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Business Forum Newspaper: Focus on local enterprises
05.11.2012
For Vietnamese businesses to continue to succeed in Vietnam against foreign entrants, they must focus on their understanding of the local buying-culture, and their competitive advantages.
For Vietnamese businesses to continue to succeed in Vietnam against foreign entrants, they must focus on their understanding of the local buying-culture, and their competitive advantages.
Business Forum recently met with Mr. Duong Xuan De, the Director of Production for Hawee M&E JSC, one of Vietnam’s most outstanding local businesses.
- Sir, as a new enterprise engaged in the market, does Hawee encounter any difficulties?
Yes. Some of the most general difficulties that Vietnamese companies face are access to finance and much competition. Hawee is not immune to these difficulties. Take finance, the pressure of inflation is immense and the government is increasing its restrictions on new capital in the market, as well as limits on credit for businesses. Especially for construction companies, the regulations are very strict.
Since we’ve opened our country to foreign investment, foreign companies have come in and begun competing for jobs. As Vietnam’s human resources are still very limited, we are at a bit of a disadvantage.
- Although there are still a lot of difficulties, as I know that Hawee has undertaken many big construction packages. May you speak about these packages?
Hawee is currently one of the leading M&E contractors in Vietnam. Our workforce is more than 1,000 technical workers and more than 250 engineers. We have been doing some large-scale projects that require highly technical techniques. Projects like the 5-star Crown Plaza Hotel, lots of commercial centers, offices and luxury apartment complexes, like Mipec Tower and Ecopark. We’re also doing Green Park’s business center and high-rise apartment building.
- Hawee is not only known as an M&E contractor, but also as a manufacturer of electrical switchboards, cable ladders & cable trays, supporting systems... So, how is the distribution calculated ?
In 2011, Hawee finished our 10,000 meter-square factory. We make electrical switchboards, cable ladders, cable trays and other system equipment. The factory has two CNC TRUMPF synchronous auto production lines and a backup generator so that we can operate even if the power is out. We produce high quality products.
In addition to that, we’ve had more than 10 years experience with Vesbo PPR water pipe systems and distribution. Hawee has a lot of experience with providing the systems that our clients need for their projects. We’ve done projects like Hanoi Marriot Hotel, Nha Tran Metro, Thu Thiem Green Apartments, the Ministry of Defense’s hostel, and many other projects. We’ve also worked with partners on many projects.
- So, what is the orientation of development in the coming period of Hawee?
Hawee focuses on three areas: being a contractor, producer and distributor of M&E systems. We continue to promote the development of our staff to handle more difficult projects. Within the next five years, we are planning to implement two more factories: a wiring and cable production factory, and a lighting product factory.
- So it means that Hawee intends to dominate the Vietnamese market and expand to the world market?
Of course Hawee will focus first on the domestic market. In recent years, Vietnam’s construction market has grown very quickly. There are more and more high-rise hotel projects, large-scale office buildings, many apartment buildings, and huge industrial projects. In the long-run, Hawee will develop projects outside the country too.
- If you do not want to lose at the home land, how does Hawee pay attention to the quality and brand reputation?
Hawee ensures that our products and service are high-quality. Our factory adheres to ISO-9001: 2008 standards and we use Share Point software to plan our construction designs.
- To compete on the domestic market, the product price is a huge influence. So, how is the cost of the products noted by Hawee?
Hawee does it best to offer the most cost effective solutions for projects. While we offer good prices, our focus is more on providing systems that have optimized quality and use technology that will last into the future.
We also spend a lot of money on training our staff. This is import in terms of saving costs because our staff doesn’t make the mistakes that cause other contractors to deliver late or go over budget.
- Yes! Thank you for this conversation.