Exports of footwear in Vietnam increased rapidly in terms of quantity but the added value was relatively modest. Due to low quality and no brand, most of our export goods are forced to remain lower price than competitors. The reason that the added value is not high because the supporting industry has not developed, such as footwear industry only meet 30-40% of demand for raw materials.

In addition, there are a number of other causes such as small-scale leather shoes companies, limited ability to mobilize capital, ability to innovate technology, equipment, weak design team. So, it creates many products without their own brands, access capacity, market penetration, negotiation, brand promotion and participation in the global value chain.

Many experts have said, increasing output is not a sustainable way to develop footwear exports by consuming resources and energy. Moreover, production capacity will come to the threshold and can not increase output anymore. As a result, Vietnamese businesses are forced to change their business practices to increase value instead of focusing on increasing output.

In fact, in the value chain, there are key stages but Vietnam has not joined in those important stages. For example, Samsung is a product of modern industry, Vietnam has a small pride in it but we are not happy baecause it is not the key chain. This is an unsustainable factor for Vietnam to increase the value.

In order to be able to participate in the global supply chain, the footwear enterprises need to be clearly defined that they have to participate in the first step, ie from the beginning when products are developed, instead of the time when products are on the market. When they intend to release a product, the chain must be involved. For example, when Samsung plans to launch a Galaxy S8 phone, a year ago we joined the supply chain for this product. Although it is only a small contribution - packaging production for Samsung but business also create a certain position.

Look at the famous brand shoes such as Adidas, Nike, these large companies tend not to make their own products. There is no Nike or Adidas's manufacturing factories around the world, and the supply chain is outsourced by the participating countries. So, Vietnamese businesses need to determine that we can not compete with Nike or Adidas by another brand, but compete with them by participating in their production chain to bring added value.

In order to participate deeply in the global supply chain, Vietnamese footwear enterprises should have the desire to play with the largest, best and hardest things. Let's play with the big countries to learn from them and their prestige will become our prestige. But to play with these giants, domesstic businesses must ensure to meet the requirements in terms of quality and value.

In addition to quality assurance, Vietnamese enterprises also have to change the design to suit the tastes of consumers. Previously, the company's products are exported in big barrels, then they are improved to carton and are packaged for sale in supermarkets. As a result, the added value of the business is higher due to the shifting from semi-finished products to final products.