Boosting the national entrepreneurial spirit

Wednesday, 2016-02-17 17:20:03
 Font Size:     |        Print
 

Garment production for export. (Photo: VNA)
 Font Size:     |  

NDO - Vietnam ranks seventh among 44 countries with the highest entrepreneurial spirit in the latest survey conducted by top German university Technische Universitat Munchen (TUM) and market survey company Gesellschaft fuer Konsumforschung (GfK), after Denmark, South Africa, Thailand, the UK, China and India.

Although around 900,000 Vietnamese enterprises were established, more than 400,000 of them were dissolved and stopped operations in the past few years. According to the General Statistics Office, Vietnam had approximately 8,320 newly established enterprises in January 2016, a year-on-year increase of 21.2% in quantity and 87% in total registered capital. In January, a total of 4,872 enterprises resumed operations, up 69.6% year on year. The same month also saw a 34.7% rise in dissolved enterprises at 1,338. The number of struggling enterprises forced to close temporarily rose by 27.5% to 12,456.

That the number of enterprises which stopped operations and went bankrupt was equal to the total number of firms which were newly registered and resumed operations in the same reviewed period shows that despite many obstacles, the entrepreneurial spirit is still being nurtured.

Half a million enterprises are running operations nationwide, which means that there is one enterprise for every 200 people, dozens of times lower than in developed countries in the world. Each year, Vietnam sees tens of thousands of newly founded firms and thousands of business initiatives looking for entrepreneurial support. Entrepreneurial motivation is not only generated from the quest for a living, but also from their aspiration to improve themselves, contributing to the country and creating more jobs for society.

The year 2016 was chosen as the National Year of Entrepreneurship. The vigorous entrepreneurial spirit and entrepreneurial success in a professional environment are necessary conditions to nurture innovations, creativity and the building of a strong business and enterprise community, which is expected to take a vanguard role, seize opportunities and generate motivation for socio-economic development in today’s market economy and integration process.

Aside from their capacity, experiences and understanding about the market, business management models and their entrepreneurial spirit, factors contributing to entrepreneurial success also include a professional and healthy working environment.

To set up such environment, the State needs build a system of laws, policies, strategies and planning while improving its management apparatus, ensuring necessary public services and developing socio-economic infrastructure. It is also necessary to improve human resources training, create a transparent business environment for fair competition, and establish start-up programmes, venture capital funds, business incubators, science parks, counselling offices and business support services.

Associations, localities and sectors should also expand exchanges and training, launch start-up competitions nationwide, seek investors for feasible projects, and establish start-up funds.

Entrepreneurship and entrepreneurial support are activities of creativeness which can include both success and failure. Facts have shown the need to raise awareness and bold and comprehensive actions from the government, business associations, schools, localities and residents to facilitate Vietnam’s "national entrepreneurship ecosystem”, which can encourage, support and realise initiatives and the national entrepreneurial spirit.

Nguyen Minh Phong