VIETNAM NATIONAL UNIVERSITY HO CHI MINH CITY HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY NGUYEN DUNG UYEN THI DEVELOPING A STARTUP FOR SCHOOL BUS SERVICE IN HO CHI MINH CITY FROM 2023 TO 2030 Major: Business Administration Major code: 8340101 MASTER'S THESIS HO CHI MINH CITY, July 2022 THIS RESEARCH IS COMPLETED AT UNIVERSITY OF TECHNOLOGY – VNU – HCM CITY Instructor: Lê Thị Thanh Xuân, D.A Examiner 1: Dr Phan Triều Anh Examiner 2: Đỗ Thanh Lưu Master's thesis is defended at HCM city University of Technology, VNU- HCM City on 22/07/2022 The board of the Master's Thesis Defense Council includes: 1. Member: Lê Thị Thanh Xuân, D. Nguyễn Thị Đức Nguyên 4. Phan Triều Anh 5.
Đỗ Thanh Lưu Verification of the Chairman of the Master's Thesis Defense Council and the Dean of School of Industrial Management after the thesis being corrected (If any). CHAIRMAN OF THE COUNCIL DEAN OF INDUSTRIAL MANAGEMENT VIETNAM NATIONAL UNIVERSITY SOCIALIST REPUBLIC OF VIETNAM HO CHI MINH CITY Independence – Freedom - Happiness HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY THE TASK SHEET OF MASTER'S THESIS Full name: Nguyễn Dũng Uyên Thi Student code: 2070609 Date of birth: 22/01/1997 Place of birth: TPHCM Major: Business Administration Major code: 8340101 I. THESIS TOPIC: Developing a startup for school bus service in Ho Chi Minh City from 2023 to 2030 ĐỀ TÀI LUẬN VĂN: Phát triển kế hoạch khởi nghiệp cho dịch vụ xe buýt trường học tại Thành phố Hồ Chí Minh từ 2023 đến 2030 II. TASKS AND CONTENTS: 1.
Identifying the business opportunities 2. Identifying business model 3. Analyzing the economy, industry, market 4. Developing business plan 5.
Sustainability analysis III. TASKS STARTING DATE: 1/3/2022 IV. TASKS ENDING DATE: 30/6/2022 V. INSTRUCTOR: Lê Thị Thanh Xuân, D.A HCM City, 20/6/2022 INSTRUCTOR HEAD OF DEPARTMENT (Full name and signature) (Full name and signature) DEAN OF INDUSTRIAL MANAGEMENT (Full name and signature) i ACKNOWLEDGEMENT I would like to express my deep appreciation to my instructor, Dr.
Le Thi Thanh Xuan. The completion of my Master's thesis would not have been possible without the generous support and constructive feedback of Dr. I would also like to extend my thank to Ms. Lien, all the friends and student's parents who spent your valuable time to take the survey and participate in my interview sessions.
Special thanks should be given to my leader and colleagues who provided great support so that I had time to complete my thesis. Finally, I wish to thank my parents and friends for their support and encouragement throughout my study. ii ABSTRACT Student transportation is one of the issues that received great concern of the society in the recent years since the number of students grows up every year, the traffic jam and student's accidents also happen more often. These problems lead to the need for a high quality and modern school bus service in the market.
To develop a business plan, the related models and frameworks are researched: PESTEL, Porter's five forces, and Business model canvas. The related studies and research are also reviewed to have better idea on developing school bus service in customer and technical aspects. The business's environment, industry and market are analyzed through data from organizations and government, surveys, and interview sessions. After researching and analyzing the environment, the author presents a new kind of school bus service in Ho Chi Minh City which applies modern technology to resolve problems of current service in the market.
The business operations plan is described in detail which provides the resource planning and operational planning for this new service from 2023 to 2030. Limitations and future works are also pointed out for later development. iii TÓM TẮT LUẬN VĂN Đưa đón học sinh là một trong những vấn đề nhận được sự quan tâm của xã hội trong những năm gần đây khi số lượng học sinh tăng lên hàng năm, tình trạng kẹt xe và tai nạn với học sinh cũng xảy ra thường xuyên hơn. Những vấn đề này dẫn đến nhu cầu về dịch vụ xe đưa đón học sinh hiện đại và chất lượng cao trên thị trường.
Để phát triển một kế hoạch kinh doanh, các mô hình và khung lý thuyết liên quan được nghiên cứu: PESTEL, mô hình năm lực lượng cạnh tranh của Porter và Business model canvas. Các bài báo và nghiên cứu liên quan cũng được tham khảo để tìm ra các ý tưởng và lưu ý về việc phát triển dịch vụ xe buýt trường học ở khía cạnh khách hàng và kỹ thuật. Môi trường, ngành và thị trường của doanh nghiệp được phân tích thông qua dữ liệu từ các tổ chức và chính phủ, các cuộc khảo sát và các buổi phỏng vấn. Sau khi nghiên cứu và phân tích môi trường, tác giả trình bày một loại hình dịch vụ xe đưa đón học sinh mới tại Thành phố Hồ Chí Minh, áp dụng công nghệ hiện đại để giải quyết các vấn đề của dịch vụ hiện nay trên thị trường.
Kế hoạch hoạt động kinh doanh được mô tả chi tiết, cung cấp kế hoạch nguồn lực và lập kế hoạch hoạt động cho dịch vụ mới này từ năm 2023 đến năm 2030. Các hạn chế của luận văn được chỉ ra và hướng phát triển trong tương lai cũng được đề xuất nhằm định hướng cho sự phát triển của mô hình kinh doanh. iv DECLARATION I declare that this thesis has been composed solely by myself and that it has not been submitted, in whole or in part, in any previous application for a degree. Except where states otherwise by reference or acknowledgement, the work presented is entirely my own.
Author Nguyễn Dũng Uyên Thi v TABLE OF CONTENT CHAPTER 1 INTRODUCTION.3 Objective of the thesis .4 Introduction of methodology.5 Key contents of the thesis. 9 CHAPTER 2 LITERATURE REVIEW.1 Frameworks/models to analyze economic, industry, and market environment .2 Porter's five forces (Porter, 1980) .2 Methods/tools to collect data to measure market potential .3 Methods for feasibility business analysis .4 Related studies and research .1 The study of Lưu Đa Phú (2013) .2 The research of Blakrishnan, Dharshini, Harini, and Kamali (2019) .3 The research of Abhimanyu, Akshay, Pankaj, Sachin and Prof.4 Summary of research review. 18 CHAPTER 3 BUSINESS ENVIRONMENT, INDUSTRY AND MARKET ANALYSIS .1 Business Environment Analysis .7 Summary of PESTEL analysis .1 Competition in the industry .2 Potential of new entrants into the industry .3 Power of suppliers .4 Power of customers .5 Threat of substitutes .6 Summary of Five Forces effects.4 Summary of market analysis. 39 CHAPTER 4 BUSINESS MODEL INTRODUCTION.2 Introduction of the service .3 Business Canvas Model .4 Ethical and legal considerations.
46 CHAPTER 5 BUSINESS PLAN .2 Business resource planning .2 School bus service operation. 57 CHAPTER 6 CONCLUSIONS, LIMITATIONS AND FUTURE WORK. 67 vii TABLE OF TABLES Table 1.1 Advantages and disadvantages of different means of student's transportation .2 Objectives of thesis .2 Summary of service providers .3 Five Forces effects .1 Current systems' features and enhancement of new system.2 Gaps in the market and solutions of new school bus service .1 Number of vehicles to serve students. 50 viii TABLE OF FIGURES Figure 1.1 Number of students in Ho Chi Minh City.2 Number of students using school buses .3 Number of schools using school buses .4 Number of laborers in Ho Chi Minh City .2 Business model canvas .1 Job demands categorized by professional level .2 Parents willing to use the high-tech service categorized by age .3 Parents willing to use the high-tech service categorized by occupation .4 Parent's reason for not registering school bus .5 Parent's most important criteria for selecting school bus service .6 Expected price for the new school bus service .1 Bus2School application for parents .3 Business concept overview .4 School bus service's Business canvas model .6 Process of taking students from home to school.7 Process of taking students from school to home.8 Home screen and map view .9 Notification screen and History screen .1 Background The number of students in Ho Chi Minh City is around 1.4 million presented in Figure 1.1 (Tổng cục Thống kê, 2022), especially in 2018, there were approximately 3 million students due to the local people's belief of lucky age.
(Nguyễn, 2018) This means that the demand for taking students to school and picking them up from school is significantly high. The huge number of students expresses through the real-life issue which is observed every day is the bad traffic jam at the locations near the schools in Ho Chi Minh City. Therefore, the Department of Education and Training and the Department of Transportation of Ho Chi Minh City discussed and agreed on the goal of having 15% of students using the school bus.1 Number of students in Ho Chi Minh City Thanks to urbanization, the demand for student pick-up services increases significantly in the first decade not only in the urban area but also in the rural area near the large cities. In the school year 2001-2002, when the school bus was first 2 introduced in Ho Chi Minh City, only 6 schools and 252 students participated in this new model of transportation.
(Trung, 2019) The number climbed to its peak in 2013 with 289 schools and 160,413 students using the school bus. However, the number of participants reduced gradually, in 2020, there were only 89 schools and 21,625 students which are described in Figure 1. (Ngọc & Hà, 2020) The actual number of students and schools using the school bus does not achieve the goal of 15% that the government announced.6% of the students use the school bus in Ho Chi Minh city.2 Number of students using school buses Figure 1.3 Number of schools using school buses 3 The decrease in the number of schools and students using school buses does not because of the decrease in demand but due to the increase of accidents during picking up students. (Vĩnh, 2021) In August 2019, a report of a first grader at the Gateway International School (GIS) in Cau Giay District, Hanoi died after being apparently neglected for hours in a van contracted by his school to carry students.
According to GIS, L. had slept out on the school bus and a management teacher assigned to the vehicle had forgotten to wake him up. After dropping pupils off at school, a third company that provided the van service revealed that its driver had similarly failed to double-check the vehicle. (Thân & Danh, 2019) Besides, we have known the same issue with the Do Re Mi Kindergarten school at Bac Ninh.
(Hưởng, 2019) Immediately after was the incident of five students in Dong Nai being thrown onto the street from a moving shuttle. (Lộc, 2019) The incidents mentioned above occurred consecutively, causing many parents to be confused and worried about registering the pick-up service for their children. Urbanization has also led to the increase quickly of laborers in Ho Chi Minh City in recent years. This leads to the situation that more and more parents coming to work described in Figure 1.
The working hours are usually 8 AM - 5:30 PM which conflicts with the school time 6:30 AM - 5 PM and the traffic jams during rush hour are disastrous; hence, it is difficult for parents to transfer their children between school and home.4 Number of laborers in Ho Chi Minh City 4 To fulfill the demand in the market, pick-up services were formed to support the parents in transferring their children between home and school. There are 2 types of services: service providers that contract with schools and the government and service providers freely work in both normal passenger transportation and student transportation contracted with the parents. The most popular service is the one provided by the international private school.