Vietnam premier wants to finish privatizing 289 state-run firms by 2015

[Carlosa]

Exactly bro, thats why I said even if I was the one in the same position as those SOE leaders/managers I will be tempted to do the same. Imagine running a company where you know the government will keep pumping money/loans to you and you don't have to give account of how you spend your money nor do you have to worry about spending on some stupid R&D (money you can embezzle into your private account and send your kids to the best uni in the west.lol) . the temptation is simply too strong, 8 out of 10 individual will do the most obvious thing(I.e embezzle ) giving such a situation. Money/loans, no accountability, no transparency, no shareholders to answer to etc. What a dangerous mix. Vietnam should privatise/sell off/reform all such blood sucking beasts which has been ruining the country and depriving it of much needed resources which could have been used in other more productive sectors. In case of reforms as you said, Vietnam doesn't seem to have enough financial resources to turn back these inefficient SOE into profitable/efficient companies, so the only solution is to privatise them. Though Vietnam should learn from those of its other SOE that have been quite good like viettel. So they can find out what they did right.

Absolutely. Even a 12 year old can figure out that such way of doing business can't possibly workout.

There is actually a lot of talented people in the private sector, if they allow them to take control, things will workout but as long as the government have their hands in them and try to keep control, it will just not work.

the article is clearly stated your PM want to privatize most of your SOE including the most profitable ones like your telecommunication company

There are 2 telecommunication companies, one will get privatized (Mobiphone), the other one, Viettel will not. Why the state need to have 2 telecommunication companies?

They are not going to privatize ALL the SOEs, just most of them because most of them are either not strategic or are losing money big time.

Also, privatization does not necessarily mean that foreign companies are going to buy them, so far it has been mainly Viet capital investing in them.

People that are not familiar with the situation of Viet SOEs, should stop comparing to other countries where the situation is different. The government plan is what needs to be done and the majority of vietnamese people support that.

 

[powastick]

Absolutely. Even a 12 year old can figure out that such way of doing business can't possibly workout.

There is actually a lot of talented people in the private sector, if they allow them to take control, things will workout but as long as the government have their hands in them and try to keep control, it will just not work.



There are 2 telecommunication companies, one will get privatized (Mobiphone), the other one, Viettel will not. Why the state need to have 2 telecommunication companies?

They are not going to privatize ALL the SOEs, just most of them because most of them are either not strategic or are losing money big time.

People that are not familiar with the situation of Viet SOEs, should stop comparing to other countries where the situation is different. The government plan is what needs to be done and the majority of vietnamese people support that.

What about steel, cement, and energy?

 

[Carlosa]

not all is lost. I recently talked to one of my relatives, who visits vietnam regulary for business.

he told me the wages for professionals have increased a lot in the last two years. almost double.
a experienced banker can earn up $1,000 a month, while engineer about up to $1,500 a month. there is a hot competition between domestic and foreign companies seeking best talents.

@Carlosa and other viet members: is it possible and realistic?
.

What is going on right now in Vietnam is that there is a lot of foreign investment coming in, business is expanding a lot and there is not enough qualified Viet professionals for high end positions such as managers, etc. Here is Danang most of the English teachers are Americans, British, etc. They make around $2,000 for a typical full time job.

A lot of resorts have opened up here, the managers and key positions are almost all foreigners, there is just not enough qualified Viets for that, it will take a long time for that.

The Viets that are qualified are making very good money and they can take their pick at what company they want to work for.

What about steel, cement, and energy?

The electric company will not be privatized.

Steel and cement is mainly private, lots of big foreign companies.

The oil company will sell 49% to a Russian company and they will expand the operation, no problems there. Plenty of oil companies are coming to do oil refineries including a 25 billion project by a Thai company. Russian oil companies are also coming to Vietnam and the Viet oil company is investing in Russia also.

Lool lmao. U.S will break apart in 50 years? Nice 1, first time I heard that. Lool

Private Companies in general have been proven to performed farrrr better than SOE overall. The best U.S tech companies are all privately owned/run and they dominate the world market (including the China market). Qualcomm, Intel, apple,Rolls-royce, Google,Microsoft, IBM, Cisco,caterpillar, mistubishi , Toyota, etc etc there are countless private companies who are world dominant, but very few state owned/run companies can be said to be world leaders/innovative. Many U.S, German,western, Japanese world beating conglomerates are all private owned/run or family owned businesses not state owned. Private companies have proven to be more innovative, efficient and better run than SOE. They have more incentives to since their survival depends on it, else they will perish, same can't be said about SOE since NO MATTER WHAT THEY DO THEY WILL STILL KEEP RUNNING,hence they have less incentives/reason to bother with R&D. Giving a level playing field and equal amount of government support, POE will outshine SOE any day, this can be seen with Huawei who spends heavily on R&D to remain ahead of its competitors and is a world renowned company. Same can't be said of state run companies.

Its private companies that make the U.S what it is today, SOE are way behind. Private companies of course are not perfect as some also fail, but overall they are way efficient than SOE all things being equal. U.S and U.S.S.R is a testimony of this. As for your statement about the U.S breaking apart while 'mighty' China standing up. LMAO , China has a better chance of breaking apart than the U.S Hong kongers are still longing for the days of our imperial rule over them (remember? Lool), Tibet/Xinjiang are restless, Taiwan is still relying on U.S to maintain its independence fro the mainland. What the hell I'm I doing talking about this? everybody knows the statement you made is rather funny, so won't waste time on this. There are other more valuable things we can discuss.

What he is talking about applies to a very specific case which is the big bank / financial companies, mainly in USA and I agree that there is a distortion there of the normal way a private company works, but that doesn't apply to 99% of private companies and is irrelevant to what we are talking here.

In a normal / typical private company there is accountability. Someone owns the company or shares of it and when the CEO, etc messes with their money, off they go. Period.

 

[frequency]

Who the heck think that soe outperform poe? The only people who would think that are farmers who just want power given for free and control and monopolize for money so they can enjoy their lifestyle without having to think outside the box. I call that lazy and incompetence at best. People whose power earned through hardship are more capable than those farmers mindset. Mark my words.

 

[Lux de Veritas]

Who the heck think that soe outperform poe? The only people who would think that are farmers who just want power given for free and control and monopolize for money so they can enjoy their lifestyle without having to think outside the box. I call that lazy and incompetence at best. People whose power earned through hardship are more capable than those farmers mindset. Mark my words.

Are you taking about those ex public officials infested TBTF white man banks?

 

[frequency]

Are you taking about those ex public officials infested TBTF white man banks?

im talking about warren buffet and bill gate.

 

[BoQ77]

The article is basically saying Vietnam is for sale.

You're right. Additionally, in a period.

not all is lost. I recently talked to one of my relatives, who visits vietnam regulary for business.

he told me the wages for professionals have increased a lot in the last two years. almost double.
a experienced banker can earn up $1,000 a month, while engineer about up to $1,500 a month. there is a hot competition between domestic and foreign companies seeking best talents.

@Carlosa and other viet members: is it possible and realistic?
.

It's correct. My wife working for a private bank at that salary level. Enough for our family living and some savings.
We don't have to pay for housing

 

[rcrmj]

Rcrmj is naive.If i was high rank offical in SOE company ，I absoultely support privating SOE company which can make me very rich and my descendents rich for generations as USSR did.But I am a normal chinese，so I absoutely oppose privating SOE company which actually belong to the country,the government should continue reforming the SOE company to keep the efficiency, in my opinion, many SOE companies are very competent ,not all the SOE companies are dinosaurs..不要被那些砖家忽悠了，有句话讲得好：口里说的都是主义，心里想的都是生意。小心被别人卖了还帮人数钱，词语是很有迷惑性的，人们一般可以接受民营化，反感私有化，但实质不存在什么民营化，都是私有化。

小朋友，不要被新闻联播忽悠了，你到底有多少工作经验？有过多少见识？接触过多少国有企业？什么民营化和私有化，可笑，感情是你自己造的‘理论’

国有企业已经慢慢成为中国经济发展的阻碍了，只是你们这一群小孩子没有社会历练，不知道而以

 

[Lux de Veritas]

小朋友，不要被新闻联播忽悠了，你到底有多少工作经验？有过多少见识？接触过多少国有企业？什么民营化和私有化，可笑，感情是你自己造的‘理论’

国有企业已经慢慢成为中国经济发展的阻碍了，只是你们这一群小孩子没有社会历练，不知道而以

国企当然没有民营企业效率，所以应该被限制在国防，采矿，能源电信等范围。

当战略性企业私有化后，中国就被资本家，甚至外国人控制。可能落个资本外逃，工业空心化。

 

[AndrewJin]

国企当然没有民营企业效率，所以应该被限制在国防，采矿，能源电信等范围。

当战略性企业私有化后，中国就被资本家，甚至外国人控制。可能落个资本外逃，工业空心化。

赞同。我支持民营企业越来越有活力，这和关乎国家安全的核心部门要不要民营化完全是两个话题。

 

[AndrewJin]

小朋友，不要被新闻联播忽悠了，你到底有多少工作经验？有过多少见识？接触过多少国有企业？什么民营化和私有化，可笑，感情是你自己造的‘理论’

国有企业已经慢慢成为中国经济发展的阻碍了，只是你们这一群小孩子没有社会历练，不知道而以

你别搞笑了。这里回你的有私有企业的大banker。不要把私有企业和国有核心部门要不要民营化的问题混在一起。这是一些李克强和他背后自由主义资本家之流喜欢玩的混淆是非的伎俩。支持百度和阿里巴巴的发展和保持南车的国有控制矛盾吗？为什么要非黑即白？很多黑心企业不也是民营？民营只是那些“良心”的企业？

 

[rcrmj]

你别搞笑了。这里回你的有私有企业的大banker。不要把私有企业和国有核心部门要不要民营化的问题混在一起。这是一些李克强和他背后自由主义资本家之流喜欢玩的混淆是非的伎俩。支持百度和阿里巴巴的发展和保持南车的国有控制矛盾吗？为什么要非黑即白？很多黑心企业不也是民营？民营只是那些“良心”的企业？

你的社会经历和英文的阅读能力都有很大的问题，谁跟你说核心什么的民营化？李克强对国情的了解和做出的决策是你等之流所能理解的？国有改革，去行政化，市场化，民营化是大势所趋，不是几个现代红卫兵所能了解的知道不小朋友？

基础科学，战略性前瞻性科学研究和战略资源领域是要由国家层面主导，但是市场的东西让行政导向性、垄断性的国有主体去做是做不好的，这是必然，不是看看几本书，听一些红卫兵口号的人所能理解的知道不？

 

[AndrewJin]

你的社会经历和英文的阅读能力都有很大的问题，谁跟你说核心什么的民营化？李克强对国情的了解和做出的决策是你等之流所能理解的？国有改革，去行政化，市场化，民营化是大势所趋，不是几个现代红卫兵所能了解的知道不小朋友？

基础科学，战略性前瞻性科学研究和战略资源领域是要由国家层面主导，但是市场的东西让行政导向性、垄断性的国有主体去做是做不好的，这是必然，不是看看几本书，听一些红卫兵口号的人所能理解的知道不？

你根本不了解政治啊。李克强。。。笑死人了。
还有你动不动就红卫兵什么的，就这种素质？
你根本就不了解铁路、能源之类的战略部门，我有说过不支持阿里巴巴这些民营企业吗？
这里一堆在民营企业工作的金领，这和支持保持核心战略部门的国有化有矛盾吗？

 

[William Hung]

Both China and VietNam is standing at the crossroad. And both are considering seriously the path of privatizing more SOEs (VN is actually copying CN). Wasnt there a thread made recently about how China is privatizing/liberalizing some of its non-strategic sectors and most Chinese members were cheering it on (while only a few objected it)??

I think there's no other choice. China's economy is slowing and risk becoming stagnant and stuck in the middle income trap. While VN is hardly growing like it was hyped to go. So some radical restructuring needs to take place for both country.

For VN, privatization is not only the last option, but probably the best option. Most Vietnamese SOEs are not an asset, but a liability. News of privatization is always disappointing for us leftist, but in Vietnam's case, it might be the best option.

So it is interesting to see what will happen in the near future, this radical privatization step could be a big flop, or it could be a big game changer.

The thing with China and Vietnam is that both haven't reached their full potential yet, which is kind of amazing (especially in CN case). So if privatization/liberalization is taken seriously and it becomes a game changer, then imagine what the growth will become again.

Let's wait and see.

 

[Lux de Veritas]

你的社会经历和英文的阅读能力都有很大的问题，谁跟你说核心什么的民营化？李克强对国情的了解和做出的决策是你等之流所能理解的？国有改革，去行政化，市场化，民营化是大势所趋，不是几个现代红卫兵所能了解的知道不小朋友？

基础科学，战略性前瞻性科学研究和战略资源领域是要由国家层面主导，但是市场的东西让行政导向性、垄断性的国有主体去做是做不好的，这是必然，不是看看几本书，听一些红卫兵口号的人所能理解的知道不？

你根本不了解政治啊。李克强。。。笑死人了。
还有你动不动就红卫兵什么的，就这种素质？
你根本就不了解铁路、能源之类的战略部门，我有说过不支持阿里巴巴这些民营企业吗？
这里一堆在民营企业工作的金领，这和支持保持核心战略部门的国有化有矛盾吗？

美国英国搞私有化，搞到政府光溜溜，资本家大发，中国崛起。若现在再学美国就是没脑。

私有化其实是政治精英侵占国有资产的借口。而政治精英一转身成资本家后就很可怕。到后来变成成套成套地向国际资本变卖国有资产。

到时全中国变成洋人的打工仔，崛起免谈。