After nearly 20 years working for provincial-level administrative agencies, the road for him to make his own way in life was very broad, but he decided to abandon politics and start a new, hardly imagined business. He is Vu Ngoc Tuan, Director of Chi Le Co., Ltd.
Enterprising
We visited Chi Le Co., Ltd (located in Industrial Complex No.2, Cao Loc district, Lang Son province) on a very cold day in April. The dark-skinned, white-haired director in casual clothes welcomed us at the doorstep of his working office. While treating us tea, he told us about his successes and failures in building and developing his business.
After five years of service, he left the army in 1976. He returned to work in his hometown. During his nearly 20 years of service, with good political and administrative capability, he was always trusted by his superiors and assigned important positions in key provincial administrative agencies like the Department of Planning and Investment, the Department of Industry and Trade, and the Provincial People’s Committee.
However, in the early 2000s, he suddenly submitted his resignation and planned to set up and run a business. “At that time, even my wife disagreed with my intention to run a business. When I brought the business establishment certificate and registered seal to my home, she did not let me keep it, saying that I should rather stay at home to take care of our children. She was the breadwinner,” he recalled.
Many advised him to give up his attempt but he was determined enough to continue through the rough road ahead.
The resilience of a leader
In early 2000, after borrowing money from friends and banks, he set up a company with quite a strange name: Chi Le Company (combined names of his two beloved grandchildren). At first, his company had only 10 employees, including Chinese technology-transfer experts.
The company started with consumer plastic products like electric equipment components (switch boxes, pump cases, etc.). However, this production ended after a short time because its products failed to compete with cheap foreign products. He had to think about new lines for his company.
After a careful market survey, the experienced civil construction engineer found that the domestic construction sector was in need of plastic pipe, particularly plastic door bars, which were mostly imported from foreign countries.
After the first tough year, his company almost went bankrupt because of insufficient experience and technique, as well as price competition from foreign rivals. But with his determination to drive the company out of hardship, and the efforts of all the employees, the company managed to survive. Besides, Chi Le stepped up marketing. Tuan said: “We introduced our products everywhere. We brought out pipes to customers. In the following two years, our company gradually recovered.”
To date, Chi Le’s distribution system runs from the north to central Da Nang City. Apart from plastic door bars, the company’s two key products are soft pipes used in basic construction, aquaculture and watering, and PPR pipes.
He said: “We now can’t manufacture enough products for the market. We are striving to build up our brands to create a strong foothold on the market and meet domestic demand.”
Before we were parted, he revealed his company’s plans. The company will open a well-equipped distribution agency with store and showroom in Hanoi to meet the demand of this bustling market.
Tran Tung