Businesses need to learn to adapt to survive pandemic: Experts

Businesses need to learn to adapt to survive pandemic: Experts

The webinar was held on Wednesday with a view to gather policymakers, businesses and organisations to exchange views and help businesses in seeking ways of shifting their business models and operations.

Speaking at the webinar, Hoang Quang Phong, Vice President of the Vietnam Chamber of Commerce and Industry (VCCI), said that Viet Nam’s fourth wave of infections and restrictions have made it challenging for businesses, especially as all the southern provinces have been affected along with strict social distancing orders.

Phong said it has become more serious as industrial parks and export processing zones were hit hard by the pandemic, where a large number of employees are working, especially in the southern provinces. This would pose a major threat to the disruption of supply chains, labour, large-scale production, and export orders, adversely affecting the local economy and the whole country as well.

According to Phong, it was time for businesses to reassess their businesses methods, seek new ways of doing business, and restructure enterprises in response to the changes during the pandemic.

Phong added that depending on the business scale, each of them have to map out suitable models to keep them safe during the COVD-19 pandemic. However, all business models must comply with the initiative principle. All management boards and employees needed to raise their awareness and preparedness to fight the COVID-19 pandemic.

To overcome the current challenges, many businesses have been interested in transforming their business models by applying digital transformation in administrative management and transport. Many small-scale businesses in the retail and service sectors are adopting various ways to survive the pandemic by shifting from traditional businesses to e-commerce ones.

Trinh Minh Anh, Head of Office of the Steering Committee for Global Economic Integration, suggested that as the COVID-19 pandemic remained unpredictable, businesses should learn to adapt to the changes during the pandemic and needed to consider shifting business models.

He noted that businesses needed to take advantage of the Government's support and show their initiative and flexibility in response to the rapid developments of domestic and international markets.

Anh said local businesses also have to conduct post-COVID business strategies to grasp opportunities when the global economy recovers by taking full use of commitments in free trade agreements (FTAs) that Viet Nam has signed with other countries so as to expand exports and lure investment.

Hoang Nam Tien, Chairman of FPT Telecom Joint Stock Company, said that not only do people need vaccines, but vaccines help businesses feel more secure in their operations during the pandemic.

According to many participants, the vaccine rollout is the most important tool for employees and businesses to overcome difficulties due to the negative impacts of COVID-19. In addition, it is needed to ensure smooth transport of goods between cities and provinces to avoid the risk of supply chain disruption.

Businesses have also asked authorities to conduct consistent policies in the fight against COVID-19 nationwide. Localities need to soon issue their own regulations in COVID-19 prevention and control while enhancing the effectiveness of the Government’s financial support packages for businesses.

According to the General Statistics Office, Viet Nam saw 85,500 enterprises withdrawing from the market, an increase of 24.2 per cent compared to the same period last year. Of which, in HCM City saw a withdrawal of 3,118 enterprises, accounting for 28.1 per cent of the total number of businesses withdrawing from the market. Some 43,200 businesses stopped operations and nearly 11,400 businesses withdrew from the market every month.

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