samsung vina

saigon times weekly 100

http://www.saigontimesweekly.saigonnet.vn/saigontimesweekly/issue104/company.htm 

Strong Growth
After five years of operations, Samsung Vina Electronics has gained a 20% share of the local market for televisions and video players, an achievement coveted by any famous electronics company in Vietnam
By Luu Phan

According to statistics from a market research company, Samsung Vina has maintained sales of around 140,000 units despite the slack demand for electronics in the local market in recent years. Samsung televisions enjoy the top sales, surpassing the performance of electronics companies from countries that are more advanced than South Korea for decades.

  With this achievement, Samsung Vina leaders are completely confident of their business development in Vietnam.
Dong Seok Choi, Samsung Vina sales and marketing manager, says the joint venture, where Samsung Electronics (South Korea) holds an 80% stake, put into production a PC monitor production line in late October. Next year, it will add mobile phones to its range of products that include televisions, video players, VCD players, refrigerators, washing machines, DVD players and PC monitors. So, most essential products of Samsung Electronics manufactured in many factories worldwide are now made in Vietnam.
"The continuous development of product range and the creation of new products with diverse designs are the prime factors for our success," said Choi. Another factor for success is that Samsung Vina has developed a distribution network throughout Vietnam that is rated as the strongest network in electronics sale. The network now includes 223 agents and more than 800 retail outlets. Samsung Vina treats its agents with this principle "Profit for agents first, for the company later." The company has given strong support to agents. Besides ensuring profit for agents with a reasonable pricing policy, it has assisted in shop construction, repair and decoration, and developing the local sale network. It has also cooperated with agents to support local social, educational and sport activities.
The personnel recruitment, training and development policy is another factor for Samsung Vina's success. According to Choi, the company has clear criteria for recruitment. After being recruited, managers and employees are retrained through short-term courses, and some are sent to Samsung Electronics' factories abroad for training. The company offers incentives and encourages everybody to contribute initiatives to improve product quality, increase production and reduce costs. It is also the first electronics company in Vietnam to apply the ISO 9002 quality management system

All these factors help Samsung Vina increase production at the highest pace compared with other Samsung Electronics' factories worldwide. By the end of October 2000, production increased sixfold on 1996. Increased production helps the company cut costs. "With the reduced cost, we can launch marketing campaigns and promote our image as well as increase promotions and offer incentives to agents," Choi said.
After-sale service also receives Samsung Vina's prime interest. The after-sale service network was established as early as in 1996 when the company began to launch its first products. At present, each province and city has at least one after-sale service station which is selected from the most prestigious electronics repair shops in the locality. The company provides technical training and original components to help the stations offer the fastest service and ensure the best quality for its products. Samsung Vina also offers free after-sale services for products broken due to natural disasters in difficult areas.
These efforts not only bring success to Samsung Vina on the local market but also improve the competitiveness of its products abroad. Export sales have continuously grown over the past years, rising from 1,000 units in 1997 to 5,000-7,000 units in the following years, and 17,800 units in the first eight months of this year. The company expects to export 262,900 units this year and 600,000 units next year