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Application of SWOT analysis to develop business strategies for DHL company

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Seminar I : Research Method & Design

Application of SWOT analysis to develop business
strategies of DHL company

Application of SWOT analysis to develop business strategies for DHL company
Thi Thanh Mai Nguyen ¹ , Thi Quynh Phuong Vu ² , Thanh Tung Pham ³.
¹ 86335 - IBL1102 - Email :
² 86448 - IBL1102 - Email :
³ 88015 - IBL1102 - Email :

ARTICLE INFO
Article history:
Received 27 December 2022
Accepted 10 January 2023

Keywords :
SWOT analysis
Business strategies
Dalsey Hillblom Lynn (DHL)

ABSTRACT
The demand for logistics services has been increasing sharply in
recent years. Global logistics service market revenue reached
over one trillion USD in 2019 and is expected to grow at a rate
of 6.9% per year during the forecast period 2019 - 2027 (Jordan,
2019). More and more logistics companies are being established
to meet this huge demand all over the world. One of the
prominent companies among them is Dalsey Hillblom Lynn
(DHL). However, DHL needs to research to expand its business
strategy to compete with a series of other famous companies. In


this article, the micro and macro markets of the DHL corporation
will be analyzed to assess the business strategies for the near
future. Moreover, the study will look at the SWOT analysis from
many angles to identify the important factors in business
strategic planning. Finally, from our SWOT analysis and
evaluations of the current situation of DHL Company, we have
come up with the most suitable business strategy for the
company.

1. Introduction
In 1969, DHL was founded by Adrian Dalsey,
Larry Hillblom, and Robert Lynn inventing a
new business model dedicated to courier
service between San Francisco and Honolulu,
carrying documents of noncommercial value
(Chung and Bowie, 2018). Over the years, DHL
has multiplied its operations providing a

logistic global business channel that currently
presents over 220 countries (Cosimato and
Troisi, 2015). The founders began to ship
papers by airplane from San Francisco to
Honolulu, beginning customs clearance of the
ship's cargo before the actual arrival of the ship
and dramatically reducing waiting time in the
harbor. Erstwhile customers that were satisfied


T.T.M.Nguyen,T.Q.P.Vu,T.T.Pham


Seminar 1:Research method and design

with its service stood to save a fortune (DHL
International, 2008). This initial freight concept
gave birth to a new industry, the international
air express. That is the rapid delivery of
documents and shipments by airplane.The DHL
Network continued to grow incrementally. The
company expanded globally from Hawaii into
the Far East and to the Pacific region, then the
Middle East, Africa, and Europe. By 1988,
DHL was already present in 170 countries and
had 16,000 employees (DHL International,
2008). Deutsche Post World Net and DHL
consolidation began in 2002 when Deutsche
Post World Net (DPWN) incorporated in
Germany became the major shareholder in
DHL. By the end of 2002, DHL was 100%
owned by Deutsche Post World Net, (DHL
International, 2008).

(1999), strategy represented a commitment of
present resources to future expectations.
Various studies on strategic management
practice have been conducted by various
scholars such as (Rosa, 1992; Awino, 2001;
Machuki, 2005; Koske, 2003; Bryson, 1989;
Nutt, and Backoff, 1992). From their studies,
they established that each organization that
practiced strategic management business be it

state corporations, large corporations,s or small
and medium enterprises had a distinct and
organizations' clear formulation of vision and
mission statements, environmental scanning,
and had independently formulated their
strategic plans and implementation (even
though they may have used the services of the
same consultant) and formulated their annual
business plans. They observed that strategic
management is a set of management decisions
whose aim is to decide on organizational goals,
the means of achieving those goals, and
ensuring that the organization is positioned in a
sustainable composition to pursue the set goals
and plan of action(s) that determines the long
term performance of an organization, but there
still existed a knowledge gap. Considering the
above aspects, the following research
objectives are set. Firstly to identify factors
influencing the development of DHL's business
strategy and secondly is using the SWOT model
to analyze and evaluate the development of
DHL's business strategy

Business strategy is the method and way of
doing business of a company or corporation in
the field of business, to achieve optimal
business performance. Business strategy is the
overall content of an order, including a series of
measures and major business methods over a

long period (Nguyen , 2022). The ultimate goal
is towards promoting the highest profit and the
development of the business . Business strategy
includes analyzing both internal and external
environments, building strong development
strategies to establish long-term and short-term
strategic plans, and implementing strategic
assessment and control. Therefore the study of
business strategy development combined with
strategic management combines the basic steps
of environmental review, strategy formulation,
monitoring, and evaluation of that strategy.
Developing business strategies places a great
deal of emphasis on monitoring and assessing
external opportunities and threats from the
point of view of emphasizing the company's
strengths and weaknesses. Strategy for an
organization is the roadmap, or plan for how the
organization achieves its goals and objectives
(David, 1989). According to Mintzberg et al

Business strategy is one of the key factors in the
growth and development of a company.
Johnson and Scholes (2010) reckon that
strategic management provides central purpose
and direction, enables management to adapt to
the changing operating environment, enhances
competitive edge, and allows allocation of
responsibility to capable managers to enable
strategy implementation. All organizations

globally interact with the external environment
and internal or operating environment (Pearce
and Robinson, 2010). These factors together
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Seminar 1:Research method and design

with the internationalization phenomenon
posed great challenges to all organizations and
business firms. Due to this dynamism,
organizations are therefore urged to adopt
strategic business to ensure their continuation
and development of a competitive edge over
their competitors. Strategic business differs
from one organization to another depending on
the present environment that the organization
finds itself in because there is no universal
approach to strategic business. DHL faces
challenges such as low services level
satisfaction from customers mainly on ues such
as delayed cargo collection to and from the
ports of origin, entry of smaller in size but
efficient freight forwarders, segmentation, and
fragmentation of freight forwarding services
where each product becomes a service on its
own (specialization) and uncertainties about
future business risks. DHL has to be flexible

enough to respond to these environmental
challenges. Its top management has the
responsibility to provide vision and direction
and plan and implement strategies that will
guide the company and safeguard its future.

make all members of the enterprise
unanimously agree and do their best on the road
to common success. This first of all depends on
the construction and implementation of their
business strategy. The right business strategy
will guarantee the existence, sustainable and
long-term development according to the longterm goals of the business. Up to now, there is
no unified definition of the business strategy of
the enterprise. Many scholars in different
documents have introduced some concepts of
business strategy such as “strategy is the
determinant of long-term goals of the
organization” (Alfred, & Candler, 1962) or
“strategy is the red thread throughout the
organization's activities” (Igor Ansoff, 1965).
The business strategy of the enterprise is in the
conditions of the market economy, based on the
objective and subjective, on the resources that
the enterprise may have, to determine the
strategies, paths, and measures to ensure the
survival of the enterprise stable, long-term
development according to the development
goals that the enterprise has set. Business
strategies are important for directing a

company's goals to achieve virtuoso
performance (Latifah et al., 2020). Business
strategies focus on improving the competitive
position of a company’s products and services
in a particular industry or market segment
served by the company (Marinescu et al., 2021).
Business strategies differ from strategies at the
corporate level. At the business level, this
strategy focuses more on improving the
competitive position of the company’s products
or services in certain market segments (Lamb et
al., 2022).

The structure of the paper is as follows: Section
1 provides an introduction and explains the
motivation for the work, highlighting the
objectives and the expected outcome. Section 2
reviews the existing literature on the
operational performance of container ports.
Section 3 presents the research methodology
adopted for accomplishing the objectives.
Section 4 and 5 focus on the data analysis and
outcome factors. Section 6 contains a
discussion of the results. Finally, Section 7
concludes and summarizes the study.

The essence of business strategy is expressed in
five aspects. To begin with, the business
strategy is the expression of the competitive
position of the enterprise. When building a

business strategy, businesses need to analyze
their objective circumstances. The purpose of
this analysis is to understand the opportunities

2. Literature review
Recently, as the era of business competition has
become tougher, business people from the very
beginning want to clearly define their
development path, the way to sustainably exist,
as well as the desire to do the same. How to
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and challenges that objective circumstances
present to the business. At the same time, it is
also necessary to study the subjective
conditions of the business to know its strengths
and weaknesses. The business strategy of the
enterprise must well combine the opportunities
that objective circumstances bring with the
strengths of the enterprise, and at the same time
must have solutions to overcome the challenges
and weaknesses of the enterprise. Therefore, it
is necessary to study the competitive position of
the enterprise. Only then can you come up with
the right business strategy. If the competitive

position is not determined correctly, it is not
possible to make the right business strategy.
Secondly, an enterprise's business strategy is a
business model, an operating platform, a
method of using resources, and a basis for
handling all problems of the enterprise. Thirdly,
the business strategy is the expression of the
value concept of the enterprise. Business
strategy is an expression of the value concept,
progressive spirit, and tenacious will of the
business leader, reflecting the leader's
assessment of the objective and subjective
conditions of the business. Karma. Only when
the leader properly assesses the objective and
subjective conditions of the business can the
right business strategy be devised. Otherwise,
the business strategy will be wrong. Then,
business strategy is creativity in business
management. That means that enterprises based
on certain goals, arrange and form a new
effective and competitive management system.
At the same time, creativity in management
must be closely combined with creativity in
regimes, creativity in the organization, and
creativity in techniques to bring into play the
effects of business strategies. To implement the
strategy, all employees must master the
strategy, turn it into an annual plan, a plan of
each department, and into everyone's actions,
and must be feasible. Competitive advantage

stems from a company’s strategic choices to

seize market opportunities (Reinstaller et al.,
2022). A business strategy, also called
competitive strategy, is usually developed at the
divisional level, and emphasizes improving the
competitive position of a company’s
products/services
in
the
specific
industry/market segment served by the division
(Sanchez-Henriquez, & Pavez, 2021). The
division’s business strategy may focus on
increasing profits in the production and sale of
products and services (Agustia et al., 2020).
Business strategies should integrate various
functional activities to achieve divisional goals
(Abdelbadie et al., 2019).
Choosing a business strategy is a very
important step in the strategic management
process. The foundation for choosing a business
strategy is customer needs, product
differentiation; customer groups and market
segments; and different capacities. For a worldleading logistics company like DHL, there are
simple, though never simple, strategies. In
April 2014, Deutsche Post DHL Group
introduced its Strategy 2020, positioning itself
as “The Postal Service for Germany and The
Logistics Provider for the World”. It is based on

three pillars: Focus, Connect and Grow. DHL
Group has made significant progress with
Strategy 2020. Due to its geographical spread
and wide range of logistics offerings, the Group
is now better positioned than ever before. With
“Strategy 2025 – Delivering Excellence in a
Digital World” the company is laying the
groundwork to continue its successful growth
trajectory beyond 2020. The four most
important trends that have been impacting
logistics in recent years will also shape the
industry going forward: Globalization,
Digitalization,E-Commerce,and Sustainability.
Strategy 2025 is the Group’s response to these.
In the past, there have not been many clear
research papers when applying SWOT analysis
to building business strategies with DHL.
Therefore, it is possible to get an overview of
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Seminar 1:Research method and design

DHL's business strategy, research,h and explore
the development activities of the business
strategy at DHL. SWOT Analysis of DHL
focuses on strengths, limitations, opportunities,
and threats. DHL is one of the largest Logistics

companies. The strengths and weaknesses of
DHL Swot are internal factors, while
opportunities and risks are external factors.
SWOT Analysis is a validated management
tool that enables a company like DHL to
measure its business performance with
competitors and the industry.

uncontrollable factors. These form the external
environment within which the organization
operates and may include demographics, rates
of interest, changes in legislation, etc. (Hatton
et al, 1992). It is the opinion of some that for a
company that desires to grow, the objective
appraisal of strengths and weaknesses should
be high on the list of necessary activities
(Ansoff, 1956; Cordiner, 1956; Leavitt, 1965,
etc). A major objective for many managers is
the identification of threats and opportunities
through environmental scanning (Jackson and
Dutton, 1998). The fundamental principles of
SWOT analysis, therefore, seem to play an
integral part in the organization’s domain

3. Methodology
SWOT analysis overview
The word "analysis" originates from the Greek
language, meaning to separate into parts, loosen
and dissolve. A SWOT analysis does this by
'peeling back layers of the company' (Williams,

1996) and is widely used in many
organizations.

SWOT (strengths, weaknesses, opportunities,
and threats) analysis is a method for identifying
and analyzing internal strengths and
weaknesses and external opportunities and
threats that shape current and future operations
and help develop strategic goals. A SWOT
analysis is designed to facilitate a realistic, factbased, data-driven look at the strengths and
weaknesses of an organization, initiatives, or
within its industry. The organization needs to
keep the analysis accurate by avoiding
preconceived beliefs or gray areas and instead
focusing on real-life contexts. Companies
should use it as a guide and not necessarily as a
prescription (Will, 2022).

The initials of the acronym and mnemonic
'SWOT' represent the four factors of Strengths,
Weaknesses, Opportunities, and Threats.
In an organization, a SWOT analysis involves
pinpointing these areas to assist managers in
identifying the key facts, thereby giving them a
focus on what needs to be tackled and an
awareness of the relevant opportunities and
possible threats. Williams (1996) claims that
effective business leaders are people who live
'in a world of SWOT', as they will be
individuals who will have access to the right

information so that they can act on maximizing
opportunities and attempting to avoid threats.
As such, SWOT analysis is recommended by
some as a prime tool of analysis (Hatton et al.,
1992).

This technique is designed for use in the
preliminary stages of decision-making
processes and can be used as a tool for
evaluation of the strategic position of
organizations of many kinds (for-profit
enterprises, local and national governments,
NGOs, etc.) (Silva, 2005). It is intended to
identify the internal and external factors that are
favorable and unfavorable to achieving the
objectives of the venture or project. Users of a
SWOT analysis often ask and answer questions
to generate meaningful information for each
category to make the tool useful and identify
their competitive advantage. SWOT has been

Within SWOT analysis, the Strengths and
Weaknesses are seen as internal controllable
factors and can be acted upon (e.g. staff
turnover,
organization
image).
The
Opportunities and Threats are external,
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T.T.M.Nguyen,T.Q.P.Vu,T.T.Pham

Seminar 1:Research method and design

described as a tried-and-true tool of strategic
analysis (Sevier, 2001), but has also been
criticized for its limitations, and alternatives
have been developed.

developments, it can find initiatives that match
its strengths and that the company will
successfully support. The key is to find at least
one opportunity for each strength that the
company listed in their table.

Application of SWOT analysis
A SWOT analysis, looking at the strengths and
weaknesses of the company and the
opportunities and threats in the marketplace,
lets them develop a strategic approach to reach
its goals. In marketing, it can help the company
identify ways in which it can improve its
thitsompetitive position. The application of a
SWOT analysis improves the performance of
the company and reduces business risks.

The company must address weaknesses
identified in a SWOT analysis by fixing the

problem or eliminating the weak activity.

To apply a SWOT analysis to a marketing
challenge the company has to analyze its
internal characteristics. List as strengths what
they do well and where their performance is
superior. Identify recent failures and poor
execution as weaknesses. Look at the
company's business environment to find where
there are opportunities to grow and increase
profitability. Find threats that prevent the
company from reaching its potential.

Process of SWOT analysis

The company has to address threats from a
SWOT analysis by strengthening the company
to meet the threat, eliminating the threat by
abandoning the threatened activity, or
classifying the threat as unimportant and taking
no action.

A SWOT analysis can be broken into several
steps with actionable items before and after
analyzing the four components. In general, a
SWOT analysis will involve the following
steps.
The first thing you need to do is define the
company's objectives. Although a SWOT
analysis might be broad, it is likely to be more

valuable if it is focused on a specific goal. For
instance, the goal of a SWOT analysis would be
to determine whether or not to launch a new
logistics service. A corporation will have
direction on what they intend to accomplish
after the process if they have a target in mind.
The SWOT analysis in this case should assist in
deciding whether or not the service should be
presented.

To take advantage of developments in the
marketplace, the company has to match its
strengths to the opportunities. If they have highquality products and a potential new customer
close by, you have to assign resources to exploit
this business. Develop a strategy that informs
the potential client of the reputation for quality
and proximity. Give the best sales
representatives the responsibility to sign for this
new business. Make sure you know the
prospective customer's preferences and
business practices.

Second, we must collect data about that
company. Every SWOT analysis will be
distinct, and a business may require various
data sets to support creating several SWOT
analysis tables. To start, a business should be
aware of the information it has access to, the
data constraints it encounters, and the
dependability of its external data sources.


After identifying the company's strengths, look
at its market environment and check where its
strengths match the actions it can take to reach
your company's goals. If the company examines
the needs of its customers, the technology
available, the economic trends, and the product
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Seminar 1:Research method and design

A business should be aware of the ideal people
mix to include in the study in addition to the
data. Various employees inside the
manufacturing or sales sectors may have a
greater understanding of what is happening
within while other employees may be more
connected to external factors. A varied range of
viewpoints is also more likely to provide
contributions that add value.

company as internal factors. External
influences, such as monetary policies, market
changes, and access to suppliers, are categories
to pull from to create a list of opportunities and
weaknesses.
An indispensable step is to refine the results.

With the list of ideas within each category, it is
now time to clean up the ideas. A corporation
can narrow its emphasis to only the finest
concepts or the greatest business risks by
refining the ideas that everyone had. Significant
discussion among participants in the analysis
may be necessary at this level, and top
management may need to be involved to assist
rank priorities.

The next step is to compile ideas. For each of
the four components of the SWOT analysis, the
group of people assigned to perform the
analysis should begin listing ideas within each
category. First, we come to the internal factors.
What occurs within the company serves as a
great source of information for the strengths
and weaknesses categories of the SWOT
analysis. Examples of internal factors include
financial and human resources, tangible and
intangible (brand name) assets, and operational
efficiencies. Second, there are external factors.
What happens outside of the company is
equally as important to the success of a

Last but not least is the development strategy of
the company. Armed with the ranked list of
strengths, weaknesses, opportunities, and
threats, it is time to convert the SWOT analysis
into a strategic plan. Members of the analysis

team compile a synthesized plan that offers
direction on the original target using the
bulleted list of things inside each category.
the UK. For these reasons, DHL's global
headquarters are located in London and Bonn,
Germany (Exel PCL). The Asia-Pacific
headquarters are in Singapore, while the
Americas (including the US) headquarters is in
Plantation, Florida. European Air Transport is
a freight carrier owned by DHL. The airline's
headquarters are now located at Brussels
Airport in Belgium, but eventually, they will
relocate to Leipzig, Germany. Vietnam is one
of the more recent and underdeveloped nations
in the express delivery sector. DHL wants to
gain market share and expand its operations in
Vietnam. 300 people have worked here for
DHL since 1998, one of the first express
delivery organizations to build a solid
reputation on a global scale. DHL is one of the
few trustworthy and high-quality courier
services since it has effectively capitalized on
the need to deliver documents and items.
courier service. DHL currently operates two

4. Analysis current situation of DHL
Company
Overview of DHL company
A German business that specializes in
international freight and logistics solutions, as

well as contract fulfillment, is called DHL
(short for Dalsey, Hillblom, and Lynn). Adrian
Dalsey, Larry Hillblom, and Robert Lynn
started the business in 1969; The business is
called DHL Express International and is
denoted by the initials D, H, and L of the
founders. Initially providing mail delivery
between the continental United States and
Hawaii, DHL has now expanded its service to
many commercial areas. Deutsche Post started
buying DHL shares in 1998, eventually buying
back a majority stake in the company in 2001,
then complete the transaction in 2002.
Deutsche Post also bought Securicor Omega in
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Seminar 1:Research method and design

operation centers in Hanoi and Ho Chi Minh
City, three transaction centers, four transit
stations, more than ten service points with
more than 1000 employees, a 56,400 m2
warehouse, and 37 infrastructures. It serves
more than 7000 clients and processes more
than 1.5 billion shipments annually. DHL
continually makes investments in the
Vietnamese market to raise the quality of its

services. On average, it spends US$130 million
to expand the region's capacity for air freight,
which includes Vietnam. To address the
expanding import and export demand of the
Western region, Long An Transshipment
Station, with a capacity of 80,000
shipments/year, was built for $1 million USD.
Building a new operation center in Da Nang
will cost 10 billion dong. launching a weekly
schedule of five direct flights using a B727F
freight jet with a payload capacity of 22 tons
from Ho Chi Minh City to Hong Kong. At Tan
Son Nhat Airport, spend money on other items.
Vietnam's service stations, truck fleets, and Ho
Chi Minh City.

almost 215 million euros. Due to a shortage of
sea freight capacity, the gross margin for air
and ocean freight is higher. Other base
expenses. From €33,704 million to €43,897
million, material costs grew primarily as a
result of higher transportation expenses in the
Global Shipping and Shipping division and
higher fuel expenses in the Courier division.
The main reason for the increase in staff
costs—which rose from 23,879 million to
1.645 million euros—was an expansion in the
workforce. Depreciation, amortization, and
loss accounts, on the other hand, decreased by
62 million euros to 3,768 million. The Supply

Chain division endured required value losses
during the previous year as a result of
lockdown measures, among other things.
Advertising expenses, such as those associated
with DHL's global brand campaign, among
other expenses, boosted other operating costs
by 442 million euros to 4.896 million euros.
DHL's vision, mission, and awards are listed
after that. According to research, DHL has a
written vision and purpose statement. In order
to "become a Logistics Company for the
World, delivering freight forwarding services
promptly, effectively, and always with the best
interests of customers in mind," the company's
vision is to. German Post DHL is one of the
first companies to take its responsibilities to
society, the communities in which it operates,
its employees, and the environment seriously.
Incorporating corporate responsibility (CR)
into our corporate strategy. In keeping with the
problems facing our firm and our particular
businesses, Deutsche Post DHL seeks to
advance sustainability.To create a strong DHL
company, it is important to pay attention to
financial matters.

The DHL business sectors are the specialist
Business Units within the DHL group that offer
an exceptional range of logistics goods and
solutions, from express delivery to domestic

and international parcel delivery. road, air, and
expedited international transportation. For the
closed supply chain management, use rail and
the sea.
When it comes to DHL's performance during
the previous years, net profit: The fiscal year
2021's consolidated net profit increased
significantly from 3,176 million euros to 5.423
million euros. 370 million euros went to
shareholders with non-controlling interests,
while 5,503 million euros were allocated to
Deutsche Post AG shareholders. Both basic
and diluted earnings per share rose from 2.41
to 4.10 euros and from 2.36 to 4.01 euros,
respectively. Net gain: Profit before taxes and
interest during the first quarter of 2021 was
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Seminar 1:Research method and design

Table 1. Net profit margin of DHL from 2012
to 2016

Table 2. Asset turnover of DHL from 2012 to
2016

Year


DHL

FedEx

UPS

Year

DHL

FedEx

UPS

2012

3.21%

4.76%

1.50%

2012

1.63
times

1.43
times


1.39
times

2013

4.01%

3.52%

7.90%
2013

1.55
times

1.32
times

1.53
times

2014

1.53
times

1.38
times


1.64
times

2015

1.56
times

1.28
times

1.52
times

2016

1.50
times

1.09
times

1.51
times

2014

3.84%

4.60%


5.21%

2015

2.90%

2.21%

8.30%

2016

4.85%

3.61%

5.63%

Source:
From the calculation of the net profit margin, it
comes to attention that the ratio was lower than
10%, for all three companies for five years.
DHL recorded the lowest net profit ratio in
2015, in this particular year although sales
increased profit went down, this year the
material expenses, staff cost, depreciation, and
operating expenses increased. In the same year,
FedEx also had the lowest net profit compared
to other years, but UPS recorded the highest

level of net profit margin.DHL’s highest profit
was in 2016, this year the company was able to
control a few costs which led to more profit and
a good ratio as well.

Source:
Higher asset turnover is better, all companies
had more than 1-time asset turnover, which
means all three companies are efficiently
managing their business. In DHL asset
turnover ratios were more than 1.5, which
indicated that the company utilized assets 1.5
times or more compared to the sales. 2012 the
turnover was 1.63, which highest for DHL for
the period because the company sold more
compared to the assets.

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Seminar 1:Research method and design

Table 3. Total Debt/Equity of DHL from
2012 to 2016
Year

DHL


FedEx

UPS

2012

167.5%

130%

80%

2013

235%

93%

102%

2014

270%

116%

110%

2015


235%

88%

88%

2016

222%

158%

90%

The return on equity of DHL is better. In 2016
the return was higher than in other years, this
year the profit raised compared to any other
years and the equity was the same as last year.
The lowest ROE was in 2012 because that year
DHL’s profit was not that much which led to a
low ROE than in her years. UPS’ ROE was
excellent but FedEx’s was the worst in terms of
ROE. Finally, the ROE in DHL started to
increase in 2013 may be due to good control of
cost which led to a high level of profit.
The vision and mission statements were found
to have been created after careful consideration
and investigation. The process starts with a
strategic planning process when members at
the corporate level, management, and local

employees provide their opinions on where
they envision the organization in the following
five years. Additionally, important logistics
clients and service providers such as importers,
exporters, airlines, ships, customs officials, and
freight forwarders were interviewed. The
management team offered a vision, mission,
and strategic goals that were in line with the
vision of the entire organization after
compiling the many viewpoints and presenting
them to them. The board of directors
subsequently gave its approval to the vision,
mission, and strategic goals. Management is
now responsible for creating strategies and
action plans for achieving them. In this sense,
vision and mission statements were spread.
arranged as a free-flowing conversation with
associated writing. The co-manager had a
meeting with the management team and made
sure they understood how important it was for
them to follow strategic management at the
divisional level. To engage and coordinate,
managers are urged to meet with staff members
and pay them a visit. DHL Express Vietnam
continuously invests to improve in all areas in
order to offer better working conditions for
employees and stand out in the job market.
This has aided DHL Express in earning a

Source:

From the above calculation, it is clear that the
gearing of DHL is very high compared to the
competitors. For all five years, the company’s
gearing was more than 200%, which may be
due to high level of debt than the equity the
company holds on. This gearing may make the
future of the company very tough or getting
loan capital will be difficult for DHL. But the
others two competitors are still in a good
position means their gearing was lower than
DHL’s.
Table 4. ROE of DHL from 2012 to 2016
Year

DHL

FedEx

UPS

2012

14.63% 13.80%

17%

2013

22.00%


67%

2014

22.72% 15.21% 14.0%

2015

15.22%

2016

24.50% 13.20% 80.0%

9.00%

7.00%

19.4%

Source:

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number of business honors, including the

Golden Dragon Award for Transportation
Services four times, five Gold Stevie Awards
for four straight years, and the title of No. 1
carrier in Vietnam from Anphabe VN. Nam,
chosen by Anphabe VN, was recognized by the
Vietnam HR Awards 2018 and "The
Employer" as the company with the "Best
Working Environment." the Institute of Top
Employers' "Top Employers 2019". In
addition, the company has received recognition
at the following events: 1 CS tournament in
Europe, 4 CS tournaments in the Middle East
and North Africa, and 6 CS tournaments in
Sub-Saharan Africa.

The first is the political environment revolves
around the government of the country where
the business is done business; the laws of the
domestic as well as foreign markets. This is a
factor that affects all businesses in a territory.
Government, legal and political factors affect
businesses in different ways. They can create
opportunities, obstacles, and even real risks for
businesses. FDI enterprises continue to
consider Vietnam as an attractive investment
destination with stable political advantages, the
gradual opening of administrative procedures,
reduced inspection, and unofficial costs.
Vietnam's political stability has always been
attractive to foreign investors. This factor of

Vietnam is continuously appreciated by FDI
enterprises, with a rate of over 90%. Vietnam
has a lower risk of business ground revocation
and a lower risk of policy instability, after
impressive progress in recent years. Although
Vietnam is a country with political stability,
besides that, Vietnam is one of the countries
with high tax rates in the import and export
industry because Vietnam is a developing
country. The high tax will reduce the
competitiveness of imports from Vietnam
compared to goods imported from other nontaxable markets. As a result, importers in the
taxing country may divert imports from other
non-tariff countries, leading to a decrease in
Vietnam's export turnover, a narrower market
share, and a shrinking export business.
Vietnam faces the risk of losing export
markets.

Macro environment analysis
The macro-environment includes factors,
forces, institutions, etc., located outside the
organization, which are difficult for managers
to control, but they have an indirect influence
on the organization's operations and results.
The macro-environmental analysis is the
analysis of demographic, legal, socio-cultural,
natural, technological, and economic factors
that affect the operation of all enterprises in the
industry. The analysis of the macro

environment in the analysis of the business
environment aims to determine the influencing
factors, the direction of impact, and the
magnitude of the impact on the entire logistics
industry in general and the express delivery
segment in particular in the Vietnamese
market. Generally speaking, it is the review of
all factors from the macro environment,
thereby indicating the opportunities and threats
that businesses need to face when planning and
implementing strategies, so it is necessary to
Combine business environment analysis
information and analyzing the internal
environment of the business, thereby
determining the direction and strategic vision,
helping the company determine the appropriate
goals and business models and strategies
suitable business.

The second is the economic environment. The
current state of the economy and future trends
have an impact on the success and strategy of
an industry, locality, or country. The economic
environment is a collection of many factors
that have far-reaching effects in different
directions on the activities of sectors, localities,
and countries. The main factors in the
economic environment are Economic growth
rate; Interest rate; Monetary policy exchange
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rate; Inflation status; Import and export
turnover; Traffic infrastructure. Within the
framework of the article, we consider the
following factors:

the second quarter of 2021 the third quarter of
2021 compared to the same period last year.
(2) Import and export turnover: According to
the report of the General Statistics Office, the
total import and export turnover of Vietnam's
goods in 2021, the total export and import
turnover of goods will reach 668.5 billion
USD, an increase of 22 .6% over the previous
year, of which exports increased by 19%;
imports increased by 26.5%, the highest in 5
consecutive years of export surplus since 2017,
higher than the surplus in 2019 ($ 10.87
billion) and nearly 11 times higher than the
surplus in 2016 (1 .78 billion USD). Vietnam's
trade balance of goods has achieved a surplus
in the entire 5-year period 2017 - 2021. Thus,
the continuous trade surplus in recent years has
created a good foundation for the logistics
industry which includes transportation,

warehousing, customs, ... development
activities, contributing to increasing the added
value of products of enterprises. Along with
that, the joining of organizations and trade
agreements made investors put high
expectations on logistics stocks. Despite the
difficulties caused by the Covid-19 pandemic,
at the beginning of 2020, stocks in this field
such as VSC, GMD, DVP, DXP, SFI, and
HAH, ... had a growth rate of tens of percent,
even many stocks have surpassed historical
peaks. However, according to the World
Bank's assessment, the link between importexport enterprises and logistics service
enterprises is still limited, not tight, and
trusting, making Vietnam's logistics services
less developed than requirements, this is also
the weakness that logistics enterprises need to
overcome.

Figure 1. GDP growth rate for the period
2011-2021

Source: m.cafef.vn
(1) Economic growth rate (GDP): Figure 1
shows that the Vietnamese economy is having
impressive growth figures, the growth rate of
the economy in the 2011-2019 period is quite
high and stable. , in 2018, GDP reached 7.08%
per year, the highest increase since 2010 until
now. GDP per capita in 2018 was estimated at

58.5 million VND, equivalent to 2,587 USD,
an increase of 198 USD compared to 2017. By
2020-2021, due to the impact of the Covid-19
pandemic, the growth rate of Vietnam to
2.91%, especially a record low in 2022 of
2.58%, although it is the lowest level in a
decade, statistical agencies consider this a great
success because of our economy. We are
among the fastest-growing economies in the
world. Economic growth makes people's
economic life increase, leading to increased
consumption
and
shopping
demand.
According to data from two recent reports of
Lazada Vietnam, the number of sellers in the
second quarter of 2021 has doubled compared
to the same period last year and this number
continues to increase by more than 1.5 times in

(3) Infrastructure and transport infrastructure:
In our country, the infrastructure of road, sea,
railway, and the airway is quite developed,
thanks in part to its favorable geographical
position such as: bordering the East Sea, road
borders with countries such as China, Laos,
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T.T.M.Nguyen,T.Q.P.Vu,T.T.Pham

Seminar 1:Research method and design

Cambodia, ... leading to synchronous, modern
and highly connected transport infrastructures
will create favorable conditions and promote
efficiency operations, improve the quality of
transportation services, freight forwarding
provided by logistics enterprises to customers.
In particular, our country also spends about
10% of its GDP on infrastructure. This is a very
high level for Vietnam. Therefore, the
infrastructure
is
gradually
improved.
Especially for the expanded road transport
base, many highways connecting the provinces
have also been extended to communes,
villages, and hamlets even in mountainous
provinces. Airport clusters have also been
expanded in many provinces and cities across
the country. However, compared to other
countries in the region and neighboring
countries, Vietnam's infrastructure also needs
to be improved. In summary: Vietnam's
economy is trending well. The logistics
industry has many advantages such as the
increasing import and export turnover, which

is an opportunity for the logistics industry to
thrive, and the infrastructure to develop
favorably for various forms of transportation
and delivery.

diligence, always seeking to learn new things,
are interested in businesses. But besides, this is
a new industry in Vietnam, so Human resource
requirements for logistics companies in
Vietnam are both lacking and weak. This is
probably a challenge for Logistics businesses
in Vietnam. Experts expect 87.1% of marketers
in the US to use Facebook by 2020. More than
44% of users admit their shopping behavior is
influenced by Facebook. There are over 80
million business pages on Facebook. Not only
buying through Facebook, Youtube, and tik but
now with the strong development of ecommerce platforms such as Tiki, Shopee, and
Lazada. This shows that the demand for using
the internet is increasing. E-commerce
opportunities. Not only do they stop at familiar
items such as fashion, cosmetics, and
household electronics, but Vietnamese
consumers gradually form the habit of
shopping for essential items such as
vegetables, fruits, and fresh food. living...
People are familiar with and familiar with
online shopping more and more. The brand has
links with courier, shipping, and forwarding
units and this is a great opportunity to make the

shipping industry grow rapidly.

The third is the cultural and social
environment, the socio-cultural environment
represents social attitudes and cultural values.
It includes demographic factors, population
growth rate, population structure, viewpoints
on life, views on moral standards, etc. When
there is a change in these factors, it will create
a huge change in consumer demand. Capturing
these factors will help businesses adapt to
customer requirements for appropriate
operations. Our country Vietnam is in a period
of golden population when the population of
working age has increased sharply, accounting
for 68%. This is a good bait for businesses
when the price is to pay for Vietnamese
workers. are relatively low and Vietnamese
people with inherent industriousness and

Figure 2. The number of users shopping
online in 2020

Source: ictnews.vietnamnet.vn
The Technological environment comes next.
Today, no manufacturing enterprise wants to
survive and develop without relying on the
application of achievements of science –
engineering, and technology. The more
sophisticated science and technology, the more

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Seminar 1:Research method and design

it allows businesses to produce a wider range
of goods for human needs. Technology is
constantly changing, advanced technology is
constantly being born, and it creates great
opportunities as well as threats for businesses.
Technologies applied in the logistics industry
such
as:Automation
technology:
the
application of computer software or automatic
machines and equipment to improve the
efficiency of logistics activities. Taking place
inside factories or distribution centers, the big
jobs are managed by supply chain engineering.
Augmented reality (AR): Technology that
provides logistics service providers with quick
access to predictive information anytime,
anywhere. Enables suppliers to precisely plan
and operate tasks such as deliveries and load
optimization. IoT Ecosystem: This connected
ecosystem was developed due to the need to
track delivery vehicles (especially trucks) on

their freight journey and ensure timely delivery
to the required destination. This system helps
suppliers to manage the journey and location of
vehicles, ships, .... by GPS positioning,
preventing incidents. Cloud-based supply
chain application: Allows business owners to
better manage the entire operation from
receiving inventory from suppliers, warehouse
storage, shipping, and logistic processing. In
short: The application of technologies in
Logistics also supports businesses to plan
appropriately, make the most of available
resources
and
avoid
redundancy.
Warehousing, shipping, and order tracking
costs also work well. Companies in the
industry must regularly update and modify
technologies to compete with the market as
well as avoid being out of date with
competitors. In the age of technology, if you do
not grasp technology, you will only be
eliminated from the market.

businesses. The factors of natural conditions
affecting the results and business performance
of logistics enterprises can be followed such as
geographical location, weather, climate, and
resources, ... Vietnam is a The country has a

hot and warm climate, and high humidity, so it
causes many difficulties for the storage and
preservation of goods, especially food items.
This is a rather thorny problem for logistics
providers in shipping services. Vietnam has a
favorable natural terrain for the development
of logistics services because of its long
coastline, bordering many countries, passing
through the Trans-Asia Highway. This
preference, not only creates favorable
conditions for Vietnam to develop trade with
other countries and regions in the world but
also makes Vietnam a place of transshipment
and exchange of goods in the region.
Micro environment analysis
Micro factors do not affect all firms in the
industry in the same way. Because in each
business, there will be differences in size,
capacity, financial resources, human resources,
and overall strategy... The microenvironment
will be affected by many different factors.
Below, we'll explore some of the key elements
of DHL's microenvironment
Firstly, the Customer factor as a supplier of
choice, the company's business is based on the
needs of its customers. The company's clients
are also exposed to macroeconomic trends that
impact growth in their respective sectors. The
Company monitors market developments on an
ongoing basis and reviews the potential

financial impacts of relationships with business
partners and suppliers periodically so that any
risks can be hedged. which may arise from
insolvency, such as at an early stage. The
Client Innovation & Solution Unit uses the risk
panel for this purpose. The company expects
positive business development to last until
2022. Growth opportunities will appear in all
business areas as the world economy gradually

Lastly, there is the natural environment.
Natural conditions are a factor that should be
paid special attention to by logistics service
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Seminar 1:Research method and design

recovers and structural growth accelerates.
continue in the field of e-commerce.
Customers are the object that the company
serves and is the decisive factor for the success
or failure of the company. For that reason,
DHL Express has targeted domestic and
foreign businesses as the company's target
customers. DHL is an international delivery
service provider. In Vietnam, it is currently
quite difficult to buy or sell products to foreign

countries and there are not many shipping
companies with international express delivery
services like DHL. So customer pressure for
DHL is not great.

Thirdly, Alternative products are also a factor
affecting DHL. Substitute products are
products that differ in name and composition
but provide consumers with the same features
and benefits as the enterprise's product.
Substitutes serve the same function as
industrial products. However, for delivery and
delivery services, at present, there are no
products and services that can be replaced.
Finally, Each company faces different
competitors, these are the forces, companies,
and organizations that are or are likely to enter
the market affecting the market and the
company's customers. . Therefore, identifying
the right competitors is very important for
DHL in particular and Vietnamese businesses
in general. In the context that Vietnam
officially approved the policy of fully opening
this service, DHL was not very interested in
implementing its determination to transform
into a 100% foreign-owned enterprise while
remaining loyal to its strategy. its development
through increasing capital investment to
exploit the potential in the market. Meanwhile,
competitors from the US, most notably UPS

and FedEx Express, are racing. UPS is a
pioneer in this strategy by acquiring a 49%
stake in the joint venture between UPS and
Postal Express Joint Stock Company (VNPost
Express) to establish UPS Vietnam in early
2013. And through this, UPS officially became
the first global express delivery company with
100% foreign capital investment in Vietnam.
Along with that, UPS also promotes
investment in new equipment and technology
in key commercial and industrial centers across
the country to better serve customers. In
addition, the company also invests in the
application of advanced technologies in
logistics, contributing to creating conditions
for Vietnam's logistics industry to develop
stronger in the future. Meanwhile, with nearly
20 years of operation, FedEx Express also did
not hesitate to implement its plan by submitting

Secondly, infrastructure is also a factor
affecting DHL. A logistics provider (3PL) is an
outsourced company that can help your
business with its logistics. By taking on this
responsibility, they can free you to focus on
other aspects of your operations. Many
companies choose to partner with 3PLs to help
them as they scale - 47% in our survey. From
assisting with strategy development and
problem-solving to ensuring the supply chain

is equipped to meet demand, the 3PL is your
partner for success and your support when
things don't go as planned. As well as their
expertise in the field of the supply chain, 3PL
offers more flexibility in the distribution
network and fulfillment services that can meet
different service requirements of customers as
well as customers. latest technology and
innovation. If you are serious about shipping,
you should seriously consider choosing a
logistics partner that matches your ambitions.
DHL is a global company in shipping services.
Logistics and transportation networks across
each region are important. Therefore,
cooperation by the logistics provider (3PL) is
very important for DHL. 3PL is DHL's partner
for success and DHL's help when things don't
go as planned. Therefore, the fact that the
suppliers are 3PLs will have great bargaining
power for DHL.
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a dossier to the Department of Planning and
Investment of Ho Chi Minh City to apply for
the establishment of a 100-business enterprise.

% foreign capital in Vietnam. Thus, it can be
seen that with a country with a large population
(more than 90 million people), fast economic
growth,th and increasing import and export
demand, Vietnam is an ideal land for services.
Express delivery has strong growth
opportunities. More specifically, the ASEAN
Economic Community (AEC) to be established
by the end of 2015 will be a solid basis for
express delivery companies around the world
to believe in the efficiencofom the
implementation of scale-up strategies.
operating in Vietnam. On the other hand, while
foreign enterprises are actively implementing
their development strategies, a somewhat harsh
reality is that Vietnamese enterprises still seem
to be out of the game. And before this reality,
more than ever, from now on, domestic
enterprises need to put competitive pressure on
themselves by constantly improving their
capacity, improving service quality, and
optimizing costs. … to get ready to jump into
the game. DHL's competitive advantage is that
with its seniority in the express delivery
industry and reputable experts, DHL can
provide customers with a wide variety of
shipping formats according to customer needs.
Therefore, DHL is a reputable form of shipping
that ensures prestige and high quality for
customers. The advantage of DHL service is

that the delivery time is accurate and the
shipping speed is fast and fast, sending
standard goods according to international
regulations with certificates. Help customers
save a lot of time and cost if they have to send
many times, carefully pack and protect their
items safely and carefully if they follow
reputable DHL-affiliated shipping service
companies. then there will be a compensation
regime for customers if the goods are damaged
or broken, or lost… together with a
professional team of many years of experience,

and passion in the industry is always ready to
serve
customers
thoughtfully
and
enthusiastically. Best.

5. SWOT analysis of DHL
After nearly 26 years of operation in the
Vietnamese market, DHL has been affirming
its position in becoming a prestigious
international brand, closely associated with the
Vietnamese market. A large number of
customers. Up to now, the world's largest
courier company has invested about 37 million
USD in Vietnam. Especially recently in
September 2014, DHL opened a new office

and operation center with an investment of up
to 10 million USD in Ho Chi Minh City. The
completion of this project opens up a new
development opportunity for DHL Vietnam,
facilitating the receipt and delivery of goods,
and connecting DHL Vietnam with DHL's
global network of more than 220 countries and
territories. earth. Further, this investment
decision of DHL is aimed at ensuring doubledigit growth over the next few years for DHL
in Vietnam. This has made DHL stronger and
stronger with reasonable and strong business
policies to create a brand for the company as
well as DHL's profits in the future because the
delivery service market Faster and tougher
competition requires the company to
constantly innovate to improve DHL's
competitiveness against other competitors.
Especially intending to affirm its unique
position, DHL has implemented large-scale
cooperation strategies to bring more practical
benefits to residential customers, especially
small and medium enterprises in remote areas.
To build a successful DHL business, first
become familiar with the DHL brand's
advantages. DHL has built a strong brand
image for its company. In 1997, DHL became
an ISO 9001-certified global express shipping
company with international quality standards
throughout the system. Since then, DHL has
always developed its quality system to match

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the standards of its customers. DHL owns
several intellectual rights including trademarks
and patents, which give it a monopoly over its
products and that competitors cannot copy or
reverse engineer them. What's more, DHL
operates on a global scale. They operate in
more than 220 countries, providing services
that appeal to most of the world. They have a
big market to do business in and therefore get
huge revenues. DHL has acquired a large-scale
global business scope. In addition, DHL
launched a new brand campaign with the
tagline “The Power of Global Trade.” Global
trade gives people access to ideas,
technologies, and opportunities to expand their
businesses around the world. gender. DHL has
eServices and high technology, DHL is always
using and constantly looking for new
technologies. They spend nearly 10% of their
total revenue on information technology. DHL
also has excellent eServices, which give
customers access to systems to ensure
customers have control and track of their

supply chain at all times. These products can
be tracked, queried, and ordered online. Joint
venture DHL has developed its organizational
structure to serve the global market, which it
has called a “JV” This approach includes
empowering DHL employees locally while
recognizing the interdependence of the parts of
DHL as a company. In addition, DHL
implements the Smart-Truck project, which is
a program that allows DHL to provide
information faster. The data will be transmitted
directly to a dynamic system, in which routes
will be calculated depending on the order
situation and current traffic volume. In
addition, DHL has always been proactive and
highly
appreciated
by
environmental
organizations in terms of environmental
protection in transportation and warehousing,
which has brought about a good brand image
in the hearts of the public. First mover
advantage because of technology – Of course,
there were many logistics companies which

were existing before DHL. However, It was
DHL that started a system two decades back
where you could track your package and where
it was right now. In the multi-billion dollar

transport industry, this was very important to
many corporations and this helped a lot
because DHL acquired many clients who tied
up with DHL because of their tracking system.
Today, all companies use these tracking
systems. Time commitments– One of the major
advantages of DHL is its time commitment. It
has delivered on this aspect again and again
over the years. In DHL, if you do an overnight
delivery, then the package will be delivered to
the other day on your doorstep. That is for sure
DHL operations are managed so well that
timely delivery becomes the essence of the
brand.
Based on the swot analysis method at DHL,
there are weaknesses that the company itself
needs to overcome in order to grow stronger in
the future. The first is shipping damage – One
of the major problems faced by any shipping
industry, especially in developing countries, is
the damage caused during shipping, and DHL
also had this problem when shipping. This
directly affects the company's bottom line as
the company must honor the customer's claims
for the cost of lost goods. The second is claims
policy – While shipping damages are real,
DHL's policies regarding claims are known to
be lax and claims are hardly respected which
can lead to customer trust being diminished as
goods are not adequately compensated for

damage especially as we are transitioning to an
e-commerce economy, this is becoming more
and more important as there are many Many
competitors have better customer service than
DHL which may cause loss of customers one
day. Third, DHL's prices are relatively high
compared to their competitors. This can be a
major weakness if their customers are not
aware of the difference between DHL's
services and its competitors. Besides, DHL
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also makes mistakes in estimating market
share, which is DHL's biggest weakness
because it is difficult to estimate even when the
market is stagnant and there are some
competitors, and all Estimates should always
be viewed with caution. Besides DHL's
visibility being weak, DHL's vision is seen as
weak in the community compared to its
potential. Not as famous in the US as UPS and
FedEx, but in Japan like Nippon, and Yuan, so
it is easy to make mistakes when investing or
developing important shipping service
strategies in the future. Finally, it is the attitude

of DHL, the bad attitude of employees can
greatly affect the image and sustainable
development of the DHL company's brand,
which can have serious consequences, such as
losing a lot of money and important customers.
Especially with the development of today's
online business world, most of the customers
will read the reviews on the company's web
which leads the customer to decide to choose
DHL's service even losing the customer if
service quality is not good.

for Economic Cooperation and Development
(OECD). An important driver has been the
tremendous advances in information and
communication technology since the 1990s.
This development is the result of the www
(world wide web), Windows computer
systems, the EDIFACT EDIFACT, EAN EAN
coding, and English - the business language of
the world. An E-commerce boom – One of the
big advantages DHL has, especially in
developing economies, is that the e-commerce
boom is catching up and the demand for
shipping is huge. Therefore, there are a lot of
packages that are delivered daily, so capacity
has been used up. DHL already has the assets
to meet this boom in E-Commerce and it rates
well and competes to be the market leader.
Besides, the online retail boom also presents

opportunities for DHL while e-commerce
means e-commerce portals like Amazon,
Flipkart, and others, many small retailers are
starting with their eCommerce websites. This
means that even small businesses are involved
in point-to-point deliveries, thus increasing the
total market potential, especially in developing
economies. Promote strategic linkages – DHL
already has strategic links with all e-commerce
companies. However, exposure is less in
developing countries due to regional
competition. As a result, the more strategic
relationships there are with more companies,
the higher the market share. So promoting the
business and pushing to attract more customers
is important for the company right now.
Standards make it possible for business
partners to place orders faster and more costeffectively, and make everyday business
processes more efficient than decades ago.
Advances have been complemented by
progressive standards in packaging and
containers set forth by the International
Organization for Standardization (ISO). For
industrial and commercial companies, the
possibility of expanding their networks of
suppliers and customers is further and more

Besides, there are many great opportunities for
DHL.The world is developing strongly,
leading to the widespread and rapid

development of electronic information. As a
result of dynamic development, the demand for
logistics services has increased dramatically so
Logistics has become an important factor in the
success of modern companies because
customers and supply networks can be
extended worldwide. Over the past 20 years,
the conditions for global trade and business
have improved greatly, and many political,
ideological, and customs borders between
countries and regions of the world have been
broken down. In addition, worldwide efforts to
remove barriers to trade are progressing slowly
but surely, for example, the Global
Agreements on Tariffs and Trade (GATT) and
the Organization for Economic Cooperation
and Development. Development Organization
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Seminar 1:Research method and design

global. They can search for the materials, staff,
know-how, and conditions for their operations
in the country and region that provide them
with the highest cost-effectiveness ratio.
Customs regulations and data handling have
been simplified. Communication has become

faster, more efficient, and more reliable. Lower
transportation costs thanks to these changes are
the reason logistics companies are increasingly
trusted and expanding their value-added
innovative processes worldwide.

research and development strategy: In today's
fiercely competitive environment and with the
approach of suppliers. Constant research is a
matter of concern, to make a difference. In
addition to conducting research and
development, it also aims to affirm its position
as a top-quality supplier and reduce
competitive pressure on price. The lack of
price competition is a weakness that DHL
needs to overcome (because DHL's service
costs are quite high compared to competitors in
the industry and it is difficult to develop strong
competition in Vietnam) especially In the
current situation of logistics development and
fierce competition, cutting operating costs is
the most important method to compete with
other competitors. Classify customer details;
then develop services and service packages
suitable for different customers to ensure the
best service for customers, creating
competitive advantages for the company.
Making good use of Vietnam's natural
environment, research offers transportation
options on all terrains to avoid additional costs.

Focusing on research on politics, culture,
people, population structure, life views, and
ethical standards in Vietnam. Capturing
customer psychology to make policies more
suitable to the market. Additionally, DHL must
make the most of all the benefits that come
with constantly applying science and
technology, as well as the added benefits and
politics of opening up markets in new nations.
acquiring modest market shares to lessen
rivalry with your business. Increased
investment in human resources is essential for
business success, particularly in management,
management, and the application of science
and technology. maintaining the business's
green initiatives to preserve the environment,
enhance its reputation, and demonstrate a
strong commitment to the long term.

In addition, through SWOT analysis to find out
the challenges that DHL companies face. In
most areas, global trade competition arises.
Even at home, companies face new
competitors from around the world, and
competitors often enjoy a cost advantage due
to lower production costs. Therefore, the
demand
for
transportation,
storage,

conveyance, planning, communication, and
control services is continuously growing
stronger and becoming more and more perfect.
At the same time, the pressure on service
quality and cost optimization is growing on the
company. Logistics has become one of the
most important levers a company can use to
survive and succeed in global competition.

6. Discussion
Research development strategy
Although DHL is already a large global
delivery company, in the Vietnamese market,
the company still needs to develop a pricing
mechanism and sales policy by business
conditions and competition in the market.
school. Researching value-added products and
services to enhance competitiveness with
companies in the same industry. For the
business to operate more effectively, it is
necessary to focus on the following issues:
Promote communication activities, and build a
brand image so that when it comes to domestic
or foreign delivery services, customers must
think immediately about DHL. Implement
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Seminar 1:Research method and design

DHL strengthens "green" investment in
Vietnam

techniques. The program aims to teach drivers
how to drive optimally, which not only helps
reduce fuel consumption and CO emissions but
also reduces accidents.

On April 21, DHL-VNPT Express Company
Limited announced the investment and put into
operation 43 Mercedes Vito cars. The
advantage of the fleet of vehicles meeting Euro
4 emission standards and being more
environmentally friendly, when reducing
emissions by more than 20% compared to
before… The vehicle upgrade is part of DHL
Express's global commitment to reducing
carbon emissions and improving service
quality. This new investment in the fleet has a
total value of about 2 million USD. DHL's fleet
moves an average of 10,000 km per day,
throughout Vietnam's roads. Thus, through this
new investment, reducing emissions by about a
quarter will contribute to a cleaner, greener
Vietnam. In addition, the new fleet of vehicles
consumes 20% less fuel, both helping to
protect the environment and saving costs for
businesses. Meanwhile, traffic congestion is

still being assessed as an urgent problem in
urban areas of Vietnam, leading to cities
becoming more polluted and more dangerous
to drive. Road transport currently accounts for
61 percent of DHL-VNPT's total CO2
emissions from ground operations. To reduce
carbon emissions better, DHL has organized an
eco-driving training program for delivery staff
to train and improve their driving

DHL is the first global logistics supplier to set
a measurable CO2 reduction target through the
GoGreen program. Started in 2007, the
program aims to achieve a 30% reduction in
carbon emissions from the company's
transportation by 2020. And to achieve this,
DHL has established a clear roadmap to
manage carbon emissions from energy
consumption in offices, mining centers, and
road transport, while measuring efficiency. of
the emission reduction programs.“Protecting
the environment is part of a long-term global
strategy and we recognize the importance of
doing business responsibly, efficiently, and
sustainably. DHL has applied for the GoGreen
program since 2007 and its efforts to ensure
sustainability have been recognized by the
community. This encourages us to continue to
raise the bar for Green Logistics,” said Ms.
Yasmin Aladad Khan, Vice President of DHL

Express Southeast Asia. The carbon footprint
assessment was first introduced by DHL
Express Asia Pacific in 2008. And since then,
it has evolved into a specific emission
measurement process at more than 1,000
facilities in 27 locations. market in the Asia
Pacific region.
The research focuses on the application of
SWOT analysis for the business strategy
development of DHL - the world's leading
logistics company. The study explores the
workings of DHL, which entails vision and
mission, practices of organizational planning,
proper human resource allocation, IT support,
culture, and segment management in the
company.
Understand
the
strengths,
weaknesses, opportunities, and threats of DHL.
DHL might have a weakness of being
expensive but its focus on serving as a premium
customer and creating a niche helps them

7. Conclusions
Business strategy is the method and way of
doing business of a company or corporation in
the field of business, to achieve optimal
business performance. Business strategy is the
overall content of a business plan in order,

including a series of measures and major
business methods over a long period (Nguyen¹,
2022). The ultimate goal is towards promoting
the highest profit and the development of the
business system (Nguyen², 2002).

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Seminar 1:Research method and design

differentiate in an industry where there is a thin
line to differentiate yourself as an organization.
Further, as already discussed, DHL will have to
keep innovating to counter the future threats of
new disruptive industries, environmental
impact, and cost of transportation to be socially
and operationally effective and profitable. DHL
has always developed its quality system to
match the standards of its customers. DHL
owns several intellectual property rights
including trademarks and patents, giving DHL
a monopoly on its products and making it
impossible for competitors to copy or reverse
engineer them. Furthermore, DHL operates
globally. Besides that advantage, DHL needs to
overcome the error in estimating market share,
which is DHL's biggest weakness because it is

difficult to estimate even when the market is
stagnant and there are several competitors, and
any estimate should always be viewed with
caution. In the future, DHL also seizes the
opportunities in the rapidly developing world
that entail the widespread and rapid
development of electronic information,
fostering strategic linkages with all ecommerce companies. Setting up a business
strategy always requires a project to prevent
lurking risks at any time, the company has to
face all competitors from all over the world and
competitors have a cost advantage due to lower
production costs.

Acknowledgement

This study shows that business strategy has a
positive influence on the business performance,
innovation, and competitive advantage of
DHL. Besides, the study established that were
was ample focus directed to the process of
strategy formulation. Strategy formulation and
strategy implementation is viewed to serve the
facilitation of strategic management practices
in the organization. Strategy implementation is
vital for an organization’s success and poor
implementation has been blamed on several
strategic failures.

Bryson, J.M. (1989). Strategic Planning for

Public and NonProfit Organizations,
Jossey-Bass Publishers.

We have gotten a lot of assistance and support
while creating this research paper. We
acknowledge the excellent assistance of our
lecturer, Nguyen Minh Duc, in developing the
study topics and methodologies. His
enlightening criticism inspired me to refine my
ideas and elevate my work. We are grateful for
his insightful advice throughout our
investigation, which gave us the skills we
needed to make the best decision and finish our
research paper. Last but not least, we would
like to express our gratitude to all of our friends
and family for their constant encouragement
and support.

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Seminar 1:Research method and design

Authors
No.

Full name

Contribution

1

Nguyen Thi Thanh Mai

Introduction, Analysis, SWOT
analysis, Design and decorate
articles, Discussion.


2

Vu Thi Quynh Phuong

Keywords, Literature review,
Conclusions, References, edit the
format of the whole article.

3

Pham Thanh Tung

Abstract, Methodology, References

Evaluation
Authors

Ranking

Nguyen Thi Thanh Mai

1

Vu Thi Quynh Phuong

2

Pham Thanh Tung


3

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