Technological startup ecosystem in vietnam

VIETNAM NATIONAL UNIVERSITY, HANOI VIETNAM JAPAN UNIVERSITY HA VIET CUONG TECHNOLOGICAL STARTUP ECOSYSTEM IN VIETNAM MASTER’S THESIS Hanoi, 2018 VIETNAM NATIONAL UNIVERSITY, HANOI VIETNAM JAPAN UNIVERSITY HA VIET CUONG TECHNOLOGICAL STARTUP ECOSYSTEM IN VIETNAM MAJOR: PUBLIC POLICY SUPERVISORS: Dr NGUYEN CAM NHUNG Hanoi, 2018 ACKNOWLEDGEMENT This thesis becomes reality with the kind support and help of many individuals I would like to extend my sincere thanks to all of them Foremost, I would like to express my special gratitude to my adviser, Dr Nguyen Cam Nhung for imparting her knowledge and expertise in this study I am highly indebted to Dr Nguyen Thuy Anh, Dr Vu Hoang Linh and Ms Pham Thi Thu Ha for their guidance and constant supervision as well as for providing necessary information regarding this research & also for their support in completing this endeavor I would like to express my gratitude towards my family for the encouragement which helped me in completion of this paper I would like to thank all of my classmates for their support and encouragement to me I also place on record, my sense of gratitude to one and all who, directly and indirectly, have lent their helping hand in this venture i DECLARATION I hereby declare that this master thesis is my own research and has not been published in any other study I also make sure that the figures, examples and quotations in the thesis are accurate, reliable and truthful Besides, I have completed all courses and financial obligations in accordance with the regulations of VJUVNU I write this declaration to request the VJU to consider and allow me to defend the master thesis I sincerely thank! Student Ha Viet Cuong ii ABSTRACT Technological startup plays an increasingly important role in promoting the economic development of each country, contributing to the formation of knowledge-based economies For developing countries, the rise of startups will help them quickly catch up with other developed countries Recognizing the importance of technological startups, that promoting the development of these firms through the development of a favourable technological startup ecosystem is one of Vietnam's top priority tasks In order to contribute to understanding the technological startup ecosystem in Vietnam, the thesis focuses on clarifying the current status of the ecosystem through six important components of the ecosystem including: culture, finance, support, policy, human capital, and market Overall, the technological startup ecosystem in Vietnam has received great attention from the Government with many policy measures designed to support the development of technological startup, a favorable cultural environment for technological startups, as well as the large domestic market for the development of technological startup However, it can be clearly seen that the two major challenges of Vietnam's technological startup ecosystem are the lack of potential technological startup projects as well as the lack of seeding capital resources for the development of technological startups Key words: technological startup, ecosystem, Vietnam iii TABLE OF CONTENTS ACKNOWLEDGEMENT i DECLARATION ii ABSTRACT iii TABLE OF CONTENTS iv LIST OF TABLES vi LIST OF FIGURES viii CHAPTER 1: INTRODUCTION 1.1 Rationale 1.2 Research Question 1.3 Scope and Objective 1.4 Study Structure CHAPTER 2: LITERATURE REVIEW AND CONCEPTUAL FRAMEWORK 2.1 Theoretical framework for startup ecosystem 2.1.1 Definition and life cycle of technological startup 2.1.2 Startup Ecosystem 2.2 International Experience 16 2.2.1 Experience in supporting to pre-creation and early development stages of technological startups 16 2.2.2 Experience in finance support for technological startups 17 2.2.3 Experience in promoting the access to global market 17 CHAPTER 3: RESEARCH METHODOLOGY 18 3.1 Selection and rationale of research method 18 3.2 Data Collection 18 iv 3.3 Research Process 19 CHAPTER 4: FINDINGS 21 4.1 Overview of technological startup in Vietnam from 2000 to 2017 21 4.2 Assessing the elements on technological startup ecosystem in Vietnam 23 4.2.1 Assessing the culture elements of technological startup ecosystem 23 4.2.2 Assessing the finance elements of technological startup ecosystem 27 4.2.3 Assessing the support elements of technological startup ecosystem 33 4.2.4 Assessing the policy elements of technological startup ecosystem 36 4.2.5 Assessing the human capital elements of technological startup ecosystem 41 4.2.6 Assessing the market elements of a successful technological startup ecosystem 42 4.3 Assessing achievements and limitations of the technological startup ecosystem in Vietnam 43 4.3.1 Achievements 43 4.3.2 Limitations 44 CHAPTER 5: CONCLUSION AND POLICY IMPLICATIONS 46 5.1 Conclusion 46 5.2 Policy Implications 46 5.3 Implications for further study 47 REFERENCES 49 Appendix 53 v LIST OF TABLES Table 2.1: Summary elements for the technological startup ecosystem and assessment criteria Error! Bookmark not defined Table 3.1: List of interview partners Error! Bookmark not defined Table 4.1: The indicative list of TV shows relating to startupError! Bookmark not defined Table 4.2: The indicative list of information pages for startup activities Error! Bookmark not defined Table 4.3: Indicative list of active investment funds operating in Vietnam Error! Bookmark not defined Table 4.4: Indicative lists of investment funds in term of investment strategy Error! Bookmark not defined Table 4.5: Indicative list of incubators and accelerators operating in Vietnam Error! Bookmark not defined Table 4.6: The indicative list of events and startup competitions in Vietnam Error! Bookmark not defined Table 4.7: The indicative list of coworking spaces in VietnamError! Bookmark not defined Table 4.8: Number of articles published in the ISI magazine in the period 2011 2016 Error! Bookmark not defined Table 4.9: Main policies and regulations promulgated to promote technological startups Error! Bookmark not defined Table 4.10: The goals of the project No.844 on promoting startup ecosystem in Vietnam Error! Bookmark not defined vi vii LIST OF FIGURES Figure 2.1: The life cycle of startup Figure 3.1: The Research Flow 20 Figure 4.1: The number of investment deals in the period 2011 - 2017 22 Figure 4.2: Deal value by top sectors in 2017 (million USA dollars) 23 Figure 4.3: The percentage of adults in Vietnam having fear of business failure 24 Figure 4.4: Total of deal value for startups in Vietnam (million USA dollars) 27 Figure 4.5: Deals count by local and foreign investors in 2017 28 Figure 4.6: Deal value of local and foreign investors in 2017 ($US million) 28 Figure 4.7: The number of deals in term of deal size in $US million in 2017 28 Figure 4.8: The percentage of nations in the Southeast Asia region in the total amount of startup funding in 2017 (Based on $US) 29 viii to support SMEs could receive tax preferences Specifically, these incubators, technical support organization and co-working spaces shall be entitled to exemption or reduction of land rents, land use levies and non-agricultural land use tax Moreover, these support organizations are also entitled to exempt and reduce the corporate income tax for a definite period of time according to the provisions of the legislation on corporate income tax 4.2.4.3 Assessment It can be seen that in recent years, startups have received a lot of government attention to promote a technological startup ecosystem that creates a favorable environment for technological startups to grow There have been a series of policies and regulations related to supporting startups issued These policies are not only the policy of the central government but also the involvement of local authorities As can be seen, technological startups are one of the development goals of government However, there are many issues that the legal and policy system in Vietnam needs to be overcome to further promote the development of technology startups On general policy mechanism, there are some following problems Firstly, the majority of regulations are general, such as support for production, procurement, training support, etc Most of these policies have a wide range of coverage, aiming at supporting by almost all of the SMEs, there is no specific law for startup and technological startup Secondly, there is a lack of specific guidelines for implementation of technological startup policies Specifically, specific guidelines on funding support for startup from the state budget have not yet been issued, so startup assistance from public funds is almost impossible deployment Thirdly, there are many obstacles in terms of regulatory framework incentive The technological startups, investors and support organizations for technological startup have virtually no specific tax incentives Particularly for technological startup investors, even though they face a lot of risks in the investment process, they still have to pay the same rates as investors in other sectors Interview respondents share the opinion that the tax incentives for stakeholders in the technological startup ecosystem in Vietnam are limited, and need to be completed and complemented It is necessary to complete regulations on conditions and procedures for identifying small and medium-sized technological startups, and amending and supplementing the law on corporate income tax incentives for technological startups [IN6] There should be more specific and detailed regulations on tax policies for technological startups in a more preferential manner In particular, for technological startup investors: The policy should be designed with the goal of providing maximum support to them [IN7] 40 4.2.5 Assessing the human capital elements of technological startup ecosystem 4.2.5.1 Skilled and unskilled workers and Startup Founders Overall, startups in Vietnam could recruit unskilled workers relatively easy and the pay for them is not high Given that Vietnam is in the golden population period and has a plentiful workforce (according to data from the General Statistics Office, in 2017 the number of people in working age in Vietnam is 54.8 million), the approach to unskilled workers is relatively easy Besides the labour cost in Vietnam is low compared to other countries in the region (according to Jobstreet‟s report in 2016, the average salary of a new graduate in Vietnam is $250-387, while the figure in Singapore is $1,337-1,879) However, for skilled workers, it is another matter Most startup businesses in Vietnam are young startups, in the early stages of the startup development process (according to Navigos Group‟s report in 2017, 58% of startups has much lower than 10 employees, only 14% of startups have more than 50 employees), so it is impossible to provide attractive salary and benefits for skilled workers In addition, majority of wellqualified employees have a desire to grow in large businesses, instead of working for startups With the disadvantages of compensation and work stability, startups can only attract talented people if startup leaders demonstrate their competence, the potential of the product or allow the talented person to own a part of the business As regard startup founders in Vietnam, they now have two weaknesses that need to be addressed Firstly, the startup founders lacked the idea of real innovation Interview partners said: Many startups in Vietnam currently try to copy the successful startup model abroad and then cut off to suit Vietnam market; however, although these startups can be successful, in the long run they will lag [IN3] Many investors in Vietnam startups also shared the view that it is difficult to find feasible startup projects having real innovation ideas and high development [IN2] Secondly, the startup founders in Vietnam lack of knowledge and skills to develop startup businesses, and they often not know how to start a business A respondent stated: Most startup founder Vietnam lacked the knowledge and skills to initiate the development of ideas, management and finance skills [IN1] 4.2.5.2 Educational Institutions The educational institutions here will focus on the analysis of colleges and universities in Vietnam, which in addition to providing human resources for startups, have two important tasks: providing strong support for students to start a startup and collaborating with outside businesses to develop startups 41 As for support for students‟ startups, most universities in Vietnam not currently have adequate attention to students‟ startups, with only a handful of schools pioneering the promotion of students‟ startup In Hanoi, there have been some universities that have established their own incubators or startup support department for students‟ startups such as the National Economics University, the Foreign Trade University, the Vietnam National University in Hanoi and the special case of Hanoi University of Technology with the establishment of its own enterprises to attract investment for students‟ startups In Ho Chi Minh city, a number of institutes have set up such incubator models as Ho Chi Minh City University of Economics, Ho Chi Minh City University of Technology, Vietnam National University in Ho Chi Minh City, initially helping to commercialize ideas and products of students 4.2.5.3 Assessment The labor domain in Vietnam basically has a lot of potential for developing startups with abundant labor and relatively cheap labor costs However, given that most startups in Vietnam are in the early stages and small-scale operation, the recruitment of qualified and skilled workers is difficult In addition, startup founders not really come up with truly innovative ideas as well as lack the skills needed to develop their own ideas, to run a business and to call for capital investment Universities and colleges not well in their roles as a strong supporter of students‟ startup as well as in collaboration with outside firms that promote the development of startup 4.2.6 Assessing the market elements of a successful technological startup ecosystem 4.2.6.1 Local and global market Vietnam has a domestic market with a lot of potential for the development of technology startups According to GSO statistics in 2017, Vietnam has a population of about 93.7 million, along with the trend of more and more Internet users and use of Internet-connected smartphones According to statistics of We Are Social in 2017, Vietnam has 50.05 million Internet users, in addition 72% of Vietnamese aged 18 and above have smartphones connected to the Internet Many experts shared the same idea that Vietnam has a large domestic market, with plenty of space for the rapid development of technological startups Besides, the spending capacity of Vietnam is also growing up, which creates huge potential for technological startup development According to HSBC report, by 2020 Vietnam will have 33 million middle class people (those with income of 18 million to 40 million a month), this will be a huge business potential with all businesses in general as well as for technology startups in particular 42 Vietnam startup has not reached the global market, the number of startup Vietnam is now successful in the global market is very little There are some prominent startups founded by Vietnamese people and based in Vietnam which have been successful in the global market such as DesignBold, Beeketing and Monkey Junior Besides, the successful startups in global market founded by Vietnamese people but established abroad may be mentioned as ELSA, Gotlt! 4.2.6.2 Assessment Vietnam's domestic market is a potential market for the development of Vietnamese technological startups Access to international markets, however, is a problem for most Vietnamese technological startups An interview respondent pointed the reason why Vietnamese technological startup has not reached the global market There are four main reasons why Vietnam technological startup has not reached the international market First of all, Vietnamese startups are still in the early stages of development, the number of startups targeting the international market is not much, mainly focusing on the domestic market Next, the startup founder in Vietnam has a lack of understanding of the international market, so it has not come up with ideas that fit the international market In addition, Vietnamese technology startups often try to copy the successful startup models of the world so it is difficult to reach the global market In addition, the ideas of Vietnamese startups have not yet taken a global perspective, addressing global challenges, thus limiting the access of Vietnamese startups to the world Finally, that lacking mentors who have experience in the global market also hinder the technology startup of Vietnam from accessing the global market [IN3] 4.3 Assessing achievements and limitations of the technological startup ecosystem in Vietnam 4.3.1 Achievements It can be said ecological start-up businesses in Vietnam in the last two years have developed rapidly in both quantity and quality First of all, the number of technology startups has grown rapidly, demonstrating the development of startup ecosystems Secondly, the cultural element in the technological startup ecosystem have gradually been forming and developing, facilitating the development of technological startups The Vietnamese adults have a high level of entrepreneurial spirit, a more positive attitude towards risk and failure, and a respect for the business class, which creates beneficial conditions for the development of technological startups Along with that, the emergence of startup success stories as well as the bigger coverage of startup on 43 the media contributes to a culture that is conducive to the development of technological startups Thirdly, regarding the finance element, the increased involvement of venture capital funds and angel investors has made technological startups easier to access capital source Fourthly, as regards the support element, the greater involvement of incubators and accelerators, as well as more technological startup activities such as startup contests or coworking spaces has contributed to make technological startups easier in seeking help Fifthly, the government has paid much more attention to the development of technological startups, with a series of related legal regulations being issued to support the development of technological startup ecosystems These efforts are not only the central government but also the local government Sixthly, Vietnam has a plentiful labor force and low labor cost, which is an advantage for Vietnam in developing technological startups compared to other countries in the region and in the world Finally, Vietnam has a large domestic market, giving many opportunities for the development of technological startups 4.3.2 Limitations From the above assessment and analysis, there are three biggest constraints of Vietnam's technological startup ecosystem, namely the lack of innovative and creative ideas for technological startups, the lack of a complete finance system for technological startups and the lack of orientation to the global market The lack of innovative ideas for technological startups derives from many of the following reasons First, culture influenced by Confucian thought and passive education in schools in Vietnam has limited the creativity and critical thinking of Vietnamese people Second, universities and research institutes in Vietnam not have much new scientific breakthroughs that limit the emergence of innovative ideas in Vietnam Thirdly, universities and colleges in Vietnam lack activities to support the emergence of innovative ideas, lacking of interest of incubating students' technological startup ideas The financial system for technological startups in Vietnam is still incomplete New startups almost can only access to two sources of funding from venture capital funds and angel investors Other financial sources are almost inaccessible In particular, the lack of seed capital for technological startups in the early stage is one of the biggest obstacles to the development of technological startup in Vietnam Besides, along with that, the legal system for investment activities is still incomplete and incomprehensive 44 Vietnam startups have largely failed to access the international market, which is due to both subjective and objective causes The subjective reason is that the startup founder has not had much opportunity to contact the international market as well as many products and services of Vietnamese technological startups are the copy version of the foreign startups and only aim at local market The objective reason is that because the technological startup ecosystem in Vietnam is in the beginning stage, and most of the technological startups are in the concept stage, so they are not able to access the global market 45 CHAPTER 5: CONCLUSION AND POLICY IMPLICATIONS 5.1 Conclusion The thesis analyzes the current situation of technological startup ecosystem in Vietnam Components of a successful ecosystem, including culture, finance, support, policy, human resources and markets, have been mapped and evaluated in turn It can be said that elements of the technological startup ecosystem have been basically formed and have made great contributions to the development of technological startups However, the ecosystem in Vietnam is still in its early stages of development, and there are still a number of issues that need to be addressed in order to accelerate the pace of development of technological startups Through the process of research, the achievements and challenges of the technological startup ecosystem in Vietnam have been identified Overall, the technological startup ecosystem in Vietnam has received great attention from the Government with many policy measures designed to support the development of technological startup, a favorable cultural environment for technological startups, as well as the large domestic market for the development of technological startup However, it can be clearly seen that the two major challenges of Vietnam's technological startup ecosystem are the lack of potential technological startup projects as well as the lack of seeding capital resources for the development of technological startups 5.2 Policy Implications Ecosystem startups in Vietnam is still very young, and the majority of technological startups is still at an early stage; so that the two key tasks of the technological ecosystem startups in Vietnam in the current period are to promote the launch of the potential technological startups and support of the nascent technological startups to overcome the initial difficulties To that much more the birth of the potential startup as well as having many good ideas for startup, the role of the university is extremely important Universities need to get more support from government in order to help student to start startups and to promote the commercialization of technology Hence, there are a number of suggestions from international experience for policymakers in Vietnam Firstly, it is necessary to further promote the role of universities in society In addition to teaching and research, universities need more involvement in promoting social development through promoting the commercialization of technology The budget of the schools funded by the government annually will be determined based on the criteria for completion of the third mission of social engagement Secondly, government should promote the support for proof of concept, patenting, technology and commercialization services, and it is recommended to integrate all of the elements of support in a dedicated departments 46 formed in universities Finally, it is important to strengthen the capacity of university lecturer in the field of startup, so that those who are most attached to the students can be the first mentors for students‟ startup In term of the finance domain in the technological startup ecosystem, there should be a wider range of financial resources available for startups In particular, it is necessary to make it easier for start-ups to gain access to public funds and to create a legal framework for other funding channels, such as the funding channel, to operate Moreover, the state needs to play a bigger role in creating the seed capital for technological startups The state may not need to invest directly in startups instead of pouring seeding capital through private funds (such as the fund of funds model in other countries around the world) In addition, in order to promote the participation of angel investors, the state should also take measures to support the establishment of an angel investor network For example, the Vietnam government could emulate the way the Spanish government has made, giving financial support for organizations which connect angel investors In order to promote startup access to global markets, the government should provide opportunities for startups to increase their understandings of the international markets That having insights into global markets will help technological startups of Vietnam to create products and services meeting demands of global markets The Vietnam government could emulate the initiative of Germany government by giving supported technological opportunities of being incubated or accelerated in the foreign startup hubs 5.3 Implications for further study This dissertation points to the current situation of the eco-system in Vietnam as well as the achievements and limitations faced Many ecosystem issues need to be explored in order to promote the development of the ecosystem Some main research proposals are as follows: First, there is a need to conduct studies which aim to clarify the connections between elements in the startup ecosystem Through this study, it is possible to better understand the relationship between the elements of the startup, to identify the strengths and weaknesses of the connections, and to provide solutions to tighten these connections Secondly, there is a need for studies that focus on further exploring the financial resources for the development of technological startups in Vietnam today This research will help clarify the finance support system for technological startups in Vietnam, identifying the problems that exist for the finance system for technological startups, thereby offering solutions to improve the finance system for technological startups 47 Third, there is a need for intensive research to clarify the role of universities in promoting the development of technological startups This research will clarify the university's strengths and weaknesses in the development of the startup ecosystem, offering solutions to enhance the contribution of universities to the development of the startup ecosystem 48 REFERENCES English [1] Adner, R., &Kapoor, R (2010) Value creation in innovation ecosystems: How the structure of technological interdependence affects firm performance in new technology generations Strategic Management Journal, 31(3), 306–333 https:// doi.org/10.1002/smj.821 [2] Auerswald, P.E., &Branscomb, L.M (2003) Valleys of Death and Darwinian seas: Financing the invention to innovation transition in the United States The Journal of Technology Transfer, 28(3–4), 227–239 https://doi.org/10.1023/A:1024980525678 [3] Azorín, J.M., & Cameron, R (2010) The application of mixed methods in organizationalresearch: A literature review Electronic Journal of Business Research Methods,8(2), 95–105 [4] Bahrami, H., & Evans, S (2000) Flexible recycling and high-technology entrepreneurship.In K Martin (Ed.), Understanding Silicon Valley: The anatomy of anentrepreneurial region (pp 166–189) San Francisco, CA: Stanford UniversityPress [5] Beer, S (1964) Cybernetics and management New York: John Wiley & Sons, Inc.Bharadwaj, A., El Sawy, O.A., Pavlou, P.A., &Venkatraman, N (2013) Digital business strategy: Toward a next generation of insights MIS Quarterly, 37(2), 471– 482 https://doi.org/10.25300/MISQ/2013/37:2.3 [6] Collis, J & Hussey, R., 2014 Business Research: A Practical Guide for Undergraduate and Postgraduate Students London: PALGRAVE MACMILLAN [7] Fuerlinger at el (2015), The role of the state in the entrepreneurship ecosystem: insights from Germany, Triple Helix [8] Genome Startup (2017), Global Startup Ecosystem Report 2017, https://startupgenome.com/thank-you-enjoy-reading/ [Retrieved on 15th March 2018] [9] Genome Startup (2012), Global Startup Ecosystem Report https://startupgenome.com/past_report/global-startup-ecosystem-report-2012/ [Retrieved on 15th March 2018] 2012, [10] Han, J (2003) Venture business and business strategy Seoul, Korea: Hongmoon Publishers, Inc Han, J., Lee, C., & Kim, Y (2007) An exploratory study on new venture policies for research institute based entrepreneur in Korea Asia Pacifc Journal of Small Business, 29(3), 99–117 49 [11] Herrmann, B.L., Marmer, M., Dogrultan, E., &Holtschke, D (2012) Startup ecosystem report 2012 Telefónica digital partnered with Startup Genome [12] Isenberg,D (2011), What an Entrepreneurship Ecosystem Actually Is [Online] Available from:https://hbr.org/2014/05/what-an-entrepreneurship-actually-is th [Accessed:20 March 2018] [13] Kothari, C.R (2004), Research Methodology: Methods and Techniques, New Dehli: New Age International Publisher [14] Manigart, S., &Struyf, C (1997) Financing high technology startups in Belgium: An explorative study Small Business Economics, 9(2), 125–135 https://doi.org/10.1023/A:1007967722346 [15] Mathews, J.A (1997) A Silicon Valley of the East: Creating Taiwan‟s semiconductor industry California Management Review, 39, 26–54 https://doi.org/10.2307/41165909 [16] McGrath, R.G (2010) Business models: A discovery driven approach Long Range Planning, 43(2), 247–261 https://doi.org/10.1016/j.lrp.2009.07.005 [17] Motoyama, Y and K.K.Watkins.(2014), Examining the Connections within the Startup Ecosystem: A Case Study of St.Louis, http://www.kaufman.org [18] Moore, J.F (1993) Predators and prey: A new ecology of competition Harvard Business Review, 71(3), 75–86 [19] Moore, J.F (1996) The death of competition: Leadership and strategy in the age of business ecosystems New York: Harper Business [20] Myers, M., 2013 Qualitative Research in Business & Managemen 2nd ed London: SAGE Publications Ltd [21] OECD (2010), Performance-based Funding for Public Research in Tertiary Education Institutions: Workshop Proceedings, OECD Publishing doi: 10.1787/9789264094611-en [22] OECD (2011a), OECD Product Market Regulation Statistics (database) doi: 10.1787/pmr-data-en [23] OECD (2011b), Business Innovation Policies: Selected Country Comparisons, OECD Publishing doi: 10.1787/9789264115668-en [24] OECD (2011c), Financing High-Growth Firms: The Role of Angel Investors, OECD Publishing 50 doi: 10.1787/9789264118782-en [25] Price, J.M & Chen.E (1993) Total Quality Management in a Small, HighTechnology Company California Management Review [26] Ries, E (2011) The lean startup: How today’s entrepreneurs use continuous innovation to create radically successful businesses Seoul, Korea: Random House LLC [27] Rothschild, M (2004).Bionomics: Economy as business ecosystem New York, NY: Beard Books [28] Saunders, M., Lewis, P & Thornhill, A., (2016) Research Methods for Business Students 7th ed Essex, England: Pearson Education Limited [29] Spilling, O.R (1996) The entrepreneurial system: On entrepreneurship in the context of a mega-event Journal of Business Research, 36(1), 91–103 https://doi.org/10.1016/0148-2963(95)00166-2 [30] Spruijt,J (2015), Schematic overview to understand the complexity of the innovation ecosystem [infographic] [Online] Available from: http:www.openinnovation.eu/27-07-2015/schematic-overview-to-understand-thecomplexity-of-the-innovation-ecosystem-infographic/ [Accessed:15th March 2018] [31] Van Gelderen, M., Thurik, R., &Bosma, N (2005).Success and risk factors in the prestartup phase.Small Business Economics, 24(4), 365–380 https://doi.org/10.1007/s11187-004-6994-6 [32] Sipola S (2015), Understanding growth and non-growth in entrepreneurial economies: Analysis of startup industries and experimental winner generation in Finland, Israel and Silicon Valley, Doctoral Thesis, Major: Ecomomics, University of OULU Graduate School [33] Susanto, Joseph (2005) “Creative Entrepreneurship in Indonesia: Problems, Strategies and Challenges- a case study” Study meeting on Creative Entrepreneurship, The Employers‟ Association of Indonesia, Asian Productivity Organization Websites [34] Dang Thi Viet Duc (2018), Finance Source for Startup in Vietnam, http://tapchitaichinh.vn/tai-chinh-kinh-doanh/nguon-tai-chinh-cho-cac-doanh-nghiepkhoi-nghiep-o-viet-nam-138407.html, (retrieved on 5th May 2018) [35] Hoang Thi Hong (2018), Finance mobilization for startups in Vietnam, http://www.mof.gov.vn/webcenter/portal/vclvcstc/r/m/ncvtd/ncvtd_chitiet;jsessionid= ky3a6oYI-Hq-7Ig75ZgebkwyWpHVT9YDThVWDLQbJIxiyVOWd1gr!51 1078495013!-550825143?dDocName=UCMTMP121127&_adf.ctrlstate=kjk133tbb_4&_afrLoop=38475437552695717#!%40%40%3F_afrLoop%3D384 75437552695717%26dDocName%3DUCMTMP121127%26_adf.ctrlstate%3D15fdpmcrnm_4, (retrieved on 20th April 2018) [36] Journal of Economics and Forecast (2018), International experience for developing the startup ecosystem in Vietnam, http://kinhtevadubao.vn/chi-tiet/14610707-phat-trien-he-sinh-thai-khoi-nghiep-o-viet-nam nhin-tu-kinh-nghiem-thegioi.html, (retrieved on 20th March 2018) [37] Journal of Business Forum (2017), Startup Ecosystem: Model and Practical Efficiency,http://enternews.vn/truc-tiep-he-sinh-thai-khoi-nghiep-mo-hinh-va-hieuqua-thuc-tien-119653.html, (retrieved on 20th March 2018) [38] Ly Phuong Duyen (2018), Tax Policy for Startup Ecosystem in Vietnam, http://tapchitaichinh.vn/nghien-cuu-trao-doi/chinh-sach-thue-doi-voi-he-sinh-thaikhoi-nghiep-o-viet-nam-139851.html, (retrieved on 20th April 2018) [39] Ministry of Science and Technology (2017), Potential for startup ecosystem in Vietnam in the context of globalization, https://www.most.gov.vn/vn/tintuc/12454/tiem-nang-phat-trien-he-sinh-thai-khoi-nghiep-doi-moi-sang-tao-o-vietnam-trong-boi-canh-hoi-nhap-quoc-te.aspx, (retrieved on 20th March 2018) [40] Tia Sang Journal (2018), Tools for starting a startup in Vietnam, http://tiasang.com.vn/-doi-moi-sang-tao/Cong-cu-cho-khoi-nghiep-tai-Viet-NamNhieu-nhung-chua-tan-dung-duoc-11125, (retrieved on 5th May 2018) [41] Tu Minh Hieu (2018), Finance Source for Startup and The role of state, http://khoahocphattrien.vn/chinh-sach/tai-chinh-khoi-nghiep-sang-tao-nguon-luc-vavai-tro-cua-chinh-phu/20180504100333620p1c785.htm, (retrieved on 5th May 2018) [42] Voice of Vietnam (2017), Startup ecosystem in Vietnam is still fragmented, http://vov.vn/khoi-nghiep/he-sinh-thai-khoi-nghiep-tai-viet-nam-con-roi-rac582984.vov, (retrieved on 20th March 2018) 52 Appendix INTERVIEW TOPICS AND SUGGESTED QUESTIONS A General information How long have you performed in the ecosystem? What is your main role? B Interviewee’s opinion on finance domain What is the main source of finance for the technological startups in Vietnam? What is the biggest problem with the finance resources for the technological startups in Vietnam? Where is the shortage of the investment funds? Is there seed-funding gap in Vietnam? Is there any challenge for angel investors in Vietnam? What is your opinion on the connection of angel investors with other stakeholder in the startup ecosystem in Vietnam? C Interviewee’s opinion on culture domain What is your opinion on the attitude to failure and risk in Vietnam? What is your opinion on the innovation and creativity in the startup ecosystem in Vietnam? What is your opinion on the impact of TV programs relating to startup in Vietnam? D Interviewee’s opinion on support domain Are there enough incubators and accelerators in Vietnam? Are there any competitiveness between these organizations? What is your opinion of the role of incubators and accelerators in promoting startups? What is the biggest problem with incubators and accelerators? How to improve the contributions of these organizations? With the supports from incubators and accelerators, what is the biggest benefit with the startups? E Interviewee’s opinion on policy domain Have you seen any changes after the releasing of the Degree No.844? What is the most advance? 53 What is your opinion on the tax preferences for stakeholders in the startup ecosystem? What is the most important thing startups need from government? F Interviewee’s opinion on human capital domain Could technological startups in Vietnam easily hire skilled workers? Do you think that cost for labor is an advantage of Vietnam startup ecosystem? Could you give comments about the management capacities of startup founders in Vietnam? What is the most problem with the human capital domain in Vietnam? G Interviewee’s opinion on market domain What is your opinion on the market opportunities in Vietnam? What is the number of startups which could reach the global and regional market? What is the challenge for startup when accessing to the global market? H Interviewee’s suggestion What should be done to promote the development of startup ecosystem in Vietnam in the coming time? 54 ... startups, being more than China, India and Indonesia in term of the density of technological startup per capita (2,100 startups in Indonesia; 2,300 startups in China and 7,500 in India) By the... funds invest in startups in Vietnam has been increasing in recent years In 2015, the total investment capital for startups in Vietnam is $ 137 million, this was followed by a 50% increase in 2016... experience in the technological startup ecosystem - The statistics and information about the technological startup ecosystem - International experience in promoting the technological startup ecosystem