Association of Small and Medium Enterprises chairman Cao Sy Kiem spoke with the Dai doan ket (Great Unity) about the importance of branding.
What is your evaluation of the importance of building trademarks for local enterprises?
Trademarks are a vital element for the success of any enterprise. It is much more important in the context of a market economy, where many enterprises are competing for a larger market share. An enterprise's trademark is synonymous with quality, price and service.
In the current economic downturn, consumption power has fallen remarkably. Enterprises that have promoted their trademarks control the market, and vice versa.
April 24 was designated as Viet Nam Trademark Day several years ago to encourage local enterprises to pay more attention to their own trademarks.
Could you tell us about how small-and medium-sized enterprises can build trademarks, given they account for more than 98 per cent of local businesses?
The concept of a trademark is still new in Viet Nam, and many local enterprises find it unfarmiliar.
Developing a trademark is not an easy job, especially for small-and medium-sized enterprises due to financial restrictions. Their ability to increase market share and promote their products is limited, and only 30 per cent of enterprises have set up their own trademarks.
Building a strong brand name both domestically and internationally is a challenge for local enterprises. Only 30 per cent of garment enterprises export their products, despite development within the sector. What do you think about this issue?
Normally, enterprises concentrate on the domestic market, and then step by step, expand into the international market. There are some who target the international market straight away, but this is rare. Thirty per cent is a fair reflection of the efforts made by garment enterprises.
In my opinion, a good trademark includes low cost, eye-catching design and good service that encourages consumers to buy more products. I believe more Vietnamese trademarks will become known on the international market in the near future. — VNS