The Entrepreneurial Facets as Precursor to Vietnam’s Economic Renovation in 1986

Posted on April 5, 2012 by


Op-Economica (5-4-2012) — Since we believe the paper could be of use to foreign investors who are interested in understanding why Vietnam is where it is today, we would like to introduce a new paper below.

Detailed information:

Vuong, Q.H., V.N. Dam, D. Van Houtte, and T.D. Tran (2011) “The Entrepreneurial Facets as Precursor to Vietnam’s Economic Renovation in 1986,” The IUP Journal of Entrepreneurship Development, Vol. VIII, No. 4, pp. 6-47. (*)

This journal article could be obtained from Ebsco database:

The IUP J. Entrepreneurship Development VIII(4): 6-47 “The entrepreneurial facets as precursor to Vietnam’s economic renovation in 1986”

* Abstract: This research, aims to develop a conceptual framework to assess the entrepreneurial properties of the Vietnamese reform, known as Doi Moi, even before the kickoff of Doi Moi policy itself. The authors argue that unlike many other scholars’ assertion, economic crisis and harsh realities were neither necessary nor sufficient conditions for the reform to take place, but the entrepreneurial elements and undertaking were, at least for the case of Vietnam’s reform. Entrepreneurial process, on the one hand, sought structural changes and kicked off innovation, and on the other hand, its induced outcome further invited changes and associated opportunities. The paper also concludes that an assessment of possibility for the next stage of Doi Moi should take into account the entrepreneurial factors of the economy and predict the emergence of new entrepreneurial facets in the next phase of economic development.

* Description: This paper examines the facets of entrepreneurial process in the sociocultural and economic context of Vietnam before the kickoff of an extensive renovation of Vietnam’s economy— usually referred to as Doi Moi—in 1986. In this analysis, we focus on several important aspects of the process that leads to the starting point of the full-blown version of Doi Moi that have been obscured due to the bias of the research community, which have mostly discussed the post-Doi Moi economic phenomena and normative predictive consequences. By taking several steps back into the past, the analysis would like to stitch together pieces of understandings from (1) socioeconomic problems of Vietnam before 1986; (2) views and arguments from international and national scholars on the issues; (3) theoretical and practical understandings on entrepreneurial process with an emphasis on Vietnam’s situation; and (4) Post-Doi Moi economic realities that could help reinforce our argument on the role of entrepreneurship in Vietnam’s economic transition, not just for the past 25 years of reform in Vietnam, but also the renewal of such process in the near future, or as some put it, Doi Moi II.

The primary aim of this paper is to shed some light on how the transformation in the minds of people who made the history happen had really taken place at some point of history by itself. Our hypothesis is that although the contemporaneous economic reform of Vietnam was formally dated in the 6th Congress of the Communist Party of Vietnam in December 1986, the outcome of that hallmark sociopolitical event itself was an achievement of a long-standing theoretical and also ideological struggle between economic thoughts existing inside the elite circle. This struggle was partially solved in this congress due to the economic realities of the economy, while the economy itself continued to move due to the continuous works, spending, investing and hoping of millions of people in the country.

(*) Authors are in the photo below:

Vuong (left) and Tran (right) in front of Buddha statue in Phat Tich relics (now under renovation) during Vietnam’s Tet Holidays 2012. Photo courtesy: Prof. N.K. Napier (CCI / COBE / Boise State University)