Promoting Strategic Alliance Of Vietnamese Retail Companies In Multi-Industries: A Case Of Mobile World Group
Abstract
The strategic alliance has become one of the potential ways for businesses to leverage and
optimize their operation activities. In this way, businesses can leverage each other's
strengths to achieve common goals and establish sustainable relationships. Particularly, in
the retail sector, this industry has a fierce competition because of the variety of product
services, business forms, and diverse needs of customers. That poses a challenge for retail
businesses to consistently achieve their business goals. As one of the largest retail
companies in Vietnam, Mobile World Group (MWG) has operated in multiple industries,
namely electronics, grocery, fashion, jewelry, etc. For comparing its performance with
other companies in the same industry, this research will use the Grey model and Data
Envelopment Analysis to further assess the industry and identify potential companies for
MWG to form a strategic alliance with. After conducting an assessment of 10 DMUs by
involving 5 factors, the predicted values are obtained and prepare for the SBM assessment.
The average MAPE for the total DMUs is belonged to the reasonable range; hence, these
numbers are still applicable for the SBM assessment. The final results after conducting the
Super-SBM model suggest the top three companies MWG should establish a strategic
alliance with. On the other hand, the results also point out the top three least-favorable
companies that a strategic should not be implemented. In conclusion, the company can
diversify its business in multi-industries by cooperating with the three potential companies
because each company specializes in its retail segments. Thus, MWG can utilize resources
and optimize its business performance after forming a strategic alliance.