Vietnam’s Vsmart global market
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Vietnam’s largest private firm Vingroup launched four new phone models Friday, saying it aims to sell them internationally. The four new Vsmart phones, manufactured at the group’s VinSmart factory in Vietnam’s northern city of Hai Phong, are priced from 2.49 million ($107.18) to 6.29 million ($270.76) in the introductory phase. The prices will later increase to VND2.59-6.59 million ($111.49-283.67).
Tran Minh Trung, CEO of VinSmart, said at the launching event that his company wants to branch out to markets outside of Vietnam.
“We will not stop at the Vietnam market. We will bring out products to the world with five business departments in five continents. A sixth department will be in charge of e-commerce. We are capable of competing and we want to be accepted in both local and international markets,” he said.
VinSmart is set to be a new competitor in the Vietnam market of 95 million people, currently dominated by Samsung and Apple phones.VinSmart acquired the intellectual property rights for the four phones from Spanish technology firm BQ, in which VinSmart owns a 51 percent stake.
Vietnam is the largest smartphone production base for Samsung, while key Apple supplier Foxconn is also considering setting up a factory in the country.
The launching of the phones has happened at rapid speed, just six months after Vingroup established the VinSmart company in June to produce smartphones and other smart electronic devices with a registered capital of VND3 trillion ($131.54 million).
Vingroup, once a real estate and retail focused conglomerate, also became the country’s first full-fledged domestic car maker in October, introducing three new car models.
VinSmart factory is capable of making five million phones a year in its first phase of operations, the company has said.
It has also said that the factory will produce smart TVs and other smart products in the future. VinSmart also signed a multimode global patent license deal on Friday with chip producer Qualcomm.
Questions & Answers
Q.Which international markets does VinSmart plan to enter with its new phones?
Which international markets does VinSmart plan to enter with its new phones?
VinSmart aims to branch out to markets outside of Vietnam and will establish five business departments across five continents. An additional department will handle e-commerce operations for global sales.
Q.What is VinSmart's production capacity for phones in its initial phase?
What is VinSmart's production capacity for phones in its initial phase?
The VinSmart factory is capable of manufacturing five million phones annually in its first phase of operations. The company has also stated plans to produce smart TVs and other smart products there in the future.
Q.How did VinSmart acquire the intellectual property for its new phone models?
How did VinSmart acquire the intellectual property for its new phone models?
VinSmart acquired the intellectual property rights for its four new phone models from Spanish technology firm BQ. VinSmart currently holds a 51 percent ownership stake in BQ.