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Developing the technology market
Although there is an urgent need for small and medium-sized enterprises (SMEs) to upgrade their technical facilities, many of them are still finding it difficult to choose and apply new technology.
Vietnam now has around 370,000 SMEs, making up 97 percent of the country’s total businesses. The number of SMEs has increased rapidly thanks to simplified registering formalities. Dr Ho Sy Hung, deputy head of the Department of Enterprise Development under the Ministry of Planning and Investment says that almost all SMEs use outdated technologies, which greatly affects their development.
Although SMEs are clearly aware of the importance of improving technologies, their capacities to do this are still limited, said Mr Hung. He added that currently 80 percent of SMEs have no plans to develop their technologies. According to the latest survey conducted by the Vietnam Chamber of Commerce and Industry (VCCI) on eight sectors including garments and textiles, automobiles, insurance, banking, communications, shipping, seafood and electronics, only five percent of enterprises have invested in improving their technologies, mainly large businesses, in the garment and textile and automobile industries. Meanwhile, no telecommunications and insurance companies have invested in developing their technologies. The insurance sector has the highest rate of staff operating in the fields of science and technology (68 percent), followed by telecoms (60 percent), banking (40 percent), shipping (25 percent) and garments and textiles (10 percent).
The above limitations are attributed to the businesses’ poor financial capacity, their lack of ability to adapt themselves to change poor human resources in the technological field, and inadequate management skills.
Expanding the technology market is an important factor in helping SMEs. Dr Nguyen Quang Tuan, head of the department of technology market under the National Institute for Science and Technology Policy and Strategy Studies said that businesses now lack many things such as the capital and human resources to upgrade their technical facilites. He asked for a stronger policy for helping enterprises. It is also essential that there should be a national strategy to develop the technology market.
Currently, the department of technology application and development under the Ministry of Science and Technology has carried out various programmes to help SMEs expand the technology market. Ta Viet Dung, deputy head of the department said that the department is learning more about technology from Hungary, and is applying advanced technologies to ensure food safety. It also learns from its Thai and Japanese partners.
In future, the department will set up the Vietnam Technology Transfer Centre (VTTC) to support SMEs to transfer technologies, market their products in both domestic and foreign markets, and improve their technogies.
Many enterprises hope that the establishment of the VTTC will help them to improve the quality of science and technology. Nguyen Huu Su, general secretary of Hanoi’s SMEs said that to make breakthroughs in applying and using technologies, it needs to set up a more comprehensive information system on technology, which can keep up with global developments in technology. It is also important to establish a channel of information for modern technologies so that businesses can find it easier to apply and make the correct choices. In addition, he added that the state should provide the money to set up some pilot projects on technology transfer for businesses in different industries.
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