Vietnamese telecom market Essay Example for Free

Vietnamese telecom market Essay Introduction Together with breakthroughs in technology, mobile telecom has been showing great innovations and bringing enormous benefits to consumers. Vietnamese mobile telecom market, through only a few decades of development, has proven to be an extremely potential industry. With analysis from the microeconomic standpoint, I would like to clarify some notable matters seen in Vietnamese mobile telecom market today. This essay is organised in three parts: * Part I: Market Overview. This part provides brief information about development history of the market and what the situation of the market is nowadays. * Part II: Market Trends. This part deals with recent movements in Vietnamese mobile telecom market. * Part III: Consumers: Gain or Lose? The final part of this essay analyses the benefits and losses that consumers face as a result of recent changes in the market. PART I – Market Overview 1. Vietnamese Mobile Telecom Market: A Brief History As a developing country, Vietnam has its mobile telecom market started quite late. Though the demand for mobile services arose in the beginning of the 1990s, the first mobile telecom company of Vietnam – MobiFone – did not come into operation until 1994. This year marked the foundation of Vietnamese mobile telecom market. Following steps of MobiFone, two more company joined the market: Vinaphone (1997) and Viettel Telecom (â€Å"Viettel† for short) (2004). However, before 2000, the use of mobile phones seemed to be restricted for urban and rich people. At that time, only the rich could afford the cost of using mobile service. The cost for a postpaid subscription reached almost VND1,000,000 and the money consumed in one minute’s mobile phone call could cover the cost of food in a day for a rural family. One of the reasons for this extremely high cost was that the market at that time was highly monopolistic. Until 2000, there were only two mobile service providers in Vietnam, MobiFone and Vinaphone – both of which are subsidiaries of Vietnam Posts and Telecoms Group (VNPT). Most consumers were not wealthy enough to access mobile service, so they stuck to the use of landlines, which, in fact, were also not very popular especially in the countryside. The emergence of Viettel as a mobile service provider in 2004 was one of the biggest jump in the history of Vietnamese mobile telecom market. Viettel started to provide mobile services at a shockingly low price: a mobile phone user might pay as little as VND50,000/month only. This low price encouraged the quantity demanded for mobile services to increase sharply. As time goes by, the cost of using mobile phones has become cheaper and cheaper, causing the number of mobile subscribers to soar: at the end of January 2012, there were 118. 5 million mobile subscribers compared to only 0. 3 million in 2000. The number of service providers has also increased to 7: MobiFone, Vinaphone, Viettel, S-Fone, Vietnamobile, EVN Telecom and Beeline. Over 19 years of development, from a market exclusively for high-income consumers, the mobile telecom market has been recognised as one of the most active market in Vietnam and almost everybody, rich or poor, is capable of owning and maintaining a mobile phone. Why do service providers seek to increase their number of subscribers by lowering prices and giving big promotions? The answer is, in the short run, most costs incurred by a telecom firm are fixed costs, such as costs for infrastructure and bandwidth. Average total cost, as a result, decreases as the number of subscribers increases, thus making larger profit for the firm. Hence, firms have strong motivations to attract more and more people to use their services. 2. How the Market Pie Is Divided Today The current mobile telecom market in Vietnam can be seen as a typical monopolistic competition. Three biggest suppliers in the market are the ones with longest histories: MobiFone, Vinaphone and Viettel. All these companies are state-owned; MobiFone and Vinaphone are under control of VNPT, while Viettel is a subsidiary of Vietnamese Military Telecom Corporation. Together they control almost the whole mobile service market. According from statistics of the Ministry of Information and Communications, in 2011, Viettel was the leading firm with a market share of 36. 72%. MobiFone and Vinaphone stood at the second and third positions with 29. 11% and 28. 71%, respectively. In total, the three state-owned companies took up nearly 95% of the mobile service market, leaving just over 5% for the remaining service providers, namely EVN Telecom, Vietnamobile, Beeline and S-Fone. The reputation of these firms is so huge that once a person starts using a mobile phone, his first thought of what provider’s service to use that crosses his mind would generally be one of them. Three leading firms in the market pursue different business objectives. Aiming at low-income consumers, Viettel has applied low-cost packages to meet the needs of the majority of consumers. On the contrary, MobiFone and Vinaphone focus mainly on providing high-quality services to people with higher income. Below are the ranks in market shares and service quality of the three biggest providers of mobile services in Vietnam according to an examination conducted by Department of Information Technology and Communications Quality Management (under the Ministry of Information and Communications) in 2009: Provider| Market Share| Service Quality| MobiFone| 2| 1| Vinaphone| 3| 2| Viettel| 1| 3| Overwhelmed by big firms in the market, small firms such as S-Fone, EVN Telecom, Beeline and Vietnamobile have had to struggle to survive. Sharing only 5% of the market, these providers have been facing enormous difficulties in increasing the number of subscribers and profits. Two of them, EVN Telecom and Beeline, are eventually sold to other firms. These MA’s will be analysed in the following part. PART II – Market Trends The three leading firms in Vietnamese mobile telecom market – MobiFone, Vinaphone and Viettel – now possess great market powers, and naturally they desire to take over the small firms in order to have more control of the market. Below are three notable events that have occurred recently in the market which would have lasting effects on its path of development in the future. 1. Viettel’s Acquisition of EVN Telecom EVN Telecom is a company belonging to Electricity of Vietnam Group (EVN). Joining the mobile telecom market in June 2010, after just over one year of operation, EVN Telecom faced the risk of being acquired due to poor business outcome (slow subscriber growth, unsatisfactory revenue, pressure on EVN to focus on its major field, etc. ) and substantial liabilities to Viettel and VNPT. Some telecom firms had the intention of acquire EVN Telecom, such as Viettel, FPT Group and Hanoi Telecom (the owner of Vietnamobile). After many speculations about what firm would take over EVN Telecom, it was officially announced that EVN Telecom was going to be sold to Viettel. However, the acquisition was not smooth right from the beginning. In November 2011, Hanoi Telecom expressed its view that Viettel’s acquisition of EVN Telecom might violate Competition Law, emphasising that it would probably make Viettel a monopolistic firm in the market. Until December 2011, Government eventually agreed on Viettel’s plan as in this case, Viettel was merely a market leader, not a monopolistic firm. 2. Beeline Disappeared in the Market. In 2009, GTel Mobile Company, a joint venture of GTel Global Telecom Corporation of Vietnam and VimpelCom Group of Russia, brought Beeline mobile telecom service into operation in Vietnamese market. However, after three years, VimpelCom decided to sold all of its 49% of shares in the joint venture at US$45 million to GTel â€Å"in order to focus on our key markets†, said the Vice President of VimpelCom. Of course this is not the real answer to the question of why VimpelCom withdrew from Vietnamese market while it had not broken even, regarding its total investment of up to US$463 million. Right after its debut in the market, Beeline conducted many discount programmes and promotions to raise the number of subscribers, such as Big Zero and Millionaire’s Cost Package. These policies thus lowered its ARPU to less than US$1. Moreover, its shockingly low prices cannot help them surpass the â€Å"giants† in Vietnamese mobile telecom market whose brands have been set in minds of consumers though its subscriber growth was exceptional: about 15,000 new subscribers per day in 2011. The fact that Beeline’s profit did not live up to its VimpelCom’s expectation caused it to constrain Beeline’s operation and eventually to sell out its shares to GTel, making Beeline a completely domestic brand. Many people would doubt whether Vietnamese mobile service market has become â€Å"immune† to foreign investment as VimpelCom has failed to make profit here while it has been extremely successful in Russian and Eastern European markets. Is the market so saturated that no new firm could possibly achieve a market share from the hands of established firms? Will VimpelCom’s failure warn foreign investors against entering Vietnamese telecom market although we have been a member of WTO for five years? 3. MobiFone and Vinaphone to be Merged March 2012 was a month of vibrancy in Vietnamese mobile telecom market when rumour had it that MobiFone and Vinaphone, two out of the three biggest service providers, would be merged as a step to restructure VNPT. MobiFone and Vinaphone have followed different development directions despite being subsidiaries of the same group, which has been an enormous waste in infrastructure. A merger of the two companies is expected to improve service quality and efficiency, thus lowering the prices charged on consumers. This information was confirmed by VNPT’s management though an official decision of Government has not yet been made for fear that this merge might violate Competition Law. If the merger of MobiFone and Vinaphone is successful, the new company will constitute almost 58% of the market, threatening the survival of other companies, especially small firms like S-Fone and Vietnamobile. Earlier in 2011, according to the regulations of Telecommunications Law – an individual or organisation is not allowed to own more than 20% of shares in each of two telecom firms operating in the same telecom market – VNPT stood between two options: equitising either of MobiFone and Vinaphone or merging the two. If choosing to equitise MobiFone, VNPT still could not own more than 20% of shares and might have to sacrifice a large amount of profit as MobiFone contributed to over 50% of its profit while taking up only about 4% of human resources. The second option – a merger – would subject VNPT to violation of Competition Law. On the other hand, according to the Vice Head of Department of Competition Management (Ministry of Industry and Trade), market share is not the only criterion to examine VNPT’s merger scheme as it may vary from year to year. Competition power, market access capacity, opportunity seizure, etc. are vital elements to be considered. The cornerstone of the merger, if successful, is a close supervision and control of Ministry of Industry and Trade as well as Ministry of Information and Communications. 4. What Are the Trends? Along development steps of the market are the shifts showing what its trend is. Overall, Vietnamese mobile telecom market, although service quality has been greatly improved and price never stop falling, has hardly ever been viewed as a competitive market. At first, it was a complete monopoly, and then reached the peak of competitiveness with 7 suppliers; now it is getting closer and closer to an oligopoly. (For illustration purpose only) The market now is the race between VNPT and Viettel. Nevertheless, this is a counterfeit competition as both are state-owned firms. Government ought to study this matter intensively since it has both advantages and disadvantages. If it continues to let the two compete with each other, consumers will benefit while state funds invested in them will be partly wasted due to self-competition and vice versa. PART III – Consumers: Gain or Lose? 1. Competition Makes Consumers Better off Most mobile phone users would agree that they are benefiting more and more from service providers’ policies. Ten years ago, only wealthy people could own a mobile phone and afford the use of mobile telecom service, which is a completely distinct from today’s situation where mobile technology is nothing strange to most people, regardless of their income. The shift of the market from a monopoly to a more competitive one enables consumers to choose the service provider which suits them best in quality and price. Landlines services are being outnumbered by mobile services and will probably soon become obsolete as now they cannot compete with mobile services in price, let alone in convenience, diversity and flexibility. In addition, telecom services are the only items whose prices have constantly decreased, moving against the storm of inflation in Vietnamese economy. D2 S11 S2 D1 E1 P1 P2 E2 Q2 Q1 (For illustration purpose only)| The increase of quantity supplied is greater than the increase of quantity demanded, making the equilibrium point move from E1 to E2. At E2, P2 is lower than P1 and Q2 is larger than Q1, which makes consumers better off. | 2. The Trend of Monopolisation: Would Consumers Suffer? Monopoly causes deadweight losses – this is undeniably true. Though consumers have been enjoying more and more benefits from service providers at least in the past few years, we may wonder if this could last for long when it comes to the trend of monopolisation which is becoming clearer and clearer in the market. After EVN Telecom and Beeline, will there be another acquisition that makes another small brand disappear? Will big firms take over all the small ones to rule the whole market? If someday there are only state-owned companies providing mobile services, will they agree with each other to raise service prices and prevent new firms from entering the market, which undoubtedly shrinks consumer surplus? Suppose that day would come, consumers may try to constrain their use of mobile services. However, the amount of reduction would be negligible since mobile services are now so necessary that the demand for them is relatively inelastic. Consumers today are richer and much more dependent upon mobile services than they used to be; therefore, it would not be easy for them to cut down on using mobile phones to save money. Service providers would keep earning more and more profits from consumer welfare. In general, monopolisation harms the benefits of most people while benefiting only a small group of people. Monopolisation is a two-edged trend, so it is important to balance the benefits between suppliers and consumers. An ideal mobile service market may be one with a small number of firms, i. e. three or four, but with comparatively uniform market shares. This enables infrastructure to be effectively exploited as well as market power to be evenly distributed among suppliers, reducing the probability of a monopoly arising. Conclusion There would be not enough space to discuss all factors of a market within a short essay; however, I have tried to apply microeconomic theories to analyse notable features and remarkable changes in the market that have had significant influences on consumers, together with given personal evaluations and opinions about the development trend of the market. I hope that eventually I have achieved a clarification of economic principles hidden in daily-life matters such as behaviours of firms and consumers in the mobile telecom market in Vietnam. Due to time pressure as well as inexperience in researching and writing, my essay may contain errors and misunderstanding. I would like to receive your feedbacks and suggestions to help me improve its accuracy and quality. Reference * Gregory Mankiw, Principles of Microeconomics (5th Edition). * VnExpress. net, Development of Vietnamese Telecom Market. * CafeF. vn, Viettel’s Aquisition of EVN Telecom Might Violate the Law. * Tuoitre. vn, Beeline Is to Disappear. * Tienphong. vn, Merging MobiFone and Vinaphone: Good and Harm. * Vcci. com. vn, Telecom Market: Back to Monopoly? * National Assembly, Competition Law, 2005.

Andrew Jackson :: Presidents essays research papers

Like any hall of fame, its inductees are the best in whatever they do, from baseball or football to something like being President. If you are a member of any hall of fame (including the one for the Presidents), it means that you have done something special or have a certain quality about yourself that makes you worthy to be in a hall of fame. My nominee for the Presidents hall of Fame is our seventh President of the United States, Andrew Jackson. I'll go over his presidency, focusing on both the highs and the lows of his two terms in office, from 1829-1837. The issues that I'll focus on are states' rights, nullification, the tariff, the spoils system, Indian removal and banking policies; these controversies brought forth strong rivalry over his years of president. He was known for his iron will and fiery personality, and strong use of the powers of his office that made his years of presidency to be known as the "Age of Jackson." Andrew Jackson was born on March 15, 1767, in a settlement on the border of North and South Carolina. He was orphaned at age 14. After studying law and becoming a member of the Bar in North Carolina later he moved to Nashville Tennessee. Their he became a member of a powerful political faction led by William Blount. He was married in 1791 to Rachel Donelson Robards, and later remarried to him due to a legal mistake in her prior divorce in 1794. Jackson served as delegate to Tenn. in the 1796 Constitutional convention and a congressman for a year (from 1796-97). He was elected senator in 1797, but financial problems forced him to resign and return to Tennessee in less than a year. Later he served as a Tennessee superior court judge for six years starting in 1798. In 1804 he retired from the bench and moved to Nashville and devoted time to business ventures and his plantation. At this time his political career looked over. In 1814 Jackson was a Major General in the Tennessee Militia, here he was ordered to march against the Creek Indians (who were pro-British in the war of 1812). His goal was achieved at Horseshoe Bend in March of 1814. Eventually he forced All Indians from the area. His victory's impressed some people in Washington and Jackson was put in command of the defense of New Orleans. This show of American strength made Americans feel proud after a war filled with military defeats. Jackson was given the nickname "Old Hickory", and was treated as a national hero. In 1817 he was ordered against the Seminole Indians.

Competitor Of Starbucks Essay

There are the known international company that become the competitor for the Starbucks. There are: Coffee Bean & Tea Leaf The endurance and popularity of The Bean, as it is affectionately referred to by devotees, can be attributed to the high standards that were established from the beginning. From trend-setting drinks like the World Famous Ice Blended, to the employees who become a part of the communities they work in, The Coffee Bean & Tea Leaf  ® has discovered the formula for a successful coffee and tea company. San Francisco Coffee The company that serve fresh coffee sourced from the best coffee farms on this green earth and the roast master, uses company to concoct blends and roasts that have the people wringing their hands, anxious for their next hit. Secret recipe Secret Recipe Cakes & Cafà © offers a friendly and personalised full-service dining experience for customers and incorporates a modern contemporary and vibrant interior concept with comfort ambience, and great food. It provides a great respite for customers to enjoy good food and quality time with friends, family or associates, after a long day at work. Old town white coffee To be Asia Pacific’s leading white coffee brand, providing high quality products to customers globally All the competitors try to win the demand of the customer who loves to drink coffee. Each company have their own strategy and uniqueness of their product. THE MACRO AND MICRO ENVIRONMENT THAT AFFECT THE STARBUCKS COMPANY MACRO ENVIRONMENT For the Starbucks micro and macro environment factor, we can use PESTEL element to evaluate and observed about the Starbucks. The (PEST) element included: Political factors The first factor which shall be kept in mind while studying the macro environment of Starbucks is the political aspect. It has been seen that, Starbucks has significant levels of presence in the coffee market. Starbucks consists of various types of products for government offices, corporate offices. The growth of Starbucks has increased and it means there are lots of demands about the Starbucks Coffee. However, in certain country, the political try to avoid the Starbuck because some of the countries try to boycott the Israel product. The cases of the boycott make the Starbucks have problem for their expansion of the business. Indirectly, the political of the country will affect the performance and growth of the Starbucks. Economic factors Economic factors such as recession which hard a big impact to the different organizations also to the consumer ability to purchase their product due to been unemployed and having debts. The way income is distributed among the individuals impact the marketing activities such as higher income earners, middle and low earners. These economic factors influence marketing segmentation and decisions. The exchange rate also will affect the Starbucks Company. When the currency decreases their value, it affects the monetary policies. Most of the supplier of the coffee comes from outsider. When the monetary decrease, it will affect the higher cost and the raw material become expensive. Finally, this situation makes the price of the Starbucks become expensive. It’s also become risk for Starbuck in making its coffee with the higher cost. Social factors Social factors that influence marketing decisions are such as demographic factors which is relating to the population where when the population  increases creates good opportunity for the marketing activities but if it decreases results to great impact in the market. Age, marketers tend to target their market according to the number of age available in an area. Behaviour also may influence the marketing decision where by some ethnics may not be able to purchase certain products due religion aspects also due to consumer’s different in taste, style and fashion some may like the products others may find them not attractive. Another than that, the social also included the changing in culture, taste and health consciousness. The culture of Malaysia who loves the coffee made the demand of Starbucks increase. However, Starbucks also need to learn about the culture among the country. Starbucks is International product and well known. Some of the country most prefers tea compare than coffee. That means , that is one of the challenges for Starbucks to come out with variety of product. Health consciousness of people also influences company to come out with healthy product for its customers. They need to plan new product that concern about the good healthy. It will provide opportunity to Starbucks to expand its business. Technological factors The fourth factor which shall be kept in mind while evaluating the macro environment for Starbucks refers to the technological aspect. Starbucks being one of the reputed coffee houses had a robust distribution strategy which helped them to stay ahead of the competition. Starbucks try to variety their distribution strategy within use the internet and mobile application. Starbucks launched a mobile payment system. This technological advancement helped the customers to pay while sitting at the store with the help of their smart phones. Starbucks also launched an I-phone mobile payment application. With this  application, the customers would be able to have an access of their favourite Starbucks card application. The use of technology will help the enterprise to break through the various distribution channels & be a step ahead of its immediate competitors. MICRO ENVIRONMENT The micro environment factors are about internal aspect of Starbucks. The micro environment are evaluate using Porter’s 5 forces model). There are about bargaining power of buyer, bargaining power of supplier, threat of substitute product, threat of new entrant and rivalry among competitors. Rivalry among existing competitors is high within the industry Starbucks operates in with major competitors like San Francisco coffee, Old Town White Coffee, Coffee Bean & Tea Leaf, Dunkin Donuts and thousands of small local coffee shops and cafes. Starbucks customers possess large amount of bargaining power because there is no and minimal switching cost for customers, and there is an abundance of offers available for them. The threat of substitute products and services for Starbucks is substantial. Specifically, substitutes for Starbucks Coffee include tea, juices, soft drinks, water and energy drinks, whereas pubs and bars can be highlighted as substitute places for customers to meet someone and spend their times outside of home and work environments. Starbucks suppliers have high bargaining power due to the fact that the demand for coffee is high in global level and coffee beans can be produced only in certain geographical areas. Moreover, the issues associated with African coffee producers being treated unfairly by multinational companies are being resolved with the efforts of various non-government organizations, and this is contributing to the increasing bargaining power of suppliers. However, the threat of new entrants to the industry to compete with Starbucks  is low, because the market is highly saturated and substantial amount of financial resources associated with buildings and properties are required in order to enter into the industry.

Virginia Military Institute (VMI) Admissions Data

The Virginia Military Institute is a selective school that accepts roughly half of applicants each year. See what makes it unique and what it takes to attend this college. About VMI Established in 1839, the Virginia Military Institute is the oldest public military college in the United States and one of the countrys six Senior Military Colleges (with The Citadel, NGCSU, Norwich University, Texas AM, and Virginia Tech). VMI is not for everyone, and students should be ready for a disciplined and demanding college environment (new cadets are called Rats). Unlike students at the U.S. military academies, students at the Virginia Military Institute are not required to serve in the armed forces after graduation. VMI ranks highly among public undergraduate institutions, and the schools engineering programs are particularly strong. In athletics, most teams of the VMI Keydets compete in the NCAA Division I Southern Conference. Will you get in if you apply? ​Calculate your chances of getting in with this free tool from Cappex. Admissions Data (2017) Virginia Military Institute Acceptance Rate: 53Â  percentGPA, SAT and ACT graph for VMITest Scores: 25th / 75th PercentileSAT Critical Reading: 560 / 640SAT Math: 540 / 640What these SAT numbers meanSouthern Conference SAT score comparisonTop Virginia colleges SAT comparisonACT Composite: 23 / 28ACT English: 22 / 28ACT Math: 23Â  / 27What these ACT numbers meanSouthern Conference ACT score comparisonTop Virginia colleges ACT comparison Enrollment (2017) Total Enrollment: 1,722Â  (all undergraduate)Gender Breakdown: 88 percent male / 12 percent female100 percent Full-time Costs (2017–18) Tuition and Fees: $18,214 (in-state); $43,902 (out-of-state)Books: $1,000 (why so much?)Room and Board: $9,236Other Expenses: $2,150Total Cost: $30,600 (in-state); $56,288 (out-of-state) Virginia Military Institute Financial Aid (2016–17) Percentage of New Students Receiving Aid: 89Â  percentPercentage of New Students Receiving Types of AidGrants: 69 percentLoans: 76Â  percentAverage Amount of AidGrants: $14,434Loans: $8,265 Academic Programs Most Popular Majors: Civil Engineering, Economics, History, International Relations, Mechanical Engineering, PsychologyWhat major is right for you? Sign up to take the free My Careers and Majors Quiz at Cappex. Graduation and Retention Rates First Year Student Retention (full-time students): 87Â  percentTransfer-out Rate: 20 percent4-Year Graduation Rate: 63Â  percent6-Year Graduation Rate: 77Â  percent Intercollegiate Athletic Programs Mens Sports: Football, Lacrosse, Rifle, Soccer, Baseball, Basketball, WrestlingWomens Sports: Rifle, Water Polo, Swimming, Track and Field, Soccer If You Like VMI, You May Also Like These Schools Old Dominion University: Profile | GPA-SAT-ACT GraphJames Madison University: Profile | GPA-SAT-ACT GraphUniversity of North Georgia: ProfileERAU - Daytona Beach: Profile | GPA-SAT-ACT GraphCollege of William Mary: Profile | GPA-SAT-ACT GraphNorth Carolina State University: Profile | GPA-SAT-ACT GraphUS Naval Academy: Profile | GPA-SAT-ACT GraphUnited States Air Force Academy: Profile | GPA-SAT-ACT Graph Virginia Military Institute Mission Statement mission statement from http://www.vmi.edu/about/ It is the mission of those at Virginia Military Institute to develop educated, honorable men and women, prepared for the varied work of civil life, imbued with love of learning, confident in the functions and attitudes of leadership, possessing a high sense of public service, advocates of the American democracy and free enterprise system, and ready as citizen-soldiers to defend their country in time of national peril. Data Source: National Center for Education Statistics