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Number of Vietnamese Patents in the Period 2015-2019


from China, so the quality of technology is a challenge for Vietnam. If the import policy is not strict and not carefully calculated, it will lead to unpredictable consequences that will take future generations many years to overcome, and at the same time leave serious consequences for the country's development.

Figure 3.3. Supply of key technologies by territory


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Figure 3.4: Number of patents in Vietnam in the period 2015-2019

Source: Department of Intellectual Property

According to the “Global Competitiveness Index 2019 Report”, Vietnam ranks 76th in terms of innovation capacity, but its patent index per million people ranks 91st (with 0.21 patents per million people). This figure is much lower than many countries such as Thailand (0.97), Malaysia (36.5), China (50), and South Korea (100) [15]. This result shows that Vietnam's domestic supply in the short term is very limited.


The reality of the number of patents granted annually in the period 2015-2019 in Vietnam is shown in Figure 3.4, showing that although the number of patents granted annually in Vietnam tends to increase, it is quite low with an average of about 120 patents/year. This shows that the supply of technology in Vietnam is relatively limited. If we take the data of 2018, the year with the largest number of patents, for every 72 scientists with a doctorate degree, there is an invention recognized.

Second, the demand for high-tech products and services is still limited.

The demand for technology at the Centers for Application of Science and Technology Advances of 63 provinces/cities to serve the needs of research, decoding and CGCN has not fluctuated much in the past three years [15]. Even in 2019, there was a downward trend compared to 2018. Statistics show that the total demand for technology in 2016 was 95 technologies in fields such as biotechnology; food technology; environmental treatment; energy saving; agriculture; materials technology; medicine; construction; automation; industry. In 2017, the number of technology demands of the Centers was 93 technologies in a number of fields such as biotechnology, food technology, agriculture, materials production and environmental treatment. In 2018, the number of technology demands of the Centers was 115 technologies in a number of fields such as biotechnology, food technology, agriculture, materials production and environmental treatment. In 2019, the number of technology needs of the Centers is 105 technologies in some specific fields such as biotechnology; food technology; environmental treatment; energy saving; agriculture; materials technology; medicine; construction; automation; industry.

Science and technology enterprises in our country are small in scale and have low competitiveness compared to the development requirements of the economy. This scale is reflected in the low revenue, number of employees, and average capital of the enterprise type. With a small scale and not much change in the process of international economic integration, science and technology enterprises have not fully assumed the role of midwife in transferring CNC research results to the market, and have not fully utilized the role of midwife in transferring CNC research results to the market.


exploiting the market expansion opportunities brought about by the impact of international economic integration. In particular, the technological innovation capacity of Vietnamese enterprises still has many shortcomings in the context of international economic integration. This is reflected in two contents: (1) Investment and expenditure on research and development of Vietnamese enterprises are low compared to other countries in the region; (2) The capacity of enterprises to absorb technology is low, innovation and process innovation activities are still low. In 2018, of the total number of responding enterprises, 72.3% did not innovate; 5.2% only innovated products; 10.7% only innovated production processes; 11.8% innovated products and production and business processes [12]. On the other hand, most Vietnamese enterprises are small and medium-sized, so their capital is limited, and most of the technology that enterprises are using is 2-3 generations behind the world average. For enterprises in the industrial production sector (accounting for about 1/3 of the total number of enterprises), the group of enterprises with advanced technology only reaches about 20% (mainly enterprises with foreign investment) [12].

With the low investment level for technological innovation of Vietnamese enterprises, accounting for about 0.1 - 0.3% of the enterprise's revenue (while this figure in India is about 5%, Korea is 10% [6]), the competitiveness of Vietnamese enterprises is not high. In addition, the average rate of technological innovation and new equipment is about 10.68%/year in the period 2011 - 2014 (the target is to reach 10 - 15%/year in the period 2011 - 2015). In the period 2010 - 2013 alone, it only reached 9.1% and has a decreasing trend (in which, in 2010 it reached 11.3%, in 2011 it reached 10.33%, in 2012 it reached 6.8% and in 2013 it reached 8%) [12].

The survey results of 7,621 enterprises in 63 provinces and cities of Vietnam show that: only 11.9% of enterprises carry out research and development (R&D) activities, 16.4% of enterprises innovate existing machinery and equipment without carrying out R&D activities, and the remaining 71.7% of enterprises do not participate in any activities related to technological innovation [15].


Third, the quantity and quality of intermediary service organizations on the TTCNC market are still low, not meeting practical requirements.

The connection between supply and demand of technology in the market is still weak (while in developed countries, this connection is very high, in developing and underdeveloped countries, the connection is weak and does not meet each other's requirements).

The number of intermediary and brokerage organizations in our country is still small, mainly public organizations, there are very few organizations in the private sector. At the same time, there is a lack of many professional organizations providing important services on the technology market such as technology appraisal services, technology value determination services... The capacity of the intermediary and brokerage system for technology innovation in our country is not high, not meeting the needs set by reality. Intermediary and brokerage organizations still operate independently, separately, without connection and cooperation with each other to form a network.

Enterprises have not boldly invested or participated in technology exchanges, so the number of transactions is still low. The number of intermediary support organizations is both lacking and weak;

The technology market operates on a small scale, operates vaguely and dispersedly; the capacity of technology information of consulting organizations is still very weak; service organizations are mostly concentrated in a few large cities; marketing capacity has not encouraged the need for technological innovation of enterprises (especially small and medium enterprises); the service network is not high, so it has limited the ability to provide comprehensive services; the number of science and technology experts is small and scattered; especially the role of the State is still lacking in connection, promoting the development of technology intermediary services, including the current mechanism that does not create favorable conditions for private service organizations to develop. In addition, Vietnamese enterprises do not have the habit of hiring consultants in the stages of the technology transfer process, mainly transactions to buy machinery and equipment; the activities of consulting organizations are spread across many fields and the rate of consulting in technology transfer contracts is insignificant, for example, the number of contracts transferring the right to use intellectual property objects


The number of industrial property rights transactions has increased unevenly and unstably over the years, especially the number of transactions of rights to use industrial property objects between Vietnam and foreign countries [Appendix 13]. The number of transfers of ownership of industrial property objects to the host country from foreign entities is not much compared to other types of transfers. The type of transactions of ownership of industrial property objects between Vietnam and foreign countries only accounts for a small proportion [Appendix 14].

National technology exchanges in Hanoi, Ho Chi Minh City and Da Nang have not been invested and developed commensurate with their mission as centers connecting supply and demand for technology and intellectual property in the three regions.

Intermediary organizations with high expertise in technology assessment, valuation and provision of information services, technology brokerage are still weak in expertise and professionalism, so they have not created the necessary trust for both the supply and demand sides of technology. Moreover, the activities of these organizations are still separate and lack connections, which limits the spread in exploiting technology information and providing consulting, brokerage and valuation services compared to operating in a network connected between intermediary organizations.

Associations, industries, trade representatives, diplomatic representatives, etc. have not paid attention to mobilizing participation in technology transfer promotion activities, so the role of these organizations in promoting technology transactions to serve business innovation has not been promoted.

Available technology sources from abroad have not received due attention in the organization and implementation of the Science and Technology Market Development Program. The network of good foreign experts (international associations, foreign experts, Vietnamese experts abroad) has not been attracted to support intermediary organizations, brokers and domestic enterprises to help search, select, acquire and master technology (both new and not new but with high profit value) necessary for production and business activities of enterprises in Vietnam.

In addition, there are some other limitations such as: The role and management awareness of the State on TTCN is still vague, lacking in depth and determination; vision


Short-term; Lack of determination in accelerating the transformation of public science and technology organizations to operate under an autonomous mechanism; Not yet escaping the traditional growth model based on resource exploitation and use of cheap human resources; The human resources team of TTCN is still weak and lacks professionalism; The capacity of intermediary organizations has not really played an important role in accelerating the development of TTCN.

3.3 . Causes of achievements, limitations and issues arising from the current situation of high-tech market development in Vietnam

3.3.1. Reasons for achievement

* Subjective causes

Firstly , the country's socio-economic development level has achieved many important achievements.

In recent times, our country's economy has had strong development steps, the economic growth rate is quite high, the potential and scale of the economy has increased. This is shown by:

Firstly, the economic growth rate in recent years of our country has been relatively stable and at a high level. The average economic growth rate for the 5 years 2011-2015 increased by 5.9%/year. GDP/person in 2015 reached 2,228 USD . The average gross domestic product (GDP) for the 5 years from 2016 to 2019 increased by 6.5

- 7%/year. GDP per capita by 2020 is about 3,200-3,500 USD. High economic growth rate and increase in foreign investment capital have a great impact on the development of Vietnamese enterprises and promote foreign technology transfer, thereby positively affecting the growth of demand for CNC products and services in the market.

Second, the infrastructure of the economy is strengthened. This helps to build new and upgrade the infrastructure necessary for the development of the ICT sector.

Third, Vietnam strongly invests in developing a number of new industries, CNC. Industrial products of the developing economy are increasingly diverse and


Rich in variety, improved quality. These contents have promoted the demand for new technology, CNC and created a rich diversity of CNC product types on the market.

Second, our country's scientific and technological potential is increasingly strengthened and developed.

In 35 years of innovation, especially in the last 10 years, realizing the very necessary and important role of science and technology in the process of industrialization and modernization in Vietnam, our Party and State have paid special attention to promoting scientific activities and technological development of the country, from which the potential of science and technology has been increasingly enhanced, specifically:

With a large number of scientific staff, many of whom have university degrees or higher. This is a potential force for the development of science and technology in our country. The total estimated state budget expenditure for science and technology in the period 2016 - 2019 is 46,729 billion VND. Of which, in 2016 it was 10,471 billion VND; in 2017 it was 11,243 billion VND.

VND; 12,190 billion in 2018; 12,825 billion in 2019 [12]. Investment in upgrading facilities and enhancing equipment for research and development organizations, especially investment in key laboratories, has partly met the immediate needs of a number of research and development organizations.

The system of research organizations develops in the direction of strengthening the link between research and business production through orienting research activities and applying CNC results according to the actual needs of socio-economic development and business orders.

Third, the system of policies, mechanisms and laws on science and technology management is increasingly improved.

Over the years, the Party and the State have had many policies and measures to link science and technology with production, with life, with the economy that is transitioning to a market mechanism and serving the economy integrating with the international economy. With appropriate policy mechanisms that benefit the creators and investors, the signing of science and technology contracts has achieved


These results are very important. For many public science and technology organizations, the proportion of funding from technology contracts accounts for a significant portion of the total operating costs of the unit. Practical results show that technology transfer activities through signing economic contracts are a necessary step to commercialize CNC products and form a technology transfer center. Specifically as follows:

In recent years, the promulgation of a system of laws and other sub-law documents has created a relatively complete legal framework for the development of the IT sector and is consistent with international treaties that Vietnam has participated in. Documents related to the development of the IT sector have been promulgated more quickly and in greater numbers after Decision 214/2005/QD-TTg dated August 30, 2005 of the Prime Minister approving the IT sector development project. This is partly due to the Party and State's increasing recognition of the importance of IT sector development.

In addition, many legal documents related to the development of the science and technology market were also issued promptly: Decision No. 2075/QD-TTg dated November 8, 2013 of the Prime Minister approving the Science and Technology Market Development Program to 2020; Circular No. 32/2014/TT-BKHCN of the Ministry of Science and Technology dated November 16, 2014 on the management of the Science and Technology Market Development Program to 2020; Joint Circular No. 59/2015/TTLT-BTC-BKHCN dated April 25, 2015 guiding the financial management of the implementation of the Science and Technology Market Development Program to 2020; Decree 76/2018/ND-CP regulating support for enterprises with projects in preferential investment sectors and occupations, and preferential investment locations to receive technology transfer from science and technology organizations. The form of support is lending capital with preferential interest rates, supporting loan interest rates to implement CGCN; Decree 154/2018/ND-CP amending, supplementing, and abolishing a number of regulations on investment and business conditions in the state management of the Ministry of Science and Technology and a number of regulations on specialized inspection. On the other hand, to support and promote the science and technology market in general and the TTCNC market in particular, the state has also issued, supplemented, and amended many documents on Laws, Decrees, Regulations, Decisions, and Circulars [Appendix 1] to create a legal basis for this market to develop further, including:

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