer are always right". However,


the core of marketing theory that applied in every domain is to grasp the need and
wants of the people and find every ways possible to most satisfy these needs and
wants.

1.1.2.3 Marketing Mix
Marketing Mix is the set of marketing tools the firm uses to pursue its
Marketing objectives in the target market.
 Product: includes planning and development of products and services that the
company will launch into the market.
 Price: determine the price policy for the product
 Place or Distribution: select and manage distribution channels, bring products
to the end consumer effectively, in the right place at the right time.
 Mixed promotion: including introducing activities, providing information on
products for the market and persuading the market to use the products and
services of companies. Marketing mix is the combination of these four factors,
adjust and change them depending on the change of customers and target
market

1.1.3 Basic Functions of Marketing
 To best satisfy the needs of society: This is the main function of all marketing
activities. This function is performed by researching and analyzing market needs
including actual, potential and theoretical needs. From there, marketing activities
will be directed to appropriate solutions to bring about the development of social

production and thus for this function marketing activities will ensure the highest
production and consumption for society.
 To improve the adaptability and competitiveness of the organization: Market
needs change when the tastes, habits, characteristics and behaviors of customers
are different. Therefore, marketing activities help the company to differentiate
itself from the competition but still best meet the target customers. On the other
hand, because demand is always fluctuating and changing, adaptability of
marketing solutions allows companies to avoid contingencies, take advantage of


business opportunities and quickly adapt to change in the market. If used wisely,
marketing can help businesses strengthen their position in the market, expand
their markets, attract new customers and increase their competitiveness.
 To stimulate consumption: Consumption plays a very important role for
businesses to decide whether they produce a product or service. Stimulating
consumption is one of the most basic functions of marketing. To solve the
problem of consumption and distribution, a comprehensive set of marketing
solutions is needed. That is defining attractive pricing strategies; organize and
complete the distribution system; set up and implement communication tools
such as advertising and promotion. In addition, companies should also focus on
training, improving knowledge and sales skills for their staff.
 To improve production and business efficiency: The goal of marketing is always
to bring the highest efficiency to production and business activities. In doing so,
however, modern marketing must take account of the balance between the
interests of the market, the company, and society. The benefit of the market is
the satisfaction of diverse needs of consumers. By satisfying the interests of the
market, companies can satisfy their own interests by implementing marketing
strategies. In other words, marketing activities are aimed at meeting social and
market needs in order to meet the best interests of the company.

1.1.4 The role of marketing in business
With the development of modern marketing theory, businesses have found
the key to solving their supply-demand conflicts during the economic crisis.
Bourgeois economists see modern marketing as the goal of capitalism.

They

consider modern marketing thought to be a "new business philosophy" or "the
secret to success". Marketing ensures the sustainable development of the national
economy, realistic and feasible, helping governments to direct and formulate their
policies effectively.
For business operations, marketing helps the company in all phases of
business development strategy, market strategy and competitive strategy.


Moreover, through their activities, enterprises can take advantage of business
opportunities, increase competitiveness and attract customers. In Vietnam, learning
and applying marketing knowledge helps local companies face the challenges of an
open economy and competitive market.
For customers, marketing efforts may bring some limitations such as price
increases; strongly affect psychology, create unrealistic demands, can have bad
consequences on the market and the development of society. These limitations
require regulations and macro management controls by government legislation as
well as consumer and environmental protection movements.

1.2 Content of Marketing Mix activities in the business
1.2.1 Market segmentation
It is the process that dividing a market into distinct groups of buyers with
different needs, characteristics or behavior, who might require separate products or
marketing mixes. The purpose of market segmentation is to identify different

groups within your target audience so that you can deliver more valuable messaging
for them.
 Classification:
 Demographic segmentation (the Who) might be the first thing people think of
when they hear ‘market segmentation’. This is perhaps the most
straightforward way of defining customer groups, but it remains powerful.
Demographic segmentation looks at identifiable non-character traits such as:
age, gender, ethnicity, and income, level of education, religion,
profession/role in a company redundancy, improve activities efficiency, and
cost savings.
 Psychographic segmentation (the Why) is focused on your customers’
personalities and interests. Here we might look at customers and define them
by their: personality traits, hobbies, life goals, values, beliefs, lifestyles.
Compared to demographic segmentation, this can be a harder set to identify.
Good research is vital and, when done well, psychographic segmentation can


allow for incredibly effective marketing that consumers will feel speaks to
them on a much more personal level.
 Geographic segmentation (the Where) is often one of the easiest to identify,
grouping customers with regards to their physical location. This can be
defined in any number of ways: country, region, city, postal code.
 Behavioral segmentation (the How) is possibly the most useful of all for ecommerce businesses. As with psychographic segmentation, it requires a
little data to be truly effective – but much of this can be gathered via your
website itself. Here we group customers with regards to their: spending
habits, purchasing habits, browsing habits, interactions with the brand,
loyalty to brand, previous product feedback.
 Reasons for segmentation
 From the market: a homogeneous product cannot satisfy all customers in
the market.

 From the company: company’s resources are limited, cannot efficiently
exploit the entire market.
 From Marketing activities’ performance: for better marketing activities
orientation, developing policies that best suits target customers, reduce

1.2.2 Target Positioning
The way the product is defined by consumers on important attributes - the
place the product occupies in consumers’ minds relative to competing products.
When creating your targeting and positioning strategy, you must evaluate the
potential and commercial attractiveness of each segment, and then develop detailed
product positioning for each selected segment, including a tailored marketing mix
based on your knowledge of that segment.
Positioning strategy objectives:
 To search for a new unoccupied position that is valued by enough
consumers and grab it.
 To deposition or reposition the competition.


 To strengthen a brand's current position in the mind of onsumers.
 Positioning strategy:
 Identifying a set of differentiating competitive advantages on which to
build a position
 Choosing the right competitive advantages
 Selecting an overall positioning strategy
 Communicating and delivering the chosen position to the market.

1.2.3 Marketing Mix
1.2.3.1 Marketing Mix Strategy
A marketing strategy refers to a business's overall game plan for reaching
prospective consumers and turning them into customers of their products or

services. A marketing strategy contains the company’s value proposition, key
brand messaging, data on target customer demographics, and other high-level
elements. A thorough marketing strategy covers "the four Ps" of marketing
(product, price, place, promotion). The marketing mix is a significant tool for
creating the right marketing strategy and its implementation through effective
tactics. The assessment of the roles of your product, promotion, price, and place
plays a vital part in your overall marketing approach. The ultimate goal of a
marketing strategy is to achieve and communicate a sustainable competitive
advantage over rival companies by understanding the needs and wants of its
consumers. Whether it's a print ad design, mass customization, or a social media
campaign, a marketing asset can be judged based on how effectively it
communicates a company's core value proposition.
An effective marketing strategy combines the 4 Ps of the marketing mix. It
is designed to meet the company’s marketing objectives by providing its customers
with value. The 4 Ps of the marketing mix are related, and combine to establish the
product’s position within its target markets. The marketing mix is the set of
controllable, tactical marketing tools that a company uses to produce a desired
response from its target market. It consists of everything that a company can do to