Vietnamese Businesses before New Chances

“Vietnamese businesses before new chances” is the main topic of a recent seminar held by Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank), focusing on consulting for equitisation of enterprises and diversification of investment portfolios for 200 small and medium enterprises in Ho Chi Minh City. Apart from issues related to administration, product development and human resource management, Sacombank deputies and managerial staff from attending companies shared viewpoints, knowledge and experience in such fields as stock exchange listing, and the advantages of leasing.

 

Vietnam prepared for the World Trade Organisation (WTO) admission for 11 years, but each Vietnamese enterprise faces its own difficulties at the beginning of international integration. This is a result of the very low starting level of Vietnamese enterprises, like an agriculture-based economic background, working capital shortage, weak administration experience and insufficient investment opportunities. Hence, resolving these difficulties are major concerns for Vietnamese enterprises, to survive and develop in the global economic integration.

 

Nowadays, Vietnamese SMEs can overcome capital shortage by selling stakes (bonds and shares) to the public or borrowing money from banks. However, inadequate practical experience and weak financial capacity prevent them from searching for the optimal solutions to equitisation and listing shares on the stock exchange. Furthermore, many SMEs do not know how to enhance competition capacity against other companies in terms of capital while ensuring safety and minimizing risks. These are also among the biggest concerns for SMEs.

 

Being one of the largest commercial joint stock banks in Vietnam with an equity of VND2,089 billion (US$130 million) and 163 branches, Sacombank pledges to support all enterprises. Apart from assisting Vietnamese SMEs with capital, Sacombank has organised seminars on business administration in many provinces and cities nationwide like Hue, Long An, Ho Chi Minh City, Thanh Hoa, Danang, Ben Tre and Khanh Hoa.

 

The workshop themed “Vietnamese Businesses before New Chances” is an opportunity for enterprises to understand the stock market and share listing, the role of leasing, policy amendment and strategies for sustainable development in regional and world markets.