Digital Expertise Drives Businesses forward

10:34:26 AM | 27/8/2019

Vietnam is currently leading the ASEAN countries in digital market share, with US$9 billion of total transaction value, accounting for about 4% of its GDP in 2018, according to the Ministry of Industry and Trade. Vietnam’s digital economy multiplied by three times from 2015 to 2018 and is expected to triple its current growth by 2025, with an annual growth rate of up to 25%.

Indeed, only 16% of small and medium-sized enterprises (SMEs) in Southeast Asia make use of digital tools and the share of Vietnamese SMEs that have access to these tools is lower. Therefore, Google and the Ministry of Industry and Trade formally have established a strategic relationship on “Accelerate Vietnam Digital 4.0” Program, an initiative of Google to provide skills training courses for 500,000 employees of SMEs.

Deputy Minister of Industry and Trade Cao Quoc Hung said that the Government has clearly defined the critical role of building a strategic vision of human resource development in a digital age. Vietnam will develop this human resource, not only based on the formal training system but also on short-term training courses, on-the-job training and other various forms of training.

"We are well aware that, with an economy constituted by more than 700,000 enterprises and more than 5 million individual business households, training a skilled workforce for them requires great efforts of all actors. We need to mobilize a large amount of socialized resources to achieve the overall goal: Ensuring training for a large number of learners on the one hand and ensuring training output quality on the other,” he stressed.

From the perspective of consumers, Vietnam is witnessing a new wave of consumption and shopping, he added. Vietnamese consumers have taken full advantage of internet benefits, from searching product information, comparing prices, searching for reputable sellers and searching for purchase addresses to using advanced payment facilities. With the internet and technology, people have an easier, more convenient, smarter life.

According to the 2019 e-Commerce White Paper released by the Ministry of Industry and Trade, Vietnam’s B2C e-commerce market stages an annual growth of about 30%, reaching US$8.06 billion in 2018, accounting for 4.2% of the country’s total retail sales of consumer goods and services. Nearly 40 million people shop online, with an average spending of US$210 a year.

The Accelerate Vietnam Digital 4.0 Program was launched in Vietnam in June 2018 and has provided training for nearly 85,000 employees working at SMEs, with 24 training modules at six training centers in cities including Hanoi, Ho Chi Minh City, Da Nang, Can Tho, Da Lat and Hai Phong.

Mr. Nguyen Ky Minh, Director of E-Commerce Development Center under the Department of E-Commerce and Digital Economy (the Ministry of Industry and Trade), said Google has also announced an additional program called Digital Bus to cover more businesses. This bus system will visit 59 provinces and cities of Vietnam from August 2019 to December 2020 to provide digital knowledge for businesses and people even in remote areas. In every province and city in Vietnam, the Digital Bus will have five days (two sessions per day) with six basic lessons on digital skills and soft skills to support businesses.

In the future, the digital application, particularly 4.0 platforms, will further create qualitative changes of e-commerce, leading to a deeper impact on the face of commercial and business practices in general.

Huong Ly