To Build a Start-up Ecosystem in Vietnam
Apr 30, 2018
Startup VS Entrepreneur
Many millennials think that the words “startup” and “Entrepreneur” are the same. However, they are not. An entrepreneur is a person or group who is self-motivated, self-employed, or entrepreneurial for his or her own interests. While a startup is to build a business stemming from an idea.
Most businesses in Vietnam misunderstand these two concepts. This leads to inadequate business strategies causing many Vietnamese startups to fail. “A startup needs to follow 6 basic steps including Define strategy -> Define model Business -> Define the operating model which suitable for the business model and orientation -> Organize the structure -> Cultural transformation -> Implementation.
Aspiring entrepreneurs first need to define a flowchart which identifies all the stages required to bring the product to the consumer. They then have to determine the number of personnel needed to operate each department. From there, the new business draws up the complete structure needed to organize. Because of this confusion, many young Vietnamese enterprises have problems with personnel records, which means that the company’s personnel are redundant or deficient in their departments.
Execution is the most important step, but many startups fail at this stage. There are many companies that have accomplished all the strategies but cannot maintain their business.
Vietnam is a potential country to do the startup, but there is a lack of a sustainable ecosystem that supports young entrepreneurs. When you start at zero, it is crucial to know how to get investments. But without an ecosystem, It is very difficult to call for investment.
With those points, many experts say that if Vietnam wants to be a startup country, it is a must to build a startup ecosystem. In the near future, to build a start-up ecosystem is essential to support new talents. At the same time, the experience of the previous ones will help the young business avoid the failure.