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I. OVERVIEW OF THE COMPANY

I. OVERVIEW OF THE COMPANY

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2.  Structure of Truong Hai Auto



3.  The development stages of the Company:

In 1997 - 1998: Repurchase the car maintenance, exhibition center of An Hung Company.

Being sales agent for companies: Daewoo, Mitsubishi, Daihatsu, Mercedes ... Import,

refurbish old cars.

On 05/10/1999: Establish a branch in Ha Noi.

In 9/2001: Establish Manufacturing-assembling Tracimexco - Truong Hai Auto factory to

assemble KIA reach-in vehicle in Vietnam.

On 22/01/2002: Establish a branch in Da Nang



In 2003: Building Chu Lai-Truong Hai Auto Manufacturing and Assembling Plant at Chu

Lai Open Economic Zone, Nui Thanh district, Quang Nam province;

In 2004: Establish Chu Lai – Truong Hai Shipping Company - Put Chu Lai – Truong Hai

auto manufacturing & assembling factory in operation specializing in manufacturing and

assembling of trucks, buses.

In 2005: Establish: Specialized chemical plant, Vietnam CNA car seat factory,

electromechanical company.

On 06/4/2007: Converting model from Limited Liability Company to a joint stock

company, capital increased to 680 billion dong.

- Build KIA tourism car assembly factory at Chu Lai,

In 2008: Establish Industrial - urban infrastructure Investment Development Company at

Chu Lai - Truong Hai.

- Develop and put in use An Suong Showroom, Binh Trieu Showroom, Phan Thiet

Showroom, Duc Trong Showroom, Tien Giang Showroom, Showroom and service

workshop in Hoang Hoa Thanh Hoa.

In 2009:

- Establish Chu Lai - Truong Hai automotive mechanics Industrial Park.

- Establish Chu Lai - Truong Hai Company and investing in the construction of Hoa Thuan

new urban area.

- Establish steel processing and supply plants.

- Establish Chu Lai - Truong Hai Basic Engineering Plant.

- Establish Autocom seat factory

- Develop and put into use Bien Hoa Tourism car showroom, Bien Hoa Foton + Hyundai

Showroom, Can Tho Showroom.

In 2010:

- Launch to set up Bus factory, with capacity of 3,000 buses / year.

- Establish Factory of industrial refrigeration

- Launch to set up Tam Hiep Chu Lai - Truong Hai port phase 1;

- Launch to set up bonded warehouses with 33ha and establish Electromechanical

Company.

- Establish Chu Lai - Truong Hai Vocational College



- Develop and put into use Lai Thieu Showroom, Vinh Long Showroom; TM Giai Phong

Showroom;

In 2011:

- On 17/6/2011, Inaugurate THACI bus plant and introduce the Vietnamese brand bus line.

- On 21/10/2011, VinaMazda inaugurated VinaMazda Auto Manufacturing & assembling On 11/18/2012, inaugurate KIA Giai Phong - Ha Noi showroom;

- Develop and put into use Phu Nhuan Showroom (Kia Nguyen Van Troi), Kia Showroom

District 7, Mazda Showroom District 7, Commercial Showroom District 7; Binh Tan

Showroom; Mazda Bien Hoa Showroom; Tam Ky Showroom; Kia Giai Phong Showroom;

Kia Long Bien Showroom; Kia+Foton Quang Ninh Showroom; Ha Nam Showroom; Cong

River Thai Nguyen Showroom, TM Lang Son Showroom.

In 2012:

- Complete and put into use Chu Lai - Truong Hai Port phase 1.

- Build Hyundai Chu Lai - Truong Hai Motor manufacturing and processing plant.

- Develop and put into use Huyndai Da Nang Showroom, Foton Da Nang Showroom,

Quang Binh Showroom, Kia+Mazda+Peugeot Vinh Showroom, Kia Hai Phong Showroom.

4. Vision

The company will try to achieve a stable and high growth rate, bring investors

maximum efficiency and become the country's pride as a Vietnam-branded automaker..



5.  Mission

Create THACO-branded products to improve living quality of users.

Strive to make THACO become one of Vietnamese brands well known in AFTA area

and in the world.

On the sustainable development foundation, THACO will focus on developing human

resources and assets, contributing to the country's development process of economy, culture,

society and engineering industry in the future.

Business results in recent years



II. OBJECTIVES, STRATEGY AND BUSINESS PLANS





Improve the core competence of the company: The ability to produce in large-







scale, modern technology combined with management model of full value chain.

Target: Build a complete closed auto business system from component

manufacturing, parts, assembly, transport and distribution of direct retail systems and

provide repair services and spare parts after sales, with various categories and







product segments.

Penetrated market strategy, constantly expanding market share: Increase

production scale, technology investments to improve productivity, product quality,







expanding distribution network, after sales service and sales support.

Market Development Strategy: Aiming for gaining and maintainning No. 1







position in VN market and towards the AFTA region.

Vertical integration strategy in the opposite direction: Enhance localization rate,

reduce imports, Set up many companies in the supply chain. Develop specialized

distribution system.



For orientations, views, methods and especially management strategic adjusted in the period

2013 - 2018, Thaco plan in 2013 is oriented to implement as follows:

- Retail systems: Implement the active program: "Improve operation activities of dealers

and attached showrooms system " to capture the demand for products and after-sales

service, for services in the best way, to achieve the confidence and the highest market share

in each provincial market, the city of the country.

- Regional branches: Strengthen apparatus branch in the North, Central and South regions

towards decentralization act ends of the distribution, management and market development

as well as marketing operations. Also as a part of owner (ensure effective activities) of



attached showroom system in the area. Research, test apparatus to set up the domain branch

directly under regional branch to improve capacity management in the future.

- Production and sales of commercial vehicles (trucks and buses): Focus on developing

additional products with specifications, in accordance with the changing requirements of the

market according to the characteristics of each area, each region in order to increase market

share over the years.

- Production and sales of tourism car: Increase brand value and market share for Kia car

line. Increase sales and market share for Mazda achieved 5th place in the market, ensuring

business Mazda cars profitably. Introduce and put into production Peugeot car line for car

tourism business being full of segments: South Korea, Japan and Europe in 2013.

- Chu Lai Truong Hai Complex and Auto Manufacturing Industrial Park : Restrict to

expand investment in infrastructure, investment in-depth focus on human resources and

equipment to suit changing technology , in order to improve quality, reduce production

costs. Develop new products according to changing requirements of the market through the

development of research and product development (R & D), and increase cooperation with

other ministries and partners to develop manufacturing and automotive assembly

technology to keep up with the region. Support and participate in managing SMT

manufacturing specialized vehicles Company, forming nodal raw materials and spare parts

to provide in Korea, through developing production technology of specialist vehicles in

Vietnam.

- Delivery and transport: Continue project specialize in delivery and transport business,

further reduction in the cost of delivery and internal warehouse, enhancing external business

to increase efficiency for Chu Lai - Truong Hai port.

- Investment and basic construction: Continue to invest in building new showrooms more

suitable plan for cars in the key areas, extension of the construction of supermarkets cars

combined commercial center. Participate in infrastructure, urban development projects and

consider this as a new business line of the company in the future.

- Marketing: There are overall and specific orientations, as well as strategic marketing

plan for Thaco brand and specialize for each business line, every vehicle, every market area;

being always flexible dynamic to response with the change of market and operating

decentralized control in a scientific way, closely to improve market share, increase revenue

and reduce costs in tough, narrow market conditions.



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