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I. Openning
“Mission of strategy “lodestar to lead a business to success”, Strategic Management
Course is a major part of the MBA program, through this course we clearly recognize the
role and importance of the strategy for the business operations of each business
The development of a market economy is the way to develop the productive
forces, to effectively exploit all the potential of the country to perform the tasks of
modernization, industrialization country, market economy has spurred the development
task hon.Thuc strong innovation practices over the years have shown that the transition to
a market economy model of Vietnam is absolutely correct. Thanks to the economic model
that we have the potential to be exploited in parallel with the country attracted foreign
investors, making the economy flourished, people's lives improved, enhance social
accumulation, set the stage for the development of future.
Market economies require restructuring the strong integration of our economy into
the world economy, has made the business environment changes rapidly, businesses want
to survive and grow be in an environment where there are opportunities and risks exist in
parallel, they must have the appropriate policies are extremely important. So businesses
need to have strategic business development acumen flexibility consistent with the
upward development of society and bring efficiency to business.
II. Analysis

What is strategic?
There are many ways to define different strategies historically, the term "strategic”
used in military significance is the long-term plan, to be prepared on the basis of
conviction about what the opponent can do and not do. Nowadays strategies are used
very popular and are seen as factors that increase the likelihood of success and minimize
the potential for failure of businesses. Business strategy is a combination of long-term

goals, policies and solutions to large business, financial and resolved to bring the human
element of business development enterprise to a coated highest level of quality.
Situation analysis of business environment, the business environment is understood as
combination of factors, conditions affecting directly or indirectly the operations of the
business. The environmental component business looking to move, transform and mutual
interaction and impact on business operations of the enterprise, therefore, to improve the
efficiency of the formulation of strategic business acumen needed to recognize and
accurately forecast the change of business environment. There are many ways of
classifying the business environment, but here we approach environmental -level external
business environment and internal environment of the business enterprise. External
business environment including environmental business sector and the national business
environment, it includes factors, trends beyond the control of the business. It’s
environment within the internal
Definition: Strategy is a complex series of actions aimed at mobilizing resources an
organization may have to achieve a certain purpose.
In 1962, strategies are defined by Chandler as “defining goals, long-term fundamental
purpose of the business of applying a sequence of actions as well as the allocation of resources
needed to implement this goal”.
Chandler, A (1962) Strategy and structure cambrige, massachusettes, MIT Press.
“Strategy is direction and scope of an organization in order to gain long-term
competitive advantage for the organization through the format of its resources in a changing
environment, to meet market needs and satisfy expectations of stakeholders” .
Johnson, Gi, Choles, K. (1999) Exploring Corporate strategy, 5th Ed Prentice Hall
Europe. In defining the strategy 5 P of Mintzberg generalized aspects of strategic
management as follows:
Plan: sequence of actions planned in a manner consistent

Partern: consistency in behavior over time can be planned or not planned.
Position: Fit between the organization and its environment.
Perspective: Method for depth perception of the world.
Ploy: The way to fool opponents.

Strategy is the art business.
- Alain Threlart said that “Strategy is the art that businesses use to compete against
and win” .
M. Porter said that “Strategy is the art of building a solid competitive advantage to
Thus, the authors considered business strategy is to compete on the art market and
business development.
In the opinion of management categories is a strategic business plan format.
- G. Arlleret said that “Strategy is the determination of the roads and the means to
achieve these goals have been identified through the policy”.
- D. Bizrell and the authors suggest that “Strategies such as general planning
guidance or direction now go to the desired goal. It is the basis for the policies and
methods of operational procedures”.
So it comes as we see what the strategy is more varied definitions but strategic
importance in how and plays a decisive role to the success of a business was, in the view
of the problem and request yet all 3 main basic point that if businesses have a proper
strategy will lead to success
One is the role of planning: Business strategy to help businesses find the purpose
and direction of his. It pointed out to the board administrator to consider and determine
whether the organization go in any direction and at any time to achieve desired results. As
of strategic planning to ensure business continuity and development firm in the business
environment is constantly fluctuating, it defined the basic goal is the direction of the
business enterprises in each period reflected during continuous

The roles second are forecast: In an environment that is always volatile, the risks
and opportunities always emerge. Strategic planning process to help administrators
analyze and provide environmental forecasts to make reasonable strategy, thus managers
have the ability to better grasp the opportunity, take advantage of opportunities and
reduce risks related to environment.
Also business strategy to ensure maximum mobilization and optimum combination
of exploitation, use of corporate resources, now and in the future, promoting the
advantages and seize the opportunity to get the upper hand over the competition, business
strategy is always forward-thinking business, winning business in the marketplace.
At the end is control role Business strategies to help managers use and allocation
of available resources in an optimal manner and effectively coordinate the functions of
the organization in order to achieve the common goal of business strategy is often subject
ra.Chien was built in a long time at least 3 years and a maximum of 10 years, depending
on the vision of the leadership and direction of the company products, materials can be
replaced in the short or long time
I would like to analyze in detail the business strategy of DOMESCO MEDICAL
IMPORT EXPORT JOINT STOCT CORPORATION to see more clearly the business
strategy like this mean for the development of the Company
Understand the importance of developing strategies and noticed According ladder of
Maslow's needs, demands first and most basic of human needs is the physical and
physiological, namely: inhalation , eating, resting, sex, ... that shows that human health is
a factor never be forgotten. Today, social mobilization and development over time, in
parallel with these results, achievements of scientific and technical activity that occurred
firm, sickness, human health is also problems that humanity today is very attentive to the
emergence of the phenomenon, pathological abnormalities that sometimes the progress of
science can not keep up.

Standing in front of a large and urgent needs that, in general medical sector and
pharmaceutical industry in particular is becoming important for society as a whole.
According to the WTO schedule starting on 01/01/2009 Vietnam retail market opening.
Then the product on a variety of market types, rich in designs and styles. Therefore, to
survive and sustainable development of enterprises should scrap autonomy in all aspects
of business activities from production xuaa investment, funded, organized production to
consumption. Enterprises must know to utilize the capacity, opportunity and choice for
themselves a right direction. To get that one measure is essential for every business to
build yourself a suitable business strategy.
Vietnam's pharmaceutical industry in the post-WTO era, and has also gone through
very difficult phase, but the industry is still assessing another profit in 2008 - a time when
the economic crisis in onset strong global.
The problem is that despite the economic downturn, the health of human beings still
need to be more secure and better care, so the demand for drugs in health care is not
limited to, that it is increasingly rising in quality as well as quantity…
So leader of company had have meeting and the company has delivered to the room
and marketing strategy responsible for developing strategies for new product
development in the new period with many challenges.
2.1. Introduce about


Abbreviation: DOMESCO








Headquarters: No. 66 - Highway 30 – My phu distric – Cao Lanh city –Dong Thap
province - Viet Nam
Telephone: 84.67 3852 278 - 3859 370

Fax: 84.67 3851 270

Email: domesco@domesco.com; vpcty@domesco.com

Website: www.domesco.com; www.domesco.vn
Tax Code: 1400460395
DOMESCO business is specialized in manufacturing, trading, import and export of drugs,
raw materials, auxiliary materials for medicinal, chemical tests, vaccines, biological
products for humans, animals and plants.
Branch of DOMESCO was born on May, 19th, 1989. Through many years of building
and development DOMESCO created and affirmed its position on the domestic market
and internationally in the field of pharmaceuticals and functional foods.
With an extensive range of products includes such diverse capsule, soft capsules, tablets,
film coated tablets, coated tablets enteric-coated, sugar coated tablets, Effervescent, drug
packages, Effervescent Powder, Drugs extended-release tablets, ... are interested
DOMESCO investment, research and development of pharmaceutical resources available
in the country, gives consumers the products safe and effective.
Many aspects of the production of the company by the Ministry of Health certification
versus bioequivalence of generic drugs, there is strong competition in the market and
many products can replace imported products is outstanding product groups in blood
pressure, heart disease, diabetes,...
Currently, the system DOMESCO evenly distributed throughout the country with 11
branches and more than 13,000 agents; trading relationships with most of the domestic
pharmaceutical enterprises and more than 18 foreign pharmaceutical companies; nearly
100 export commodities markets for 25 countries in Asia, Africa and Latin America ...
The company has successfully integrated application management system ISO
9001:2008, ISO IEC/17025, ISO 14000, ISO 50001, OHSAS 18000 and production
systems certified Good Manufacturing Practice as recommended the World Health
Organization (WHO-GMP) and business systems to achieve GDP-GPP.

With an ambition "Because the quality of life", DOMESCO always conscious and trying
in all activities of product quality, safety and efficiency to be able to bring to the
community a healthier life and fresh amusing.
Business Orientation
1. Vision
To create a Slogan “Because the quality of life " bring international stature, DOMESCO
confirmed his mission had clear objectives and vision and motto action properly aligned
with the trend world.
2. Mission:
+ Bring health to people by more efficient means.
+ Poor and middle class even more, DOMESCO their care mission by offering high
quality but very reasonable price.
To achieve the above DOMESCO has built and maintained done 02 principles and 06
basic motto is:
Transparency harmonious balance between the interests of shareholders and workers
rights in the framework of legal compliance.
Get legitimate profits and increase the value of the company's customer center
Living and working in accordance with law.
Efficiency is the sole criterion for assessing the productivity and business skills working
as bow shock.
Manufacturing is foundation for development that export product is the lodestar.
Product quality is decisive and continuous innovation, application of technology to
enhance the knowledge content are increasingly mainstream.
To restructure advanced technology in all sectors to create an advantage in the
Putting brand DOMESCO go to the heart of successful motivation.

2. Target:
As a manufacturer - leading distributor in Vietnam.
As a business with strengths in medicinal chemistry and drug programs sourced from
domestic Medicine.
As a navigator in the field is a key biological nanotechnology.
As businesses have a comprehensive quality system and successfully applied perfectly.
There are scientific and technical team that strong core staff have postgraduate
Balancing rights workers, shareholders and corporate social responsibility to the
Improve corporate governance ability to strengthen the institutional and enforced
financial regulations - audit and risk prevention crisis when the outcome of the world
economy was in decline.
Breakthrough rapid development of high quality human resources.
Focus 03 exploration core technology is biotechnology, automation technology and
information technology that is key Biotechnology.
Choose herbal explosive arrows to create products that treat diseases age safely
and effectively.
Dominate the domestic market - export development is the lodestar.
Get aggregate productivity, eliminate wasted 02 core elements for sustainable
The company has identified target STRATEGIES
Sustainable development as a Pharmacy Group - Functional Foods, there is a large
enough market sharing in the country, enhance reputation on international markets to
expand exports.
Expanded investment and intensive research and development to create new
products, new dosage forms and new technologies have advanced equipment strong

enough to overcome "Technical Barriers International Trade" (Technical Barriers to
International trade - TBT) export-oriented.
Deploying investment culture of the Pharmaceutical form links, multilateral
cooperation to achieve goals Organic certification as prerequisite for the implementation
of the new standards is good farming practices Pharmaceuticals (GAP - Good Agriculture
Practices) towards ISO 22000.
Quality management must be connected to the knowledge management to create
"knowledge of the Company Store"
Cooperation and joint ventures with other units within and outside the country in
terms of production and import and export business
Finalize distribution system across the country towards the company systematically
leading pharmaceutical distributor in Vietnam.
Continue to invest in the development of specific pharmaceutical products, thus
replacing imported products.
Catch and development in the field biology particularly in Gen Nano and dosage
For the purposes of responsibility to the community the development of preventive
natural product with the lowest cost
Continue to maintain and develop the quality management system throughout the
company overall.
Tectonics staff qualified scientific and technical robustness, in which one third has
post-graduate qualifications.
Deployment strategy
Short-term Strategy
Construction vehicle storage area and delivery from the main warehouse to warehouse
areas, and complete system of GPs across the country
- Selected products are suitable for further production and distribution, especially of
specific pharmaceutical products.
Medium-term strategy:

- Research and development of pharmaceutical products, foods, functional foods with the
lowest cost.
- The search for new personnel with high professional qualifications, further training and
development to improve science and technology, to meet long-term goals of the company.
Long-term strategy:
- Grasping development trend of the industry, the advancement of science and
technology, human needs to invest in research of new products in the biotechnology and
Nano Gen.
- Implementing parallel system of quality management ISO 9001 - ISO 14000 and
continuous professional team and finishing.
Market Strategy
Pharmaceutical market has always looked outward to stabilize fluctuations in the
level of demand is relatively low, however its inner turbulence, the resultant products
after treatment with better features, or the better customer care will quickly replace the
previous product even existed for decades. Therefore, in this market, companies require
athletes always have scientific expertise and skills to approach and develop relationships
with customers.
Building a team of research scientists and application relentless achievements of
medicine and change, in tandem with the Marketing team to build a market research is a
very important issue. Have must understand the direction of the company's products to
each customer different areas, in order to be effective both in production and in
Differentiation strategy
- The company should continue to focus on investment in research and manufacture
of products of cardiovascular diabetic group, this group is not only profitable for the
company, but here is the big difference of a water companies in the pharmaceutical
market in Vietnam, this is a very big advantage of DMC compared with domestic rivals,
competing with foreign rivals.

- At the same time, the company further research and development group
pharmaceuticals, food, functional food to the market deployment in Vietnam and
exported to Japan, Europe.
III. Conclusion
Business strategy is an essential part and very important for every business unit
worldwide. Therefore, the assessment of the true state of their business with existing
internal resources, but also grasp the development trend of the market, society, making
sure we build the appropriate strategy than for their own business.
The building is central strategy, success or failure depends on the first strategy that
we build, then to the implementation and evaluation of them. Therefore, I think the
strategy is very difficult, requires a collective effort, the human intellect and enthusiasm
for own business.
1. Strategic Management Awareness, 6th Edition - John Thompson & Frank
2. Text book, Economics curriculum of Fulbright (What is strategy? Chapter II)
3. Website: www.domesco.com; www.domesco.vn

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