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Promoting businesses to participate deeply in innovation

VHO - In the context of private enterprises increasingly asserting their role as the driving force for the country's economic development, the fact that some enterprises boldly invested in science and technology very early has helped spread the spirit of innovation in the business community.

Báo Văn HóaBáo Văn Hóa13/06/2025

Research activities at Sao Thai Duong Company. (Photo: DUC TUNG)
Research activities at Sao Thai Duong Company. (Photo: DUC TUNG)

Pioneering innovation

More than 20 years ago, when domestic cosmetic products were still completely "inferior" to imported products, Sao Thai Duong Joint Stock Company chose a different path, which was to develop products from Vietnamese herbs based on scientific research and benefits for community health.

Although there is no support from the State, nor other incentives, the company is still determined to build a purely Vietnamese brand, from research to commercialization.

That choice has so far proven to be correct. The company's inventions such as products supporting the treatment of Covid-19, or a series of herbal health care products, have affirmed their position not only domestically, but also internationally.

When transforming into a company and equitizing, Traphaco Joint Stock Company started from almost zero: no capital, no modern technology, no professional research team. From a "small" state-owned unit, the company had to fend for itself in the context of a fiercely competitive pharmaceutical market and a flood of imported products.

The biggest difficulty is not only the lack of money, but also the lack of human resources capable of research and development. However, instead of focusing only on distribution or processing, Traphaco Company has chosen a much more difficult path, which is to invest in research and development of products from indigenous medicinal herbs.

Typical products developed based on indigenous medicinal herbs have demonstrated this correct direction. Traphaco Company not only masters production technology, but also lays the foundation for a scientific and technological enterprise model in the Vietnamese pharmaceutical industry.

It is the courage to choose to invest in knowledge and technology that has helped the company gradually affirm its solid position in the market and become a symbol of innovation associated with national identity.

To achieve that success, the path that Sao Thai Duong or Traphaco went through was an arduous journey, especially in accessing policies and research resources.

Barriers to be removed

According to Ms. Nguyen Thi Huong Lien, Deputy General Director of Sao Thai Duong Joint Stock Company, the biggest challenge in investing in science and technology is the lack of connection with policies, scientists, capital, technical support systems and facilities.

Although policies to support science and technology enterprises have been in place since 2013 with Decree 80/2013/ND-CP and recently Decree 13/2023/ND-CP, access to incentives is still very limited. According to a survey by the Vietnam Association of Science and Technology Enterprises, up to 70-80% of eligible enterprises do not apply for incentives because they find the procedures complicated or are afraid of being made difficult.

Furthermore, the understanding and implementation of policies vary between localities. With the same regulation, some places create favorable conditions, while others require additional conditions, causing delays and discouragement for businesses.

Another barrier lies in the lack of connection between scientists and businesses. “Many scientists are very good, but do not know how to apply research results to life, and are not used to communicating with businesses,” Ms. Lien shared. On the contrary, many businesses have urgent practical needs but do not know who to find or where to find them. The lack of a public data system on scientists and experts by field and expertise, like a “credibility map”, makes the process of finding cooperation partners like “looking for a needle in a haystack”.

Not to mention international patent registration, a necessary step to reach the global market, is still an overwhelming problem for most private enterprises due to the high cost.

The valuable thing is that, despite the difficulties, there are still businesses betting on science and technology as a long-term development strategy. They, with their successfully commercialized inventions, green, clean products with high intellectual value, are inspiring and creating a ripple effect in the Vietnamese business community.

But that “single” inspiration, if not fanned by policies and fueled by institutions, will remain just small sparks. If we want innovation to become a national capacity, if we want businesses to become the center of sustainable development, we need strategic determination, not only in businesses but also at the State level.

A bright spot in the current policy corridor is that the Politburo has issued Resolution No. 68-NQ/TW on private economic development, which clearly identifies private enterprises as not only the driving force for growth, but also the pioneering force in scientific research, innovation and digital transformation.

The Resolution proposes many systemic solutions to remove inherent bottlenecks and create a truly innovative ecosystem. It is about renewing thinking and unifying awareness throughout the entire political system about the central role of enterprises in the knowledge economy . Enterprises are entities that need to be empowered, supported and facilitated to develop outstandingly.

The resolution also requires cutting at least 30% of legal compliance costs and 30% of business conditions; strongly implementing post-audits and reducing administrative intervention of a request-grant nature.

Prioritize investment policies for science, technology and innovation in the private sector: expand corporate income tax incentives, establish venture capital funds, preferential credit, support small and medium enterprises to develop new technologies and products; encourage enterprises to participate in bidding for technology and national research tasks.

Building a transparent and efficient technology market where businesses can easily search, transfer technology, and connect with scientists; developing a national database of experts, inventions, and research, creating a “knowledge map” to serve the commercialization of research results.

Promote the role of the business community, identify businessmen as soldiers on the economic front, need to be trained, honored and encouraged to contribute...

Innovation cannot be just a "movement" of research institutes and universities, but requires committed businesses, scientists who dare to "challenge", and a policy system attractive enough to encourage parties to cooperate together.

Some business representatives said that it is necessary to complete and effectively implement policies to support science and technology enterprises; remove institutional and legal barriers and obstacles to promote cooperation between research institutes, universities and enterprises to share resources and experiences.

In addition, building a transparent technology market, helping businesses easily access and transfer technology; building mechanisms and platforms to connect and share information and resources among stakeholders; increasing investment and supporting the development of infrastructure and equipment for scientific research.

According to HA LINH-DUC TUNG/Nhan Dan Newspaper

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