FPT UNIVERSITY

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INTRODUCTION TO

INTERNATIONAL BUSINESS

TOPIC:

“SOURCING AND SUPPLY CHAIN IN VIETNAM

OPPORTUNITIES AND CHALLENGES”

Teacher: Vo Thi Minh Phuong

Subject code: IBI101

Student: Phan Thi Thanh Ngan

ID Student: SS160230
Through the seminar with the topic "Soucing and supply chain in Vietnam -

opportunities and challenges", the speakers conveyed their knowledge and practical

experience related to sourcing and supply chain for us. The workshop focused on

analyzing the situation of global supply chain disruptions due to the impact of Covid-

19, along with the challenges that logistics companies face in this period, and

proposing solutions to effectively recover supply chains and contribute to the

development of the economy. In addition, the meeting also mentions career

opportunities related to supply chain management, which is a specific basis for me to

orient my career in the future.

The Covid-19 outbreak has had a serious global influence on all industries, especially

the logistics sector. Governments have implemented several precautionary measures t

o limit the spread of Covid-19, such as lockdowns, social distancing, suspension of tra

nsit systems, and factory shutdowns. These limitations have caused the global supply

chain to face disruptions and shortages of human resources and input materials in mos

t fields. When Covid-19 broke out, the demand for essential goods such as food, medi

cine, masks, medical equipment, etc., immediately increased rapidly. Meanwhile, the

demand for electronics, apparel, tourism, service industries, etc., decreased significant

ly. The method of international transportation encountered numerous difficulties, crip

pling supplies, which led to businesses' production processes stagnating and being una

ble to properly accommodate customer requirements. Therefore, business models base

d on science, technology, and innovation will emerge, allowing enterprises to continu

e operating and developing in the Covid-19 situation. Businesses should create e-com

merce to allow customers to order and pay for things without having to meet face-to-f

ace. Furthermore, firms are implementing modern technology in distribution, assisting

items to reach consumers faster and meet their needs; assisting firms to immediately a
djust marketing activities; capturing vital information about the market and customer

demand for products on a timely basis; and establishing relationships with clients.

During the Covid-19 outbreak, transportation between countries was limited, which ca

used a shortage of raw materials and the production process was delayed. To solve thi

s problem, businesses need to diversify their suppliers, cooperating with local supplier

s that are geographically closer to those located far away or in other countries. That w

ould shorten transit time and minimize risks during transportation. In addition, busine

sses also need to have strategies to back up raw materials or find alternative materials

in the region to ensure the flexibility of the supply chain in emergencies such as mater

ial scarcity. To be able to find the right supplier, businesses need to clearly define wha

t they need to buy and what their partners have to deliver to them. Through trade asso

ciations, business forums, or recommendations from friends and acquaintances, busin

esses can get a brief overview and list some of the suppliers available in the area. Busi

nesses will then utilize Google Meet, Zoom, and other tools to interact with partners t

o negotiate resource requirements and the terms of cooperation. Finally, businesses ne

ed to compare and evaluate the total and select reputable and suitable suppliers to buil

d a sustainable, mutually beneficial cooperative relationship.

In order to limit the spread of the disease, social distancing and travel restrictions

have impacted business sales when they were unable to work directly with partners.

This has prompted these businesses to find solutions to bring products to customers

with a new effective approach without directly going to factories, visiting trade shows

and selecting products as in the traditional way. Instead, a digital marketing strategy

based on online exhibits uses technological platforms to facilitate e-commerce,

conference events, online marketplace linkages, and others. The 3D showrooms

present complete information about the product on a virtual platform, allowing buyers
to compare, assess, and then choose items from any location at any given time.

Therefore, this strategy also assists firms in collecting information, executing market

research, capturing trends, and offering numerous chances to attract a large number of

both local and international customers. During a pandemic, this could also assist firms

to minimize risks, preserve business, and enhance supply chain efficiency.

The impact of the Covid-19 epidemic has created new challenges for logistics compan

ies in terms of shifting consumer tastes, commercial transactions on the principle of re

mote, and the emergence of online businesses to ensure that the contact between the s

hipper and the consignee does not spread Covid-19 while maintaining the speed and q

uality of delivery services. Consumers' demand for online shopping is increasing, whi

ch leads to competition among logistics companies of various sizes and forms of oper

ation. Domestic companies do not have enough capital, human resources, technology l

imitations, or payment security compared to foreign logistics companies. In addition,

new technologies such as artificial intelligence or comprehensive digital transformatio

n are still sketchy, so operating and hiring costs have not been reduced to a minimum.

Encountered with these issues, logistics firms have developed a variety of novel soluti

ons to adapt and enhance the service system to fit the contemporary context, deliverin

g more competitive efficiency than the old design. They have used sophisticated techn

ology such as artificial intelligence, blockchain, and automation in the digital phases o

f logistics, as well as training highly skilled and technical human resources. Businesse

s may boost efficiency, minimize expenses, reduce order processing time, and safegua

rd information at the checkout using intelligent software systems. Furthermore, busine

sses must aggressively seek out and collaborate with reputed foreign corporations in o

rder to jointly develop and improve the quality of logistics services.

With the advancement of information technology, the expansion of e-commerce, as

well as international trade operations, logistics has become a rapidly rising business

that is drawing human resources. Currently, there is a new wave of investment

flowing into Vietnam from global firms such as Microsoft, Unilever, Samsung, and

others; therefore, positions in the supply chain are diversified and of high quality. The

number of students studying logistics has risen, resulting in increased competition and

the possibility to enhance our skills. After graduation, students can work for logistics

service firms, import-export enterprises, and transportation services in a variety of

specialised departments such as customer service, supply chain, and others. To take

advantage of this opportunity, students would prepare themselves with solid

specialised knowledge, foreign language ability, a proactive approach in all situations,

and soft skills when having a conversation and negotiating with partners in the near

future.

In short, the Covid-19 pandemic has severely reduced the world economy, disrupted s

upply chains, and created new challenges for businesses. Since then, effective risk-mit

igation strategies have been implemented, as well as numerous possibilities to get acc

ess to innovative technology, thus improving the effectiveness of the business operati

ons. As a student, after participating in this seminar, I have accumulated some inform

ation in the logistics industry, and I will be equipped with the necessary knowledge an

d skills to gain experience and learn more.