Comprehensive Business and Environment Analysis: Vingroup

This report offers a comprehensive analysis of Vingroup Corporation, a prominent Vietnamese conglomerate. It begins by identifying Vingroup's corporate structure, classifying it as a profit-making, public company with a diverse range of products and services across sectors like healthcare, education, and real estate. The report delves into Vingroup's vision, mission, core values, and strategic objectives, highlighting its commitment to international standards, innovation, and social responsibility. It examines Vingroup's size and scope, presenting financial data from 2018, including assets, liabilities, and equity, to demonstrate its growth. The report also explores Vingroup's labor structure, employee demographics, and operational reach across Vietnam. Finally, it assesses Vingroup's market performance, revenue streams, and target customers, particularly focusing on its real estate ventures and the Vinpearl Land resort, providing a holistic understanding of the corporation's business operations and market position.

485 - Business and Business Environment
ASSIGNMENT 1
VINGROUP CORPORATION
1. INTRODUCTION
Company name Vingroup Corporation
State full legal name of company Vingroup Joint Stock Company
Type Public
Industry Conglomerate
Founded 1993
Founder Pham Nhat Vuong
Headquarters Vinhomes Riverside, Long Bien District, Hanoi, Vietnam
Key people Pham Nhat Vuong (Chairman)
Duong Thi Mai Hoa (CEO)
Tell no [phone]

Fax no [phone]
Email + General information: [e-mail]
+ Investor relations information: [e-mail]
Website http://www.vingroup.net
Product products Healthcare, Education, Agriculture, Consumer retail,
Industrial, Hospitality and entertainment, Property
2. TYPE AND PURPOSE
1.1 Talk about the type of Vingroup, it is a profit organization.
1.2 According to the Annual Report 2018, VinGroup will submit a plan to pay 2018 dividend by share at
the rate of 21%. That means the company's profit after being paid for debts and obligations, will be share
for shareholders. It is certain that Vingroup is a profit company (Vingroup, 2019).
Dividend Payment
2.3, 2.4 Moreover, Vingroup is also a public company. On September 19, 2017 at Ho Chi Minh Stock
Exchange (HSX), Vingroup stock was listed the first time with the code of the company’s stock is VIC
(Hsx, 2019)

Vingroup Listing Information
2.5, 2.6 According to statistics of stocks in the company, it can be confirmed that Vingroup is a private
company. And Vingroup's most shareholder holding is Vietnam Investment Group Joint Stock Company
(a legal entity related to Mr. Pham Nhat Vuong) - currently holds 32.51% (Vingroup, 2019).

Shareholder Structure

Shareholder Structure
During the years of operation, Vingroup always wants to bring to the market products - services
according to international standards and completely new experiences of modern life style, in any field
Vingroup also witnesses. show the pioneering role, leading the change in consumer trends (Vingroup,
2019). Here are updated vision, mission, value and objectives of Vingroup coporation.
2.7 Vision:
“By pioneering aspirations and investment strategy - sustainable development, Vingroup strives to
become the leading economic group in Vietnam, with prestige and position on the world economic map,
successfully building the production chain. real estate, retail and resort products and services,
contributing to improving the quality of life of Vietnamese people and elevating the position of
Vietnamese people in the international arena” (Vingroup, 2019).
2.8 Vingroup's mission is expressed in four different aspects. Firstly, in the market, Vingroup wants to
provide products and services of international quality and in accordance with local identity. Products -
services must be class, anticipating tastes and leading the market. Next is about employees, Vingroup
wants to build a professional, dynamic, creative and humanistic working environment, facilitating high
income and fair development opportunities for all employees. In addition, about shareholders and
partners Vingroup wants to promote the spirit of cooperation and development, pledging to become
"the number one companion" of partners and shareholders, always increasing the attractive investment
value. and sustainable. Finally, socially, Vingroup wants to harmonize business interests with social
benefits, contribute positively to community-oriented activities, expressing the spirit of civic
responsibility and national pride (Vingroup, 2019).

2.9 Vingroup's core values are expressed through "CREDIBILITY - INTEGRITY - CREATIVITY - SPEED -
QUALITY - HUMANITY". Vingroup attaches great importance to building its reputation. The Group
believes that CREDIBILITY is a competitive advantage and strongly protects its reputation because people
will protect one's honor. In addition, Vingroup considers INTEGRITY to be an important foundation in the
Group's business operations. Vingroup fully complies with the law and maintains the highest level of
professional ethics and society. Besides, Vingroup also considers CREATIVITY a source of vitality and
innovation in every product and service of the group. The Group always considers improving efficiency
and improving the quality of its products and services. About SPEED, Vingroup considers "Speed and
efficiency in every activity" as our guiding principle and "Fast Decision - Fast Investment - Fast
Deployment - Fast Sales - Fast change and Quick Adaptation" as our core value. Moreover, about
QUALITY, aims to gather the best people to provide the best products and services and contribute to
building the best society, Vingroup strives to develop effective human resources with strong Ethics and
Knowledge. Finally, HUMANITY, Vingroup promotes close relationships with our customers, business
partners, colleagues, investors and society with goodwill, compassion and high humanitarian spirit
(Vingroup, 2019).

2.10 About Vingroup's short-term goal in 2019. In terms of industry, after the rapid progress in 2018,
VinFast (the company specializing in manufacturing cars and motorbikes of Vingroup) will quickly
complete the milestones. important developments in 2019 such as the completion of installation of
machines and trial production in automobile factories to begin mass production of three CUV Fadil
models, SUV Lux SA 2.0 and Sedan Lux A2.0. In addition, VinFast will also complete its distribution
network and after-sales policies, in parallel with continuing research and development of new models.
For the smartphone segment, in 2019, VinSmart (Vingoup's telecommunications equipment
manufacturing and distribution company) is expected to continue to launch 10 smart phone models with
product lines. ranging from basic to medium and high-end segments. Next in terms of technology, in
2019 VinTech (Vingroup's Technology Group) will continue the ongoing activities in the past year, perfect
the research institute's ecosystem and domestic subsidiaries and Internationally, focusing deeply on
researching key technology areas of the future, developing software, building VinTech City model and
supporting start-up companies in domestic and foreign technology. In addition, in terms of education,
Vinschool (education system developed by Vingroup) plans to open six new Kindergarten and inter-
school schools in Hanoi and Ho Chi Minh City. And will continue to implement the Preschool-wide IPC
program and the Cambridge program in the Inter-school block ("PTLC") highly effective. And the more
important educational goal, Vingroup will promote cooperation and training activities, exchange
experience of VinUni University with leading universities. At the same time, the construction of the
University will also be implemented urgently with the goal of the first enrollment in 2020. Finally, it is
health that Vingroup will focus on a number of outstanding professional issues including the
development of a model of excellent service center on cardiology and oncology. Promote surgery, get
surgery by Robot method to make strong points and apply regenerative medicine to treat cancer, joints,
rejuvenation. In addition, Vingroup will also deploy the application of 4.0 technology such as MUSE
electrocardiography and PACS, strengthening the resources of highly specialized professionals.
Contribute to promoting Vingroup's health activities (Vingroup, 2019).
2.11 Regarding charity activities, Vingroup established Thien Tam Fund to prioritize helping
disadvantaged families and families with meritorious services to the revolution such as: Serving
Vietnamese Heroic Mother; Take care of policy families, families with especially difficult circumstances;
Helping poor and studious students; Support economic development for poor localities; Supporting and
supporting people suffering from natural disasters; Constructing and developing charitable, cultural,

educational and charitable works with high humanity (Vingroup, 2019). Vingroup always focuses and
cares about the impacts that may affect the living environment of the community, because in 2019
Vingroup participated in "Green Living Festival" with many rich activities, meaning of propaganda
environmental protection, spreading green lifestyle in the community (Vingroup, 2019).
2.12 Vingroup is keeping on track their mission. After success with the Vinschool inter-school education
model. From 2018 Vingroup participated in University Education. VinUni University is Vietnam's private
non-profit university built according to international standards, integrating the elite models of world
higher education. Wishing to train elite human resources, qualified, skilled, living capital and aspirations
to contribute to the prosperity of ourselves, the society and positively impact the economy economy
global consciousness. Can improve the quality of higher education in Vietnam and aim to achieve world-
class. Vingroup has invested in building VinUni university based on the highest standards of research,
teaching, employment and international prospects. In addition, VinUni also cooperates with some of the
Top 20 Best Universities in the world such as Cornell University and the University of Pennsylvania. The
school is oriented to meet the top ranking and ranking standards in world higher education such as
Quacquarelli Symonds, Times Higher Education, etc. Through it, we can see that Vingroup always
keeping on track their mission to can bring quality products - services to improve the quality of life
(Vinschool, 2019).

2. SIZE AND SCOPE
2.1, 3.2, 3.3 According to the Balance sheet as of December 31, 2018, Vingroup's total assets were
VND 213,792,056,984,597. Also in the balance sheet, Vingroup's total liabilities are 188,960,462,126,460
VND. And Vingroup's equity is 99,013,714,679,349 VND (Vingroup, 2019).

Vingroup Balance Sheet 2018
3.4 It can be confirmed that Vingroup is growing more and more. Compare the parameters on the right
column and the parameters in the left column corresponding to the beginning of the year and the end of
the year in the 2018 annual report of Vingroup. We can see that, although the liabilities from VND
161,235,046,806,942 amounted to VND 188,960,462,126,460 (increase 27,725,415,319,518 VND).
However, Vingroup's total assets increased from 213,792,056,984,597 VND to 287,974,176,805,809 VND

(74,182,119,821,212 VND) and Vingroup's equity also increased to 46,456,704,501,649 VND. From these
data, it can be seen that this is a good sign for the development of Vingroup (Vingroup, 2019)
The Vingroup labour structure
3.5 , 3.6 Vingroup's current number of employees is 65,325. Including 1,232 PhDs and Masters. The
number of universities accounts for 19,566 (people) and under the University accounts for 44,527
(people). Most Vingroup employees aged between 18 and 30 are the most (44,364 people). And the
personnel structure by gender at Vingroup in 2018 is not much different, in which women are 32,805
people (accounting for 50.2%) and men are 32,520 people (accounting for 49.8%) (Vingroup, 2019).

3.7 The scope of Vingroup is large. Currently, Vingroup is operating in 62 provinces and cities
nationwide. Vingroup is Asia's largest multidisciplinary economic group, operating in three main areas:
Technology, Industry and Trade in Services (Vingroup, 2019).

27.7
2014 2015 2016 2017 2018
Tổng doanh thuDoanh thu chuyển nhượng bất động sản
3.8 The most profitable market for Vingroup is Hanoi and Ho Chi Minh City, through the transfer of real
estate in many projects in Hanoi and Ho Chi Minh City such as Landmark 81 (Vinhomes Central Park ),
Vinhomes Golden River, Vinhomes The Harmony, Vinhomes Green Bay, Vinhomes Metropolis as
Landmark 81 court (Vingroup, 2019).
Doanh Thu Của Vingroup (Nghìn tỷ đồng)
121.8
99
89.3
5
83.2
77
57.6 62.8
42
37.3
34
21.8 21.2

Consolidated audited financial statements
3.9 According to the chart, we can see that real estate in Hanoi and Ho Chi Minh City are the two most
profitable markets of Vingroup. Including 2018, Vingroup recorded net revenue of VND 121,894 billion,
an increase of VND 32,544 billion (equivalent to 36%) compared to 2017. Profit before tax was VND
13,854 billion, up VND 4.74 billion (equivalent to 52%). compared to 2017. After-tax profit reached VND
6,191 billion, an increase of VND 0.536 billion (equivalent to 9%) compared to 2017. And looking at the
chart, we can easily see the largest contribution to total sales. Vingroup's revenue is still Real Estate
Transfer, reaching VND83,323 billion - an increase of VND20.79 billion compared to 2017 and accounting
for 68.3% of the Group's total revenue (Vingroup, 2019). It can be understood that Vingroup always
ensures the commitment to progress towards buyers, synchronous utilities and outstanding service
quality, diversifying infrastructure systems, strict security systems and isolationism. high day. Increasing
the greening of the project aims to bring a healthy life, ... to contribute to creating a high life for
residents.
3.10 About Vingroup's target customers. That is Vinpearl Land. This is a luxury resort belonging to
Vingroup. Vinpearl Land includes a leading amusement park with a lot of unique and interesting games
that give you a comfortable relaxation and experience the extreme feeling of fun with adventure or
exploration and adventure games. Have fun with games and shopping with many items and Visit the
food street with delicious, famous dishes of the area. There will be no religious and racial discrimination

at Vinpearl Land. The age of target customers is from children to the elderly. And the location of target
customers can be in cities, towns and countries. Tourism fees in Vinpearl Land may be slightly more
expensive than other resorts in Vietnam. But in return, you will have a wonderful and worthwhile
vacation (Vingroup, 2019).

Leisure Travel
3. FUNCTIONS

Vingroup’s structure chart
4.1 According to the structural map of Vingroup, Vingroup can be seen as a division structure.
4.2, 4.3 The Board of Directors is the governing body of Vingroup, having full authority on behalf of the
Group to decide and exercise its rights and obligations not under the authority of the General Meeting of
Shareholders. Moreover, the Board of Directors has the right to decide on jobs when assigned by the
General Meeting of Shareholders. The responsibility of the Supervisory Board is to check the
reasonableness and legality of business activities in the company. In addition, the Supervisory Board is
also responsible for the Group's financial statements before the General Meeting of Shareholders. The
General Director is appointed by the Board of Directors, responsible for signing contracts on salary,
bonuses, incentives and labor regulations in the company. Deputy General Director is the manager of
daily production and business activities of the Company (Vingroup, 2019).
4.4, 4.5 Vingroup is a transnational structure. The Group's head office is located at 7 Bang Lang 1 Street,
Vincom Village, Viet Hung Ward, Long Bien District, Hanoi. With a lot of activities, Vingroup also

established many domestic establishments to be able to easily trade and operate easily. Besides,
Vingroup also owns many companies such as VINHOMES, VINCOM RETAIL, VINPEAL, VINTECH, ... and
many other companies (Vingroup, 2019).

List of subsidiaries
As a large-scale corporation, Vingroup's compliance with such a structure is effective and consistent with
the group's goals. With revenue target of 6 billion USD in 2019 by Vingroup. We can see that in the past
year, Real Estate is the industry that brings the most revenue to the group. And some other industries
also bring big profits. Transnational structure helps the group expand its market to many provinces and
cities in Vietnam. In addition, with the division structure of Vingroup, it is easy to achieve social
development goals. With the division into separate departments, subsidiaries, how Vingroup contributes
to the community and society is very diverse. Vingroup has implemented many projects and practical
action programs for the development of the community such as giving priority to helping disadvantaged
families and families with meritorious services to the revolution. And every year, Vingroup brings
together a large number of employees to participate in community and charity activities. Besides,
Vingroup also launched the Vietnam Football Talent Development and Investment Fund (PVF). A model
of training professional and effective young football players, contributing to building generations of truly
talented, ethical and cultural players for the country's football background. Companies operate
independently in each field, bringing profits in different products for Vingroup. It is not wrong to say that

with such a company structure, Vingroup can easily achieve its goals and build a brand for Vingroup
(Vingroup, 2019).

4. CONCLUSION
Vingroup is Vietnam's largest multidisciplinary private economic group. To demonstrate the
pioneering role and lead the change in consumer trends. Vingroup needs to bring to market the
leading products and services as well as completely new experiences in any field.

5. REFERENCES
Vingroup, 2019. VINGROUP. [online]
Available at:
https://www.vingroup.net/viewer.html?file=https%3A%2F%2Fircdn.vingroup.net%2Fstorage%2F
Uploads%2F0_Bao%20cao%20thuong%20nien%2F2018%2FVIC_B%C3%A1o%20c%C3%A1o%20th
%C6%B0%E1%BB%9Dng%20ni%C3%AAn%202018.pdf [Accessed 12 Aug. 2019].
Vingroup, 2019. Giới thiệu Tập đoàn - Tập đoàn Vingroup. [online]
Available at: https://vingroup.net/gioi-thieu [Accessed 12 Aug. 2019].
Vingroup, 2019. Môi trường và cộng đồng - Tập đoàn Vingroup. [online]
Available at:
https://vingroup.net/phat-trien-ben-vung/20/moi-truong-va-cong-dong [Accessed 12 Aug. 2019].
Vineco, 2019. VinEco | VinEco tham gia "Ngày hội Sống xanh” 2019. [online]
Available at:
https://vineco.net.vn/vineco-tham-gia-ngay-hoi-song-xanh-2019 [Accessed 12 Aug. 2019].
Vingroup, 2019. Trang chủ - Tập đoàn Vingroup. [online]
Available at: https://vingroup.net [Accessed 12 Aug. 2019].
Hsx, 2019. .:HOSE:. » Danh sách cổ phiếu. [online]
Available at:
https://www.hsx.vn/Modules/Listed/Web/Symbols?fid=9ac914fbe9434adca2801e30593d0ae2
[Accessed 12 Aug. 2019].
Vinschool, 2019. Vingroup chính thức công bố tham gia lĩnh vực Giáo dục Đại học – Vinschool.
[online]

Available at: https://vinschool.edu.vn/news_event/vingroup-chinh-thuc-cong-bo-tham-gia-linh-
vuc-giao-duc-dai-hoc/ [Accessed 12 Aug. 2019].