Author | Ngo Thi Kieu Diem |
Note | A project submitted in partial fulfillment of the requirements for the
degree of Master of Business Administration (Executive) in International Business – Management of Technology, School of Management |
Publisher | Asian Institute of Technology |
Abstract | B.Braun Vietnam (BB) is a subsidiary of the global corporation, B.Braun Corporation entered
Vietnam quite early compared to other multinational healthcare companies. The first
representative office of BB Vietnam was established in 1992, based in HCMC, followed by
Hanoi in 1993 and expanded to 5 cities Hanoi, Hue, Da nang , Ho Chi Minh city and Can Tho
province.
In the first 5 years, the company had major advantages as one of the first foreign company to
enter Vietnam market. Most of BB products were welcomed by customers. Since 2000, there
have been more strong competitors entering the market. This means that there is more
competition among companies in the Health care industries. To survive, the company has to
look more closely into improving of product quality, productivity and especially in cost saving.
According to the current Vietnam law FDI enterprises are not allowed to do direct sales in the
local market. To overcome this situation, BB must use the name of a local company to import
and sell all BB products to its customers in Vietnam. This will cost a huge amount of money
which the company has to pay for local company to use its name as importers, distributors and
sellers to BB customers. Vinh Tam pharmaceutical company limited (VT) – a company run
by a former Finance Manager of BB - is the one BB chose as the exclusive distributor. The
contract has been signed for 5 years and is valid until the end of 2008.
In May this year, because of the problem with this distributor, the new management of our
company decided to change its business model by taking the formal steps of termination of this exclusive distributor contract. A new model will be implemented. |
Year | 2008 |
Type | Project |
School | School of Management (SOM) |
Department | Other Field of Studies (No Department) |
Academic Program/FoS | Master of Business Administration (Executive) in International Business - Management of Technology (VN/BKK)) |
Chairperson(s) | Swierczek, Fredric William; |
Examination Committee(s) | Bechter, Clemens ;Zimmerman, Willi ; |