Effects of Micro and Macro Economic Factors on Business Management – A Case of Coteccons in Construction Industry in Vietnam
Journal: International Journal of Mechanical and Production Engineering Research and Development (IJMPERD ) (Vol.10, No. 3)Publication Date: 2020-06-30
Authors : Do Minh Thuy Dinh Tran Ngoc Huy Nguyen Thi Phuong Thao; Huynh Xuan Nguyen;
Page : 13199-13212
Keywords : CTD Net Profit; Stock Price; Cost; GDPGrowth; Inflationary; Risk Free Rate; Market Interest Rate;
Abstract
Having been established since 2004 until now, Coteccons Group(CTD)has affirmed its brand through many big projects that we have built and become the leading corporation in Vietnam in general construction contractor. It can be mentioned is the tallest Landmark 81 building in Southeast Asia and ranked 17th in the world.Good business management requires us to consider the impacts of multi macro and micro factors on net profit, both internal and external factors, and it contributes to promoting business plan and economic policies for economic growth and stabilizing business operation. By data collection method through statistics, analysis, synthesis, comparison, quantitative analysis to generate qualitative comments and discussion; using econometric method to perform regression equation and evaluate quantitative results, the article analyzed and evaluated the impacts of ten (10) micro and macroeconomic factors such as: stock price, VNIndex, risk free rate, lending rate, cost, sale, inflation, GPD growth, S&P500, exchange rate, etc. on net profit of a leading listed construction company, CTD in Vietnam in the 10-year period of 2010-2019, both positive and negative sides. From that regression model and analysis, it will draw leadership features, strengths of this industrial leader. The results of quantitative research, in a ten factor model, show that the decrease in lending rateandin crease inrisk free rate will havea significant effect andincrease CTDnet profit,with the highest impact coefficient, the second is decreasing CPI. This research finding and recommended policy also can be used as reference in policy for construction system in many developing countries
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Last modified: 2020-10-01 14:33:40