1 TABLE OF CONTENTS Introduction List of abbreviations List of tables and charts PART 1: OVERVIEW OF LKC ENTERTAINMENT AND MEDIA JOINT STOCK COMPANY 1.1 Foundation and development of LKC entertainment and media joint stock company 1.1.1 General information of LKC Entertainment and Media, JSC 1.1.2 Foundation History and development 1.2 Major business areas 1.3 Organizational structure PART 2: THE BUSINESS ACTIVITIES OF LKC COMPANY 2.1 Core markets and products 2.1.1 Core markets and partners 2.1.2 Main products and services 2.2 Analysis of business operation of LKC Company 2.2.1 Business results in the period of 2014 – 2016 2.2.2 Assessment of business results in the period of 2014- 2016 PART 3: EXISTING PROBLEMS IN BUSINESS ACTIVITIES AND THE USING ENGLISH OF LKC COMPANY 3.1 Existing problems in business activities 3.1.1 Evaluation of marketing activity 3.1.2 Assessment of LKC’s Human Resource 3.1.3 Limitations and solutions in competitive market 3.2 Using English in LKC Company 3.2.1 The real state of using English in LKC Company 3.2.2 Suggested solutions CONCLUSION REFERENCES INTRODUCTION Changing incessantly in the revolution of the domestic and international media industry, being consistent with development strategy towards sustainable values, LKC Media has gradually proved itself and created special character in Vietnamese media market Owning professional model of the creative and talent production team, together with the most advanced equipment, the company can supply the best, the fastest and the most efficient services and solutions to meet demands related to enterprises, partners, and the public’s entertainment and media With its aim to be the leading entertainment and media supplier as well as producer of Southeast Asia in 2018, LKC Media always tries its best to become the best marketing partners, improves progressively itself and has particular success Being recommended and allowed by English Department – Vietnam University of Commerce, I have luckily experienced as an intern in Marketing Department of LKC Entertainment and Media Joint Stock Company I am very grateful for all the enthusiastic help from the staff of LKC Entertainment and Media., JSC, without whose help I could not have finished this report Then, I would like to express my gratitude to my instructor, Mrs Dao Phuong Mai, one of the lecturers at the Faculty of Business English in Vietnam Commercial University, whose supervision and encouragement helped me a lot fulfill this report Mrs.Mai, along with his valuable sharing and feedbacks, has been my inspiration as well as motivation to overcome all the obstacles and difficulties during the process In spite of my hardest attempt, this report certainly contains numerous mistakes due to the limitation of information resources and other documents as well as the inexperience of the writer in this issue All of the feedbacks and recommendations from teachers are warmly welcomed and will be considered in order to improve this report LIST OF ABBREVIATIONS LKC Media LKC Entertainment and Media Joint Stock Company No VNĐ TV TVC Number Vietnam Dong Television Television commercial LIST OF TABLES AND CHARTS Image 1: Logo of LKC Media Diagram 1: Organizational structure chart of LKC Media Image 2: Some typical partners of LKC Media Table 2.1: Television partners of LKC Media Table 2.2: Main products and services of LKC Media Table 2.3: Price list of company’s products Table 2.4: Revenues of major business field Table 2.5: Business results in the period of 2014-2016 PART : AN OVERVIEW OF LKC ENTERTAINMENT AND MEDIA JOINT STOCK COMPANY 1.1 The foundation and development of LKC Entertainment and Media Join 1.1.1 Stock Company General information Image 1.1 Logo of LKC Media - Company’s name: LKC Entertainment and Media Join Stock Company - English commercial name: LKC Entertainment and Media Joint Stock Company - Abbreviation: LKC Media - Head Office: No.2, Nguyen Kha Trac Street, Mai Dich Ward, Cau Giay Distict, Hanoi - Telephone: 046 2810 462 / Fax: 04 62810435 - Email: info@lkc.vn Website: lkc.vn - Tax code: 0102032462 - Charter Capital: 1,9 billion - Date of operation: 26/10/2007 - Legal Representative: Ngo Dang Linh - Position: General Director 1.1.2 The foundation and development On 26 th October 2007, Hanoi Department of Planning and Investment issued an official Certificate of business registration No.0102032462 about approval for establishment of LKC Entertainment and Media Joint Stock Company Nearly 10 years of operating and accumulating experience, LKC Entertainment and Media Joint Stock Company has become the leading company in media industry, advertising, introducing products on the media The company simultaneously builds and implements advertising plans for products as well as brands of the famous company including Unilever, Acecook, Vietnam Airlines, Vinamilk , which is often advertised on the television Up to this time, LKC Media has got a firm foothold in the market and customer’s mind LKC Media is currently trading in the variety of media field such as exploitation film and TV rights, TV advertising, creating media plans and general marketing plans, implementing graphic design, TVC production, organizing the performance of events and sponsors LKC Media is having more than 200 staffs Of which 20 percent of employees are focused on research and development segment LKC’s young staffs are evaluated highly with good professional skill and the enthusiasm for company’s development orientation Regarding to Television services, media services, the value-added service and digital content, human is the most vital thing that could bring the success This kind of service is highly competitive due to creation and difference LKC Media always focuses on optimizing the staff, maintaining a clean and friendly working environment, improving business culture to create motivation and opportunity for staff development 1.2 Major business areas - Consult, build, supply and exploit programs of both domestic and international television - Supply commercial advertising - Produce, trade digital content of radio programs, television programs - Supply Billboard services (outdoor advertising) - Provide marketing services by Sms/Voice - Supply online services via Internet and Mobile - Produce and provide the exploitation right of TV films - Organize events, public relation activities - Act as agency to provide and exploit the value added services on the telecommunication network - Assist services for entertainment on the media 1.3 Organizational structure Organizational structure of LKC Media: Diagram 1: Organizational structure chart of LKC Media GENERAL DIRECTOR DEPUTY GENERAL DIRECTOR SALE DEPARTMENT MARKETING DEPARTMENT MEDIA DEPARTMENT HR DEPARTMENT FINANCEACCOUNTING DEPARTMENT LKC Media is operated by the functional organization structure The company has many departments including finance-accounting department, sales department, marketing department and so on Each department will have its own department head, and he will be responsible for the performance of his section In this structure, people are grouped as per their area of specialization These people are supervised by a functional manager who has expertise in the same field Department heads effectively utilize the skills of employees to help him in achieving the organization’s business objectives Ngo Dang Linh is the current General Director of LKC Entertainment and Media Joint Stock Company With the role of leading company, Mr.Ngo Dang Linh manages, supervises all business activities and Project Coordinator Having a lot of experience in media field, he always pulls out all the stops to make LKC Media become the best marketing partners He also puts the efficiency and quality in work production in the first priority Roles and functions of each department in the company: Deputy general manager: Deputy general manager is also referred to as an assistant manager, who works closely with the manager and helps him to execute strategies handed down from above, develops, coordinates and plans project and program Deputy general manager also steps in and assumes the general manager's responsibilities in his absence Sale Department: Sale Department manages all business activities: setting up a business plan, finding out and analyzing the market, building customer incentives, seeking markets and developing sales activities to potential clients Marketing Department: Marketing department’s job is to build monthly, quarterly and annual marketing strategies for the company It also markets product, promotes the company’s image, instructs and explains any questions of customers Media Department: 10 PART 2: THE BUSINESS ACTIVITIES OF LKC MEDIA 2.1 Core markets and products 2.1.1 Core markets and partners 2.1.1.1 Company’s market Domestic market: The company is based in Vietnam which is the main market In Vietnam, company’s products are distributed in almost provinces and cities of the country However, the products and services are more often consumed in the Northern provinces Because this is the first market, the company has entered and built customer relationships In the north market, company’s services have high competitiveness and a firm foothold in this market The company unfailingly supplies services with the fastest and the best quality Therefore, nearly 10 years of operating in the media sector, the LKC Media has affirmed its position in the north market Besides, since 2017, the company steps up continuously supplying Media service towards the central market and south market Foreign market: Japan and Korea are two potential markets of the company Since its establishment, the company has signed more than 200 film right agreements to buy films from Japanese television stations (BS-TBS, NHK, Asahi ) and Korean television stations (MBC, KBS, SBS ) In the coming time, the company tends to co-operate with American TV station, Chinese TV station, Thailand TV station so that the company could buy more film rights served for Vietnamese TV station 2.1.1.2 Main partners LKC Media has made considerable progress in business performance and become the advertising agency for some well-known brands such as Unilever, Viettel, Honda, LG, Fpt 12 Image 2: Some typical partners of LKC Media Moreover, LKC Media has been developing network media partner with nationwide television stations It can be seen through this following table: No Television Stations Signed contracts in 2016 (Unit: VND) Northern region Quang Ninh, Hai Phong, Nam Dinh, Vinh Phuc, Phu Tho, Bac Ninh, Bac Giang, Ninh Binh, Thanh Hoa 40.248.485.000 Central region Nghe An, Quang Binh, Quang Nam, Hue, Dak Lak 30.679.835.000 Southern region Binh Duong, Tien Giang, An Giang, Vung Tau, Can Tho, Ca Mau 27.209.000.000 Area Table 2.1: Television partners of LKC Media 2.1.2 Main products and services 13 LKC Media provides four main services for customers including Media, Film, Billboard and SMS/Voice Among them, Media and Film are two services supplied the most As a result, they bring considerable profits for LKC Media Table 2.2: Main products and services of LKC Media No Width of services Supplying film Billboard service - Drama Films - Building - Action Films and - Science Fiction installing Films Billboard - Swashbucklinghistorical drama Films Media Width of product s - Producing TV and radio programs - Supplying advertising services SMS/Voice - Children’s switchboard - Online music programs - SMS marketing (Source: Marketing Department) Table 2.3: Price list of company’s products (Unit: VNĐ) No Type of products Average price - Television Commercial - Notices - Romance movie 1.500.000/episode - Action movie 1.200.000/episode - Billboard below 10m 350.000/m - Billboard 15m - SMS marketing 500.000/m 3.000/sms 19.000.000/spot 780.000/word 2.2 Analysis of business operation of LKC Company 14 In recent years, the business of the company, in addition to the advantages, the company has also to face with many difficulties as fierce competition with the companies which have set up for a long time, affect the efficiency of the company However, all employees of the company have always striven to overcome difficulties, utilizing internal resources to implement the company’s overall objectives Therefore, the company is considered as one of the prestigious media business in Vietnam’s market 2.2.1 Business results in the period of 2014 – 2016 Table 2.4: Revenues of major business field Unit:VND No Service Media Film Billboard Sms/Voice Total 2016 29.015.871.334 98.137.338.000 2.325.457.149 1.267.652.111 130.746.318.594 2015 2014 18.835.250.000 18.149.000.000 69.100.451.239 57.980.863.000 531.300.896 600.951.239 94.000.824 87.980.000 88.561.001.959 76.818.804.239 (Source: Accounting Department) Despite having higher price than SMS/Voice and Billboard service, Media and Film services can bring significant profits for the company Figures presented in the tables above have indicated that Film service offers the largest revenue In particular, Film service reached VND 98.137.338.000 billion in 2016 Revenue from Media service also makes up high revenue The lowest revenue belongs to Sms/Voice, only recorded more than VND 183 billion over three years 15 Table 2.5: Business results in the period of 2014-2016 Unit: VND No Indicator 2014 2015 Comparing 2014 Comparing 2015 with 2015 with 2016 Absolut e value 2016 Relativ e value Absolut e value (%) Relativ e value (%) Total Revenue 118,45 127,45 (Billion 7 117,07 125,97 4382 1,386 9,000 107,7% 8,904 107,6% 5579 1197 127,3% 1,482 0,096 106% 140,25 12,798 110% 12,185 109,6% 6489 910 116,3 2,096 0,614 141,4% Dong) Expense 138,15 Per Capita Income/ month (1000vnd ) Profit (Billion dong) (Source: Accounting Department) According to the business result report of LKC Media in three years, the company’s business performance tends to increase gradually over years In 2015, the revenue increased 16 by VND billion year on year to an estimated 107,7% By 2016, the company’s revenue went up VND 12,185 billion (110% compared to 2015), profits shot up simultaneously 141,1%, much higher than 2015 (106%) The reason for this sharp growth is the increase of customer’s demands for advertising services and the surging of new customers and partners in 2016 Therefore, it can be concluded that LKC Media has a stable business performance, growth and annual development 2.2.2 Assessment of the advantages and disadvantages of the organizational structure and business activities Advantages: Regarding to the organizational structure, LKC Media has young, dynamic, wellqualified, enthusiastic and professional staff The board of directors are always interested in training staff The company always considers human resource as the most valuable assets After nearly 10 years since its establishment, the company has built reputation in the market and got the belief of customers and partners It also has the strength to compete and meets the increasing demand of customers With the current management model, which is divided into departments, managing to exchange and maintain cooperative relationships with company’s partners both domestic market and foreign market It is easier for LKC Media to control efficiently the activities of different departments This model also helps company in mobilizing and using capital, assets and human resources in each department, concurrently checking the authenticity of figures in the financial report and other reports to find out faults in the operating system So, the company can find solutions, solve the problems properly, save time and cost as well As for business activity, the company has accumulated good experience in organizing large projects related to media and entertainment sector Company’s business results revealed that the company continuously gets profits Five years from now, it is predicted 17 that the company will reach the growth target of 30% It is a feasible objective which helps LKC Media expand its scale to more nationwide provinces, not just in the Northern area Disadvantages: Although company’s revenues and profits still increase annually, these figures are not remarkable and not having great process due to some certain limitations Firstly, the staff in some departments are deficient, not be able to meet the requirement of expanding business of the company Work space is limited and small to accommodate the needs of the staff In addition, the company has not focused much on researching market, finding new partners Activity network is concentrated in a few large cities that have not extended to other potential markets Besides, over the past few years, despite making many great efforts in marketing plans and strategies, there are still a lot of restrictions in marketing activities of the company Consequently, the company’s business results are not really efficient 18 PART 3: EXISTING PROBLEMS IN BUSINESS ACTIVITIES AND THE USING ENGLISH OF LKC COMPANY 3.1 Existing problems in business activities and solutions 3.1.1 Evaluation of marketing activity  Achievements: During the past three years, under the clear and lucid guidance of managers, company’s performance in general and Marketing activities in particular have gained certain successes It can be seen from the business results that company’s trade is profitable and stable Revenue and profit go on increasing over years The revenue and profit of the following years are higher than the previous one Specifically, revenue in 2016 has made up more than VND 140 billion, up approximately VND 13 billion, profit reached more than VND billion (up 41,1% compared to 2015) Company’s marketing activity deserves compliments Marketing performance is gradually getting perfect and professional It has made good impressions on customer’s mind These achievements are demonstrated as follows: • • Always maintaining good relationships with customers Company’s image and reputation in the market, especially in media world, are • maintained and improved all the time Media and Film service has been expanding over the country and brought • considerable successes The board of manager has taken an interest in Call Centre service This service contributes a lot to keeping loyal customers via building firm belief in customer’s • mind Quality management activity has been concerned appropriately and promoted its effect Service quality is always stable and constantly improved  Limitations: 19 Besides its achievements, the company still exists certain problems It should be noted that although annual revenues and profits keep on increasing, operating expenses grow as well What are the problems? • Because Mobile marketing operation via SMS is not focused much, it does not bring high efficiency On the contrary, if Mobile marketing operation is concerned • properly, it will promote its effect as expectation Media is one of two key services that bring the main profit for the company However, it cannot demonstrate its special features, the differences, and • competitiveness in the market The ability advertising of the company is not effective due to the insufficient concern and budget from the company • Assessing the price of products is not clear  Solutions The company needs to plan effective business strategies and marketing strategies to ensure that company’s sales will rising over years Moreover, the company had better control operating costs tightly so that the company could get higher profit Then, the company is able to raising more funds for the investment and development of new services The company should pay attention to promotion budgets to stimulate customer’s demands efficiently In addition, logistics management needs to be concerned to keep company’s prestige and reputation in customer’s mind 3.1.2 Assesment of LKC’s Human Resource  Existing problem in human resource: Currently, the company is employing 200 people In which, some employees at the company graduated from university but they have the weakness of practical experience The structure of the company’s labour is deficient; the company cannot meet the volume of work Allocating staff in the company is not suitable However, marketing is the department, which has a large amount of work, only has 11 staffs As we can see from this below table, there are only two employees who undertake Film service: 20 Table 3.1: Labour structure of Marketing Department Service Media Quantity (People) Level Undergraduate Position Marketing Department head, staffs Phim Undergraduate Staff Billboard Staff Sms/Voice Call Centre College Post-graduate Undergraduate College Undergraduate Staff Staff (Source: HR Department)  Recommendations: Human resource is the key factor to determine the success or failure of the business Moreover, human resource also affects the survival and development of enterprises over each year For these reasons, the company must focus on the staff quality and efficiency improvement It is necessary to have effective recruitment solutions to recruit and train employees, improve work productivity and bring benefit to the company HR recruitment must be supervised strictly to choose right candidate for right job The company had better perfect its organizational structure and merge some departments to improve the efficiency of work at the same time Each year, LKC Media should organize skill and vocational training courses for the staff The courses must be suitable for each staff and department to get essential skills In addition, the company has duties to appoint employees to take part in the international conferences This will offer the staff opportunities to experience in international business environment and approach modern technologies in the world Since then, the staffs can learn new knowledge and apply to the company’s business 3.1.3 Limitations and solutions in competitive market 21 Today, the more the media sector develops, the fiercer competitive sector competitiveness becomes Media companies in both domestic market and foreign market put the best efforts to provide best services for customers; this has become large obstacle for the company’s development With the aggressive competition, it requires the company to innovate, improve and supply quality services to compete in the market As predicted, 2017 will be promise year of media sector In which, CCentre service, increasing customer’s interact are focused This below table reveals some large competitors in the domestic market They provide many services, which have effects on company’s business activity It forces the company to launch the new products and services into the market Table 3.2: Some competitors of LKC Media in the domestic market No Competitors Southeast Asia Media Service/Product + Program production + Event Organization + TV Booking + Film production + Building brand + Billboard + UUFA Champagne League + Branding and Associates + TVC + Digital Marketing + Mobile VAS + GViet Game Portal + Wap-Game Online + the value-added service + Cartoon production + Film right trading + Advertising consultant business + TV programme production PSC Media Thudo Media Dien Quan Media and Entertainment Company  Solutions: It is important for the company to enhance market research to meet customer’s new demands Since customer’s demand always changes and tends to grow, grasping the 22 market is the key to success Diversifying products and services are one of the most important steps to expand the business’s scale Particularly, in the integration period, appearing new demands requires company to supply more services LKC Media had better keep track of competitor’s marketing strategies in order to build appropriate marketing strategies for company’s services Now, the company is providing TVC 5s service for the framework of golden hour (7:45pm-8.00pm) TVC 5s is a new service and it promises of bringing successes for the company 3.2 English usage in LKC Media 3.2.1 The real state of using English in the company With the economic development and international integration, Vietnamese companies are expanding the business into oversea market And vice versa, more and more foreign companies come to Vietnam for investments Therefore, the demand for human resources who are proficient in English, especially in business English, is increasing However, in LKC Entertainment and Media Joint Stock Company, English is not used widely in all company’s departments At present, marketing department is the only department to use English in the company This department is in charge of film service and co-operating with foreign television stations for buying film rights Due to this limitation, the company has not expanded its market yet There are only two potential foreign markets Japan and Korea The company has two employees who are responsible for Film service Their English level is basic or basic reading comprehension They often rely on contracts, which can be found easily on the internet or available agreements In the case of mending or changing the term of contract, the company has to hire Translation Company Furthermore, because the whole company’s staffs are Vietnamese people, they are lack of environmental communication for English 3.2.2 Suggested solutions 23 Foreign languages in the modern economy play a vital role to each company It is necessary to the company’s future development and orientation To overcome the obstacles of using English in business, LKC Media should invest on organizing English courses for the staff; create conditions for the employees to have opportunity to take part in English training courses Besides, it is the done thing to motivate them to use English in the company as much as possible For instance, the company can design a mini exam for the whole staff on special occasions and award for the people who have made much progess in English communication This will contribute to the improving English level for the staff and efficiency of using English as well The company should enhance the using English in business activities including contract preparations, transactional email Regarding to HR recruitment, the company had better give priority to those whose have good English level On the other hand, LKC Media can appoint some employees who have experiences and proficiency in English to study foreign market, stimulate them by financial incentives, or reward them in kind when they sign the contract with foreign partners This will encourage company’s staff to learn more and more 24 CONCLUSION As the leading company in media and entertainment field, LKC Media has achieved many successes and created a firm foothold in the domestic market Besides, the company also makes efforts to expand into the international market LKC Media always try its best to become the best media partner to the customers Mr Tae-sung Ahn - CEO & Founder TJB Asia said, "LKC Media have shown us how TV can be a very effective channel and make us stand out in market place I'm very keen to build a long cooperation.” “Today, media is vital question to every business With LKC Media, we absolutely set our mind at rest and believe ” Mr Ngo Chi Dung, General Director of Eco Pharma Joint Stock Company said To get more successes in the future, the company needs to plan the appropriate business strategies, study and expand the markets, have timely solutions for existing problems This report is the result of my internship at LKC Media By real experiences and my knowledge, I hope that what have been suggested the report will help the company deal with existing problems in the company During the internship period, I had the opportunity to experience and learn useful lessons from the company I sincerely thank the company for giving me chance to learn and develop myself in many different areas They are valuable lessons that help me orientate my future career 25 REFERENCES Monthly report of LKC Entertainment and Media Join Stock Company Finance reports in the period of 2014-2016 Website: http://lkc.vn/ 26 ... Northern region Quang Ninh, Hai Phong, Nam Dinh, Vinh Phuc, Phu Tho, Bac Ninh, Bac Giang, Ninh Binh, Thanh Hoa 40.248.485.000 Central region Nghe An, Quang Binh, Quang Nam, Hue, Dak Lak 30.679.835.000