Garments made for export to South Korea. The application of technology platforms in Vietnam’s exports has witnessed remarkable progress in comparison with other countries in the region. (Photo:VNA) Hanoi (VNS/VNA) - Using online platforms to boostexports is the fastest way to bring Vietnamese goods to the world, saidbusiness leaders and industry experts.
The COVID-19 pandemic has heavily affected businessoperations. But there are still opportunities for businesses to use onlinechannels to deeply participate in the global supply chain, as most buyers inthe world are searching for products through search engines or e-commerceplatforms.
Tran Xuan Thuy, Amazon Global Selling Vietnam’s Country Director,said the world’s e-commerce revenue would reach more than 3.3 trillion USD in2020. By 2022, the growth rate of e-commerce would exceed the growth rate ofoffline sales.
He added that on the Amazon platform, there are small andmedium enterprises in Vietnam starting with only two people, now exportinggoods to 30 countries, and opening 4-5 factories in the country.
A representative from Thach Ban Group specialising in constructionmaterial production said their export volume used to account for only 5-7percent. However, online exports helped their volume increase to 13 percent in2019.
Vu Tu Thanh, Deputy Director of the US-ASEAN Business Council(USBAC), said the application of technology platforms in Vietnam’s exports hasmade remarkable progress in comparison with countries around the region.
He said he was surprised to find Thailand’s application ofe-commerce in exports was not as high as Vietnam because their physical tradeis good. So, the motivation for conversion is not as much as in Vietnam. Thisis an opportunity to boost exports of Vietnamese products all over the world.
Vu Tien Loc, Chairman of Vietnam Chamber of Commerce andIndustry (VCCI), said previously, import and export activities were only forlarge-scale enterprises with high economic and financial potential. They becamebig firms thanks to imports and exports and dominate many fields of productionand business. Today, online exports have completely changed this trend. Microand small businesses also have an equal opportunity to reach global trade.
However, participation in this new global supply chain alsofaces many limitations and risks, becoming a barrier for Vietnamese consumers.Both buyers and sellers have difficulty in language and business culture. Inparticular, buyers often have difficulty in international payments as thenumber of Vietnamese people with international payment cards such as Visa andMastercard remains low.
In addition, there are risks with billions of diversifiedproducts, designs, quality and reputable sellers on international e-commercesites.
Thuy said local firms should build a professional sales teamto serve foreign customers.
Before making a big trade decision, it is necessary to seeklegal advice, as well as ensure consistent and strict contract terms. This willhelp businesses avoid risks and fraud.
Hoanh Manh Hue, Chairman of the Union of Vietnamese BusinessAssociations in Europe, said Vietnamese firms have many strengths when joiningthe EU-Vietnam Free Trade Agreement (EVFTA). Enterprises transforming toe-commerce sales are required to transform business forms, building aprofessional sales team from packaging to interacting with customers.
Dang Hoang Hai, Director of Vietnam's e-Commerce and DigitalEconomy Agency under the Ministry of Industry and Trade (MoIT), said it is noteasy to build a legal framework for cross-border activities, even in countrieswith advanced legal systems.
The ministry is building a legal framework for products withadvantages then gradually adjusting to suit the market. Policies facilitatingfirms in implementing e-commerce would continue to be built together withforums and exhibitions to promote exports./.
VNA
