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Monday, May 16, 2011
Friday, May 13, 2011
MBA Journal: Doing Business in Vietnam
"Part of the reason I chose Vietnam for global residency was I wanted a culture completely alien to my own experiences."
My first impression on landing in Vietnam was, "Oh wow, Ho Chi Minh City looks exactly like Sarajevo." It is a testament to the proliferation of 1970s Soviet architecture that I could fly halfway around the world and feel as if I had arrived back in my own home country of Bosnia, another beneficiary of Soviet-style economic planning. I was visiting Vietnam (and subsequently Cambodia) on a Global Residency trip with my MBA program at Georgetown University's McDonough School of Business (McDonough Full-Time MBA Profile). Although I'd still need to take classes on our return to campus, this trip would be a culmination of my learning in global business, concluding in a consulting presentation to a Vietnamese client for whom my team and I created a global branding strategy and regional entry plan.
Part of the reason I chose Vietnam for global residency was I wanted a culture completely alien to my own experiences. Although I had to adjust to a brand-new world when I first moved to the U.S. at 17 after leaving Bosnia, I still saw Europe and North America as essentially sharing the same worldview. It was, therefore, incredibly surprising to see so many similarities—the architecture, bargaining at the city market, the narrow roads resulting in major traffic jams—between Vietnam and Bosnia.
Then things got more interesting. "I got the best recommendation for a tailor," my friend Erica said over a couple of Vietnam's finest $1 beers. "This crazy ex-pat war vet saved us when our Mekong cruise boat dropped us off in the middle of nowhere after we refused to pay them an extra $200. Well, he says you need to go to this lady in the stall in the city market and buy your fabrics. She then gives you the name and address of the best tailor in town. If you tell him that Erica sent you, he'll give you a really good price. I already bought four dresses from him, and he loves me."
From Extortion to Astrology
Erica's story encapsulates business in Vietnam in so many ways. Although the economic engine is moving the country toward more Western standards at supersonic speeds, there are still many vestiges of lawlessness, such as the boat extortion described above. Most deals are conducted on the basis of relationships; if the two parties don't already know each other, introductions are needed through social situations before sitting down for business matters. Even self-proclaimed nonreligious individuals will often consult astrologers to find out whether a deal is made in auspicious circumstances. Finally, just about everything is open to negotiation. While I always considered my mother to be the family's true expert on price negotiations in the market (she has the patience to look through all the options and a willingness to walk away, both of which I lack), by the end of my trip I was slashing prices on silk scarves and souvenirs down to only one-third of the originally stated price.
The Global Residency brought theory to life. It is one thing to read how a country can manage its currency reserves to set monetary policy and quite another to observe the Vietnamese government's efforts to promote a strong dong clash with the general dollarization of the economy, or to contrast this situation with Cambodia, where ATMs dispense dollars and the local currency is used only as change. Although Georgetown's education pays a lot of attention to public policy, it was still impressive to hear from our panelists about the Vietnamese parliament's preoccupation with some areas of regulation and complete disregard for others. While the Chinese government can relocate a neighborhood to create a highway, Vietnamese culture's respect for land ownership deprived the government of eminent domain rights, resulting in overcrowded roads where speed limits rarely exceed 30 miles per hour.
While my global marketing professors lectured about adapting the product to regional needs, it's nonetheless nothing short of funny hearing that KFC is considered a premium product because the American prices are so much higher than Vietnamese price points.
Of course, the real impact of the visit was in our consulting project. Global Residency is a requirement for graduation. After we selected a country, the faculty and administration looked for consulting projects with companies that needed external help. Some were multinational, such as Pepsi and Citibank, while others were companies looking to expand abroad, and some were just increasing their in-country footprint. After each team was assigned a project, we continued to refine our understanding of the client's problems within the industry and regional context while preparing the presentation we would deliver to the company's chief executive or country manager while on residency.
Image of a "Hip Traveler"
During the global residency, my team worked with Vietnam Fashion Corporation (think Vietnam's GAP). Already the best-known clothing retailer in Vietnam, VFC has expanded into some parts of Asia and Africa and has set its sights on becoming a global brand. Our team's research into global branding strategies in the digital age unearthed new theories of the "consumer decision journey," where brands must interact with consumers to capture their loyalty. We developed a concept of a "hip traveler" that VFC could use to create its global myth, a hallmark of international brands that help create a global identity. We cautioned the client not simply to replicate its existing business plan, but to tailor the strategy to regional needs and market saturation. Finally, we conducted primary market research through focus groups, concept surveys, and deep interviews to understand North American consumers' willingness to buy VFC's product, given the highly competitive market.
The team was excited that the presentation was received well by the client. Our primary contact, the chief marketer, would occasionally get up in the middle of the presentation and translate our slides, to make sure her marketing and design team understood all the implications of our recommendations. Through our dialogue, we tried to show that the frameworks we developed could help them rethink their strategies in a new light.
The final seal of approval came when the client team invited us to an eight-course meal in a private dining room of a fancy restaurant and then invited us to go clubbing the following night. That's the fun part of doing business in Vietnam.
Rusmir Musić is enrolled at the McDonough School of Business at Georgetown University and is expected to graduate in 2011. A war refugee, Musić and his family fled their home in Bosnia and Herzegovina in 1992. Coming to the U.S. on his own at 17, he earned a bachelor of arts in chemistry in 2001 from the College of Holy Cross and a master of arts in humanities and social thought in 2003 from New York University's Graduate School of Arts & Sciences. Before enrolling in business school, he was the assistant director of experiential programs at the Hiatt Career Center at Brandeis University.
By Rusmir Musić (May 9, 2011)
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Comment from Dr.Jack (May 9, 2011)
Appreciate your description of your own experience in Vietnam, a rather despotic developing nation. However, that first short impression won't last long if later you come and work there. I've been working there for over 5 years. You'd see countless nuisances ahead, featuring corruption and bribery. Vietnam can be equated to a place where patience and resentment can be practised regularly. You will surely find it much more difficult to do business in Vietnam. Trust me.
Source: http://www.businessweek.com/bschools/content/may2011/bs2011055_554471.htm
Wednesday, May 11, 2011
Thanh Duc Church - Danang
THANH DUC CHURCHOn the wide and beautiful two-way street, the tall bell towers of Thanh Duc church stands majestically in the scenery of Son Tra peninsula.
Like a mark in the beautiful landscape of the whole street, the new church built in 2000 is a living testament of a stable and strong congregation that is a vital part of the community.
50 years ago, this was a strip of sand deposited by Han river on which the highest ground was chosen to build the current church.
At first, a big shelter was the home of many Catholic families; a few houses made of steel-sheets were the hospital and church office. Many adjoining blocks of houses were of parishioners living around the church. The first church was also made of steel-sheets, surrounded by cement sheets and wooden beams bought from Hai Van pass.
Through many momentous events, especially the incident of Thanh Bo – Duc Loi in 1964, the church was repaired, expanded, renovated and remains a small steel-sheet building with narrow doors and windows; walls were covered in harsh-looking mortar bricks and particularly the bell tower was built out of four railway tracks like a monument of a war-time period.
From 1968 to 1974, the idea of a new church made everyone feel excited. Plans, designs… even contribution were made. But all were shelved. Maybe because the country was still at war and it was difficult to predict how people would adjust to a new and uncertain life.
After 1975, the Parish entered a new period. Some parishioners left while some remained loyal to the land. So the number of parishioners was reduced (in 1964: 2030 people; 1975: 1729). The number of parishioners decreased. Life was difficult with severe food shortages. However, a new talented and devoted shepherd was sent to the Parish. He was Reverend Nguyen Huu Dang. He repaired the most badly damaged areas of the church depending on available funds. First, he raised and installed steel beams supporting the roof. Then he tiled the roof, built the porch and the bell tower, re-installed electricity, sound, light and fan systems etc… This was the second church of the Parish.
In 1995, the country was in a reformation process. The number of parishioners increased to 3100 parishioners and the issue of rebuilding the church was again brought up. With the help from overseas Thanh Duc parishioners, a long-term fund-raising campaign was started. Each person would contribute 200 dong per day for 3 years.
Technical survey, design and blueprint were also started. Due to the scope of the project, the topic of holy art was also considered: how to create a church worthy of the contribution and wish of local and overseas parishioners and also at the same time create the first church of the new 21st century. The church had to be tall but comfortable, capable of turning people’s mind to God. The altar in particular had to match with theological meaning and holy art, prominent but not different, elegant but not too sophisticated, formal but should not prevent parishioners from intimately and earnestly taking part in worship. This was a big challenge and the Management Board created a competition to design the altar. In addition, there was the need to combine the historic requirements of the church and yet keep it in balance with the bell tower, the great work of the previous parish priest, plus the limit of the fixed terrain conditions.
The huge scope of the project made selecting the contractor difficult. Who and how to choose was debated at great length and a process in compliance with common construction practice was reached: public bidding to all who were qualified and experienced.
There were unforgettable moments when young men in the Parish demolished concrete stabs under the summer sun. Older men straightened old steel rebars for reuse. Many moved hundreds of cubic meters of debris out of the construction site. Everyone was delighted, especially at the drawing of the new church. “All for the new church” was the slogan at the time.
The Management Board consisted of the chief parishioner representative as the chairman, a technical deputy, a supervisor, a secretary cum accountant, a warehouse keeper and 2 persons assigned to material purchasing, the parish priest in charge of the funds. Besides, there were members of the Parish Council to take care of meals and night watches and the women to bring daily drinks for workers.
The construction site was cleared on time for the contractor who won the bidding. On 16 May 1999, the local bishop laid the first stone and on 17 May 1999 construction started.
There were many wonderful ideas, divergent opinions and egos: some had technical knowledge, some did not but were willing to help, some were keen on criticizing etc…
To make people work together and turn those elements into energy was the motto of the Management Board. There was a book for opinions, a mailbox and even a telephone at the office for everyone.
The project was huge but no casualties occurred: purchases were signed by the warehouse keeper, loads of sands and rocks were confirmed, and expenses were recorded and approved by the chairman. Labor safety was also checked regularly.
Underground work such as digging, columnar and rock foundation was supervised and recorded by the accountant for later payment.
There was special focus on technical work, besides the technical supervisor, the technical deputy was present at the site to check and report on the quantity of mortar and concrete for each unit of work. He was also in charge of labor safety compliance and resolving problems so that the project went as scheduled at the minimum expense.Other purchases and services such as sound equipment, electricity and water were all contracted and approved by the chief. Documents were kept for later payments.
The Management Board met monthly to review, plan for next tasks and reported to members and the parish priest. Thanks to experience and best practices, the actual cost of the project was much lower than the allowed budget.
People and other dignitaries who visited Thanh Duc Parish such as Cardinal Pham Dinh Tung, Bishop Nguyen Van Yen, Monsignor Nguyen Van Phuong, Mr. Pham The Duyet (Chairman of the National Front Committee), Mr. Nguyen Ba Thanh (City Party Secretary) and Mr. Nguyen Van An (Chairman of the City People’s Committee)… all praised Thanh Duc church construction project. It was the efforts of many local and overseas parishioners who silently contributed to the church over the years…
The Thanh Duc church on the side of the 3rd of February street is a reminder of many hardships, difficulties and obstacles that those who were in charge had to overcome with their highest resolution: the church is my own home. No one can count the sleepless nights that the parish priest had to endure and the drops of sweat that workers shed at the site.
SOME PHOTOS…
Bishop F.X. Nguyen Quang Sach laid the first stone to start the construction of the new church (16 May 1999)
The start of the construction of the new church (17 May 1999)
Ground-breaking ceremony (17 May 1999)
The roof top of the church under construction
The inauguration of the church (29 June 2000)
The Mass in the church on the inauguration day (29 June 2000)
Performances to celebrate the inauguration of Thanh Duc church (29 June 2000)
Cardinal Paul Joseph PHAM DINH TUNG – President of Vietnam Conference of Bishops visited Thanh Duc church (30 June 2000)
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THE JOURNEY OF 50 YEARS (05/28/2010)
THANH DUC PARISH - DA NANG DIOCESE
History can teach us many lessons. There are lessons we must learn to live with gratitude and dignity so that our ancestors can be proud of us. However, history also has painful lessons that we must learn to avoid repeating the tragic mistakes. Nonetheless, those are valuable lessons that future generations must respect and remember.
Our parish history is just a little piece in the history of the universal Church or the Church in Vietnam. But it does contain many countless examples of the unselfish sacrifice that our priests, monks, nuns and the whole congregation have made. From those we can teach ourselves to be grateful to the Lord, Mary and our predecessors; to cherish the spiritual and material legacies left to us such as solidarity and sacrifice for the common good. It is also our responsibility to maintain our facilities and contribute in one way or another to the growth of our Parish. If we let our Parish fail, we neglect our obligation to our children.
MARKS IN TIME
1966
1991
2004
The Holy See delegation led by Monsignor C. Migliore, Secretary for Relations with States and Monsignor B. Phuong visited and celebrated Mass in the new Thanh Duc church (13 October 2002)
Co-celebrated Mass and the congregation…
Easter in 2000
*Source: http://www.thanhduchaingoai.com/D_1-5_2-209_4-315_5-4_6-1_17-1_14-2/
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