HA NOI — President Nguyen Minh Triet said he expects the business community to further contribute to national industrialisation and modernisation, at an awards ceremony organised by the Viet Nam Chamber of Commerce and Industry (VCCI) recognising the 100 top entrepreneurs in the country last Saturday.

Triet said Vietnamese enterprises have made increasing efforts to developing their businesses, expanding investments, improving the quality of their products, as well as advertising. He said the Government supports this development and provides policies to further develop a competitive business community.

Awards were given to businesses that have achieved high growth rates, improved production quality and services, have strong trademarks, have obeyed the law and taken environmental protection measures, and introduced new high-quality services and products.

During a conference held on the same day, Prime Minister Nguyen Tan Dung urged domestic enterprises to improve corporate social responsibility (CSR), and develop their business practices in order to better contribute to the country’s development process.

"Enterprises should scrutinise their business plans to gear towards the best use of raw materials, and low labour and production costs, to enhance their competitiveness, while expanding outlets and boosting production," he said.

Each enterprise is an important factor in creating a competitive economy, the PM said.

Dung also affirmed that the Government will speed up administrative reform, intensify infrastructure investments and help in personnel training for enterprises to develop sustainably.

The Government will also publicise updated information about the country’s socio-economic development, creating a foundation for enterprises to draw up suitable business strategies, he said.

VCCI Chairman Vu Tien Loc agreed that developing the business culture and improving corporate social responsibility were vital for businesses in the current context.

That move would help firms cement relationship with workers and customers, as well as the community, in order to overcome difficulties and to ensure sustainable development.

While building an ethical business culture and improving corporate social responsibility were important goals, they were also challenges for many Vietnamese enterprises, Loc noted, adding that local firms needed more support from the State, relevant agencies and associations in these issues.

Enterprises offer advice

HCM City Business Association chairman Huynh Van Minh said that the Government should consider providing preferential tax rates or offer soft loans for enterprises that specialise in exports and producing essential consumer goods.

He also petitioned the State to give priority to allocating good business premises for enterprises, especially small and medium-sized enterprises (SME), to help them expand and increase their competitive edge.

Sharing Minh’s ideas, Vu Quoc Tuan, chairman of the Viet Nam Association of Craft Villages said that SMEs had few opportunities to rent land in the past few years.

Most good locations were in industrial zones with high lease prices, which many SMEs could not afford. He said the State should build more industrial zones and offer SMEs financial support to relocate from residential areas.

In addition to streamlining administrative procedures and perfecting the legal framework, the Government should proceed with the introduction of an SME development fund, that could gather international and domestic financial resources to foster the development of SMEs.

Crisis is opportunity

Present global economic difficulties offered local enterprises the opportunity to improve internal capacity by shifting business strategy, strengthening corporate governance and developing the quality of human resources, said Loc.

To better deal with capital shortages, the chairman urged local firms to diversify capital structures to reduce their dependence on bank loans.

Recent surveys conducted by the chamber found that enterprises with reasonable capital structures were not greatly impacted by tightened Governmental monetary policies, and were operating despite lower profits.

"Enterprises have no choice but to be ready for unpredictable changes in the national macro-economy and the international economy as well," he said.

The annual conference, the biggest national forum for the business community this year, and the third such meeting drew participants and representatives from ministries, departments, local people’s committees, business associations and 500 businesses. — VNS