Mobile World Investment Corporation
INTRODUCTIONMobile World Investment Corporation (MWG) operates two retail chains, thegioidididong.com. Thegioididong.com chain was established in 2004 toretail mobile digital products including mobile phones, tablets, laptops and accessories with over 540 supermarkets in 63 provinces and cities across Vietnam. Dienmay.comchain was launched in late 2010 specializing in retailing consumer electronic products such as televisions, karaoke machines, refrigerators, washing machines, rice cookers, vitamins, irons, electromagnetic stoves, Vacuum cleaner and digital products such ascell phones, tablets, laptops and accessories. Recently, the company has opened bachhoaxanh.com – potential mini supermarket chain in the future. Over the years, the company has been continuously growing fast and stable despite favorable economic situation or difficult. Chèn hình vào BUSINESS ANALYSISI. Industry Analysis 1.Rivalry among existing firms.Identified the consumer electronics retailerCompetitionThe business environment of electronics retailers and technology is quite competitive. Many retailers must declare bankruptcy because they can not afford short-term debt such as Wonderbuy, Best Carings and Homeone. Since 2014, the retail electronics chain has been competing with small retailers (“mom and pop” stores – very small and relatively limited in terms of category product). However, this type occupies the majority of the market in rural and urban areas. According to Temax Vietnam, it accounts for 50% of the market share in the mobile retail segment in Vietnam.
Growth potentialThe consumer electronics retail market is growing strongly thanks to the good sales of smart phones accounted for about 87% of sales. Intelligent and low-cost smartphone segmentation (2-6 million) is a key driver of growth. IT products include desktops, laptops, tablets, and computer monitors. Tablets have the fastest growth rate in this segment.Position of MWG- Financial capacity: The companys equity in 2017 is 5,908,916,000 with the stock being 24. 800.000 stock.- Facilities: offices, supermarkets, warranty centers throughout the country are equipped with modern machinery and equipment for staff to work most effectively.- MWG has a warranty center, 15 electric appliance supermarkets and 320 hypermarkets nationwide. Attracting abundant human resources.→ MWG is a company that has steadily moved forward and continues to expand its market. Even if the company is young and the achievement has always been highly competitive in the industry.Rival:- FPT Shop,Vien Thong A,Viettle Store in the phone supermarket- Pico, Tran Anh, Nguyen Kim, in the field of electrical appliances.2. Threat of New Entrants The threat from potential opponents is low. The cause is that the mobile retail andelectronic retail industries have relatively high barriers to entry because it takes time tounderstand the market and consumer tastes. In addition, the large scale to obtain gooddiscounts from suppliers is a prerequisite for survival and development in this industry. Inrecent years, many domestic and foreign companies have entered the market and faileddue to a lack of these factors. in order to protect domestic retail businesses from foreign businesses, the Vietnamese government has adopted appropriate policies that create barriers to entry into the industry. This is a favorable condition for retailers in general, Mobile World JSC in particular has the advantage of development and higher competitiveness.