The urgency of the research subject The commercial and trading of cars are one of the most important economies and contributes to industrialization and modernization. Vietnamese life is improving more than in the past, so the car is an essential tool for everyone. The demand for the use of the car has steadily increased since 2006. With over 96 million people in Vietnam and high economic growth, the development prospects of the industry.
The automotive industry is huge. For these reasons, I decided to choose the subject: “Solutions to enhance competitiveness of Truong Giang trading and service limited liability company.” Nissan Lao Cai is one of the most prestigious and well-known companies in the province of Lao Cai. However, there are still not many in-depth statements from financial institutions, and information about the company is still ambiguous in the market. That is why I am making this report with the aim of improving and providing information about the Nissan Lao Cai.
Moreover, the report also shows part of the process of analysis of financial statements in the company, therefore support the company in improving these processes. I have tried to be extremely meticulous in preparing this report despite the various limitations faced as very limited information about auto industry. Objectives of the research First, systematize the theoretical basis of the competitiveness of business companies, including concepts, characteristics, content. The second is to analyze the current situation of Truong Giang trading and service limited liability company competitiveness on automobile products in the 1 Luan van Lao Cai market for competitors, thereby drawing out successes, limitations, and causes of successes, that restriction.
Thirdly, the theoretical basis has been systematical with objective assessments on the actual situation of implementing the business strategy and the competitive strategy of the company. Research methods Student choose dialectical materialism and historical materialism based on objective phenomena and socio-economic rules. At the same time, student use a combination of research methods to achieve research objectives. Specifically: a) Methods of collecting and processing information The method of collecting and processing information is used by students to collect primary and secondary documents.
These are the financial statements of several multinational companies in Vietnam; reports on inspection results of multinational company branches of the General Department of Taxation and Tax Departments in some localities; some conclusions of inspection of violations of tax obligations in general, suspicion of price transfer in particular of Inspectorate of the Ministry of Finance, State Audit; relevant legal documents, reports, projects and programs of the Ministry of Finance, the Ministry of Planning and Investment, the General Statistics Office, the General Department of Taxation and tax authorities in some localities. Along with that are projects, scientific research projects at many levels, the master's thesis in economics, scientific articles in country and abroad related to multinational companies, multinational corporate finance and transfer pricing. Students have processed the information from these documents to achieve the following objectives: 2 Luan van To systematize the research results before the graduate thesis, find out the problems and problems, exist as well as point out the research gap that the graduate thesis needs to seek, thereby finding new points of the problem. Finding and collecting scientific bases as well as data from reliable sources serve as an objective basis for the formulation of arguments, demonstrations on both theoretical and practical perspectives.
Present conclusions and research results of the thesis according to my own approach. b) Analysis method The analytical method is used to analyze the data related to the problems of buying and selling financial and non-financial goods, products and services (internal transfer activities) of MNC's branches in Vietnam with the parent company as well as with the related parties. In addition, the method is used in analyzing the forms and processes that a multinational company branch implements to carry out transfer pricing activities. The thesis has analyzed some data to see the impact of transfer pricing in multinational company branches in Vietnam, focusing on eroding the tax base as well as causing the situation of loss of state budget revenue.
However, transfer pricing is a very sensitive issue, in addition to some publicly available information and data, many of the documents provided by the authorities are internal documents and have not been published, Some documents contain information that is considered as an asset owned by an enterprise with a limit of users, Some documents have a security nature at the present time, so in the process of using, students are asked not to publicly make clear the source and name of the business and the name of the multinational companies or the parties have an related relationship. But I can confirm that the documents have clear 3 Luan van origin, high reliability and are provided by competent authorities in accordance with the process; at the same time, I used and faithfully cited in the thesis. c) Comparison method This method is used to compare the provisions of the legal system of Vietnam with the provisions of some international organizations such as the United Nations or OECD as well as some other countries on the direct investment policy, tax policy, internal transfer pricing methods as well as other related issues. At the same time, the comparative method is also used to compare and analyze the changes in regulations on price transfer control in Vietnam through periods and analyzes to show the pros and cons of each regulation.
d) Case study analysis method Case study is a qualitative research method that is very suitable to my thesis as well as to the nature of the research data. This method is used by me to analyze in some cases, typical cases of transfer pricing at multinational companies' branches in Vietnam as well as typical cases of controlling transfer pricing of some countries. This method helps the thesis answer the question of how price transfer forms are taking place at multinational companies' branches in Vietnam as well as in the world; ways in which advanced countries as well as countries with conditions similar to Vietnam respond to transfer pricing activities. At the same time, the case study method also allows me to select typical cases, typical transfer pricing questions as evidence for transfer pricing in multinational company branches in Vietnam.
e) Secondary data collection method 4 Luan van Due to the nature of the data and research materials, I could not directly investigate the actual data but use the survey results (secondary data) of some authorities as well as specialist research teams. The results of these surveys are used appropriately to increase the reliability of the thesis points. Specifically, the thesis has used the research results: The survey results of the General Department of Taxation; Survey results of the Tax Department in some localities; Survey results of expert group from City University of Economics. Ho Chi Minh, Statistical survey results of the General Statistics Office.
Scientific and practical significance of the thesis The research topic reflects the business situation of Truong Giang company, thereby considering factors affecting business activities. The research results will be important market research information for managers at Truong Giang Company, helping the company to understand the financial situation of the company. Managers can consider marketing planning and find appropriate directions in the future. Research scope In term of space: Nissan dealer system nationwide.
Focusing mainly on the market of Lao Cai province and vicinity provinces. In term of time: Research should focus mainly on the period between 2017 and 2019. Structure of the thesis Internship report included 03 chapters: Chapter 1: Overview of Truong Giang Trading and service limited company. Chapter 2: The current situation of business performance in the company.
5 Luan van Chapter 3: Solution to enhance competitiveness of Truong Giang trading and service limited liability company. 6 Luan van CHAPTER 1: THE THEORETICAL BASIS 1. Overview about business activities 1. Business An enterprise is an economic organization engaged in production and business activities, to provide products or services that satisfy the needs of the market and earn a certain profit for itself.
Through the concept of production and business activities, we can only see that it is only a basic economic category and the efficiency of production and business is an economic category expressing the focus of development in depth, It reflects the level of exploitation of resources and the level of cost of such resources in the reproduction process to achieve the business goals of the enterprise. This is an important measure of economic growth and a basis for assessing the implementation of business goals of the enterprise in each period. Business activities To sustain one's life, the need for people to use products or services is varied and constantly changing. If people produce products or create services that provide a market to make a profit, they are called business activities Note: Business activities must be activities legit business is very popular in the economy, it happens right around us, and even within your family.
For example, it produces and sells cars, motorbikes, food, pants. or building houses, roads, repairing televisions, fans. Efficiency Efficiency can be mentioned on many different aspects to consider. If it is the goal, the economic effect is the difference between the results obtained and the costs spent to achieve that result.
And if in each aspect, economic efficiency is the expression of the level and ability to use the factors in the production and 7 Luan van business process. Efficiency is an integrated quality indicator reflecting the process of using elements in the manufacturing process. In a market economy, businesses must compete fiercely in using resources to meet the increasing needs of society. Enterprises operating in the market mechanism to win the competition must put economic efficiency first, so they must take advantage of exploitation and minimize resources.
The essence of improving the business efficiency of enterprises is corresponding to the improvement of social labor productivity and social labor savings. That will bring business efficiency to the business. If businesses with low, business efficiency will be excluded from the market, and businesses with high economic efficiency will exist and develop. In a nutshell, production and business efficiency is the reflection of quality- quality in production and business activities, the level of leveraging the resources of the business.
Factors impact to the enterprise It is common to classify factors affecting an enterprise's business activities into subjective and objective factors, subjective factors as factors belonging to the enterprise itself control or adjust it, the objective factors are factoring that businesses can not adjust and control. The objective factors Factors that cannot be controlled by the enterprise, constantly affect the business activities of the enterprise in different trends, creating both opportunities, and limiting the ability to realize the goals of the business. Business operations require a regular understanding of these factors, their operating trends, and their impact on the overall business operation of the enterprise. Objective factors are laws, culture, society, technology, technology, economics, natural conditions, infrastructure, and economic relations that are factors 8 Luan van enterprises cannot control.
At the same time, it has a common impact on all businesses in the market. Researching these factors, the enterprise is not aiming to control it according to its own opinion but to create the best adaptability to its advocacy trends. Political and legal factors: Factors in the political and legal environment have a strong impact on the formation and exploitation of business opportunities and the purpose of business operations. Political stability is an important prerequisite for business activities, political change may have a beneficial effect on this group of businesses or inhibit the development of other businesses.
The complete legal system and the rigor in law enforcement will create a healthy competitive environment for businesses, avoid fraud, smuggling.