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In_Trade: Innovation and Trademark as a tool to successfully compete in the global market

In_Trade: Innovation and Trademark as a tool to successfully compete in the global market. Background Vietnamese leather industry. Figures 2010: 780 mln pairs of shoes 200 mln handbag 320 mln square feet finished leather 824 companies employing 650,000 people

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In_Trade: Innovation and Trademark as a tool to successfully compete in the global market

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  1. In_Trade: Innovation and Trademark as a tool to successfully compete in the global market

  2. Background Vietnamese leather industry Figures 2010: • 780 mln pairs of shoes • 200 mln handbag • 320 mln square feet finished leather • 824 companies employing 650,000 people • Major export markets: EU, America, Japan • Major export countries: USA, UK, Germany, Belgium, Italy, France

  3. Notes: • Vietnam is among the five most important footwear exporters in the world • Majority of production of shoes and leather comes form FDI companies • Bags from private Vietnamese companies • 475 companies in total, among 42 tanneries, great share of FDI companies and private companies • USA by far biggest country, Belgium playing a big role, even if relatively small

  4. Opportunities and challenges • After WTO membership access to new markets • FTA negotiations with EU planned • Geographical situation and political stability • Movement of industry to Asia • Focus not only on cheap items • Ensure supply of quality of raw materials and staff • Focused on manufacturing for foreign companies • Pressured by international consumer standards • Weak basis in terms of branding and design + -

  5. Notes: • The industry still imports most raw materials  • Vietnamese footwear products see little value-addition, noting that their competitive advantage in terms of prices over rivals like China, India, Indonesia, and Thailand is also gradually shrinkingTo develop sustainably and become more competitive, the sector needs to restructure and increase the local content rateThe industry should upgrade technologies, expand the product range, and improve quality to meet the increasing demands of consumers • No quotas, but also no GSP status • High fluctuation of staff, which often moves to higher income sectors,

  6. The project objective Improve the know how and capacity of the Vietnamese leather IBOs and companies Provide qualified and efficient training to members or staff To become an efficient consulting partner for the government Improve networking to enhance visibility on foreign markets

  7. Partners and beneficiaries • Partners • LEFASO • Consorzio Toscana Shoe Components • debelux Chamber of Commerce • Toscana Promozione • Beneficiaries • IBO, Chambers of Commerce • Staff employed • Companies in Europe and Vietnam • Further stakeholders

  8. Activities • Phase 1: Building public-private dialogue • Starting the project • Workshops in Vietnam on public private dialogue • Creating awareness • Phase 2: Training courses on trade policies and market access • Training for IBO • Training for companies • Study visits • Best practice evaluation

  9. Activities • Phase 3: Technical Assistance to develop an integral package of services • TA on trade issues focusing on innovation and developing a trademark • TA to develop a voluntarily trademark • Workshop on innovation for companies • Workshop on capacity building • Phase 4: Promotion of innovative results • Presentation of collection • B2B meeting • Publications, webpage, closing workshop

  10. Results phase 1 • Kick off meeting with presence of partners and IBO and stakeholders • Workshop on Public Private Dialogue. • Introducing different approaches in Germany, Italy, and Belgium • Discussion on services that can be offered by IBO to their members • Setting targets

  11. Note: • Getting familiarised by different system of foreign trade promotion • Visit to EU to get information on trade policy of EU • Seminar on social compliance and REACH • About 50 people attending workshop in Vietnam

  12. Results phase 2 • Training course for IBO staff in Vietnam on WTO issues and market access in Hanoi • Study visit to Italy and Belgium, visit to the EU • Workshop for companies in HCM city on challenges of globalization • Issues addressed: WTO and FTA, market access and RoO, TBT, IPR, market entry, market trends, export building etc.

  13. Note: • Getting familiarised by different system of foreign trade promotion • Visit to EU to get information on trade policy of EU • Seminar on social compliance and REACH • 20 people attending study visit • Workshop about 40 to 50 people in Hanoi and HCM City

  14. Results phase 3 • Workshop for IBO on trademarks with developing a trade mark philosophy, standards, and a tool kit • Workshop on innovation addressing theoretical issues of brand development and setting up teams of companies • Training of companies and IBO on capacity building in cooperation with different experts

  15. Note: • Workshop on trade mark development enabled companies to enhance knowledge of trademark and marketing strategies to promote the development of companies in the domestic market as well as export. Businesses realized the importance of building and developing brand.In Vietnam, there are many small and medium companies; therefore, developing the collective mark is very necessary. When the collective mark has been built, small and medium companies would be stronger when they used that collective mark especially for export. 60 companies trained • Companies need to be more active on design and branding, companies could create unique features for their products to differentiate themselves from competitors, in order to promote the image, dominate the market and sustain a persistent development. • First steps to develop a brand, • about 60 participants in the workshop (20 from the north, 40 from the south) and 7 directly assisted companies • Workshop on capacity building introducing different Management modells for associations and chambers as well as public private cooperation 110 people attended

  16. Results phase 4 • TA and workshop on design and development of a new collection • Presentation of collection at the leather fair in HCM City • B2B meeting in HCM City • Workshop on the EU’s monitoring program for all types on leather upper shoes originated form Vietnam and China • Closing Workshop and presentation of results

  17. Note: • Assistance program for companies to address problems in designing. The companies have selected the final samples from which to develop a new collection. 95 attendents the workshop, TA: 32 companies participated in TAP on design including 14 directly assisted companies. • B2B promoted cooperative relationships and expand export. The participated companies shared information about advantages, disadvantages, opportunities and challenges for each region and for the world. The meeting also promoted domestic industry, introduced export potential, prestige of companies, the quality of products manufactured in Vietnam and the ability to satisfy the diverse, complex requirements of customers and importers. 150 participants • Information on how to protect the legitimate rights and interests of enterprises as well as enhance their competitiveness in the competitive in the international market, contributing to their enterprises’ success in business. 90 participants in total in Hanoi and HCM

  18. Project success Positive impact though involvements of IBO, companies and experts Transfer of know, how, developing of tools and sharing of results for leather associations, leather companies and other stakeholders

  19. Further areas for co-operation • Further development of a service portfolio which is in conformity with realistic expectations of the companies • Further Positioning the IBO as strong partners with international reputation • Further efforts to guarantee minimum quality standards and meet customer demand • Further measures in terms of training of staff and management • Further investment in branding and design

  20. Vielen Dank für Ihre Aufmerksamkeit. Bedankt voor uw aandacht. Merci beaucoup pour votre attention. Thank you for your attention.

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