VIETNAM by dffhrtcv3


									VIETNAM - ASEAN

  Competition law and policy

                                               Dr. Doan Duy Khuong
  Vice Executive President, Vietnam Chamber of Commerce and Industry.
                                     Chairman of ASEAN BAC Vietnam.
  1. The World change

                            5 Cs

                      Global Competition
                          IT Society
                      Scien. Tech. Progress

 Challenges                                   Chances
Incr.Speed of Change                          New Products
 Incr. Competition                             New Markets
  Incr. Uncertainty                           New Networks

2. Vietnam vision 2020

   GDP: 180 – 200 billion USD
   Population: More than 100
   Urban population: 50%
   Business: More than 2
    millions (95%-97% SME)
 GDP Structure 2020




    Agri., Forestry, Fishery   Industry & Construction
3. Competition and SME in
    Contract farming
1.   Agriculture is a main economic sector
2.   1981: household entered into contracts
     with cooperatives (collective production
3.   1986: “open economy” policy introduced
4.   Contract farming is profitable for farmers,
     collectives and companies.
5.   Contract farming has opened the new
     economic renovation process of Vietnam
     of the cooperation and competition
3. Competition and SME in
   Moving from the centrally planned
    economy to socialist market
    economy since 1986
   In the open economy, competition
    has become a driving force of the
   Development of private business
    sector and FDI increasing the
    competition level as well as
    causing unfair competition
3. Competition and SME in
   SME in Vietnam: ~ 600.000
    companies, and ~ 97% is SME
    and they are a backbone of the
    economy (GDP, employment &
    personal income)
   SME: an enterprise having a
    registered capital of no more than
    10 bn VND or employing on
    average no more than 300
    employees in a year
3. Competition and SME in
   A new competition law has come into effect
    since July, 2005. It regulates unhealthy
    competitive practices (unethical practices
    as falsifying product information, infringing
    business secrets, coercing or defaming
    another enterprise, using misleading
    advertisements and promotions,
    discriminating within an industry
    association, engaging in illegal multilevel
    selling of goods…) and practices in
    restraint of competition by all businesses in
    Vietnam (practices that reduce, distort or
    hinder competition in the market such as
    agreements in restraint of competition,
    abuse of dominant market position and
    monopoly position, and economic
    concentrations – M&A…)
4. Competition and ASEAN

   ASEAN Economic Community (AEC) by 2015, AEC
   ASEAN Summit 2011 “ASEAN Community in the
    Global Community of Nations”
   ASEAN vision beyond 2015 for broader roles of
   Investment, service, transportation and tourism:
   Food, Energy and water security: APAEC, ASEAN
    integrated Food Security Framework, ASEAN plus
    Three Emergency Rice Reserve (APTERR)
   Equitable Economic Development: Initiative for
    ASEAN Integration (IAI), Master Plan on SMEs
    Development and SMEs Advisory Board (2011)
4. Competition and ASEAN

   Macroeconomic       coordination    and
    financial cooperation: CMIM (120 bn
    USD), ASEAN Plus Three Macro Economic
    Regional Surveillance Office (AMRO)

   ASEAN connectivity: Master Plan     on
    ASEAN connectivity (MPAC), ABTC
   Competition can drive ASEAN forwards.
   However,     “Unity  in  Diversity” -
    Development gap; ASEAN survey on
    ASEAN’s competitiveness for trade and
    investment: SMEs accounts for 96% of
    all enterprises in ASEAN and the most
    vulnerable; ATIC
5. Conclusion

   There is a great deal of work
    ahead of us to achieve AEC by
    2015. Cooperation and
    Competition are driving forces
   Competition policy is in need
    and can make things change
    positively (for all businesses)
   Strong political will

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