Facing the global COVID-19 pandemic, businesses must identify there is opportunity in risk, said Truong Gia Binh, President of Vietnam Association of Digital Agriculture.

35,000 businesses in Vietnam had to suspend operations or close down permanently in the first quarter of this year, according to the Vietnam Chamber of Commerce and Industry (VCCI).

The COVID-19 pandemic was the main reason for the closures, of course. This is the first time companies that halted operations outnumbered new companies since VCCI began keeping such records.

More than 80% of firms surveyed predicted a sharp decline in revenues this year.

But some companies have found new directions and new outlets for their products. The Amaccao Group with 21 member companies is for example.

To Van Nhat, Amaccao’s General Director, says that some companies have changed their way of thinking and found a new direction for engaging with the domestic market.

“We have invested in new equipment and seized the opportunity. This is a time to win the customers’ trust and an opportunity to assert our position in the market,” Nhat added.

Nguyen Dong Ha, Marketing Director of Vietchem Corporation, said that with the global markets shrinking, it becomes more necessary than ever to persuade Vietnamese people to buy Vietnamese goods.              

 “It’s very difficult to increase or even just maintain export volume at the moment, but that’s reason in itself to take a longer view,” said Ha, adding “in order to survive, businesses need to look at the domestic market as a short-term solution. The pandemic can be taken as an opportunity to re-evaluate your current capabilities and possibility to restructure. A practical assessment of the challenges faced can suggest a way out of the crisis.”

VCCI Chairman Vu Tien Loc (Photo: VOV)

VCCI Chairman Vu Tien Loc is calling on every business to work harder to improve product quality, reform sales methods, and diversify export markets to cope with the current economic challenges.  

According to Loc, “Businesses should take the initiative to save themselves. It’s vital to find creative ways to cut costs. You need to take advantage of Government support policies to try to maintain your employees, recover, and start growing again in the post-epidemic period.”

“Businesses must adapt themselves to current difficulties and at the same time, restructure their management, marketing, and digital infrastructure to provide a foundation for greater post-epidemic production and trading efficiency,” said the VCCI leader.

The Government has introduced support programs to help businesses and industries survive the epidemic.  Two aid packages of 10.5 billion USD and 1.8 billion USD will be deployed for help businesses and target social security.