Tran Duc Lai, Deputy Minister of Posts and Telematics: MPT ensures equal competition between telecoms enterprises

When Vietnam becomes an official member of the WTO, competition between telecom enterprises will be fiercer, especially in the services sector. Challenges posed for the telecommunications and information technology upon Vietnam’s accession into the WTO are not small at all as the country’s network scale is small, domestic enterprises’ capacity is not high and their competitiveness is weak. In addition, there is a shortage in human resource for the telecom and IT sector. Moreover, enterprises have to cope with the lack of understanding legal norms, especially international regulations.

One of the WTO telecoms regulations is that State managing agency must be independent, ensuring equal and obvious treatment for all telecom enterprises in a competitive environment.

Vietnam’s Ministry of Posts and Telematics has clearly divided the two functions: State management and production and trading. All production, business and trading activities have been assigned directly to enterprises and they are responsible for their activities. The MPT is only responsible for managing them through laws, policies and licensing. The MPT also carries out the work of inspection and supervision. All legal documents relating to posts, telematics and IT have been built on the principle that they must be in conformity with WTO rules.

In the times to come, the MPT will continue to fulfill legal documents to increase the management efficiency as well as promote market development, thus ensuring that enterprises can compete on an equal footing and creating all favourable conditions for enterprises to develop, increase competitiveness and providing more and more high quality products and services.

Nguyen Si Hung, President of Vietnam Airlines’ Management Board: Vietnam Airlines joins competition with quality and efficiency

Since the late 1980s, Vietnam Airlines has opened international routes, thus the corporation has had to face stiff competition for a long time now. Vietnam’s accession into the WTO will create big opportunities, but challenges will also rise to a higher level. The aviation market has been expanded, thus helping Vietnam Airlines in its efforts to develop markets and its network of flight routes.

However, Vietnam Airlines will also have to compete with many aviation groups in capacity, products and services quality and prices.

Currently, Vietnam Airlines has 38 aircraft including Boeing B77, Airbus A320, A321, A330-300, ATR72, Forkker with 38 direct international routes to 27 destinations in the world.

Vietnam Airlines will compete with the quality and efficiency of its products and services.

The corporation scheduled to increase its fleet to 86 aircraft by 2015, expand international and domestic routes and next year, Vietnam Airlines plans to launch a direct route to the US.

Vietnam Airlines are also considering to join the aviation alliance and promote bilateral co-operation with other foreign airlines.

Do Van Trac, SACOM’s head of the Management Board and General Director: Quality creates brands and prestige

Saigon Telecommunications Cable and Material Company (SACOM) has taken the initiative in integration and competition since 2000 by diversifying products as well as setting up joint ventures and making financial investment into sectors that SACOM thinks will bring about benefits.

During the past eight years, SACOM has invested over VND 1 trillion to build nine new factories. SACOM has also poured indirect investment to six companies and a financial investment fund.

This year, SACOM’s total revenue is estimated to reach VND 1.4 trillion with benefits standing at VND 180 billion. Of SACOM’s staff of 800 employees, half are young.

What is noticeable is that all SACOM’s factories built in the 1998-2000 period have completed their amortisation. New ones built in 2006 are also expected to finish amortisation within the next three years. All equipment and assembly lines in SACOM factories are the most modern in South-East Asia.

SACOM has considered quality of products its top priority, which help builds SACOM’s brands and prestige. SACOM has been familiar in competing with businesses that produce the same products in the local and regional markets.

Upon Vietnam’a accession into the WTO, SACOM will have to make more calculations so that the company will benefit the most from this.

Tran Dinh The, Chairman of the Management Board of the Vietnam Glass and Ceramic for Construction Corporation (Viglacera): Viglacera seeks all measures to lower costs

In the past years, Viglacera has always taken the lead in pouring investment to upgrade production technology and equipment. Thus, the corporation has been able to provide various products with plentiful designs, meeting the increasing demand of consumers.

In the current context of severe competition in the construction materials market, along with the removal of tariff barriers and protection, Viglacera is well aware of the competition pressure from foreign rivals.

The corporation has sought all measures to lower production costs. In addition, Viglacera has also organised various activities to advertise their products. Training courses on marketing skills have been opened for employees of Viglacera’s agents.

Viglacera has also attached importance to build a professional and modern selling style and built an unified selling policy to avoid competition between Viglacera’s member units.

The corporation has registered to the State’s functional agency for the protection of Viglacera brand on all Viglacera products in Vietnam as well as in other countries who are members of the Madrid Agreement Concerning the International Registration of Marks.

Nguyen Duc Thuan, Vice Chairman of the Vietnam Leather and Footwear Association (Lefaso) and Chairman of the Management Board and General Director of the Thai Binh Footwear Stock Company: Vietnam’s accession into the WTO creates opportunities and challenges for the leather and footwear sector

Joining the WTO, Vietnam’s leather and footwear sector has three advantages. First it will be more difficult for those countries that want to impose tariff barrier to Vietnam if we understands thoroughly the common international regulations. Second, there will be more partners that are willing to supply materials for Vietnam’s leather and footwear sector. And third, customers in the world will have more opportunities to better understand Vietnam.

On the other hand, there are also two big difficulties. Certain small-sized enterprises might face bankruptcy or be dissolved if they are not quick in expanding new markets, renewing designs and taking the initiative in seeking for new partners.

To ensure an active integration to the world economy for the leather and footwear sector, enterprises should co-operate with each other in carrying out large orders and at the same time, pour investment into building a leather and footwear materials and accessory trading centre in Ho Chi Minh City.

By taking initiative in the models and materials, increasing products quality, building a good distribution network and delivering on time, it will help enterprises integrate in an active manner and compete on an equal footing with foreign enterprises.

Currently world leading distribution groups have been present in Vietnam with orders worth up to billions of dollars. How can Vietnamese enterprises carry out the orders without co-operating with each other.

At the Thai Binh Footwear Stock Company, all products have been exported to EU and the US with average annual export turnover increase of 30%. Up to date, the company has fulfilled the export target set for the whole year of 2006 of VND 1.1 trillion. The company has representative offices in China, Taipei, and Pusan in the Republic of Korea.

The company targets to become a leather and footwear group by 2010.

Nguyen Van Hung, deputy general director of the Vietnam Plastics Company: major works that needs to be done by the Vietnam’s plastic sector

Upon Vietnam’s accession into the WTO, the Vietnam Plastic Company is concentrating to carry out major works.

First, renewing management work, restructuring the company and its 13 member units to help increase business management capacity and making management work more effective and professional.

The company has also considered it an important task to develop high-quality human resources to meet the increasing demand upon accession into the WTO.

Along with the promotion of the VINAPLAST trademark, the company has promoted the trademarks of its member units under various measures to advertise the company products to foreign and domestic customers and partners.

Efforts will also be made to strengthen exports to traditional markets such as Japan, Laos and Cambodia and expand new markets in Europe, North America and Australia.

Currently the company is urgently carrying out major projects assigned by the State in construction of some more factories for the plastic sector.

In general, all the company’s efforts will be made to increase the quality of products, increase productivity so that Vietnam-made plastic products will be able to have a high competitive edge in the market.