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Textile and Garment Enterprises with Initial Achievements in Trademark Building

In the last seven years, the trademarks of Viettien, May 10, Ninomaxx, Vee Sendy and Blue Exchange have become popular with Vietnamese consumers.

These are trademarks of Vietnamese garments, which have been available in shops along Hanoi’s busy streets, including Chua Boc and Ngo Quyen. That proves proper approaches of Vietnamese textile and garments in trademark development.

Investment in Trademark Development
Le Quoc An, chairman of the Vietnam Textile and Garment Association and president of the Vietnam National Textile and Garment Group, said that enterprises in the industry, according to their target markets, domestic or foreign, should decide methods for their trademark development. The domestic market with a population of more than 80 million people, despite preference for foreign-made goods, has accepted and supported Vietnamese goods and trademarks. Therefore, at the market, enterprises should prioritise their investment in trademark development.

The Thai Tuan Textile Company has experimented with an evaluation of the Thai Tuan trademark’s market and realised that cloths with Thai Tuan words printed on edge are priced VND 1,500 higher than and preferred by customers to those without the words. With an output of 12 million metres per year and assumption that the trademark exists at least ten years, it is easy to calculate a value of VND 180 billion of the Thai Tuan trademark, which is higher than value of the company’s fixed assets.

Nguyen Thanh Hung, manager of business development at the Viet Fashion Company, said that since1998, Viet Fashion had invested in building the trademark of Ninomaxx and targeted young people as its potential customers. The company’s distribution network consists of over 50 affiliates and shops in Vietnam.

Having affirmed its position with the Viettien trademark for shirts for ten years, Viet Tien has recently developed two new trademarks, T-Up and Vee Sendy. "We have invested VND 5 billion since late 2005 to promote our Vee Sendy brand, which is targeted at young people,” said Phan Van Kiet, managing director of the Viet Tien Company.

The Viet Thang Textile Company has developed trademarks, which have become popular in the domestic market and have been voted in the top five Vietnamese brands for high quality products, such as KT Vietthang for polyester cotton blended popeline cloth, VF for high quality shirts, Three Camels for khaki trousers. The Phuong Dong Garment Company has developed the trademark of F House for Polo and Fux knitting products, jackets and shirts. According to An, many enterprises have chosen their names for trademarks, such as Garment Company N0 10, Nha Be, Legamex, An Phuoc and Thanh Cong Textile. In the short term, enterprises have gained a high effectiveness for their concentration on promoting trademarks in the domestic market.  

Stabilising and Developing Trademarks in Foreign Countries

Talking about foreign markets, An said: “Vietnamese textile and garment enterprises have entered the an initial period for the building of their trademarks in foreign countries. The period is featured by market exploration.” Recently Business Week magazine has announced trademark value in 2004 of famous fashion houses, such as Nike (US$9.26 billion), Gap (US$7.87 billion), Gucci (US$4.75 billion) and Chanel (US$4.4 billion). So far, such evaluation for Vietnamese trademarks has not been announced yet.  

Also, in foreign countries, as consumers prefer famous trademarks of famous designers and manufacturers, it is difficult for Vietnamese products to enter these markets.

Vietnamese enterprises’ targets in foreign countries are to create and promote prestigious trademarks to attract stable orders at reasonable prices from famous importers. This path has brought success to many textile and garment companies in China, Taiwan, the Republic of Korea and Thailand.


It is a good sign as Vietnamese companies have invested and initially succeeded in developing their enterprise trademarks. The companies of Viet Tien, Nha Be, Garment 10, Phuong Dong, Duc Giang, Thang Long, Viet Thang and Hanosimex, with their prestige have always won stable orders at high prices from famous importers in the world.


Thanks to their prestigious trademarks, Viet Thang, Garment 28 and Viet Tien can sell their cotton shirts at between US$5 and 8 per unit (FOB price) to famous importers while the average price of other manufacturers is between US$3 and 4 for less famous importers. Similarly, Nha Be and Garment 10 can earn between US1 and 1.2 per shirt for its subcontracts in comparison to US$0.6 and 0.7 per unit for enterprises with less famous trademarks.


Due to these reasons, Vietnamese textile and garment should concentrate their resources in developing trademarks with high quality products, timely delivery and social accountability, said An. The building of trademarks of products in the local markets and the creation of enterprise trademarks in foreign markets may become the most proper approach of Vietnamese textile and garment enterprises at present.

VCCI - (21/04/2006)

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