In addition to facing fierce competition, businesses also face many challenges in meeting international standards, building brands and taking advantage of appropriate distribution channels. Therefore, having a strategy to access and expand the market becomes a key factor to promote sustainable growth.
Applying digital technology to trade promotion
Digital transformation is no longer an option but has become a vital factor for businesses. Many Vietnamese businesses have taken advantage of e-commerce platforms to effectively reach domestic customers.
According to Nguyen Thanh Hung, Senior Advisory Council of Vietnam E-commerce Association (VECOM), the trend of online consumption is increasing strongly, opening great opportunities for businesses. “Platforms such as Amazon, Alibaba, Shopee, or Tiktok Shop are helping Vietnamese businesses access international markets more easily without having to invest too much in traditional distribution systems,” said Hung.
In fact, many businesses exporting agricultural products, consumer goods and handicrafts have achieved positive results thanks to digitalisation strategies. For example, Vinami Company has brought freeze-dried durian to the Chinese and US markets through e-commerce platforms. Thanks to digital technology, businesses can approach customers, analyse consumer behaviour and optimise business strategies more accurately.
Connecting with the global trade ecosystem
One of the important factors that helps businesses expand their markets is to participate deeply in the global supply chain. Connecting with international partners not only helps businesses find stable output but also improves production capacity and meets international standards.
Tran Thanh Hai, Deputy Director of the Import-Export Department under the Ministry of Industry and Trade, said: “Free trade agreements (FTAs) such as the CPTPP and EVFTA have opened great opportunities for Vietnamese businesses, but without a specific strategy, many businesses still face difficulties in taking advantage of incentives.”
Many businesses have joined hands with international partners to take advantage of this opportunity. Specifically, May 10 Group has cooperated with major brands in Europe to expand the market and improve production standards. In addition, many businesses are actively participating in international trade fairs and trade promotion programmes supported by the government to connect with potential customers.
Building a brand, owning international certification
A major barrier for businesses when expanding into foreign markets is the requirement for brand and product quality. In reality, businesses with a systematic brand building strategy often have a higher competitive advantage. International certification not only helps businesses to increase their product value but also enhances their reputation in the global market.
Free trade agreements (FTAs) such as the CPTPP and EVFTA have opened great opportunities for Vietnamese businesses, but without a specific strategy, many businesses still face difficulties in taking advantage of incentives.
Tran Thanh Hai, Deputy Director of the Import-Export Department under the Ministry of Industry and Trade
For example, Vinamilk has been successful in building the Vietnamese milk brand in the international market thanks to investing in quality standards and a systematic promotion strategy. Enterprises in the agricultural and food sector, if certified by GlobalGAP, FDA (USA) or EU Organic, will easily penetrate more demanding markets.
In addition, one of the factors that helps enterprises succeed in expanding the international market is the ability to localise products. Each country has different cultural characteristics and consumption habits, so products need to be adjusted appropriately to attract local customers.
For example, when expanding into the Japanese market, Trung Nguyen Legend Joint Stock Company had to adjust its coffee formula to suit Japanese tastes. Similarly, when entering the Thai market, Acecook Vietnam carefully researched and improved its products to meet the preferences of local consumers.
According to experts, businesses should not apply the same business model to all markets but need to have flexible strategies that are suitable for each specific region.
To successfully approach domestic and foreign markets, Vietnamese businesses need to take advantage of new initiatives and strategies such as digital transformation, participating in the global trade ecosystem, building strong brands and localising products. In the context of deep integration, innovation in business thinking will be the key to helping Vietnamese businesses not only stand firm but also reach out to the international market.
The above strategies not only help businesses expand their scale but also enhance the competitiveness of the Vietnamese economy in the international arena. It is important that businesses proactively approach, learn and apply appropriate models for sustainable development.
