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The world is facing changes at an unprecedented level. What is the key for Vietnamese businesses to seize opportunities and overcome challenges?
PwC Vietnam launches a new report “Asia Pacific’s Moment – Transforming with the New Reality” offering five linked and mutually reinforcing success factors to help businesses rebuild trust, creating value and delivering sustainable results in the current context.
The report highlights the lingering impacts of the COVID-19 pandemic, escalating geopolitical tensions, rampant inflation, weakened supply chains and new workforce challenges, along with the increased pressure for Environmental, Social and Governance (ESG) practices. This has created a state of imbalance in Asia Pacific. There is also a permanent shift in consumer and business behavior, changing the trajectory of the economy and society. PwC experts have provided comments on the impact of five trends on the Vietnamese economy, as well as recommendations to promote growth, competitiveness and resilience during this difficult period. .
Ms. Dinh Thi Quynh Van, General Director of PwC Vietnam, said: “The world is facing unprecedented levels of change. Vietnamese businesses must embrace the challenges and opportunities of ESG, as well as new flexible ways of working. Key to advancing these agendas is an innovative approach to region-wide cooperation, based on building trust and delivering sustainable results. That work needs to start now.”
Asia Pacific cannot hope that incremental growth and change will be enough to navigate these turbulent times. Stakeholders need to adjust their situation to become more proactive and self-determined. They must adopt new and more diverse strategies, to enhance their position in an increasingly dynamic and interconnected Asia Pacific.
Based on discussions with business leaders and experts in the region, PwC believes there are five unified, complementary success factors that will differentiate and drive competitiveness, from That helps businesses and governments prosper. In this report, these factors are presented as interconnected – they complement each other, and actions related to one factor will affect the others. These success factors are:
Supply Chain – Disruption has prompted businesses to reassess their supply strategies. Leaders in Asia Pacific must shift their focus from cost and efficiency, to resilience and confidence in the region’s supply chain transformation.
Business growth in the region – There are many opportunities to create value in Asia Pacific. To scale in the region, dealmakers must adopt a “competency-based” strategic approach, bringing together processes, tools, technology, skills and purpose.
Digital economy – Digitalization is becoming increasingly important to transform with the new reality. Businesses must embrace digitalization to cultivate insights, minimize cybersecurity and data privacy risks, and adapt to the times.
Workforce – Workers in Asia Pacific value meaning and authenticity. 90% of the workforce prefers remote or hybrid work models. To build trust and respond to changing workforce diversity, leaders need to reimagine upskilling, embracing flexibility, and delivering work that aligns with purpose. destination.
Environmental, social and governance (ESG) – ESG is more than simply a “nice to have” option for businesses in Asia Pacific. According to PwC research, the commitment to ESG implementation has not diminished – 88% of CEOs in Asia Pacific remain committed to achieving net-zero or carbon neutral waste ( carbon neutral). The 2022 ESG Readiness Report in Vietnam also shows that 80% of businesses have made commitments or are planning to soon practice ESG in the next 2-4 years. “Good intentions” on ESG are not enough, businesses need to focus on “building value”, by accelerating progress on ESG priorities to make a difference in capital and talent markets .
According to PwC experts, these five success factors are interconnected, interdependent and mutually reinforcing. Actions in one will impact the others. For example, ESG will be a concern in the supply chain. Digitalization will be key to rebuilding trust in the efficiency of supply sources. It is important to consider success factors holistically, while also considering the maturity of the local business environment when adjusting or adapting.
Consideration of these long-term and intertwined success factors lays out a new rationale for how businesses can overcome difficult challenges, achieve far-reaching impact, and drive growth and long-term competitiveness. long. At this point, we have a chancei to strengthen Asia Pacific’s position as a hub for sustainable and inclusive growth that benefits all stakeholders and a hub for digital innovation and ESG advancement.
Raymund Chao, Chairman of PwC Asia Pacific and China, commented: “The world, including Asia Pacific, has changed and will continue to change. As leaders, we need to act quickly to build trust with stakeholders, create value, enhance competitiveness and deliver sustainable results. This requires a progressive and multi-dimensional mindset, taking cooperation as the fulcrum. We must all unite and act now according to the new reality of the region.”
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