VietNamNet Bridge -  Many Vietnamese business executives say they cannot easily find deserving successors.

After 30 years of development, Vinamit has become one of the best known Vietnamese brands in farm produce processing, with its products exported to 20 countries.

Vinamit has been associated with Nguyen Lam Vien, president and general director, the founder who has been managing the company for years.

Vien told the press that he is planning to retire in several years. His sons all have their own careers and they don’t want to inherit the family’s fortune. 

“It would be a big regret if I cannot find anyone deserving to take over the company and then would have to sell it,” Vien said.

Many Vietnamese business executives say they cannot easily find deserving successors.

Huynh Van Nghi, chair and general director of Phan Thiet Garment JSC, is managing a company with 2,700 workers. Nghi now holds 50 percent of the company’s shares and he doesn’t want to sell the shares to anyone. His two sons, who have returned to Vietnam after finishing study overseas, do not want to take over the company.

Family owned businesses are an important driving force for the economy. PACE Institute of Management cited a Harvard’s report as saying that family-owned businesses account for two-thirds of total businesses worldwide. 

International research work shows that 70-90 percent of the world’s annual GDP is created by family-owned businesses and in most countries, these businesses provide 50-80 percent of total jobs.

Nguyen Nhu Khue, director of Bong Sen Chemical Plastic Company, said he plans to transfer the company to his son.

“My son is capable and has qualifications. He once held a high position in a large corporation. However, when he manages the family’s company, I feel he still lacks a so called entrepreneur’s spirit," he said.

Le Dang Doanh, a renowned economist, commented that Vietnam still doesn’t have large conglomerates like the chaebols in South Korea and economic groups in Japan.

This is because of the lack of transparency in the Vietnamese business environment and the high cost. 

A survey conducted with funding from the World Bank found that in order to earn one dong of profit, businesses have to pay 0.72-1.2 dong in ‘lubricating fees’.

There are many famous mother-daughter couples in Vietnamese business circles. These include Nguyen Thi Mai Thanh, CEO of REE, and two daughters Nguyen Ngoc Thai Binh and Nguyen Ngoc Nhat Hanh, Nguyen Thi Nga, president of BRG and Nguyen Thu Thuy.