Textile Company 10/10: A Familiar Trademark

Textile Company 10/10: A Familiar Trademark

The company was established in 1974 and was named after the liberation day of Hanoi - October 10. After 30 years of development, the company has lead the way in the sector with year-on-year growth. The trademark of the company has become famous among Vietnamese customers.

In 1999, the company was at a crossroads. It was selected by the Hanoi Industry Department for equitisation. “Equitisation created a driving force for our business activities and the transfer the company maintained an annual growth rate of 30 per cent,” the company director, Duong Van Binh, said. Turnover increased from VND36 billion in 1999 to VND110 billion in 2003. The export value increased from US$800,000 to US$6 million and the after-tax profit from VND100 million to VND3 billion in the same period. The dividends were distributed fairly among the shareholders and workers. After equitisation, the company invested over VND30 billion to replace 70 per cent of the equipment to meet the higher demand in the market and to increase the competitiveness of the company. The company ensures an average income of VND1.6 million/person/month for 1,000 workers creating the stable employment and welfare for the workforce.

The favourite product of the company is the Pamanet mosquito net using foreign technology. It has been supported by WHO and UNICEP for its widespread use in African countries. As a result, most of the products have been exported to Africa at a competitive price of US$2 each allowing the continued output of 300,000 mosquito nets a month.

The success of the company relies partly on the human factor. The company has focused on training the workforce to meet the demand for development. Its staff can complete orders within a day thanks to its grasp of international languages and practices. For its part, the management has honoured the differing business cultures and have always cared for the interest of its customers, responding to their particular demands. Hanoi Industry Department, with 30 per cent of the shares, has also tried its utmost to develop the company.

With its renowned trademark, the company is currently facing a problem of faked products in the market. As the company has concentrated on export and has only set aside 15 per cent of its output for home consumption (despite high domestic demand) it has created opportunities for the sale of fake products. In spite of its efforts, the company alone cannot solve the issue. The company is expecting intervention by the competent authorities to protect the authenticity of the trademark and the interests of consumers. The company is also calling on customers to buy its products from official agents to secure their interests.