INS3005: Business Analysis Assignment (Solved)

FINAL ASSIGNMENT
Program: Bachelor of Accounting, Analyzing and
Auditing Lecturer’s Signature
Course Code: INS3005
Course Title: Business Analysis
Date:
………………………………
Department’s Signature
Date: December 28th 2020
Date:
………………………………
BUSINESS ANALYSIS
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Table of Contents
I. Introduction of company................................................................................................3
1. Background.................................................................................................................3
2. Major challenges facing the company.........................................................................3
II. Business Analysis..........................................................................................................4
1. Strategic position, choices, and actions of the company and Strategic Development. 4
2. Current economic scenarios that may affect the future sustainability of the company5
3. Current Business process.........................................................................................6
III. Recommendations.......................................................................................................7
1. The application of e-Business model to improve the business sustainability of the
company.........................................................................................................................7
1.1. Potential E-Business Models.............................................................................7
1.2. E-Marketing activities......................................................................................8
1.3. IT requirement.....................................................................................................8
2. Organising for success.............................................................................................9
3. Business process change to improve performance...................................................9
List of tables
Table 1: Market share.........................................................................................................6
Table 2: Diffirent from.......................................................................................................8
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I. Introduction of company
1. Background
- English name: Trang Corporation
- Stock code: TFC (listed at Ha Noi Stock Exchange - HNX)
- Authorized capital: VND 168.299.940.000 (by August 12, 2019)
- Trang Joint Stock Company (Trang Corp) is a member of Trang Group – a
multinational corporation with the aim of providing services and high quality
processed seafood products to the world market.
- Trang Corp was established in July 2004 by Mr. Ho Van Trung. Starting with
customers who are small street shops and restaurants, Trang Corp has gradually built
up its name, becoming a reputable supplier to large food distributors and
supermarkets in Europe, Australia, America…
 VISION
- Become a manufacturer, reliable partner in the processing industry high quality
food.
- Reach turnover of 100 million USD by 2022. Desire to be in the top 50 specialized
food processing companies with the highest revenue in Viet Nam.
 MISSION
- Always adhere to the highest quality standards.
- Create separate products that suit the tastes of consumers use.
- Development comes with community responsibility, towards sustainable
development goals.
- Ensure the dividend rate for shareholders at the highest level compared to other
companies in the same manufacturing industry.
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Income Statement Year 2016 Year 2017 Year 2018 Year 2019
Net revenue 344,574 433,485 467,844 538,686
Gross profit 51,762 56,224 78,425 90,725
Operating profit 1,424 1,236 6,354 26,152
Profit before tax 600 1,272 5,818 451,979
Net profit after tax 211 -2,158 1,080 16,770
Profit after tax for
shareholders of the
parent company
1,096 3,719 7,376 22,913
Balance Sheet Year 2016 Year 2017 Year 2018 Year 2019
Current assets 328,782 370,076 333,005 393,168
Total assets 473,319 548,971 518,646 487,153
Liabilities 271,612 339,311 313,535 278,814
Short -term liabilities 195,628 248,057 224,758 273,090
Owner's equity 201,708 209,660 205,110 208,340
2. Major challenges facing the company
- The Covid 19 epidemic will slow down global economic growth, at least in the
short-term. The world is witnessing the direct consequences of gradually taking place
in the manufacturing sector, the value chains are being affected by the disruption
caused by the disease. Some areas like transportation and tourism have also suffered
direct losses over the past several weeks. In order to minimize the damage to the
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industry, the company must accept and take its own measures the take into account
the state technical assistance activities.
- Trang Corp faces the risk of environmental pollution. The source of soil, water and
air is always important factor to decide the yield and quality. Solid waste, water
emissions, emissions are sources of pollutants that can cause pollution if not
handling.
- Risks of input materials for production of products and pressure to compete with
domestic and foreign peersgatively affecting the production activities of the
company.
II. Business Analysis
1. Strategic position, choices, and actions of the company and Strategic Development
- PAN is a top – rank in the market, ranked in 5th position among 32 firms in the
agricultural market.
- Action
 To determine which products and services are to be the primary and
secondary focus for selling to client base
 To determine the organizational capability required to focus on the
identified products and services and provide a gap analysis
 From all the process from strategic positioning, strategic choice and
strategic actions, the company has a clear plan and good direction with
potential projects in the future. Besides, the company also has some
limitations in managing M&A companies because of its multidisciplinary
nature
-
Table 1: Market share
Market Share T
Row Labels 2016 2017 2018 2019 2016 2017
TOTAL
ASSETS
100.00% 100.00% 100.00% 100.00% 80,943,550.00 80,451,073.00
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Market Share T
Row Labels 2016 2017 2018 2019 2016 2017
HNG 43.82% 40.13% 35.68% 26.70% 35,468,253.00 32,282,180.00
MCH 21.47% 21.93% 19.93% 23.48% 17,377,826.00 17,645,057.00
VIF 6.52% 7.09% 7.01% 6.71% 5,275,573.00 5,707,184.00
BCG 5.52% 4.41% 6.22% 8.32% 4,470,873.00 3,548,052.00
PAN 4.65% 7.44% 11.03% 12.35% 3,760,695.00 5,982,459.00
ANV 3.73% 3.36% 4.00% 4.74% 3,017,826.00 2,702,315.00
SEA 3.03% 3.17% 3.25% 3.62% 2,448,711.00 2,552,623.00
NSC 1.84% 1.94% 1.82% 2.03% 1,486,530.00 1,561,421.00
ACL 1.46% 1.37% 1.57% 1.68% 1,185,063.00 1,099,634.00
SJF 1.39% 1.53% 1.52% 1.40% 1,121,464.00 1,232,661.00
BBC 1.29% 1.39% 1.47% 1.80% 1,041,148.00 1,119,459.00
NAF 0.77% 1.08% 1.23% 1.46% 621,799.00 871,789.00
SEP 0.52% 0.50% 0.47% 0.46% 416,907.00 401,063.00
SSC 0.49% 0.50% 0.56% 0.54% 397,568.00 405,006.00
CPA 0.39% 0.50% 0.33% 0.24% 317,012.00 403,820.00
PSL 0.32% 0.24% 0.24% 0.14% 261,850.00 189,504.00
PSW 0.32% 0.43% 0.33% 0.28% 259,500.00 344,804.00
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Market Share T
Row Labels 2016 2017 2018 2019 2016 2017
APC 0.30% 0.37% 0.4% 1.17% 245,045.00 300,790.00
PMB 0.24% 0.22% 0.23% 0.22% 192,938.00 173,551.00
AFC 0.23% 0.24% 0.33% 0.34% 187,987.00 194,168.00
LNC 0.21% 0.23% 0.24% 0.26% 167,012.00 182,306.00
FRM 0.20% 0.19% 0.19% 0.20% 161,402.00 151,369.00
MLS 0.19% 0.19% 0.16% 0.13% 154,907.00 152,512.00
APT 0.19% 0.20% 0.20% 0.19% 152,483.00 158,713.00
CTP 0.18% 0.21% 0.24% 0.18% 147,232.00 172,133.00
HSL 0.18% 0.21% 0.24% 0.28% 144,358.00 169,951.00
GGS 0.17% 0.18% 0.24% 0.27% 134,168.00 147,971.00
FGL 0.15% 0.27% 0.30% 0.24% 120,466.00 213,654.00
HKT 0.10% 0.11% 0.09% 0.13% 83,133.00 84,958.00
CBC 0.08% 0.23% 0.25% 0.25% 63,455.00 186,031.00
BHG 0.06% 0.12% 0.18% 0.17% 45,872.00 100,128.00
AUM 0.02% 0.02% 0.02% 0.02% 14,494.00 13,807.00
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Table 2: Diffirent from
Market Share Total Asset
2016 2017 2018 2019 2016 2017 2018 2019
TOTAL
ASSETS
80,943,550.00 80,451,073.00 85,572,350.00 87,197,047.00
HNG 31,707,558.00 26,299,721.00 21,092,809.00 12,515,935.00 35,468,253.00 32,282,180.00 30,531,554.00 23,280,489.00
MCH 13,617,131.00 11,662,598.00 7,614,060.00 9,705,053.00 17,377,826.00 17,645,057.00 17,052,805.00 20,469,607.00
VIF 1,514,878.00 -275,275.00 -3,442,294.00 -4,909,464.00 5,275,573.00 5,707,184.00 5,996,451.00 5,855,090.00
BCG 710,178.00 -2,434,407.00 -4,118,119.00 -3,509,909.00 4,470,873.00 3,548,052.00 5,320,626.00 7,254,645.00
PAN 3,760,695.00 5,982,459.00 9,438,745.00 10,764,554.00
ANV -742,869.00 -3,280,144.00 -6,013,676.00 -6,629,956.00 3,017,826.00 2,702,315.00 3,425,069.00 4,134,598.00
SEA -1,311,984.00 -3,429,836.00 -6,656,859.00 -7,611,474.00 2,448,711.00 2,552,623.00 2,781,886.00 3,153,080.00
NSC -2,274,165.00 -4,421,038.00 -7,877,546.00 -8,996,862.00 1,486,530.00 1,561,421.00 1,561,199.00 1,767,692.00
ACL -2,575,632.00 -4,882,825.00 -8,095,367.00 -9,303,366.00 1,185,063.00 1,099,634.00 1,343,378.00 1,461,188.00
SJF -2,639,231.00 -4,749,798.00 -8,141,010.00 -9,539,624.00 1,121,464.00 1,232,661.00 1,297,735.00 1,224,930.00
BBC -2,719,547.00 -4,863,000.00 -8,184,108.00 -9,194,106.00 1,041,148.00 1,119,459.00 1,254,637.00 1,570,448.00
NAF -3,138,896.00 -5,110,670.00 -8,382,977.00 -9,493,021.00 621,799.00 871,789.00 1,055,768.00 1,271,533.00
SEP -3,343,788.00 -5,581,396.00 -9,033,331.00 -10,363,639.00 416,907.00 401,063.00 405,414.00 400,915.00
SSC -3,363,127.00 -5,577,453.00 -8,962,041.00 -10,290,622.00 397,568.00 405,006.00 476,704.00 473,932.00
CPA -3,443,683.00 -5,578,639.00 -9,155,456.00 -10,553,564.00 317,012.00 403,820.00 283,289.00 210,990.00
PSL -3,498,845.00 -5,792,955.00 -9,230,813.00 -10,643,207.00 261,850.00 189,504.00 207,932.00 121,347.00
PSW -3,501,195.00 -5,637,655.00 -9,157,732.00 -10,522,993.00 259,500.00 344,804.00 281,013.00 241,561.00
APC -3,515,650.00 -5,681,669.00 -9,067,517.00 -9,740,915.00 245,045.00 300,790.00 371,228.00 1,023,639.00
PMB -3,567,757.00 -5,808,908.00 -9,241,192.00 -10,577,050.00 192,938.00 173,551.00 197,553.00 187,504.00
AFC -3,572,708.00 -5,788,291.00 -9,157,506.00 -10,466,586.00 187,987.00 194,168.00 281,239.00 297,968.00
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Market Share Total Asset
2016 2017 2018 2019 2016 2017 2018 2019
LNC -3,593,683.00 -5,800,153.00 -9,236,943.00 -10,536,333.00 167,012.00 182,306.00 201,802.00 228,221.00
FRM -3,599,293.00 -5,831,090.00 -9,278,315.00 -10,591,533.00 161,402.00 151,369.00 160,430.00 173,021.00
MLS -3,605,788.00 -5,829,947.00 -9,298,395.00 -10,652,927.00 154,907.00 152,512.00 140,350.00 111,627.00
APT -3,608,212.00 -5,823,746.00 -9,268,094.00 -10,594,998.00 152,483.00 158,713.00 170,651.00 169,556.00
CTP -3,613,463.00 -5,810,326.00 -9,234,072.00 -10,606,510.00 147,232.00 172,133.00 204,673.00 158,044.00
HSL -3,616,337.00 -5,812,508.00 -9,234,738.00 -10,518,479.00 144,358.00 169,951.00 204,007.00 246,075.00
GGS -3,626,527.00 -5,834,488.00 -9,232,209.00 -10,531,427.00 134,168.00 147,971.00 206,536.00 233,127.00
FGL -3,640,229.00 -5,768,805.00 -9,178,218.00 -10,551,837.00 120,466.00 213,654.00 260,527.00 212,717.00
HKT -3,677,562.00 -5,897,501.00 -9,361,425.00 -10,651,337.00 83,133.00 84,958.00 77,320.00 113,217.00
CBC -3,697,240.00 -5,796,428.00 -9,223,166.00 -10,543,363.00 63,455.00 186,031.00 215,579.00 221,191.00
BHG -3,714,823.00 -5,882,331.00 -9,286,137.00 -10,613,318.00 45,872.00 100,128.00 152,608.00 151,236.00
AUM -3,746,201.00 -5,968,652.00 -9,425,103.00 -10,751,249.00 14,494.00 13,807.00 13,642.00 13,305.00
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2. Current economic scenarios that may affect the future sustainability of the company
- After the COVID-19, the Ministry of Planning and Investment discussed possible
scenarios and its impact on the country's agriculture sector. In the case that the
coronavirus can be contained in the second quarter of 2020, the agriculture sector was
projected to increase by 2.35 percent. In the same scenario, the industry sector will grow
at a rate of 7.1 percent and the services sector will grow at a rate of 6.47 percent.
According to the ministry, the agriculture sector will be hit hardest by the virus outbreak.
- The stock market rises or falls depending on many factors: The development of
macroeconomics, microeconomics, each industry, each enterprise ... including the
psychology of investors. The abnormal fluctuations of the stock market will create
instability in the revenue and profit of the company. To minimize this risk, the Company
has implemented a business plan to diversify its investment portfolio, focusing on high
liquidity stocks, in key industries and increasing opportunities in the future. The selection
of industries / stocks, timing of investment and allocation of investment capital are
conducted on the basis of long-term business planning based on careful analysis and
assessment of economic fluctuations and currency market as well as considering
considerations of possible risks. This has helped the Company minimize the potential
risks in investment list.
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3. Current Business process
Business Customer
Marketing & Sale
Dept
Finance & Accounting
department
Manufacturing
Division
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Send data of customer request
Request
reception
Product and
Service Reception
Customer using
service of
company
Verify number of
customers using
company’s service
Manufacturing
request
Manufacturing
additional product
and service

III. Recommendations
1. The application of e-Business model to improve the business sustainability of the
company
1.1. Potential E-Business Models
 Business To Business
A Business To Business model focuses on providing products from one business to
another. While many businesses in this niche are service providers, you’ll find
software companies, office furniture and supply companies, document hosting
companies, and numerous other ecommerce business models under this heading.
 Business To Consumer
The Business To Consumer sector is what most people think of when they imagine an
ecommerce business. This is the deepest market, and many of the names you’ll see
here are known quantities offline, too. Business To Consumer sales are the traditional
retail model, where a business sells to individuals, but business is conducted online as
opposed to in a physical store.
 Customer to Customer
Created by the rise of the ecommerce sector and growing consumer confidence in
online business, these sites allow customers to trade, buy, and sell items in exchange
for a small commission paid to the site. Opening a Customer to Customer site takes
careful planning.
 Consumer To Business
Consumer To Business is another model most people don’t immediately think of, but
that is growing in prevalence. This online commerce business is when the consumer
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sells goods or services to businesses, and is roughly equivalent to a sole proprietorship
serving a larger business.
1.2. E-Marketing activities
 Increased Reach and Audience. Different from typical marketing
methodologies, the internet’s advantage is that PAN Group prospects and
PAN’s customers can be included in the marketing mix of PAN business at any
time of the day, at any place in the world.
 New Marketing Routes. E-marketing has marketing routes that simply are not
there in traditional marketing. It is not just advertising via broadcast email and
search engines. New opportunities in viral marketing, social networking, and
other approaches solely found on the internet offers access to customer groups
that were previously unreachable.
 Cost Effective Marketing. Using online technologies can create a large
reduction in PAN’s marketing budget. When PAN Group precisely targets their
core customers, e-marketing can usually give the most cost effective approach
to raise the customer base, increase brand awareness, and keep in touch with
their consumers.
1.3. IT requirement
The company needs to improve some IT requirements such as Mobile applications,
Human-computer interface, Enterprise information systems, ... to develop e-business
model to become more modern and easy to use
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2. Organising for success
- The PAN Group assesses the implementation and application of targets internal
standards in member companies. Program often this year is intended to assess
compliance with legal requirements, commitments to investors and customers about
environment and safety, labor and social responsibility. Content assessed in 2019 also
includes an evaluation of the performance of the Government sponsorship policy -
one of the standards that PAN committed compliance in 2019. Over the years,
operations annual Environmental - Social assessment is maintained strictly support
has helped the member companies increasingly comply and respond better practices
and international standards.
- In the next previous, the company should have plan to multiform products to meet
the needs of customers as well as increase the competitiveness with other company.
- Investing more warehouse, store, machine, equipment, expand larger scale to
increase market share and increase profits, in accordance with the potential of the
company as well as the needs of customers.
- Improve labor productivity, reduce purchasing costs to achieve high results in
business operations, improve the lives of employees and income in enterprises.
3. Business process change to improve performance
- Improve the Customer Experience.
Behind every unhappy customer lays a broken business process. Improving the
customer experience begins by aligning internal business processes to deliver better
external customer outcomes. By systematically studying customers, an organization
can build robust business processes that consistently meet their needs.
- Reduce Costs.
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By understanding cost drivers, an organization can improve its costs effectiveness.
These costs come from four basic areas, including inputs, conversion, people, and
supporting overhead. When organizations operate through strong standard business
processes, the costs of goods and services become transparent, which facilitates
visible and sustainable improvement.
- Improve Process Efficiency.
Efficiency defines the extent to which a process performs relative to its full potential.
Greater efficiency comes by delivering a greater output of goods and services relative
to the assets required for that purpose. Less efficient organizations operate at a
competitive disadvantage.
- Improve Resource Productivity.
Organizations acquire assets with the express purpose of using them to produce
profits. The productivity of those assets is derived from the ratio of outputs produced
by the process relative to the resources required to produce those outputs. Assets
include people, tools and equipment, facilities, information technology, and
intellectual property. Few actually measure the extent to which assets serve their
intended purpose.
- Reduce Response Time.
By understanding the business processes that produce and deliver products and
services to a satisfied customer, an organization can systematically analyze the time
and activities behind that value creation. By removing non-value added tasks and
time, any organization can dramatically reduce cycle times. An organization that
builds consistent capability to deliver a faster response will enjoy a preferred position
with customers.
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