Dong Nai Young Businesspeople: Poised for International Economic Integration

At present, the number of young businesses in Dong Nai has reached some 3,000, or 50 per cent of the total. With dynamic and creative spirits, many young businesspeople in Dong Nai have become pioneers in various fields such as production, new services, new scientific and technological applications and branding, and are very active in international integration.

 

In the integration process, many enterprises have made good preparations and taken the initiative in applying strategies to increase their competitiveness. Up to 65 per cent of young businesses in Dong Nai Province invested in applying IT to business administration and new technologies to production, including Truong Hai Auto, Thanh Binh, Donafoods, Dong Nai Garment, Dong Tam Pottery and Huy Hoang. Many enterprises expanded production scale, scope and market share. For example, Truong Hai Auto invested in automobile assembly and production technologies in Chu Lai Open Economic Zone, Thanh Binh Company set up a workshop-leasing construction joint stock company. Dong Tam Pottery invested in new kilning technologies to manufacture pottery of European style. Donafoods expanded its cashew nut processing factories in Dong Nai and Thai Binh provinces.

 

These efforts and the confidence of Dong Nai enterprises in the integration process are been recognised by society. Among 150 brands and products of 149 companies winning the Vietnam Golden Star Award in 2006, Dong Nai Province and Da Nang City shared third place (after Hanoi and Ho Chi Minh City) with seven winners; namely Dong Nai Garment, Truong Hai Auto, Thanh Binh Co. Ltd, Tan Mai Paper, Sovi Packaging, Hoa Viet JSC and Vinacafe Bien Hoa. Dong Nai entrepreneurs have affirmed their positions on the market. Mr Tran Ba Duong, chairman and general director of Truong Hai Auto; Mr Quach Van Duc, general director of Tin Nghia One-member Co. Ltd; Ms Chu Thi Thu, chairwoman of Sonadezi and Mr Vu Ngoc Thuan, general director of Dog Tien Garment Co., are four Dong Nai winners at the “Vietnam Outstanding Entrepreneurs 2006.” In recent years, many enterprises in Dong Nai have won awards for excellent quality and trademark, such as Dong Nai Rubber Co, Vinappro Co, Vikyno Co. and Donafood.

 

In June 2003, the Dong Nai Young Business Association was set up with 33 founding members. To date, the association has admitted 150 members. Mr Pham Duc Binh, chairman and general director of Thanh Binh Co. Ltd cum vice chairman of the association said, “After Vietnam joined the WTO, many Vietnamese enterprises are hopeful of success, but some are worried about severe competition. Enterprises should understand the opportunities and challenges against them; then, they can seek suitable strategies for development. Membership in the association will bring many advantages because the association gathers capital and trademark strengths and betters the cooperation of member companies. To heighten the competitiveness of enterprises and products, the association has increased consultancy and assistance for member enterprises, organised training courses, and exchanged experience in new technology application and trademark popularisation.

 

To show the accumulation of strength and trademarks, members of the association set up the Dong Nai Young Business Joint Stock Company with registered capital of VND50 billion (US$3.1 million), in which Mr Tran Ba Duong, chairman and general director of Truong Hai Auto, is the chairman of directors board and Mr Pham Thanh Binh, chairman of Thanh Binh Co. Ltd, is the general director. Dong Nai Young Business JSC specialises in trading and building real estate, trading farming products, carrying out M&A, and others. This is also a bridge to link member companies to carry out big projects and works in the province and in the country. It also creates opportunities for member companies. The company will be a financier and consultant for enterprises with its business activities. On the other hand, the company also introduced bankrupt and unprofitable companies to concerned companies for restructure and reinvestment. Recently, the company successfully acquired Cheerfield Vina Co, a wholly South Korean-invested company, at a nominal price of US$1. The company will be responsible for paying all debts incurred by Cheerfield Vina in Vietnam.

 

In the second tenure, the association will carry out a series of programmes to help members increase competitiveness, build corporate culture, develop the community and financially help member companies. Mr Duong said the association will work with the administrative sector to resolve difficulties in business and this will be the direction in new tenure.
Ngoc Huong