Building a win-win partnership

June 20, 2016 | 10:00

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The business community has hailed the media for its active role in shaping a healthier business and investment environment. In the meantime, the media has been asked to fine tune its self so that journalist should never been a threat to good business practices.

Pro-business voices

Earlier this year, eight local dairy goods importers, producers and traders had a lucky escape when the General Department of Customs (GDT) handed down a sentence on tax arrears totalling an estimated VND700 billion (US$31.1 million).

Asked to pay extra value-added tax and import tariffs for material imports which had been miscategorised and therefore under-taxed, Vinamilk, Hanoimilk, FrieslandCampina, Nutifood, Dai Tan Viet, Hoang Lam, A Chau and The He Moi, spread word of their petition against the tax collection decision to local media outlets.

Almost all local economic newspapers published the story on the dairy importers’ appeal to the government bodies which created a wave of public discontent over the GDT’s decision.

As a consequence, the MoF halted the tax collection proposed by the GDT, which not only helped dairy firms escape the tax arrear toll but also aided them in avoiding a force-majeure price hike due to increasing operating costs.

The media is a powerful tool for businesses to expand their footprints - Photo: Duc Thanh

This is a typical case of enterprises making good use of the press and highlights the media’s influence on public opinion. “Without the help of the media, the firms’ difficulties wouldn’t have been reported let alone addressed by government authorities,” said Vu Tien Loc, chairman of the Vietnam Chamber of Commerce and Industry (VCCI).

The media is acknowledged by the Vietnamese government as a critical tool showcasing the views of businesses on various issues, including the implementation of policies and guidelines, thus helping improve State management.

“Media is the bridge linking enterprise and the state,” Prime Minister Nguyen Xuan Phuc affirmed.

Regarding foreign invested enterprises, the media is both an invaluable source of information and useful tool to build brand names, helping to promote products and spur operations.

For instance, foreign insurers mainly count on local media to change Vietnamese perspective on their services.

“The limited understanding of Vietnamese people about the benefits of life insurance services is a challenge for us as a service provider. However, through active communication and the support of local media, I think that the situation will certainly improve in the future,” Anton Chang, general director of Taiwanese life insurer Fubon Life Vietnam told VIR..

Last month saw a criminal case reversed in Binh Chanh district, Ho Chi Minh City, against Café Xin Chao. Violations made by local police authorities were eventually uncovered when they prosecuted a coffee shop owner – Nguyen Van Tan, over a slightly late business registration and a lack of certification on food safety.

Nguyen Van Bi, who leased the land area to Tan, was also prosecuted for criminal violations. Bi built a leaf hut to raise ducks, which was deemed to “pose serious risks to the public”.

It was fortunate that Tan and Bi’s miscarriage of justice was heard and circulated by the media. Eventually, the two men were set free while several officials connected to the case found themselves on the receiving end of disciplinary action.

“The case of Café Xin Chao could have gone unnoticed but thanks to local media it got the prime minister’s attention. Café Xin Chao became symbolic of the country’s progress in rooting out corruption and wastefulness,” observed VCCI’s Loc, adding that his organisation would continue to co-operate with the media to contribute inputs in government policy making.

The increasing pace of reforms will improve the business environment and benefit firms as a result. According to the Global Competitiveness Report 2015-2016, Vietnam’s competitiveness index climbed 12 spots from the previous year to rank 68th amongst 140 countries and territories. This marks the third consecutive year-on-year improvement of the Vietnamese economic landscape.

Potential risks of the media

Many businesspeople have voiced concerns on the impartiality of the media and hope that journalists can respect the law and report incidents fairly.

They complained that the media had exacerbated several crises involving enterprises, damaging the reputation and revenues of not only individual firms but also whole industries.

Some businesses also admitted that they had been ‘blackmailed’ by journalists.

A PR manager at a US-backed firm spoke with VIR that “we have to classify the media into groups ranging from “slightly dangerous” to “extremely dangerous” and have suitable reactions ready to deal with each group. We do not compromise despite always being on high alert,” said the anonymous manager.

He also explained that for businesses subject to European or US law like his, it’s illegal to influence anyone with personal payment or reward. Whenever businesses decide to break this code of ethics, there are consequences, including high financial penalties.

In particular, the US’ Foreign Corrupt Practices Act (FCPA) stipulates that payments to foreign officials, including journalists, candidates and parties are against the law.

No matter how many violations of businesses and State management agencies that are discovered by journalists, it remains necessary for them to keep their activities lawful and ethical, so as to create an equal and transparent climate for the business community.

Given that an article can negatively impact a business’s operation, Loc warned: “It is very helpful to disclose illegal activities, but journalists need to report stories with faith and justice.”

Josephine Yei Pheck Joo – CEO of SBBS

In both good and bad time, good stocks quoted on the stock market are still on trading. Similarly to SBBS, we are continuing support our clients both in and outside of Vietnam on stock trading, corporate advisory and services related to securities industry.

Today we would like to take an opportunity to wish and encourage VIR on the Revolutionary Press Day this special quote. “By giving us the opinions of the uneducated, journalism keeps us in touch with the ignorance of the community. Journalism keeps us planted in the earth.”

Alex Crane – General director of Cushman & Wakefield

The local press play an important part of the business community and are a great source which helps keep our business current, relative and focussed.

We greatly appreciate the support and exposure we get as a company and I am always delighted when we have close interaction with reporters. We are always willing to share insight and experience.

The quality of reporting in Vietnam is constantly improving and my one request, and I know this is the case, is that we all continue to improve on our quality and performance by looking beyond what is considered the standard in Vietnam; it is the same for our business too!”

Nguyen Quang Thuan - Chairman and CEO of StoxPlus

As one of leading data and information business providers in Vietnam, we understand the role of information – and of news – as an effective bridge for investment, trade, capital flows between Vietnam and the world.

The media in Vietnam has improved significantly in recent times in terms of content, depth and coverage during this process, and they are serving as an effective bridge between Vietnam’s policymakers, businesses, and especially foreign investors. We value VIR as Vietnam’s leading media outlet covering the business environment, industry, and business performance for readers of economic and financial news. We will contribute insightful articles based on our data business advantages to strengthen our relationship with VIR.

Jong Hyun Park - General manager of DASAN Vietnam

When asked why he became a journalist, one reporter said, “because I did not want to rely on newspapers for information”. It is the most interesting answer ever. DASAN would like to express our gratitude to all Vietnamese media. Let your pen be sharp, your mind clear, and your heart passionate. Let’s bridge the gap between the government and businesses, especially in regard to foreign enterprises, so they can help create favourable conditions for Vietnam to better position itself within the global market. For VIR, one of the leading press in Vietnam, its strong support has nurtured the budding relationship between international companies and Vietnam.

Raul Carbajal - General director of Schindler Vietnam

I find that Vietnam’s economic newspapers and VIR in particular, offer good coverage of the economic, political, and social environment. They take the pulse of the country, gauge its trends and highlight who is making moves in the business arena. It is important that they continue to point out the issues that need to be addressed, to make it easier to do business here and invest in Vietnam. As we are on the cusp of entering the Trans-Pacific Partnership, Vietnam needs to make changes and be more competitive. These newspapers should keep investors updated about the changes and improvements as well as the weak points so that everyone can make better forecasts, anticipate the future, and make better business decisions.

Jorge Martin-Martinez - Head country management of DKSH Vietnam

First of all, congratulations on the 91st anniversary of Vietnam’s Revolutionary Press Day. I am glad that Vietnam has an official day to honour journalism. From a corporate point of view, we consider media partners like VIR as our close companions.

You build a bridge between DKSH and the community and I would like to thank VIR for its support in the enhancement of our brand awareness. We are looking forward to continuing our relationship in the future.

Costantino Sambuy - General director of Piaggio Vietnam

To celebrate the 91st anniversary of Vietnam’s Revolutionary Press Day on June 21, Piaggio Vietnam would like to send its best wishes to all Vietnamese journalists, and especially to VIR’s staff, for their tremendous contributions to the social and economic development of Vietnam.

VIR, Vietnam’s first English language media outlet specialising in economic news, has been an indispensible source of information for the foreign business community. By reporting the most up-to-date news, developing in-depth economic columns, and raising the concerns of the business community, it has proved itself as the most effective channel connecting the government and business community.

Kim Thien Quang - General director of Maybank Kim Eng Securities

On the occasion of Vietnam’s Revolutionary Press Day, we want to voice our appreciation of the role of the press in providing multi-dimensional insight for readers, investors, as well as domestic and foreign enterprises. As one of the few economic and financial newspapers released in English, VIR has become an effective source of information, particularly for enterprises with 100-per-cent foreign capital, like Maybank Kim Eng. Social networks and mobile devices may have changed the ways we receive information, but VIR remains our most trusted information source for government policies, business, investment, and finance news.

Stephen Wyatt - Country head of JLL Vietnam

When I first came to Vietnam in 2010, I was impressed with quality of economic newspapers, and VIR in particular. These valuable publications provide foreign investors with invaluable insight into the latest market trends and offering interviews with market leaders. Foreign investors rely on credible information and detailed market intelligence when making investment decisions in a new country. Foreign investors will expect more from economic newspapers with increased insight and meaningful analysis of Vietnam’s business landscape. As foreign direct investment inflows increase, the quality of reporting and publications should also improve.

Do Son Duong - CEO and co-founder of TOONG co-working space

TOONG has subscribed to VIR for its members since it opened because the newspaper provides a lot of macro-economic news that gives entrepreneurs an overview of national economy. VIR should be a part of any young entrepreneurs’ lifestyle. However, VIR is lacking competitive advantages in comparison with multi-sector news websites. Such websites offer audience a quicker and more flexible way to access news and in-depth articles. VIR can do better by providing more articles from top international entrepreneurs and economists. Also its layout, photos, and writing tone should be more contemporary and dynamic to suit the attitude of the young.

Tanachart Ralsipirong - Managing director of BASF Vietnam

This is my second month in Vietnam and certainly there is a lot about the country and especially its economy for me to explore. I find VIR to be a credible source of information with timely business updates and insightful feature stories. The online version is also quite user friendly and structured in a way you can easily browse for everything that matters the most to your business: government policies, what your business partners are doing, what society is demanding from the corporates. During my first few months, I have had the honour of working with some VIR journalists who demonstrated the highest level of professionalism, coupled with a desire to provide only the best for their readers. I am excited to see how the team will bring the publication to the next level. We look forward to creating chemistry with VIR to make Vietnam’s business community more successful.

Dale Gerstenslager - Communications leader at Doosan Vina

I believe the Vietnamese media in all its forms strives to inform and give the people the information they need to make responsible decisions for their lives. I’ve witnessed improvements in press freedom in recent years. I think there is room to move even further in this direction to broaden the debate. The information we need to be better able to meet the demand of the marketplace is related to three key areas. The first is accurate and reliable information on government policies, agendas, and direction. The second is market trends and projects related to the development of the power sector infrastructure. And the third is competitive information.

Hyunwoo Bang - Vice president of Samsung Vietnam

Since I’ve started working here, I have had the opportunity to learn about Vietnam’s Press Day through English-language newspapers in Vietnam, such as VIR. I was especially interested to learn that Vietnam’s Revolutionary Press was initiated by President Ho Chi Minh 91 years ago, to honour Vietnamese journalists who had made great contributions to the cause of national development. It is a popular saying in many countries that “the press is the fourth power”. However, Vietnam is one of the few countries that celebrate the National Press Day to commend the vital role of the press in the cause for national independence, reunification, and development.

Matt Millard - CEO of Purple Asia

We’d like to congratulate Vietnam Investment Review on 25 years of leading economic and business newspaper. It takes one trailblazer to recognise and truly appreciate another. It has been a privilege and honour working with you and helping each other succeed in Vietnam’s dynamic business and economic market. We look forward to many more years of collaboration! Happy Journalists’ Day!

Based in Vietnam for 15 years, Purple Asia is a multinational team of professionals trusted by hundreds of international brands, independent businesses, start-ups, household names, manufacturers, retailers, investors and business people. Our clients are heavily lifestyle-focused and come from all different segments including property, tourism and hospitality, luxury goods, fast moving consumer goods (FMCG), B2B and not-for-profit organisations. They are all different but they all have one thing in common - the desire and commitment to improve their relationship with their customers.

Our integrated print and digital design studios in Ho Chi Minh City are staffed by leading graphic designers, web developers and senior creatives who share a passion for great work. Our public relations and communications team craft bespoke campaigns, messaging and news to keep your venture present and relevant in today’s fast-moving digital and print world. We work closely with our clients to mine for genuine, actionable insights from the market and we develop strategically-focused design and marketing solutions to drive brand growth.

By By Thanh Xuan

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