Experts take market temperature (08-01-2009) Representatives from the top 500 businesses in Viet Nam (VNR500), selected annually by the Vietnam Report Company, spoke to Viet Nam Investment Review about strategies to deal with financial difficulties. Le Quoc Khanh, Director of the Nam Ha Viet Joint Stock Company Large companies have advantages in the market, market share and branding. However, the sharp fall in the market is affecting businesses in general. Demand for soldering irons and other welding products is forecast to fall by 40 per cent in 2009. It would be wise to adjust production to take into account new conditions and ensure the growth of enterprises. This year we are focusing on products which are in high-demand and rejecting out-of-date ones. This is not the time to invest in a new field, it's time to minimise risk and assure capital is rotated effectively. We will pay special attention to managing expenses and personnel. Le Van Tam, Chairman of the Lam Son Sugar Company … [Read more...] about Experts take market temperature
Market share definition
Several securities firms have continued to expand their brokerage offices into provincial rural and urban areas to attract new investor activity despite the stock market downturn. These securities groups are going on the offensive to grab their share of the growing nationwide demand for access to traded stocks in anticipation of a coming market recovery. The boom in the number of new brokerage offices has been facilitated at the same time by new, easier administrative procedures for securities companies to establish localised branches. Securities firms can now open local offices without first having to obtain permission from the State Securities Commission (SSC), and are simply required to report a new branch once it has already opened. Brokerage houses have cut costs by co-ordinating with local enterprises. While the securities company focuses on personnel and equipment, the local enterprise provides the real estate in which the partnership is housed. Expansion into the provinces has … [Read more...] about Brokerages seek new market share in nation’s hinterlands
Talking Law (21-09-2005) New law restricts market domination by Tran Tuan Phong and Jess Lieberman of VILAF Lawyers The new Competition Law was passed by the National Assembly last year and took effect on July 1. The law polices two types of anti-competitive activities: (i) activities in restraint of competition and (ii) unfair competition. While foreign companies used to Western antitrust laws and trade regulations will find that the Vietnamese Competition Law draws on common aspects of these laws, the Law is the first legislation of its type in Viet Nam and has some significant differences with Western law. Under the law, activities in restraint of trade are defined as those which reduce or restrain competition in a market, including agreements in restraint of competition; abuse of dominant or monopoly positions; and economic concentration. All enterprises are barred from agreements that restrain other businesses from entering a market or which banish an enterprise from a market. … [Read more...] about New law restricts market domination
The Vietnamese insurance market has overcome recent hardships, but there is more to be done to increase competition. Viet Nam News reporter Bich Ngoc spoke to the general secretary of the Association of Vietnamese Insurers, Phung Dac Loc, on the issue. What kind of difficulties do Vietnamese insurers face this year? The domestic insurance market is challenged by the same difficulties facing the economy. Cutting down public investment has reduced insurance contracts for construction projects and property. Also, many industries have been affected by the economic downturn, which has triggered a decline in insurance sales. Competition has become more fierce and competing with decreasing premiums has been controlled by stricter corporate governance within enterprises after years of making losses. In companies that own developed technology system and advanced systems of business, insurance contracts are forwarded to their headquarters before implementation. This has allowed competition to … [Read more...] about Insurance market maintains positive outlook
Talking Law (05-09-2007) Acquisitions: a back-door market entry? by Ha Thi Dung Acquiring an existing company is an increasingly attractive investment option for both foreign and domestic investors seeking to increase market share quickly. ANCO Joint Stock Co, a domestic food and beverage maker, acquired a Nestle milk plant in the town of Ba Vi in Ha Tay Province. The acquisition includes a license to use the Nestle brand name for one year on fresh milk and yogurt products produced by the plant. Asia Pacific Breweries Ltd, a Singapore-invested firm that owns Viet Nam Brewery Ltd (VBL), similarly expanded its capacity recently by acquiring an 80-per-cent interest in Quang Nam VBL Ltd, while Viettel bypassed the need to develop an outlet network by acquiring Nettra's. There are a variety of factors that push one company to purchase another. Some takeovers are opportunistic and encouraged by the target company's reasonable price. Or the acquiring company expects to increase its bottom … [Read more...] about Acquisitions: a back-door market entry?