report subject macroeconomics topic the effects of coronavirus pandemic to vietnams economy

Import and export situation of Vietnam before and after the COVID-19 pandemic.... IMPACT OF COVID-19 PANDEMIC ON as the consumption of product output of enterprises, which has a major im

GROUP MEMBER

Subject: Macroeconomics

STT STUDENT NAME STUDENT ID NOTE

1 Tô Vũ Minh Châu 720K0935 Report

2 Phan Tú Quyên 720K0942 Research and

CONTENTS

I IMPACT OF COVID-19 PANDEMIC ON CONSUMPTION IN VIETNAM 4

Il | VIETNAM’S IMPORT AND EXPORT IN THE CONTEXT OF COVID-19

PANDEMIC Lec 4 14

Rau 1n 14 II.2 Import and export situation of Vietnam before and after the COVID-19 pandemic 15 11.2.1 lmport and export situation before the pandemic 15 11.2.2 lmport and export of Vietnam since the pandemic appeared ccccessesscesseesceseesesteceeees 17 C05 is c3 300i 8 22

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I IMPACT OF COVID-19 PANDEMIC ON

as the consumption of product output of enterprises, which has a major impact

on habits, which has a major impact on habits and consumer shopping behavior

The COVID-19 pandemic, with its complex and difficult-to-control has severely affected all global economies

These have a major impact, causing a world economic crisis, profoundly changing the order, economic structure, mode of governance, and the way the economy operates; changing the organization of global social life, most clearly expressed in modern consumption trends

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I.1 Modern consumption trends

- A weakened macroeconomic scenario, unstable employment and falling household incomes will force consumers to re-evaluate their values and priorities as well as embrace new consumption habits Consumer confidence declines along with inadequate finances, leading to savings to spend more carefully, setting aside a plan that arises for the unforeseen It can be seen that the pandemic has promoted planned, targeted procurement and moved to sustainable, reasonable consumption

1.2 Reduce the frequency of going out shopping

Surveys by market research companies show that consumer demand and behavior have changed much over the past year, since the Covid-19 outbreak The vast majority of consumers aim for a healthy lifestyle, prioritizing the choice of essential items (especially food), products that help health care, increase resistance, Data of the General Statistics Office also showed that in the first months of the year, the demand for food items increased by 4.51% compared to the previous year, food ttems increased by 12.28% compared to the previous year,

of which pork prices increased by 57.23%, and the price of medicines and medical equipment increased by 1.35%.Shopping behavior also changes, outside shopping activities such as supermarkets, stores or traditional markets are minimized by consumers; instead it's a tendency to strengthen and focus more on what can be done at home

1.3 Consumption trends and shopping preferences

- The first choices are food and medical products Consumers are more interested in medical products because these items are important factors in protecting health and maintaining life in the face of the spreading epidemic with more dangerous variations The psychology of the people, since knowing the danger of corona, the habit of going to the market has also changed Instead

of going daily to buy fresh food, many people accept to go to the market to buy stored food for many days

In terms of convenience, measures such as distancing, limiting contact and so forth, making mobile, technology, and delivery orders where consumers can conveniently pick up goods help consumers buy the products they need at a time when they want to be more convenient than ever Activities such as work, shopping, entertamment, etc are still done without moving to multiple locations

In addition, to meet the shopping and consumption needs of people in Ho Chi Minh City, most commercial centers, supermarket systems, chain stores, etc have cooperated with domestic and foreign brands and brands to implement promotions and discounts of up to 50% These units also carry out a rich form

of consumer stimulus such as buying | get | free; give coupons for the next invoice, default face value vouchers, combo sales that include the main product with gifts

1.4 Changing business models to adapt to new consumer trends

COVID-19 has affected almost every aspect of consumers’ personal lives, forcing businesses to also be innovative and responsive to adapt to new consumer trends and ways of consumption

Accordingly, changing business models, from production to distribution, transportation and consumption, is the best solution to help businesses develop in the new situation

to consider shopping online

+ With the emergence of a series of domestic and cross-border e- commerce platform websites and applications such as Shopee, Lazada, Tiki, customers can easily shop for everything from groceries, electronics, to educational services and hotel bookings with just one click or simple operations on smart mobile devices and it is important that at a very affordable price

Due to the highly infectious COVID-19 virus and the convenience of online delivery and ordering, contactless goods trading services increased sharply According to a survey by U.S market research firm Forrester, in 2020, 58% of consumers chose to spend online, up 12% from pre-pandemic levels

According to U.S financial advisory firm LBMC, many industries are negatively affected by COVID-19, with some industries such as technology and professional services less affected by meeting modern consumer demand

It is clear that the e-commerce industry is increasingly bringing more and more motivation to the economic recovery that has been severely affected by the COVID-19 pandemic According to a report released by Lazada, the leading e-commerce platform in Southeast Asia, 52% of sellers in Indonesia, the Philippines, Thailand, Vietnam, Malaysia and Singapore achieved high revenue growth in the first half of 2021, while 70% expect that revenue growth will continue to be increased by 10% in the third quarter of 2021

> In fact, e-commerce platforms have contributed to opening up rich and diverse shopping opportunities for people living in small cities, neighborhoods and rural areas, connect young consumers and live in urban areas to many international brands One feature that makes cross-border purchases on a digital platform easier is the presence of e-wallets, which can be used to purchase any product on the platform

Conscious business towards smart consumption:

+ According to Worldbank, sustainability is a factor that modern consumers are interested i when shopping 71% of consumers worldwide think climate change is just as important as COVID-19 + Consumers are more sympathetic to responsible brands, which can make the world cleaner Therefore, enterprises will also have to change their production and business models, from standard and sustainable sourcing to building a non-polluting production process, negatively impacting the environment

= The COVID-19 pandemic has been having a major impact on all aspects of life, negatively affecting the economy and the health and safety of many people around the world However, this epidemic also brings some positive effects, including consumer awareness of sustainable consumption

> According to a recent survey conducted by the IBM Institute for Business Value (IBV), 14,000 people from nine countries found the results to be of great interest: 90% of those surveyed said covid-19 changed their view of environmental and sustainable consumption issues

“> The willingness to change behavior also changed markedly when 55% of consumers said sustainability was a very important or extremely important factor when choosing a brand 62% of consumers are also willing to change their purchasing behavior to minimize the negative impact on the environment

> In Vietnam, although there is no official data on transforming consumers’ perceptions of sustainable values after the emergence

of the epidemic, it can be seen that sustainable consumption is

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becoming more and more concerned in the consumer community and businesses In particular, the Event of Vietnam Consumer Rights Day 2021 with the theme "Healthy business — Sustainable consumption in the new normal period” has strongly promoted sustainable values in business policies of businesses as well as in daily consumption of consumers

- Application of technical technology in distribution:

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+ Artificial Intelligence (AIT) technology plays an important role in optimizing modern supply chains For example, for warehousing goods, artificial intelligence and location can help retailers maintain a competitive advantage over their product distribution and supply chain Multifaceted big data from specific geographic locations combined with online interactions can show purchasing patterns based on certain times, events, and conditions in detailed customer segments

+ Therefore, a retailer can use AI to predict which products are more cost- effective to stock in a given warehouse located near specific areas Or blockchain technology is a way of distributing the verification process

to anything from financial transactions to logging shipping information + Over time, aggregated blockchain ledger information can reveal weaknesses in the supply chain and help organizations continually optimize operations Thus, changing the business model to meet modern consumer needs is the most effective solution to maintain and develop

in the new situation globally

1.5 Conclusion:

- The actual record shows that, although Vietnamese consumers have reduced the size of their carts in terms of the number of goods in each grocery shopping, the value of shopping carts has increased significantly

At the same time, people are willing to spend more per unit of goods or cart value per consumer purchase in daily activities

- This trend, quite in line with the status of many families, prioritize the planned monthly spending on processed and fresh food, canned food and other items that have increased in the past

- In particular, with the impact of COVID-19, consumer behavior has changed greatly, which means increasing monthly spending on health care products such as hand sanitizer and masks

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In contrast, households' planned monthly spending on travel has declined due to social distancing measures that have led people to curb their need to travel outside Similarly, people's spending on education services is also limited, because this is a non-essential area during the epidemic period v¥ Recommendations for business:

Although Covid-19 brings many disadvantages and difficulties for businesses, the reality is that this is also an opportunity for businesses to develop in a more sustainable way, towards more community values To do that, businesses, manufacturers and distributors can refer to the following recommendations:

Use green, environmentally friendly materials in the distribution channel Allow consumers to be proactive in not using plastic products when buying from a distance

Create a mechanism for consumers to continue to make purchases sustainably through a "refill" mechanism that allows consumers to bring used bottles and jars to store products

¥ Recommendations for consumers:

Sustainable consumption may be a relatively new concept in Vietnam However, this concept is not difficult to implement Although the covid-19 pandemic brings many difficulties, this is also an opportunity for consumers

to "sustain" daily consumption to contribute to the safety of themselves, society and for later generations, such as:

Use multi-compartment cloth bags and containers to go to the market, go to the supermarket, to limit the use of plastic bags

Use eco-friendly straws instead of plastic straws such as bamboo straws, grass, metal, paper

Bring personal water bottles to buy drinks to minimize plastic cups

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H

+ Increase the consumption of local products, the season foods, vegetables, fruits and so forth to minimize the environmental harm caused by transportation from far away as well as ensure the health of consumers + Actively respond to the business activities of enterprises towards sustainable consumption such as: bringing bottles and jars to buy products (the form of "refill" as above), choosing not to take plastic eating utensils when buying online, choosing to buy from stores using green materials in the distribution channel such as paper bags, banana leaves wrapped vegetables

VIETNAM’S IMPORT AND EXPORT IN THE CONTEXT

OF COVID-19 PANDEMIC

The COVID-19 pandemic has negatively impacted global trade, affected supply chains and led to import and export activities of many countries, including Vietnam Studying the situation of Vietnam's import and export in the period before the pandemic (2015-2019) and until the pandemic (from the beginning of 2020 to the present), the article identified the impacts of the COVID-19 pandemic on Vietnam's import and export, thereby proposing solutions to contribute to promoting import and export activities in our country

in the coming time

IL.1 Set the problem:

In recent years, Vietnam's import and export of goods has changed drastically, becoming an important driver for economic growth

Import and export activities help increase foreign currency reserves, improve the balance of payments, increase revenues for the State budget, stimulate technological innovation, access to new forms of business, create more jobs, create competition between domestic and foreign goods, improving people's

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living standard, contributing to shortening Vietnam's economic gap with developed countries in the world It is expected that in the coming time, import and export activities will continue to flourish

- The fact that free trade agreements (FTAs) are gradually being implemented more comprehensively and effectively will facilitate Vietnamese goods to enter potential markets with preferential tariffs

- In addition, the price of exported goods is on the nse, especially vietnam's strong commodities, which is an important motivation to increase the value of Vietnam's exports

- However, import and export activities are also being affected by many new factors such as the COVID-19 pandemic, trade protectionism trends, global supply chain fractures This fact sets the requirement that Vietnam needs more solutions to overcome difficulties and challenges and take advantage of new opportunities

IL.2 Import and export situation of Vietnam before and after the COVID-19 pandemic IL.2.1 Import and export situation before the pandemic

- According to the General Department of Customs, the total import and export tumover of goods in 2015 reached 327.76 billion USD, an increase of 10% compared to 2014; of which, goods exports reached 162.11 billion USD, up 7.9% over the same period in 2014 and imports of goods were 165.65 billion USD, up 12% over the same period in 2014

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The country's merchandise trade balance had a deficit of 3.54 billion USD (equivalent to about 2.2% of the country's merchandise export turnover) and vice versa compared with the surplus trend of 2.37 billion USD in 2014 In 2016,

turnover of the whole

country had Năm Xuấtkhẩu Nhậpkhẩu Tonggidtrixuatnhapkhdu âm impressive 2015 162,11 165,65 327,76 growth

In 2017, the total import-export value continued to increase, reaching USD 425.12 billion, up 21% (equivalent to about USD 73.74 billion) compared to 2016 In which, the total export value reached USD 214.02 billion , an increase of 21.2%

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