Make in Vietnam: From failing to make screws to a technology giant

Over the years, we have always been in the position of a technology-outsourcing country. So what is the way to develop Vietnamese technology businesses?

Supporting industries in Vietnam and the “from nothing to nothing” journey

Sharing at the Vietnam National Forum for Developing Technology Enterprises, Mr. Nguyen Anh Tuan – Head of Samsung Vietnam External Relations Department said that in 2008, when Samsung first invested in Vietnam, the supporting industry field. Our country is still very weak.

At that time, the technology level and access to capital of Vietnamese enterprises were very limited. The competitiveness of domestic firms with FDI firms is low.

To assist Vietnam in improving this, Samsung has regularly organized support and advisory programs for domestic enterprises in Vietnam.

Vietnam National Forum on Developing Technology Enterprises. Photo: Trong Dat

History shows that, in 2004, only 4 Vietnamese enterprises reached the level of supplier level 1 of Samsung. However, the number of Vietnamese suppliers in the chain of supporting businesses for this group is increasing.

Up to now, 240 Vietnamese entrepreneurs have joined Samsung’s supply network with a total of 190 tier 2 suppliers and 50 tier 1 suppliers.

Samsung has also invested heavily in the education sector in Vietnam to increase the number of research staff. In the Samsung research center, there are many young students from Vietnam.

Make in Vietnam: From failing to make screws to a technology giant
According to a Samsung representative, Vietnamese supporting technology businesses have increased strongly in both quality and quality in the past 10 years. Photo: Trong Dat

According to Mr. Tuan, for Vietnam to transform digitally, the most important thing is still the human factor. This is true for all businesses, not just digital businesses.

Sharing his experience, Mr. Tuan said that what should be noted in both industrial production and technology development is connectivity. In addition, leading firms will not buy loose parts, they buy solutions. If they can do these solutions, Vietnamese businesses can participate more in the global supply chain.

Outsourcing enterprises: How to manufacture Make in Vietnam products?

At the Vietnam National Forum for the Development of Technology Enterprises, many experts also pointed out their perspectives to advise businesses that want to switch from outsourcing to digital products.

According to Mr. Nguyen Xuan Hoang – Vice President of MISA, the way of making packaged products, branded products or Make in Vietnam products is very different from making plain processed products. With Make in Vietnam, we have to make products that meet the needs of many different customers, it must be a product that everyone can use.

Make in Vietnam: From failing to make screws to a technology giant
MISA Vice President said that making Make in Vietnam products is different from outsourcing. Photo: Trong Dat

In order to switch from outsourcing to making products for Make in Vietnam, a business has a lot of work to do. Specifically, they need to have a mindset (thinking) about the product, to know what product they do, and who to serve?

According to Mr. Hoang, when producing Make in Vietnam products, if there is a mistake, the price to pay for that mistake is huge. Therefore, in-house products must be refined with a consistent customer experience.

According to this expert, the manufacturer should consider the possible risks to prevent. Besides, businesses also need to pay attention to the sales, marketing, and after-sales stages.

Make in Vietnam: From failing to make screws to a technology giant
Mr. Truong Quoc Hung – General Director of VinBrain Company. Photo: Trong Dat

Sharing his story, Mr. Truong Quoc Hung – General Director of VinBrain Company (Vingroup) said that if you want to create influence, Vietnamese digital technology enterprises need to create a different product. the problems no one has ever solved in the world. Mr. Hung’s VinBrain company has gone in this direction when choosing to solve the medical problem with artificial intelligence.

According to Hung, in addition to finding unique problems, start-ups and technology companies need to maintain persistence in solving problems. In addition, when building teams, companies need to select each person to create a solid team before they want to replicate. Most importantly, the team of Vietnamese start-ups need to have a close connection and unanimity, together determined to develop Make in Vietnam products.

Trong Dat


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