Economics analysis:

Vietnam's progress during the last 30 years has been spectacular. Since 1986, political and economic changes
have accelerated economic progress, transforming Vietnam from one of the world's poorest countries to a low-
middle-income economy. GDP per capital increased 2.7 times between 2002 and 2018, reaching over $2,700 in
2019, lifting over 45 million people out of poverty. The poverty rate dropped dramatically from over 70% to
about 6% (3.2 USD per day at purchasing power parity). Ethnic minorities make up the majority of the
remaining poor in Vietnam, accounting for 86 percent.
Due to robust domestic demand and export-oriented manufacturing, the Vietnamese economy continues to
exhibit a strong foundation and high resilience in 2019. In 2019, real GDP is expected to rise by 7%, equal to
the rate of growth in 2018, making it one of the fastest-growing countries in the area.
Vietnam's economy has been severely impacted by the COVID-19 epidemic because of its deep economic
integration. As a result, Vietnam's gross domestic product (GDP) grew by 2.91 percent in 2020, the lowest
increase in previous decades but still among the world's top.
In 2021, the pandemic's strong and extended outbreak in the final months of the year impacted negatively on the
economy. According to data just released by the General Statistics Office, Vietnam's GDP fell 6.17 percent in
the third quarter of this year compared to the same period last year, the largest drop since our country calculated
and announced quarterly GDP from 2000 to now, resulting in a 1.42 percent increase in GDP for the first nine
months of the year. However, we need not be concerned because supportive government policies have been
implemented and new digital transformation routes are being fostered. As a result, GDP is predicted to rise at a
rate of 2-2.5 percent in the remaining months of the year.
● Inflation

According to Deputy Finance Minister Ta Anh Tuan, inflation in 2021 is under control. Average CPI in the first
9 months of 2021 increased by 1.82% over the same period last year, the lowest increase since 2016; Core
inflation in the first 9 months of the year increased by 0.88%. In general, from the beginning of the year until
now, the price level has increased and decreased, and some commodities have experienced a high increase due
to the impact of domestic supply and demand factors and world prices.
● Import and Export

The world in the years 2017-2021 encountered many changes. In April 2018, the US-China trade conflict occurred, in
2020, the Covid-19 pandemic raged, greatly affecting the economy in general. Including import - export. However, under
the close direction of the Government and ministries, it has helped our country's import and export activities achieve
expected numbers.

- Export growth exceeded

- Imports are controlled

- Trade balance reached a surplus, next year is higher than the previous year

- Positive export restructuring

- Export value per capital increased

● Foreign Exchange

As of December 30, 2021, the USD/VND exchange rate on the interbank market was traded at 22,788 VND/USD, down
nearly 1.3% compared to the end of last year. While the buying price of USD at banks also decreased by 330-400
VND/USD, equivalent to 1.5-2% decrease and the selling price decreased by 250-330 VND/USD, equivalent to 0.8-1.4%.

On the other side, the central USD exchange rate increased only slightly by 14 VND compared to the end of 2020 while
the free USD price increased by 80-100 VND/USD. These are all the lowest volatility levels in recent years.

With developments in the banking market, VND is one of the few currencies in the region that has appreciated against
the USD in 2021.

Industry analysis:
Retail market overview

With a young population and a large number of urban residents, Vietnam is an appealing market for retailers. The retail
market in Vietnam has undergone substantial transformations in recent years. In addition, market competition is
growing increasingly strong. For some brands, this means increased store numbers, while for others, it means shop
closures. Despite major changes, Vietnam remains one of the world's most appealing retail marketplaces in 2021.

The report on the construction of the Industry and Trade restructuring project for the 2021-2030 period of the Ministry
of Industry and Trade has just been released, according to the assessment of UNIDO, WB, INCENTRA, UNCONTRADE and
EU-Vietnam Business Network (EVBN), The domestic market is now continuously expanding, ranking third in ASEAN
(after Indonesia and Thailand) in terms of retail and e-commerce.

Both domestic and international capital participate in the Vietnamese economy. This is a winning combination since
domestic businesses benefit from local customer knowledge and licenses, while international businesses benefit from
technological and capital advantages.

According to the General Statistics Office, the Covid-19 outbreak has had a significant impact on commerce, service,
import and export operations in the first months of 2021. In the last six months, the service sector has grown at the
slowest rate during the period 2011-2021. Shopping over the internet is becoming increasingly popular. During the
COVID-19 pandemic, modern commerce networks are dominant since daily demands must be met, especially during
times of social distancing.

Food service Tourism Other service

Revenue (trillion VND) 234.7 10.3 240.2

Accounting for total revenue (%) 9.9 0.4 10.1

Change (%) (18.1) (53.2) (7.4)

Total sales of goods and services, particularly travel services, were impacted. Although Vietnamese consumers remain
optimistic, their lifestyle and buying habits have changed as a result of the pandemic.
Vietnam retail market landscape

The domestic market is gradually developing in line with the process of industrialization and modernization, as well as
the people's increasingly enhanced standard of living.

In this section, the number of stores of the brand can be viewed, and the trend of the row in the big date of the market
Vietnam can be seen.

In 2021, the number of supermarkets will have reduced by 33%, from 360 to 348, compared to 2019. This decline is
primarily due to Vinmart's closure of some of its supermarkets. According to national statistics, CoopMart owns the
most supermarkets with 128 locations, followed by Vinmart with 89 locations.
Unlike supermarkets, the number of convenience stores surged by 73% from 3,007 in 2019 to 5,214 in 2021. This
increase is due to Vingroup's expansion plan, which involves opening Vinmart+ outlets in rural areas or sub-zones on a
regular basis. When you go deeper into the data, you'll notice that Vinmart + is still the market leader despite having a
large number of stores. Bach Hoa Xanh is another well-known brand that is constantly increasing its scope of operations.
When many brands come in Ho Chi Minh, it remains the most appealing city. In contrast to Hanoi, only Vinmart+ and
Circle K are available.

In 2021, the number of small retailers will decrease slightly, from 163 in 2019 to 154 in 2021. Miniso, which has 47
locations around the country, is "dominating" this position.
However, the number of business centers has increased by 11.5% from 96 in 2019 to 108 this year (2021). When the
number of Vincom shopping malls entirely outnumbers other names, Vingroup demonstrates its supremacy in the retail
business once again. Vincom has 77 retail malls listed out of a total of 108, accounting for more than 70% of the total.
LotteMart, which has 16 shopping malls, comes in second after Vincom.

In 2021, the number of Electric chains experienced a dramatical increase from 969 to 1,753 accounting for 81%
comparing to 2019. Dien may xanh owns most store in this field with 1580 of 2003 in total.
In 2021, the number of IT devices has about 3663 stores all over VN. The gioi di dong owns most store in this field with
2521 in total.

Furthermore, some chain stores such as food, cosmetics, fashion, fitness, milk tea, drug, etc., also increased significantly
compared to 2019.

Trends affecting the Vietnamese retail market in 2021

Due to the impact of the Covid-19 epidemic; Online sales channels preferred by consumers are Social Networks
(Facebook; Zalo Shop, Instagram), e-commerce floors (Shopee, Lazada, Sendo), electronic websites… According to
Econimist Intelligence, the number of users will reach 56. thousand people by 2021; with an average growth rate of
5%/year. Moreover, 2021 is the year of explosive convenience trends for both buyers and sellers. Barcode scanning
payment methods are popular at Vinmart supermarket chains or using electronic wallets for payment. At Lotte Mart,
there are also in-store purchases and home delivery services. Technological achievements are strongly applied in 2021
to bring convenience to everyone such as sales management software, POS machines, barcode scanners.

Company analysis:
(MWG: Mobile World Investment Corporation)

1. General

The No.1 Retailer in Vietnam by revenue and net profit after tax with more than 4,500 stores nationwide. MWG
operates the following concepts: “thegioididong” mobile phone retail chain, “Dien May Xanh” consumer electronics
retail chains, “Bach Hoa Xanh” grocery retail chain. In addition, MWG has expanded to regional markets with the phones
and consumer electronics retail chain in Cambodia as well as invested in An Khang pharmacy chain.

2. Business strategy:

● The 'chameleon' strategy

- Continuously expanding the category

lines compared to before. To prepare for the slowdown in the phone and electronics market in the coming

years. MWG has come up with many plans and continuously launched many new business and cooperation

projects in the past year or so.

In early May, MWG experimented with selling bicycles and accessories such as water bottles, helmets, anti-theft

locks... in front of Dien May Xanh (DMX) stores. In mid-October, MWG opened another TopZone - an authorized

retail chain for genuine Apple products.

In November, MWG established another company with a charter capital of 100 billion VND to operate the

system of warehousing, transportation and delivery between general warehouses and stores. Not stopping

there, the retailer is still actively preparing for the launch of AVAWorld with completely new business segments

such as fashion, sports, mother and baby, jewelry, bicycles... in the meantime. next.

MWG has launched the AVA Kids chain - specializing in selling products for mothers and children even when the

market is dominated by many big chains such as Con Cung, Bibo Mart, Kid Plaza... dominating. And yet, MWG

also launched BlueJi on November 20. Here, customers can shop for eyeglasses of famous brands such as Nike,

Puma, Klenin, Guess... and jewelry for both adults and children including rings, earrings, necklaces, bracelet...

It can be said that, in the context of the business market in gray color due to the influence of the Covid-19

epidemic, MWG will have another year of 2021 with great efforts in expanding the product line, even though

MWG itself is already multi-industry. profession with many products such as phones, electronics, food,

medicine glasses...

- Scaling up business

Besides expanding the category, MWG also made a mark in expanding its scale. From the beginning of 2020,

MWG not only does business in big cities and provinces, but also has a strategy to open more small stores in

districts and communes with the expectation of reaching 60-70% of the mobile market share through the World

chain. Mini Mobile and Super Cheap Phone shops to compete with small private stores.

Accordingly, the opening of more retail stores in the districts will help MWG expand its customer base and

increase market share.

- Leverage model
 Mobile World always tries to optimize every square meter with the "shop-in-shop" model to maximize customer

needs. The outside area of DMX is currently being used to open 150 more bicycle shops, helping this retail

business to pocket 400 billion dong since its opening from May to present. The area of some TGDD stores is also

used to open Topzone stores.

Not only promoting the expansion of the system and product groups, but Mobile World also expands a variety of

convenient services right in the existing stores. From support to pay electricity, water, Internet bills...

Mobile World customers can also purchase auto/motorcycle insurance, or even deposit, withdraw and transfer

money like at a bank's point of sale, without ever leaving the retail store.

3. Recent news