CHAPTER IV PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
CHAPTER 5 SUMMARY OF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS
5.3.2. Basic conditions to attract and use FDI to promote shifting exports structure
Adequate understanding and thought about attracting FDI and solving social and economic problems arise from FDI in the region
According to national and international experts, the world economy and Vietnam’s economy will continue to face difficulties in 2013 and in the next few years.
The public debt situation in Europe shows no bright sign. Japan is continuing recovering from earthquake and tsunami. The U.S. economy has been recovered after the crisis but still weak when the basic economic indexes unstable. Meanwhile, the domestic economy is still facing great difficulties, prices of some commodities continue to rise, businesses stagnated, the level of employment and labor income are declining, many businesses were bankruptcy or closure. Therefore, the government must make policies and measures to promote, even "save" the economy and create the momentum for development.
Vietnam is not an exception. From this fact, investors are also more cautious and prudent in making and implementing investment decisions.
In this context, if Vietnam does not have correct and comprehensive measure to attract and use FDI, the bad consequences will be unpredictable and will be difficult to recover.
According to the Resolution of the Communist Party of Vietnam and the strategy of socio-economic development for 10 years from 2011 to 2020, Vietnam will become a modern industrial country by 2020. The objective of this strategy is to achieve the economic growth of 7% to 8% per year and gain the sustainable development.
Improving the effectiveness and efficiency of the government’s management in attracting FDI and solving socio- economic problems
Strengthening the role of the government in the market economy and international economic integration is not only in the direction of increasing the level,
scope, areas of intervention, management but also improves the effectiveness and efficiency of management, regulation and intervention in the direction of liberalization and the implementation of international commitments. In order to meet this requirement, the State should implement the management by laws, policies and macroeconomic tools.
Along with the implementation of decentralization of activities to attract FDI, we should strengthen the inspection and supervision for attracting FDI and solving socio-economic problems arising from FDI. Also, it is vital to improve the effectiveness and efficiency of State’s management for this problem from the issuing of laws and policies to the implementation by listening and absorbing the extensive consultations of the socio- political organizations, businesses and people. On this basis, it is time to adjust policies in time, even give new policies to solve the problems in the harmonization of interests of the State, local, FDI enterprises and people. All benefits must abide by and be governed by the common goal of the nation. At the same time, policies and measures for performance must be directed at the implementation of the common objectives.
5.3.3. Proposals for further research.
Beside the results, the study also has limitations; they are:
- The author did not collect data of importing intermediate goods for the production of exports of FDI enterprises in North Coast region to assess the impact of these factors on improving the quality of exported goods. In a further study, if there is enough data, we can assess the rate between the export value and the value of industrial production of FDI in order to identify the contribution of FDI to the export of goods in North Coast region more precisely.
- The FDI data made by foreign companies for each commodity, commodity groups is incomplete and non systematical so the author can not calculate and build the test mode of performing FDI which affects on the export structuring with the independent variable (implementing FDI) and the dependent variable (the correlation
RCA of each sector of the northern coastal region). Therefore, in further researches we can study more, do the survey, collect primary data for calculation and evaluation of the indexes which the author has not done.
Besides, the impacts of FDI in depth of the export restructuring can be studied in more details such as:
- Consider the relationship between FDI and improving the quality of each item:
rice, tea, cashew, crafts.... regionally or nationally. We also calculate the value-added (VA) indexes, Intermediate costs (IC) of these items to evaluate the level of the exports restructure more deeply
- Analyze and evaluate the condition of the impact of technological factors of FDI on the exports restructuring for each sector; apply the model which tests the impact objectively.
- Further studies can assess the role of FDI capital in the form: 100 percent investment, joint ventures, etc… on the exports restructuring in the northern coastal area more clearly to make recommendations scientifically, realistically for policies to attract and use FDI in the investment form./.
BIBLIOGRAPHY VIETNAMESE
1. Ba Xuan Le (2006), Impacts of FDI on economic growth in Vietnam, Science and Technology Publisher, Hanoi
2. Binh Duc Do, Nguyen Thuong Lang (2008), International Economics Book, Publisher of National Economic University
3. Bình Nhu Nguyen (2004), International Economics Book, Publisher of Justice, Ha noi.
4. Central Institute of Economic Management (2010), Foreign Investment in Vietnam in 2009: Achievements, Limitations and Restructuring Orientation, Center of Information – Documents, Hanoi
5. Central Economic Department (2003), Policy and basic solutions aiming at more strongly attracting and effectively using foreign investment in line with Resolution of IX Meeting of Communist Party, KHBD Theme (2001)
6. Coi Tien Nguyen (2008), Policy of attracting FDI of Malaxia in the process of international economic integration: Situation, experience and application capacity into Vietnam, Economic Doctorate Thesis, National Economic University.
7. Cuong The Mai (2006), Finalizing international commercial policy in Vietnam in the context of international integration, Economic Doctorate Thesis: 5.02.05.
8. Dat Bich Nguyen (2006), FDI economic sector in the socialist-oriented market economy in Vietnam, Publisher of National Politics, Hanoi
9. Dinh Duc Do (1993), FDI Situation in some ASEAN countries, Publisher of Social Science, Hanoi.
10. General Statistics Office (2009), Foreign Investment in Vietnam in the first seven years of 21st century, Publisher of Statistics, Hanoi.
11. General Statistics Office (2010), Vietnam Enterprises 2000-2008, Publisher of Statistics, Hanoi
12. General Statistics Office (2011), FDI in Vietnam in 1998-2009, Publisher of Statistics, Hanoi
13. General Statistics Office (2011), Export-Import in Vietnam in 2007-2010, Publisher of Statistics, Hanoi.
14. Ha Thu Ngo (2008), FDI attraction policy in China and application capacity in Vietnam, Economic Doctorate Thesis, National Economic University.
15. Hai phong (2008), Hai phong Statistics Yearbook 2008, Publisher of Statistics, Hanoi.
16. Nguyen Huu Khai (2007), Shifting exports structure of Vietnam, Publisher of Statistics, Hanoi.
17. Long Tien Nguyen (2011). "Foreign direct investment (FDI) to the economic restructuring of Thai Nguyen."
18. Mai Nguyen(2004), Policy of attracting FDI of Vietnam: Achievement and policy finalizing, Forum of economic reform Vietnam – China from 13/5/2004 to 14/5/2004, at Sofitel Plaza Hotel - Hanoi
19. Mai Nguyen (2011), “FDI and sustainable development in Vietnam”, National Scientific Workshop Summary Record, 14/6/2011
20. Ministry of Planning and Investment (2003), FDI policy in the process of international economic integration, Document of international conference on the willingness to join WTO of Vietnam, June, 2003, Hanoi
21. Ministry of Planning and Investment (2004-2010), Review Report of attracting investment, Foreign Investment Department, Hanoi, Vietnam
22. Nam Dinh (2008), Nam Dinh Statistics Yearbook 2008, Publisher of Statistics, Hanoi.
23. National Assembly of Vietnam (2010), the Law on Investment of Vietnam, Publisher Labor, Hanoi
24. National Assembly VIII (1987), Foreign Investment Law in Vietnam
25. National Assembly VIII (1990), Law of amending and supplementing some articles of foreign investment in Vietnam
26. National Assembly IX (1992), Law of amending and supplementing some articles of foreign investment in Vietnam
27. National Assembly IX (1996), Law of amending and supplementing some articles of foreign investment in Vietnam
28. National Assembly X (2000), Law of amending and supplementing some articles of foreign investment in Vietnam
29. National Assembly IX (2005), Investment Law 2005 No. 59/2005/QH XI dated 29/11/2005
30. National Assembly of the Socialist Republic of Vietnam (2008), Law of Corporate Income Tax, Hanoi.
31. Ninh Binh (2007), Ninh Binh Statistics Yearbook 2007, Publisher of Statistics, Hanoi.
32. Phung Ngoc Thi Vu (2006), "The quality of economic growth in Vietnam 2001- 2005", Journal of Development Economics (10).
33. Prime Minister (2008), Decision No. 865/2008/QD-TTg, dated 10.07.2008.
34. Quang ninh (2008), Quang ninh Statistics Yearbook 2008, Publisher of Statistics, Hanoi
35. Thai Binh Department of Statistics (2007), Thai Binh Statistics Yearbook 2007, Publisher of Statistics, Hanoi.
36. Thien Dinh Tran, et al. (2010), “Some FDI-related issues in Vietnam: Situation, Issues and Solutions”, Economic Institute of Vietnam, Hanoi 2010
37. Thuong Khac Vo (2010), Impacts of FDI sector on domestic enterprises of Vietnam, Ministerial scientific research, Hanoi.
38. Van Thuy Bui (2011). "Foreign direct investment (FDI) for the restructuring of exports in the Northern region".
39. Department of Foreign Investment (2009), “Overview of FDI in Vietnam in the period of 1988-2007”, http://www.fia.mpi.gov.vn.
40. General Statistics Office (2001-2010), Annual Statistics Yearbook, http://www.gso.gov.vn.
41. Hang My (2008), “Vietnam needs to refuse FDI projects causing pollution”, Website://www.monre.gov.vn/v35/default.aspx?tabid=428&cateID=24&id=5220 1&code=MCKEP52201.
42. Hang Thi Vu (2009), "The list of classification international goods used in Statistics Export goods of Vietnam", http://Institute science.thongke.gov.Viet /? Page = tulieu & tabsel = hdnc & year = 2001 & Cat_ID = 73 & id = 654
43. Vietnam Chamber of Commerce and Industry (2010), “Improving FDI attracting quality: Investment Refinery and Orientation”,
http://www.vccith.com.vn/Tint%E1%BB%A9ctrang ENGLISH
44. Aiken. B.J and Harrison’s, A.E (1999), “Do Domestic Firms Benefit from Direct Foreign Investment? Evidence from Venezuela”, American Economic Review, vol.89. no.3, pp. 605-618.
45. Ali, S and W.Guo (2005), Determinants of FDI in China, Journal of Global Business and Technology, Volume, number 2.
46. Association of Southeast Asian Nations (2005, 2006), ASEAN Statistical Yearbook 2005, 2006.
47. Barro, R J. and Sala-i-Martin, X. (1995), Economic Growth, Mc Graw-Hill, Cambridge, MA.
48. Dunning. John H (1993), Multinational enterprises and the Global economy, Addison Wesley Publishing company, 1993.
49. Dunning. John H (2003), Economic analysis and the multi national enterprise, London George Allen & Unwin Ltd, UK.
50. Freeman Nick J (2002), Foreign Direct Investment in Vietnam: An Overview.
51. Girma .S, (2005), “Absorptive Capacity and Productivity Spillovers from FDI, A Threshed Regression Analysis”, Oxford Bulletin of Economics and Statistics, 67 (3): 281-306.
52. Haddad. M and Harrison’s A.E (1993), “Are there positive Spillovers from Foreign Direct Investment? Evidence from Panel Data for Morocco”, Journal of Development Economics, vol. 42, no.1, pp.51-74
53. Hermes. N, and Lensink. R (2003), “Foreign Direct Investment, Financial Development and Economic Growth”, Journal of Development Studies, vol.40, no.1, pp 142-163.
54. Ho (1982), “Economic Development and Rural Industry in South Korea and Taiwan”, World Development 10 (11): 973 – 990.
55. Hua Wang, Yanhong Jin (2002), Industrial ownership and environment performance Evidence from China, World Bank Policy Reseach working paper 2936, December 2002.
56. Hausmamn, R, Hwang, J. and D. Rodrik (2005), “ What you export matters “, NBER Working Paper no.11905.
57. Hoekman, B. and S. Djankov (1997), “ Determinants of the Export Structure of Countries in Central and Eastern Europe”, The Word Bank Economics Review, Volume 11, No 3, pages 471-87.
58. Kassicieh, Suleiman K.(2002), “ Technovation”, Volume 22, Issue 11, Pages 667- 674.
59. Lall, S.,J. Weiss and J. Zhang (2005) the “ Sophistication’, Of Exports: A New Measure of Product Characteristics’, Working Paper Series-QEHWPS 123 Page 1.
60. Mats, F. (2005), Evaluating the Malaysian Export Processing Zones. Economics
61. Mayer, J. AND W. Adrian(2001), South Asia’s Export Structure in a Comparative Perspective’, Oxford Development Studies, Vol.29, No.1
62. Moosa, I.(2002), Foreign Direct Investment: Theory, Evidence and Practice’’, New York Palgrave Maemillan.
63. Multrap(2002),’Vietnam’s international trade regime and comparative advantage’, Discussion paper, No 37.
64. Rodrik, D.(2006),’ What’s so special about China’s exports?’CEPR Discussion Paper no.5484.
65. Wang, Z. and S.Wei (2008), “ what Accounts for the Rising Sophistication China’s Exports?” NBER working Paper No.13771, Cambridge
66. Xu, B.(2007).” Measuring China’s Export Sophistication, “ working paper, China Europe International Business School.
67. Xu, B. and J. Lu (2007), “ The Impact ò Foreign MNEs on Export Sophistication of Host Countries: Evidence from China,” working paper, China Europe International Business School.
68. Zhang, X. and W. Liu (2008), The Study of the Use of FDI to enhance the Product Competitiveness of Integrated Circuits and Micro- electronic Components, International Business Research, Vol.1, No 3.
69. Singh, H. and K. Jun (1999), The relationship between Foreign Direct Investment and Trade: China as an example, The Manchester School of Economic & Social Studies, Blackwell Publishing, vol. 66 (0), pages 62-88.