I.

Introduction:
Nowadays, there are businesses with different sizes and scopes operating within Vietnam. The
purpose of this report is to investigate and analyze three different types of organizations, as well
as their size and classification, in order to highlight differences between them. These companies
include: Apple Inc., Vietnam Electricity (EVN), and VietJet Aviation Joint Stock Company
(Vietjet Air).
II. An overview of various types of organizations and the expansion of the international
business environment:
1. Overview of various types of organizations and how they are categorized:
According to Srivastava (n.d.), an organization can be defined as “a structure or machinery
manned by group of individuals who are working together towards a common goal”. This
“common goal” is usually making money through their sales of goods and services. There are
multiple characteristics for organizations to be categorized in, which includes: ownership, legal
form of business, size, which industrial sector the company belongs in, their scope, and purpose.
a. Ownership:
The first of many characteristics for an organization to be categorized in is ownership, which
includes: public, private, and voluntary sectors.
Sector Public Private Voluntary
Definition According to The The North-South According to Reach
Institute of Internal Institute (NSI) (2013) Volunteering (n.d.),
Auditors (IIA) defined private the term "voluntary
(2011), governments, organizations as sector" refers to
as well as other organizations with a businesses whose
publicly managed or fundamental strategy primary goal is to
sponsored and mission to make a positive
organizations, engage in profit- social impact rather
corporations, and seeking activities, than make a profit. It
other entities that whether through is also known as the
supply public production of not-for-profit sector.
programs, goods, or commodities, supply
services, are of services, and/or
considered part of the commercialization,
public sector. are referred to as
private sector.
Characteristics The Northern - Profit-driven: - Non-profit:
Leadership Academy companies in this companies in this
(2007) outlined three sector primarily focus sector do not
distinct on making profits. emphasize on making
characteristics of the Enterprises in the profits.
public sector private sector often - Not controlled by
organizations: achieve higher profits the government (non-
 - They operate on than companies in the governmental
multiple hierarchies. public sector by organizations).
- Provide services working within the - Relies on donations,
instead of products, country's regulations membership, grants,
many of which are on and compliances. etc. to operate.
a personal level. - Private ownership,
- The objective of control and
public service independently
organizations is to managed, does not
serve the common involve participation
good, or the well- from the state.
being of the general
population.

b. Legal form of business:

The second criteria for a company’s categorization is their legal form of business. This includes:
sole trader, partnership, private limited company and public limited company.
Legal status Sole trader Partnership Private limited Public limited
company company
Definition A sole trader is a The Legal Dilrukshi (n.d.) A public limited
self-employed Dictionary (n.d.) argues that a company is one
individual who defines this as private limited that is listed on a
owns and “an association company (PLC) stock market and
operates their of two or more is a type of has its
own firm. All person engaged business that shares/stocks
parts of the in a business provides limited publicly traded.
business, enterprise in liability and
including debts which the profits legal protection
and losses, are and losses are to its
legally the shared stockholders
responsibility of proportionately”. while imposing
the individual. some ownership
restrictions.
These
limitations are
outlined in the
company's
bylaws or
regulations, and
they are intended
to deter any
hostile takeover
effort.
Characteristics - Unlimited - Contractual - Limited - Limited
 liability: the relationship: A liability: liability.
responsibility is partnership is shareholders - A public
not only formed solely liability is company is a
restricted to through a limited to the legal body with
investments contract between value of their its own identity
made to the a set number of total shares. that is distinct
company, but people known as - Tax benefits: from its
also to the partners. Tax breaks for members
company's - In a partnership private limited (Ghuge, 2021).
private property. there must be at businesses - Easy
- Secrecy: the least two include reduced transferability: A
owner can keep persons. corporate shareholder
all the business’ - All partners taxation than for these companies
secrets to must have others. (Lawble, can easily
himself. complete trust in 2018). transfer his or
- Full control: one another. - Lack of her shares to the
the owner full Every partner is confidentiality: general public.
ownership and expected to act the facts and
control over the honestly and in information of
business. the best interests people in the
of the company. company,
They must keep including those
accurate records of high
and disclose all positions, are
information to made public.
one another.

There are some differences between the United Kingdom (UK) and Vietnam when it comes to
these legal forms of business, some of which include:
- There are no age requirements for a person to become a sole trader (GOV.UK, n.d.), while one
is required to be 18 years old minimum, does not have any criminal records, and is not a state
official or a member of the army in Vietnam (BBCIncorp, 2021).
- According to article 130 of the Law of Enterprises 2005 in Vietnam, at least one co-owner of
the partnership must be an individual.
c. Size:
The third criteria for categorizing companies is their size. This includes: micro, small, medium,
and big companies.
Company size Micro Small Medium Big
Definition A very small, A small, private A medium, A big, private
private limited limited private limited limited
company. company. company. company.
Characteristics According to - Has up to 50 - Has up to 250 - Has more than
 GOV.UK (n.d.), employees. employees. 250 employees.
a micro - Turnover of - Turnover of
company has to £10.2 million or £36 million or
meet two of less. less.
these three - £5.1 million or - The balance
requirements: less on its sheet total must
- Has up to 10 balance sheet. be no more than
employees. £18 million.
- Turnover of
£632,000 or less.
-£316,000 or
less on its
balance sheet

In Vietnam, the employee requirements stay mostly the same to UK standards, but the capital
and revenue requirements are different, such as:
- For micro companies:
+ In the industry and construction, agriculture, aquaculture, and forestry fields: capital of no
more than VDN 3 billion and total revenue of no more than VND 3 billion in the previous year.
+ In trade and services sector: no more than VDN 3 billion capital, and no more than VND 10
billion of total revenue in the previous year.
- For small companies:
+ Industry and construction, agriculture, aquaculture, and forestry sector: less than 100
employees, less than VDN 20 billion in capital, and less than VND 50 billion in total revenue the
previous year.
+ Trade and services: no more than VDN 50 billion capital, and no more than VND 100 billion
of total revenue in the previous year
- Vietnam's medium businesses need to employ less than 200, not exceeding VND 100 billion in
capital, and not exceeding VND 200 billion in previous year's turnover.
d. Industrial sector, business scope, and purposes:
Companies can also be categorized based on which industrial sector they belong in, what their
business scope is, and the purpose of their business.
- Industrial sector:
+ Primary: The primary sector encompasses all the operations aimed at using natural resources,
such as: agriculture, fishing, forestry, mining, etc.
+ Secondary: The secondary sector encompasses all activities involving varying degrees of raw
material processing (manufacturing, construction, etc).
+ Tertiary: Businesses in this sector offer services to customers and other businesses, for
example education, health care, entertainment, transportation, etc.
+ Quaternary: The quaternary sector, also known as the quaternary industry, is an economic
activity that is based on intellectual or knowledge-based economy. This work entails conceiving,
creating, interpreting, organizing, directing, and transmitting with the assistance and support of
scientific and technical knowledge. Examples of jobs under this sector are programmers, IT
specialists, developers, etc.
- Scope: refers to the set of goals and requirements of a company to secure revenues and achieve
profits. It falls under three different categories: local, national, and international.
+ Local: these businesses tend to sell their goods and services to customers in the same city,
town, or region. Local businesses tend to have a good understanding of the wants, needs, and the
culture of their local community. These businesses will often opt to providing good customer
service as a way to entice loyal customers.
+ National: A national business is one that works entirely within a country's borders. These
businesses usually have an upper hand compared to their local counterpart as they can sell their
goods and services on a national scale and not be limited to a single city. They also enjoy the
benefit of understanding the wants, needs, and culture of the country they are working in.
+ International: International businesses can operate in many countries. Just like how national
businesses have an edge over local, international businesses can outperform national businesses
as they have access to more than one country. However, there are cases where international
companies failed to compete with national, even local businesses. A famous example of which is
McDonald’s and Burger King failures in Vietnam (CNBC, 2018).
- Purpose: When establishing a company, it is essential for the owners to decide the purpose of
their business, which is either profit or non-profit. For-profit companies are concerned with their
own interests and strive to make a profit through their operations. Non-profit entities are legal
companies that are organized and operated for the benefit of a group, the general public, or the
social good.
2. The growth of the international business environment:
The international business environment is constantly changing. Citizens' overall standard of
living has improved as a result of increased productivity and the introduction of new and better
goods and services as a result of innovations and the invention of new technology. Companies
can find lower-cost ways to produce their products because of globalization. It also increases
global competition, which drives down prices and gives consumers more options.
III. Analysis of the backgrounds of Vietjet Air, Apple, and Vietnam Electricity (EVN):
1. Vietjet Air:
 Type Private organization
Legal status Private limited company
Size Big
Scope International
Purpose For-profit
Industry Tertiary
Vision “To become a global airline group with an extensive regional and
worldwide flight network, providing not only airline services but
also consumer services across advanced e-commerce platforms; a
trusted and highly prestigious brand in the eyes of travelers all over
the world” ((Vietjet Air Annual Report, 2019)
Mission “-To continuously expand our flight network nationally, regionally
and globally;
- To bring innovation to airline services;
- To make air travel the most popular form of transportation for
Vietnamese and all people around the world;
- To bring happiness and satisfaction to our customers by offering
outstanding services, always with a friendly smile.” (Vietjet Air
Annual Report, 2019)
Products and services - In-flight meals.
- Private jet.
- One 2 Fly magazine.
- Skyboss (Premium class).
- Flight entertainment activities, gifts, wedding on airplane, famous
singers.
Stakeholders - Employees.
- Flight passengers.
- Government.
- Airplane components suppliers.

By being in the tertiary industrial sector, Vietjet Air can deliver transportation and entertainment
services to their customers, thus going in line with their fourth mission statement. Their
international scope fits with their vision and first mission. Vietjet Air’s products and services go
in line with their industrial sector.
2. Apple:
Type Public organization
Legal status Public limited company
Size Big
Scope International
Purpose For-profit
Industry Secondary, tertiary, and quaternary
Vision “The Company is committed to bringing the best user experience to
its customers through its innovative hardware, software and
services” (Apple’s Annual Report, 2018).
 Mission - Best user experience
- Improving the lives of people
- Empowerment of the public
- Delivering top quality products.
Products and services - iPhone.
- iPad.
- Mac.
- Operating systems: iOS, macOS, watchOS, etc.
- iCloud.
- Apple Pay, Apple Watch, Apple TV, etc.
Stakeholders - Employees.
- Apple product consumers.
- Government.
- Board of directors.

By being in the secondary, tertiary, and quarternary industrial sectors, Apple can develop their
own products, ensuring quality, and bringing entertainment services to their customers, thus
going in line with their vision and their first and fourth mission statement. Their international
scope fits with their second and third mission as having access to a global market means they can
deliver their products on a global scale, thus increasing the quality of life for people around the
globe and empowering them. Due to working in the secondary, tertiary, and quarternary
industrial sectors, Apple has a wide range of products and services.
3. Vietnam Electricity (EVN):
Type Private organization
Legal status Private limited company
Size Big
Scope National
Purpose For-profit
Industry Primary, secondary
Vision “Vietnam Electricity (EVN) is a leading economic group in the
power sector in Vietnam and in the region, plays a key role in
ensuring the national energy security” (EVN, n.d.).

Mission “To sufficiently meet the electric energy demand of customers with
better and better quality and services”.
Products and services - Electricity.
- Electricity repair work.
Stakeholders - Employees.
- Consumers.
- Government.
- Board of directors.
EVN’s big size and national scope matches their vision. By being in the primary and secondary
industrial sectors, EVN can produce and distribute electricity to consumers and offer electricity
repair work if any problems are to arise. It also goes in line with their mission of meeting the
energy demand of customers.
IV. Organization structures and comparisons:
1. Vietjet Air:

Vietjet Air’s Organizational Structure (Vietjet Air Annual Report, 2020).

- Functional based structure, as they assign employees based on specific skills and knowledge.
This type of structure allows Vietjet Air to increase task effectiveness and efficiency as
specialization allows each department to focus on their own duties. Another advantage of this
type of structure is clarity as employees have their responsibilities clearly outlined. This could
also be a disadvantage, as employees who overfocus on their objectives can neglect the overall
company objectives. Another disadvantage is that it could create potential misunderstanding
between departments.
- The organizational chart is flat.
- The Safety, Security, and Quality Assurance Department is in charge of adhering to aviation
safety standards set by the International Civil Aviation Organization (ICAO), aviation
authorities, and associations, as well as minimizing risks and preventing mishaps (primary
activities).
- The company's Board of Management is in charge of preparing and presenting these
consolidated financial statements in accordance with Vietnamese Accounting Standards, the
Vietnamese Corporate Accounting System, and applicable regulations on the preparation and
presentation of consolidated financial statements (support activities).
- Vietjet Aviation Academy trains new cadets and flight attendants (support activities).
- The Medial Relations Division is responsible for advertising and raising awareness of the
airline (primary activities).
- The Flight Operations Division is in charge of establishing safe CNS (Communications,
navigation and surveillance) and air traffic management operations through the use of existing
and upcoming technologies as well as creative operational concepts (primary activities).
- The Commercial Division is responsible for handling the logistics of the company (primary
activities).
2. Apple:
 Apple’s Organizational Structure (Dudovskiy, 2021).
- Apple’s organizational structure is a mix of both functional and product based structures, which
is also known as the matrix structure, according to Dudovskiy (2021). The advantages of this
approach include: improves collaboration and flexibility, encourages communication, and
maximize resource usage. However, this approach also has some disadvantages, for example
roles and responsibilities are not clearly defined, possibility of conflict between functional and
product managers, etc.
- The organizational chart is flat.
- Apple’s decision making is decentralized.
- Software engineering department is responsible for researching, designing, and writing new
software and operating systems (primary activities).
- Hardware engineering department is in charge of system design and test engineering (primary
activities).
- Marketing communications department handles advertising, promotions, sales, branding,
campaigning, and online promotion. The worldwide marketing division is also responsible for
the same tasks but on a global scale (support activities).
- The industrial design department develops concepts for Apple products (primary activities).
- User interface design division focuses on predicting what users would need to do and ensuring
that the interface provides elements that are simple to access, understand, and use to help them
accomplish their goals (primary activities).
3. Vietnam Electricity (EVN):
 EVN’s Organizational Structure (EVN, 2021).
EVN’s organizational structure is functional based as they assign employees to departments
based on the skills they posses for that department’s function. The advantages and disadvantages
of this model has been discussed beforehand.
EVN’s organizational chart is tall.
The organizational structure of EVN includes:
- Board of Directors: elected group of individuals that represent shareholders, usually meets on a
regular basis to establish business management and monitoring rules.
- President and CEO:
+ President: responsible for strategy and operations management.
+ CEO: responsible for determining and pursuing the company's mission, vision, and strategy, as
well as ensuring the company's financial performance.
- Vice Presidents and Chief Accountant:
+ Vice President: often the second or third person in charge, functions as a leader and may
oversee a specific department to ensure that it meets its objectives and produces results for the
firm.
+ Chief Accountant: All financial and managerial accounting activities are under these people’s
control.
-  Functional Departments:
+ General affairs: General affair and clerical works, archives, and administration (support
activities).
+ Organization and Human Resource: Organization, reform and development of the enterprise,
staffing, human resource development and training, labor, wages, health care, labor protection
scheme, emulation, and reward (support activities).
+ Corporate Planning: Developing annual and long-term plans, master plans and strategies for
production and company development, investment, and EVN operational outcomes statistics
(support activities).
+ Financial and Accounting: Finance and accounting of EVN (support activities).
+ Legal department: EVN legislation, legal concerns relating to EVN's operations, and the
preservation of EVN's legal rights and interests (support activities).
+ Communication: Information and communication, company identity, corporate culture, and the
preservation of EVN's traditions are all priorities (support activities).
+ International Relation: Developing relationships, working with foreign partners to seek and
arrange financing from international financial institutions, forming business partnerships with
overseas partners, and other international interactions (support activities).
+ Technical and Operational: Technical management of EVN's power generation and power grid
facilities' production, operation, and maintenance activities, management of materials for EVN's
production and business activities, and technical issues in the establishment of science and
technology strategies, as well as the development of EVN's power system (support activities).
4. Comparison and Recommendations:
Apple has a different company structure compared to EVN and Vietjet Air, while Vietjet Air and
EVN have the same organizational structures. In my personal opinion, Vietjet Air and EVN
could try to adopt the matrix company structure to strengthen their collaboration between
multiple divisions, maximize resource usage, and increase flexibility.
V. Conclusion:
In conclusion, Vietnam has a relatively diverse organization types and sizes, each with their own
scope, legal status, and key stakeholders.
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