BANKING ACADEMY FACULTY OF BUSINESS ADMINISTRATION ------------------------------- GRADUATION THESIS TOPIC: A STUDY ON APPLICATION OF MARKETING MIX POLICY IN VPS SECURITIES JOINT STOCK COMPANY Student : Ta Thi Kim Anh Class : K20CLCM Course : 2017-2021 Student code : 20A4030029 Lecturer : MSc. Nguyen Thi Thuy Ha Ha Noi, 20th May, 2021 17014125826161000000 GUARANTEE I hereby declare that this graduation thesis is my own work, researched and conducted on the basis of theoretical research and applied in practice. The thesis was completed thanks to my own efforts and the support from the instructor - Mrs. Nguyen Thi Thuy Ha of Banking Academy and colleagues at VPS Securities Joint Stock Company, Dong Do transaction office at 35 Thi Sach, Hai Ba Trung, Hanoi.
All references in this essay are clearly cited, from true sources. The content of the thesis does not coincide with similar studies that have been published before. I accept full responsibility for this undertaking. Ha Noi, 20th May 2021 Kim Anh Ta Thi Kim Anh i SPECIAL THANKS I would like to express my sincere thanks to the Board of Directors and all teachers in the Faculty of Business Administration and lecturers in Banking Academy who have taught and imparted to me a lot of useful knowledge in this field for four years at Banking Academy.
In particular, I am very grateful to Mr. Nguyen Thi Thuy Ha- lecturer has directly guided and helped me throughout the process of implementing and completing this thesis. During my internship and practical study at VPS Securities Joint Stock Company at 35 Thi Sach, Hai Ba Trung, Hanoi, I also received the support and guidance of colleagues in the brokerage department as well as in other departments. I have learned a lot of knowledge and practical experience to apply to my thesis and future work.
Thank you sincerely! Ha Noi, 20th May 2021 Kim Anh Ta Thi Kim Anh ii TABLE OF CONTENT GUARANTEE. II LIST OF DATA TABLES, DIAGRAMS, CHARTS, ACRONYMS. NECESSITY OF RESEARCH TOPIC. RESEARCH SCOPE AND OBJECTIVES.
ORGANIZATION OF THE THESIS. OVERALL MARKETING DEFINITION. Marketing mix definition. IMPORTANCE OF MARKETING MIX POLICY .1 Marketing mix helps in a clean mix creation .2 Marketing mix helps in New product development .3 Marketing mix helps increase the product portfolio .4 Marketing mix is a guide to improve a business .5 Marketing mix helps in differentiation .6 Finally, marketing mix helps being dynamic.
PROCESS OF MARKETING MIX .2 Organizing Marketing mix. TOOL FOR PROCESS OF PLANNING MARKETING MIX POLICIES. SWOT Matrix analysis. FACTORS AFFECT ON MARKETING MIX POLICY.
Departmentation and Organization. Executive Board and Human Resources .12 SWOT Matrix of VPS. APPLICATION OF VPS’S MARKETING MIX POLICY. Evaluation VPS’s Marketing mix application .52 RECOMMENDATIONS FOR BETTER MARETING MIX POLICY OF VPS.
GENERAL DEVELOPMENT ORIENTATION OF VIETNAM'S STOCK MARKET. FUTURE DEVELOPMENT ORIENTATION OF VPS SECURITIES JOINT STOCK COMPANY. RECOMMENDATIONS FOR IMPROVING VPS’S MARKETING MIX POLICY .58 LIST OF REFERENCE .61 v LIST OF DATA TABLES, DIAGRAMS, CHARTS Table 2. VPS's full name of Board of Directors.
VPS's full name of Control Board. VPS's full name of Executive Board. Table of Common stock transaction fee of VPS. Summary of transaction fees for underlying securities at VPS.
Investment cooperation package at VPS. Top 10 securities companies with the largest stock brokerage market shares listed on HNX in 2018 and 2019. Top 10 securities companies with the largest brokerage market share in the UPCom market in 2018 and 2019. Top 10 securities companies with the largest stock brokerage market share in the derivatives market in 2018 and 2019.
Five levels of product………………………………………………. How Corporate Mission affect Marketing mix policy………………21 Diagram 2. VPS company organizational chart…………………………. The product portfolio of VPS……………………………………….33 vi LIST OF ACRONYMS VPS VPS Securities Joint Stock Company SSI SSI.
Securities Joint Stock Company VDSC Rong Viet Securities Joint Stock Company VND Vnidrect Securities Joint Stock Company M&A Merger & Acquisitions IPO Initial Public Offering NAV Net Asset Value HNX Hanoi Stock Exchange HOSE Ho Chi Minh Stock Exchange IBM International Business Machines Corporation vii INTRODUCTION 1. Necessity of research topic During 22 years of operation and development, Vietnam's stock market has achieved a lot of success in building an effective medium and long-term capital market and channel for investors and businesses help promote economic growth. Since its establishment with two listed companies, the number has increased to 2458 companies registered for trading. The period from 2000-2005 was the beginning of the stock market, when the market capitalization was only about 1% of GDP, but 2006 marked a turning point reaching 22.7% of GDP, even reaching over 43% in 2007.
However, due to the influence of financial markets, domestic and foreign economies, the market capitalization in 2008 dropped sharply to 18% of GDP. After that, the market gradually recovered and so far this figure has exceeded 82% of GDP, marking the explosive development of the stock market. Experiencing a lot of ups and downs of the economy and society, the stock market is growing strongly, the appearance of securities companies and investors is increasing day by day, year by year. This leads to an understandable consequence that the competition between securities companies is increasing day by day.
Not only the domestic market, Vietnam's stock market is also moving closer to international standards, developing in the direction of becoming more modern and more sustainable, reflected in its active participation in initiatives in global finance, typically the Green Finance Initiative with the active support and cooperation of the German Agency for International Cooperation (GIZ), the Corporate Governance Initiative within the framework of cooperation with the German Agency for International Cooperation (GIZ) and Organisation for Economic Co-operation and Development (OECD), Sustainable Stock Exchanges Initiative… Therefore, every securities companies need to strengthen their competitiveness. In order to improve competitiveness, improving the quality of Marketing, finding effective marketing solutions suitable for businesses is one of the best solutions. More specifically, securities companies have to the design and organize the most appropriate and effective marketing mix policy for all the potential of the business to gain the most competitiveness. After 15 years of establishment and development, VPS securities company 1 has achieved many achievements, but there are still certain limitations in building and implementing marketing mix policies.
Therefore, I decided to conduct this graduation thesis with the topic " A study on application of Marketing mix policy in VPS Securities Joint Stock Company". Research purposes Based on the urgency of the given topic, the thesis brings the most complete, concise and comprehensive theories about Marketing in general and Marketing mix policy in particular. Especially, this study goes into depth analysis and assessment of this operation of VPS as well as brings the most detailed information about the company to the entire public. With the goal of solving the limitations and shortcomings of VPS’s Marketing mix policy in the near future, the thesis offers practical and useful solutions to improve the efficiency of the Marketing mix specifically for VPS that the company can use.
Specifically, the goals are as follows: - Mention the theoretical basis, general theory of Marketing and marketing mix policies; - Research the current situation, analyze and evaluate the construction and implementation of marketing mix policy at VPS, find out the limitations and causes; - Proposing solutions, building campaigns for Marketing mix policy in near future for better effectiveness of the Marketing mix at VPS. Research scope and objectives 3. Research objectives First, the most common object of the research must be mentioned are securities companies and their marketing activities in Vietnam. The key is to focus on researching the effectiveness of the Marketing mix policy at VPS Securities Joint Stock Company.
Research scope - Spatial scope: The study was carried out at VPS Securities Joint Stock Company at unit Dong Do transaction office 35 Thi Sach, Hai Ba Trung, Hanoi. - Time range: VPS information is collected from 2006 to 2020, especially mainly focusing on data in the period 2017 to 2020; market orientations , company 2 orientations and solutions proposed towards 2025. Methodology This study is based on a combination of different methods: - Methods of information collection: For the general theories of securities companies and marketing mix activities, this thesis uses references from reliable sources from the Internet, books and textbooks related to the domestic and international Securities and Marketing field. - For the application at VPS, the annual reports, consolidated financial statements of VPS and other securities companies over the years are used, combined with historical materialism method.
In addition, there are other statistics that are collected during my internship at the company. - Analytical method: To make assessments and solutions for the Marketing mix of VPS, I use the method of comparing, synthesizing, and analyzing the marketing activities of the company and other securities companies. The research has systematically combined the knowledge with the actual situation to analyze, evaluate then suggest solutions and finally conclude all. Not only that, the study also uses quantitative methods, modeling through diagrams, charts and tables to help the problem become more intuitive.
Organization of the thesis The thesis consists of three chapters: Chapter 1: LITERATURE REVIEW OF MARKETING MIX Chapter 2: APPLICATION OF VPS SECURITIES JOINT STOCK COMPANY MARKETING MIX POLICY Chapter 3: RECOMMENDATIONS FOR BETTER VPS SECURITIES JOINT STOCK COMPANY MARETING MIX POLICY 3 CHAPTER 1 LITERATURE REVIEW OF MARKETING AND MARKETING MIX 1. OVERALL MARKETING DEFINITION 1. Marketing definition In order to have a clear idea on Marketing mix, first of all, the concept of marketing should be discussed. As reported by Keith Blois (2000, p.517), the American Marketing Association (1985) makes a conclusion of defining marketing as “the process of planning and executing the conception, pricing , promotion, and distribution of ideas, goods and services to create and satisfy individual and organizational objectives ” and UK’s Chartered Institute of Marketing(1996) defines the marketing as “the management process of planning, anticipating and satisfying customer requirements profitably.” In general, these two definitions focus on the transaction approach in marketing rather than relationship marketing, which the latter one plays a more important role in nowadays marketing approach.
As supported by Philip Kotler and Gary Armstrong’s (2007, p.5), marketing definition is “the process of creating value for customers and build strong customer relationships in order to capture value from customers in return.” This is also the reason of choosing customer’s marketing and relationship marketing as the main contemporary approach to discuss in latter parts of this article. Marketing mix definition According to Philip Kotler “Marketing Mix is the set of controllable variables that the firm can use to influence the buyer’s response”. The controllable variables in this context refer to the 4 ‘P’s [product, price, place (distribution) and promotion]. Each firm strives to build up such a composition of 4‘P’s, which can create highest level of consumer satisfaction and at the same time meet its organisational objectives.
Thus, this mix is assembled keeping in mind the needs of target customers, and it varies from one organisation to another depending upon its available resources and marketing objectives. Let us now have a brief idea about the four components of marketing mix. Product Product refers to the goods and services offered by the organization for sale. 4 All these are purchased because they satisfy one or more of our needs.
We are paying not for the tangible product but for the benefit it will provide. So, in simple words, product can be described as a bundle of benefits which a marketeer offers to the consumer for a price.Price Price is the amount charged for a product or service. It is the second most important element in the marketing mix. Fixing the price of the product is a tricky job.
Many factors like demand for a product, cost involved, consumer’s ability to pay, prices charged by competitors for similar products, government restrictions etc.