|
Enterprises to multiply despite economic gloom
Vu Tien Loc, Chairman of Viet Nam Chamber of Commerce and Industry (VCCI), told Viet Nam News reporter Hoang Ha about meeting the 2010 target of 5,000 enterprises, even in the current economic slump as the country faces inflation and an unstable real estate and securities market.
Is it possible to have 5,000 enterprises in Viet Nam by 2010 in face of the current domestic economic slump?
The target of 5,000 Vietnamese enterprises is possible. Other than enterprises officially recognised under the Law on Enterprise, Viet Nam has 3 million business households. All we need is a reasonable policy to create favourable conditions for them to begin operating as enterprises.
While the business environment, is undergoing obstacles, it’s also getting its fair share of advantages. For instance, the country’s integration process into the world economy has created new conditions for enterprises to have favourable conditions to develop over the long term. The second advantage is that the State continues to work to stabilise the macro-economy, curb inflation and reduce speculation in the domestic securities and real estate markets.
Enterprises, as well as individuals, who have strong business abilities based on their talents, understanding and long-term business plans, will be given opportunities to develop their business activities.
How do obstacles in the economy effect enterprises?
I think the prospect of the Vietnamese economy in the long term is still bright because the economy has great development potential and the current obstacles are only short term. I believe we will overcome these obstacles over the next few years, Viet Nam’s economy will resume its strong growth and development.
The community of foreign enterprises in Viet Nam agrees with me on this issue. Foreign investors continue to enter the Vietnamese market to do business over the long term, although there are still obstacles to the development of the economy.
Obstacles should be taken as lessons for enterprises as Viet Nam develops its market economy and integrates into the world economy.
With these lessons, enterprises should look back on their development and ensure they are focusing on quality and increasing competitive ability.
In recent years, enterprises have invested their capital into real estate, securities and banking sectors to profit from short-term interest rather than increase their competitive ability, develop their work force and develop supportive industries.
What can enterprises do to improve their quality?
Important things for enterprises to focus on include the quality of their work force, technology and enterprise management.
Now is a favourable time for enterprises to re-focus on improving the quality of their work force, renewing their technology and developing supportive industries comprehensively.
The role of State management is also important to influence the direction in which the enterprises are developing. Other than stabilising the macro-economy, the State will set-up projects to develop sectors and regions. The projects will help enterprises build their development plans.
I think State economic policy makers will take lessons in trying to control the market from abroad, and complete the legal system to prevent monopolies and speculation and create a healthy business environment.
As a representative of the community of enterprises, what does VCCI think of abolishing limitations on spending for advertising and marketing as regulated in the revised law on enterprises?
I support the abolishment of spending limitations for advertising and marketing at enterprises.
VCCI has sent many official letters on this issue to a review board of the revised Law on Enterprises. I continue to work with the board and the National Assembly’s Finance and Budget Committee to voice enterprises’ legitimate aspirations.
I think the percentage of operating costs used for advertising and marketing should be initially increased to 15-20 per cent, if full abolishment isn’t an option at the moment.
VNS
|
