E-commerce
is considered an effective measure helping businesses, especially small and
medium-sized enterprises (SMEs), to reduce direct transaction costs during
times of economic downturn, according to the Ministry of Industry and Trade.
A recent survey from the ministry showed
investment costs for e-commerce accounted for roughly 5 per cent of a company's
total investment capital, but could increase a firm's turnover by an average of
33 per cent.
Surveyed companies said turnover gained
through e-commerce transactions have risen significantly during recent years
and helped them access foreign customers, build their image, cut costs and
increase profits.
A representative from Hanoi-based Visimex
Joint Stock Co, which specialises in supplying and exporting aromatic spices,
said 80 per cent of his company's turnover comes from e-commerce.
The company has customers from China, India,
Indonesia, the Middle East, South Africa and Spain and has been a member of the
Hong Kong-based e-commerce trader Alibaba.com for six years.
Thai Binh-based Dam San Textile Co said it
receives orders from roughly 80 customers every month mainly from Germany, the
US, France and China thanks to their presence on Alibaba.com.
As online trading has proven to be effective,
the ministry recommended that in stead of spending money on establishing direct
distribution networks or showrooms, SMEs should invest in building websites or
join international e-commerce floors such as Alibaba.com, eBay.vn or
Amazon.com.
It said that it is often difficult for SME's
to access foreign markets directly due to restricted capital sources and
limited export experience, however it is easy for them to take part in online
export channels, which are popular in the US and dozens of countries
world-wide.
Participating in e-commerce to boost exports
is an indispensable trend as importers in large markets such as the US and EU
often choose the e-commerce transaction floors of Alibaba.com, eBay.vn or
Amazon.com to buy products.
International businesses in Fortune 500 such
as IKEA, Walmart, Toshiba, Delphi and Saferoad also use e-commerce floors to
organise offline meetings and buy products from reliable suppliers, the
ministry said.
VIR - VNA
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