The national brand of Vietnam and the global business environment

DNHN - Academics and business leaders agree that it is necessary to take a comprehensive and targeted strategy to establish Vietnam's national brand.

In recent years, the importance of the Vietnam National Championship has steadily increased. According to Brand Finance, the Vietnam National Championship in 2021 is worth US$388 billion (up 21.6 per cent from the previous year) and ranks 33rd in the world. On this list, Vietnam is also among the ten fastest growing national universities. 

According to Dr Erhan Atay, Senior Dean of International Company at RMIT University, such outcomes were accomplished "due to the synchronization of strategic initiatives and government assistance, as well as business efforts to grow their presence and value in both domestic and worldwide markets."

However, he said that, while the export value of important industries such as food processing and textiles has expanded dramatically, the number of brands originating in Vietnam is still relatively small.

Dr Dang Thao Quyen, a lecturer at RMIT University's School of Business and Administration, went on to say that the majority of Vietnam's export earnings come from the sale of raw materials, involvement in manufacturing processes, or simple assembly throughout the global value chain 

"These enterprises generate little value and are unsustainable for both businesses and the whole economy." As a consequence, global consumers are unaware of Vietnamese brands, while local consumers frequently prefer imported items to native ones," Dr Quyen explained.

According to RMIT experts, to compete in the global business climate, both the government and the business community need to take a comprehensive and targeted strategy to improve both the national brand and the brand of each enterprise. Karma.

So, what methods are required for this approach? Let's look at four proposals made by experts at RMIT University's recent International Business Week, which was themed "Building a National League in a Global Business Context: The Way Forward for Vietnam."

Before becoming global, domestic consumers must be secured.

If a country or brand wants to prosper in the global market, it must first get the approval of its citizens and home market. Businesses must not undervalue the importance of the home market. If firms cannot attract clients at home, where they know the most about the market, there is no assurance that they will be able to compete in markets with political, socio-cultural, and social settings. Different from the local economy.

"If a country and its products are not appealing to home customers, attracting foreign customers and maintaining an international image will be more challenging in the long term." Dr Lindsey M. Bier, University of Southern California, USA, agrees.

A thousand-mile trip usually begins with modest steps 

Entering the worldwide market may be a difficult trip, requiring first stages as well as patience and a lot of effort that firms must properly plan. Enterprises might initially accept to be a manufacturer/processor for international brands before moving on to trade items under their name. They must, however, take care not to lose their Vietnamese heritage at any moment.

According to Ms Vo Thi Lien Huong, Deputy General Director of Secoin Company: "We must be pragmatic. Everyone wants to become worldwide and become a major player, but we have to recognize who we are and whom we want to be. You must be aware of your country's location. So don't worry about the larger picture. Let's take things slowly at first."

Prepare your expertise to enter overseas markets.

According to experts, many Vietnamese firms have had to learn critical lessons and lose their brands/brands to international enterprises due to a lack of understanding of global markets. As a result, businesses must be fully prepared with information to enter, develop, and protect their brands abroad.

"Many businesses have lost their trademarks due to a lack of experience in exporting items to international markets. Foreign firms sometimes suggest changing their brand names to foreign brand names. When Vietnamese businesses join overseas markets, they agree and will lose their trademarks ", according to Mr Lai Tien Manh, Brand Finance's representative in Vietnam.

Distinguish and incorporate sustainabilit 

Meanwhile, Dr Daniel Borer, an economics expert at RMIT University Vietnam, highlighted, "We need to look about where our advantages lie in comparison to others." We must establish ourselves as a green brand."

He feels that uniqueness is the key to standing out and excelling in the global market. Furthermore, Vietnam and Vietnamese enterprises must keep up with global sustainability trends and incorporate the United Nations Sustainable Development Goals into their long-term growth plan 

Bao Han