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their systems. In either scenario, innovation helps an considering Viet Nam as a target market has 108 funds
organization differentiate itself and its products from the operating in Viet Nam. These numbers have continuously
competition, which can be particularly powerful in an increased over the years, demonstrating the active
oversaturated industry or market. participation of the community in the development of the
innovation ecosystem.
3. Innovation achievement in Viet Nam
The fact in Viet Nam shows that many creative startups
During the reform process from the 1990s to the were born in 2016, 2017, 2018, creating a trend of startups
present, Viet Nam has made great efforts to apply in the community. This trend is meaningful for many
science, technology and innovation to promote people to study and choose the traditional way of starting
sustainable economic growth. In particular, the Global a business, or starting a creative business. Although the
Innovation Index (GII) and the Global Competitiveness number of innovative startup investors is not much, it
Index (GCI) of Viet Nam have all improved and ranked is on an increasing trend. The Vietnamese government
high along with developed countries. In the ranking has set a target that by 2030, Viet Nam will have 100,000
of Global Innovation Index (GII) 2020, Viet Nam ranks digital technology enterprises. The Government has also
42/131 countries/economy. In 2021, despite COVID- started construction of the National Innovation Center,
19 pandemic, Viet Nam still ranks 44th out of 132 aiming to create a breakthrough in the implementation
countries/economies (compared to 42nd in 2019 and of promoting innovation, creating many "Make in Viet
2020) after World Intellectual Property Organization Nam" products.
(WIPO) updated GDP figures according to Viet Nam's According to the WB report named “Viet Nam: Science,
new calculation (increased about 36% compared to Technology and Innovation Report” (2020), Viet Nam is
2020). Although Viet Nam maintains the same position entering its new phase of economic transformation at a
in the ranking of innovation output (ranked 38th) and time of unprecedented global and domestic headwinds
continues to have an improvement in the ranking of that lend urgency to the agenda of promoting innovation.
innovation output, increasing by 2 places (from 62 to The fact also shows that the Vietnamese startup
60) compared to 2020, but the new, larger GDP value community has gradually formed and tends to connect
has adjusted the ranking of Viet Nam because many of with the global startup community. Viet Nam is currently
the component indexes are calculated based on the total considered as one of the countries with great potential
GDP divided value. In the GII 2021, Viet Nam continues in the Asia-Pacific region in developing innovative start-
to be listed by WIPO in the Report as a model worth up business models. Besides, the wave of investment in
learning "Viet Nam is among the 50 GII economies the creative startup market in Viet Nam in recent years
with the most significant progress in the innovation has tended to increase, especially investment from Korea,
ranking over time. In the context of the COVID-19 Japan, and the US. Some other initial links have also been
pandemic unpredictably impacted the socio-economic formed between Viet Nam and international partners
development and innovation, Viet Nam still maintains such as: Singapore, Thailand, Malaysia, etc., to support
its position in the top 50 that shows a huge effort. Vietnamese creative startups...
In recent years, paying
attention to the development FIGURE 1: RESET NEW STI STRATEGY TOWARDS BUSINESS INNOVATION VIET NAM
of science and technology and
innovation, the Party and State
have had many policies to
support enterprises to innovate,
reduce the dependence of
economic growth on resource
exploitation, raw export, cheap
labor and gradually move to
science and technology based
application, transforming
innovation into endless
resources for sustainable
growth. According to statistics
from the Ministry of Science
and Technology (2021), Viet
Nam currently has more than
1,400 organizations capable
of supporting startups. The
number of Venture Funds Source: Viet Nam: Science, Technology and Innovation Report (2020)

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