Empowering the Next Generation of Women-Owned Businesses in Viet Nam through Gender-Responsive Procurement
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Author: Thao Hoang.
“Transforming a small business into a million-dollar enterprise is challenging but achievable with determination,” says Tran Thi Vui, a female entrepreneur running a 27-year-old melaleuca essential oil business in Hue, Viet Nam.
At 54, Thi Vui is the second generation in her family to produce essential oil in Hue, historically exclusive to the royal family and used by women post-childbirth for its antiseptic properties.
“I noticed the growing demand and decided to expand the family business. Women, older people, children, and anyone can use the oil whenever needed. So, I transformed my household business to Kim Vui Co. Ltd in 2014,” Vui shared.
Today, her company employs 60 people, 80% of whom are women. During the harvesting season, it provides income opportunities for around 200 women and local farmers, who can earn up to 7 million VND (250 USD) per month by selling melaleuca leaves and medicinal plants to Kim Vui Co. Ltd.
However, Vui faces challenges in expanding her market, particularly among high-value buyers. Through a six-month training, coaching, and networking program provided by UN Women and the Viet Nam Women Entrepreneurs Council under the UN Women project “We Rise Together,” Vui has observed significant positive impacts on her business.
“Gender-responsive procurement is a new concept and tool, but it is not difficult to apply. After joining the project, I understand the catalytic impacts I can create for other women and the community. In my supply chain, I have prioritized buying products from other women-owned businesses and learned more about storytelling to protect my brand reputation from counterfeit oils and how to increase sales on online markets like Shoppe, Tiki and Lazada more effectively,” Vui explained.
She has passed on this knowledge to the next generations of women-owned businesses including her daughter, who is also managing the family business and overseeing sales and marketing.
Another beneficiary of “We Rise Together” is Ton Nu Xuan Quyen, who runs a company producing handcrafted pearl pens, jewelry, and accessories made from seashells by local women in Ho Chi Minh City. Xuan Quyen, the second generation of a family business that produces seashell buttons for leading fashion houses, founded Blu Saigon Co. Ltd in 2018 to offer unique products.
The story of Blu Saigon is deeply rooted in preserving Vietnamese heritage while innovating for the luxury market. Their products, particularly the pearl pens, are a testament to meticulous craftsmanship. Each pen is handcrafted, taking between 24 to 72 hours to complete, using techniques that highlight the iridescent beauty of the pearls.
The program coached Xuan Quyen on improving product packaging, marketing and connecting with companies that distribute luxury brands and products. “Thanks to the project’s coaching, I now understand the procedures and requirements of luxury buyers and distributors. My next plan is to continue to perfect my products to export to Australia and the U.S.,” Xuan Quyen stated.
Supported by the Australian Government through the Mekong-Australia Partnership, the 'We Rise Together' aims to create equal market opportunities for women by promoting supplier diversity through gender-responsive procurement in Thailand and Viet Nam. Since 2023, the program has provided gender-responsive procurement training and coaching for 467 women-owned businesses and 440 buyers in Viet Nam.
“Australia is proud to partner with UN Women to promote gender-responsible procurement. It is an important approach to breaking down the barriers women-owned businesses face in accessing business opportunities,” said Sarah Sarah Hooper, Australian Consulate General in Ho Chi Minh City.
Despite their significant contributions to job creation and innovation, women-owned businesses often need help accessing critical resources and markets. Consequently, they receive only 1% of public and private procurement spending globally. If women-owned businesses grew at the same rate as men’s, global GDP could increase by 2 trillion dollars, equivalent to 2% to 3% of global GDP, and generate between 288-433 million new jobs.
“By empowering women entrepreneurs like Tran Thi Vui and Ton Nu Xuan Quyen, UN Women is making a significant difference, fostering economic growth, and paving the way for a more inclusive and prosperous generations in Viet Nam” said Caroline Nyamayemombe, UN Women Country Representative in Viet Nam.