Businesses need a "fulcrum" when investing abroad

"Pick sweet fruit" from foreign markets

Speaking at the meeting between the Government Standing Committee and businessmen and business representatives on the morning of October 4, Major General Tao Duc Thang - Chairman and General Director of the Military Industry - Telecommunications Group (Viettel) said that since launching the mobile network in 2004, just 2 years later, Viettel invested abroad.

"Although this is a new field and we do not have much experience, we are bold in investing in two countries, Laos and Cambodia. From there, we will learn from our experience and invest in other countries in Africa and Latin America," said Major General Tao Duc Thang.

Major General Tao Duc Thang - Chairman and General Director of Viettel Group speaking at the meeting - Photo: VGP/ Nhat Bac

Up to now, after 18 years of investment, Viettel has become a major telecommunications investor in the world, with a brand value of nearly 9 billion USD, ranking 17th in the world and the number 1 telecommunications brand value in Southeast Asia.

Overseas investment has contributed to Viettel's position in the international market. Currently, Viettel has invested in 13 countries with 24 projects in the fields of telecommunications, research and development, construction and installation, and postal services with a total capital of 1.5 billion USD, of which the majority are the Group's telecommunications projects.

"In the countries where we invest, Viettel always aims to be a pioneer in leading the market. In the telecommunications sector, Viettel has 7/10 markets that have risen to number 1. Some markets have risen to number 1 within 6 months, such as the Bulgarian market. In other markets, we have persevered for 12 years, such as Mozambique," Major General Thang emphasized.

Besides telecommunications, Viettel also expands and goes into depth by bringing digital platforms and new areas of business such as digital payments in Africa and Mozambique. The contributions here are huge while the investment is very small.

In addition to economic efficiency, Viettel also identifies overseas investment as closely linked to political, cultural, social, national security and defense tasks, thereby helping to promote cultural diplomacy, national defense diplomacy, and spreading the image of the country, people, and achievements of Vietnam internationally. This is also a good opportunity to create professional, experienced, courageous, enthusiastic, and confident cadres not only for Viettel but also for the country in general.

Business representatives attending the meeting - Photo: VGP/Nhat Bac

Strategy for businesses to confidently invest abroad

Referring to the advantages, Major General Tao Duc Thang said that Viettel invests abroad in the high-tech sector, so it can take advantage of the advantages of being a latecomer. In addition, the abundant quality of human resources, reasonable labor costs, and the adaptability, flexibility, and perseverance of the Vietnamese people are great, turning difficulties into opportunities.

"We also always receive support and help from leaders of the Party, State, and relevant ministries and branches," emphasized Viettel's Chairman.

Regarding challenges, Major General Tao Duc Thang said that doing business abroad also has many difficulties; especially in large countries, true development is not easy for the high-tech sector.

"The areas we are looking for are difficult areas such as Africa, South America, or Southeast Asia. When applying for investment permission, Viettel always surveys the market very carefully before making a decision, however, we cannot foresee conflicts and political developments in countries," he said.

Along with that, cultural and language differences are also no small challenge.

From the above analysis, Major General Tao Duc Thang gave some experiences; accordingly, enterprises must have enough aspiration, confidence, and pride; doing business abroad, enterprises must compete with foreign enterprises, but must be confident, persistent, and have enough aspiration to succeed.

Second, it is necessary to carefully survey and evaluate the political, economic and legal situation in each country before investing.

Third, we must build relationships with the Government, connect with local authorities, and maintain relationships. Next, business must be associated with social responsibility in the countries we invest in.

"We are very excited and happy that in a program organized by VTV, the Prime Minister emphasized Vietnam's support. When doing business abroad, we really need that support, especially in countries where we do not have embassies or investment protection," said Viettel's Chairman, emphasizing the need for a strategy or resolution in this field so that businesses can confidently go abroad.

In addition, enhance the role of economic diplomacy to support Vietnamese enterprises to invest abroad through business trips of Party, State, Government leaders, or visits of foreign leaders and enterprises to Vietnam.

At the same time, assign tasks to leading enterprises, with strengths in specific regions and areas, together with other Vietnamese enterprises to create a complete ecosystem in investing countries.

Source: https://congthuong.vn/chu-cich-tap-doian-viettel-doanh-nghiep-can-diem-tua-khi-dau-tu-ra-nuoc-ngoai-350203.html