Tom tat LA NCS Phan Thi Thu Cuc (TA)

MINISTRY OF EDUCATION AND TRAINING THUONGMAI UNIVERSITY PHAN THI THU CUC IMPLEMENTATION OF RURAL TRADE POLICY IN SOME PROVINCES IN THE SOUTH CENTRAL COAST OF VIETNAM Major Economic management Code 931[.]

THUONGMAI UNIVERSITY -

PHAN THI THU CUC

IMPLEMENTATION OF RURAL TRADE POLICY IN SOME PROVINCES IN THE SOUTH CENTRAL

COAST OF VIETNAM

Major: Economic management Code: 931.01.10

A SUMMARY OF PHD DISSERTATION IN ECONOMICS

Ha Noi, 2022

Scientific supervisors: 1 Assoc Prof, Dr Pham Thuy Hong

2 Dr Vo Ta Tri

Judge 1:

Judge 2:

Judge 3:

The dissertation will be defended to the University-level Dissertation

Assessment Council to be held in Thuongmai University

at………, date ……… month …… year ………

Search for the dissertation available at National Library and

Thuongmai University’s library

OF THE AUTHOR RELATED TO THE DISSERTATION THEME

1 Cuc, Phan Thi Thu (2019), “The characteristics and roles of trade and rural

trade policies of Vietnam”, Vietnam Trade and Industry Review, ISSN 0866-7756, No 2,

February 2019

2 Cuc, Phan Thi Thu (2019), “The current situation of implementing and

developing rural trade policies in rural areas”, Vietnam Trade and Industry Review,

ISSN 0866-7756, No 9, May 2019

3 Cuc, Phan Thi Thu (2019), “Actual situation of rural trade policies in the South

Central Coast region of Vietnam”, Journal of Trade Science, The Journal of Thuongmai

University - Hanoi Vietnam, ISSN 1859-3666, Vol 7, No 4, December 2019

1 The necessarity of the thesis

Developing commerce in rural areas, improving the living standards of ruralpeople on the basis of industrialization and modernization of agriculture and ruralareas and building new rural areas is one of the key tasks in economic development ofsocio-economic in our country Domestic trade policy in general and rural trade policy

in particular in our country have basically met the requirements of socio-economicdevelopment and trade over the past 30 years

The South Central Coast region has a very favorable geographical andeconomic position, located on the axis of road, rail, air and sea roads The area near HoChi Minh City and the key economic triangle in the Southeast region; is the gateway

of the Central Highlands, of the trans-Asian road to the sea connecting with theinternational maritime route The South Central Coast region has Da Nang airport, PhuCat airport (Binh Dinh), Cam Ranh airport (Khanh Hoa) and Chu Lai airport (QuangNam) which are four of the ten international airports of Vietnam The region also hasdomestic airports Tuy Hoa (Phu Yen), Phan Thiet (Binh Thuan) and thousands ofkilometers of road and railway In terms of sea route, the region has many importantseaports such as Da Nang, Tien Sa, Lien Chieu (Da Nang), Ky Ha (Quang Nam),Vung Ro (Phu Yen), Nam Van Phong and Bac Van Phong (Khanh Hoa) creating aseaport system for development and regional economic development and form thearterial road on the sea to trade with the region and the world The region has manyopen economic zones such as Chu Lai (Quang Nam), Dung Quat (Quang Ngai), NhonHoi (Binh Dinh) with relatively complete infrastructure

Along with the renovation process of the economy, in which important andwide-ranging innovations took place during the WTO accession period Currently,Vietnam is entering a new phase in integration, deeply integrating into the worldeconomy with the preparation to complete commitments in WTO and ASEAN,actively participating in many bilateral and multilateral trade agreements Newgeneration partners, of which important are the Comprehensive and ProgressiveAgreement for Trans-Pacific Partnership (CPTPP), the Free Trade Agreement with theEuropean Union (EVFTA), the Free Trade Agreement with the EU and the EU.Eurasian economic union and accession to the ASEAN Economic Community (AEC),etc., developments and impacts on trade all come very quickly, immediately affectingthe domestic market, especially the rural market

Integration brings opportunities and benefits to domestic trade, but at the sametime, competition in the domestic market is increasingly fierce, Vietnamese enterprises

are under increasing pressure from foreign companies The impact of the globaleconomic and financial crisis has severely damaged the economies and trade of export-based countries, so these countries tend to return and attach importance todevelopment and domestic trade in order to create a more sustainable basis for thecountry's economic development Vietnam is also not out of this trend when for a longtime it has focused too much on exports and foreign markets, has not properlyidentified the role of the domestic market, causing domestic trade to fall into a passivestate Before integration, the domestic market faced many "vital" problems such asinternational competition, mergers and acquisitions in the domestic market, thedifference between production and consumption prices, products and services Wecan't export or sell, get a bad season, lose a crop, poor quality goods, do not guaranteefood safety and hygiene, fake goods, poor quality goods from partner countries

Due to the characteristics of lag and difficulty in forecasting in policy making,many of our country's trade policies have become obsolete, failing to address policygoals and domestic trade development goals associated with integration andsustainable development, while the colorful reality of the "commercial picture" is andwill be increasingly rich, vivid and changing very quickly, requiring change andinnovation in domestic trade policy in general and rural trade policy in particular Inthe integration period, our country's trade policy has been adjusted and perfected,bringing effective and positive impacts on socio-economic development, trade,services and production goods

In recent years, the Government has been making efforts to implementinstitutional and public administrative reforms in order to bring national growth in asustainable direction, in line with the trend of world economic integration On January

6, 2010, the Prime Minister issued Decision No 23/QD-TTg approving the ruralcommercial development project for the period 2010-2015 and orientation to 2020.The scheme mentioned many things and general problem, in order to build asynchronous and sustainable development process for rural trade However, the currentdomestic trade development policy system has not exploited and brought into full playall the resource factors to realize that determination In order to exploit and seizeopportunities, at the same time overcome challenges and limit risks to become amandatory requirement for Vietnam, it is necessary to perfect and renew the domestictrade development policy in general and rural trade policy in particular quickly andeffectively

In addition, the process of organizing and implementing rural trade policies alsorevealed inadequacies and did not achieve the desired effect.There are many reasonsleading to this situation, but through our research, we have discovered a number of keypoints that affect the results of rural commercial development in the provinces of theSouth Central Coast of Vietnam thatis the state of policy implementation not followingthe general process, the development of programs, plans and schemes lacking theparticipation and contributions of policy beneficiaries or not suitable to thecharacteristics of the region, the implementation of close to reality… which is causingdifficulties for both the implementing level and the beneficiaries of the policy'sbenefits The above fact shows that, to achieve the objectives of rural trade policy inthe provinces of the South Central Coast of Vietnam is a very difficult problem, andthis is also one of the great obstacles and challenges for the country with thesustainable development of rural trade in the whole region This issue has beenattracting the attention of many researchers

Therefore, the thesis " Implementation of rural trade policy in some provinces

of the South Central Coast of Vietnam" with the desire to clarify theoretical and

practical issues about the implementation of rural trade policies in some provinces ofthe South Central Coast, from which to develop solutions to effectively implementrural trade policies in some provinces of the South Central Coast in the coming time

2 The overview of the research

2.1 Some domestic researches

Over the following years, there have been many different studies on manyaspects of commercial activities in general as well as the system of State policies tomanage and support the development of commercial activities Typically, someprominent research works in this field have been published such as: Master.Tran Duy

Dong (2019), Research and propose solutions to promote domestic consumption in rural markets to 2025,vision to 2030, Ministerial level scientific project, Department

of Domestic Market, Ministry of Industry and Trade, Hanoi [21]; Dr Lam Viet Dung

(2019), Research and propose some solutions to support small and medium enterprises in the field of retail distribution of goods in rural areas, Ministeriallevel

scientific project, Department of Domestic Market, Ministry of Industry and Trade,

Hanoi [20]; Master Tran Duy Dong (2018),Research and propose solutions to improve Vietnam's commercial infrastructure development policy towards synchronous and modern direction,Ministeriallevel scientific project, Department of

Domestic Market, Ministry of Industry and Trade, Hanoi [01]; Nguyen Truong Giang

(2013), Solutions for commercial development of Lao Cai province in the context of international economic integration, thesis ofDoctoral project in economics, Commercial Research Institute [23]; Nguyen Thi Thanh Ha (2012), Solutions to organize business networks by commodity lines in rural areas, Ministry level scientific

research project, Department of Domestic Market, Ministry of Industry and Trade,

Hanoi [25]; Master Nguyen Thao Hien (2020), Research and propose solutions to promote the export of Vietnamese agricultural products - food through a number of modern distribution systems in the world, Ministeriallevel scientific project,

Department of Europe - America Market, Ministry of Industry and Trade, Hanoi [24].However, in each aspect of commercial activities, there are many different researchworks

2.2 Some international researches

- Herath, HMSP (2009), Impact of trade liberalization on economic growth of Sri Lanka: An economic investigation, Department of Banking and Finance, Faculty of

Business Studies and Finance, Wayamba University of Sri Lanka, Kuliyapitiya, SriLanka[71 ]

- Thomas Reardon (2006), Supermarkets, tropical agricultural supply chains and small producers in Central America[85], current situation study development of

the supermarket system in some Central American countries in recent years, theparticipation of small agricultural producers in the supermarket system, the benefits ofparticipating in the supermarket system compared to the channel traditionaldistribution Sales job descriptions are intuitive and use proven management practices

- Bennard Hoekman, Aditia and Philip English (2005), Trade development and WTO”, National Political Publishing House, Hanoi[83], have mentioned in general

terms about trade reform, institutional building and market economy in accordancewith WTO regulations

- John Friedmann (1966),Regional development policy: A case study of Venezuela; Cambridge, Mass: MIT Press[74], has taken an approach to spatial

connectivity in regional development His point of view emphasized the spatialorganization of the region with production and trade links in a center with anabundance of resources, including highly skilled human resources In these centers, sothere is continuous development and innovation leading to spillover effects, creatingattraction and repulsion for development in the periphery where there are manysources of labor and agricultural development

2.3 Research gaps

The above scientific studies have partly systematized the concepts of trade,commercial development, and the effects of policies on commercial development aswell as rural development.

The works have analyzed and evaluated the impacts of factors supportingcommercial development in many different aspects

The works have also provided a number of effective solutions to developmanagement tools and support trade development in different regions as well assolutions to develop the commercial system in a cultural way

The above studies have not directly studied the implementation of rural tradepolicies in the provinces of the South Central Coast of Vietnam, and have not studiedspecifically the socio-economic conditions of the agricultural sectors in the SouthCentral Coast of Vietnam The factors affecting commercial development in ruralareas have not been studied in some provinces in the South Central Coast region andhave not been studied some pilot policies, specific to the provinces of the SouthCentral Coast that support to rural commercial development

With specific economic conditions such as the South Central Coast of Vietnam,there have also been a few research works aimed at providing solutions for sustainablecommercial development in urban areas or developing certain types of products andmodern commercial pattern of a particular province or locality However, there has notbeen any research that studies directly and specifically the implementation of ruraltrade policies in the provinces of the South Central Coast of Vietnam,the socio-economic conditions as well as natural to offer solutions to develop rural trade in theSouth Central Coast region of Vietnam This is a gap in the published research worksthat PhD students can study in order to selectively inherit but not overlap with thoseworks

3.Research goals and tasks

3.1 Research goals

On the basis of an overview of some basic theoretical issues as well as analysisand assessment of the current situation of commercial development in general andrural commercial development in particular, rural trade policy implementation process;Analysis and assessment of the current situation of rural trade policy implementation

in some provinces in the South Central Coast of Vietnam in the recent period, factorsaffecting the implementation of rural trade policies, thesis propose a number ofsolutions and recommendations to improve the implementation of rural trade policies,

the thesisproposes some solutions and recommendations to develop rural trade in theSouth Central Coast region of Vietnam in the period to 2025 – 2030

3.1 Research tasks

- An overview of some basic theoretical issues on rural trade policy and asystem of criteria for evaluating the actual implementation, factors affecting theimplementation of rural trade policies and effectiveness of rural trade policies in anumber of provinces in the South Central Coastof Vietnam

- Evaluate the achieved results, analyze and clarify the limitations andinadequacies of the policy system for rural commercial development in the SouthCentral Coast of Vietnam in the past period

- Proposing and recommending solutions to continue promoting thedevelopment of rural trade in Vietnam in general and the South Central Coast ofVietnam in the direction of sustainability, modern civilization

4 Research objectives and scopes

4.1 Research objectives

The object of research of the thesis is the implementation of rural trade policy

in some provinces in the South Central Coast region in the recent period and thedevelopment of commercial infrastructure is considered as a particularly importantstage in the development of trade infrastructure from producer to consumer

4.2 Researchscopes

About the content: The thesis focuses on researching and assessing the actualsituation of implementing policies on rural trade development Factors affecting theimplementation of rural trade policies Studying 04 main groups of policies andimplementation process of rural trade policies Factors affecting commercialdevelopment in general and rural commercial development in the South Central Coast

in particular

About space: In this thesis, the author conducts an overall study of ruralcommercial development in the South Central Coast according to economic zoningincluding 08 provinces and cities: Da Nang, Quang Nam, Quang Ngai, Binh Dinh,Phu Yen, Khanh Hoa, Ninh Thuan, Binh Thuan In which, Da Nang and Binh Dinh are

02 key economic provinces and cities in the Central region in the North of SouthCentral Coast and Khanh Hoa is the province with stronger economic development inthe remaining 04 provinces in the southernmost of South Central Coast Therefore, theauthor chooses to do an in-depth study of 03 key provinces and cities for regionaldevelopment (Da Nang, Binh Dinh and Khanh Hoa) to assess the actual status of rural

trade policy implementation and the factors that affect the implementation of ruraltrade policies.

About time: Studying the actual situation of implementing rural trade policies

in a number of provinces in the South Central Coast of Vietnam from 2010 to present

to propose solutions and recommendations for the period 2025 - 2030

5 Research Methods

Research methods: Historical and dialectical, systematic, synchronous, fromgeneral to specific, combining logic and history, especially approached from theperspective that modern and civilized trade is the result of resonance and impact onmany aspects of socio-economic life, as well as state management, are related to theposition and development requirements of the capital in Vietnam with localities andindustries in each period and specific context ;

- In the research process, apply specific research methods harmoniously andflexibly, including:

+ Methods of collecting documents and information through sources: NationalLibrary; Library of Institute of Strategy and Policy of Industry and Trade - Ministry ofIndustry and Trade; Library of the University of Commerce; Agencies in the SouthCentral Coast region (Provincial People's Committee, Department of Industry andTrade, Department of Planning and Investment, Department of Finance, Department ofAgriculture and Rural Development ) and approved internet, mass media,

+ Methods of survey and interview with relevant units and individuals: Themain purpose of survey by questionnaire is to collect primary information necessary toanalyze and evaluate organizational activities of implementation of rural trade policies,focusing on the process of organizing and implementing the policies.This method isimplemented based on the design of the questionnaire and the planning of the survey.The content of the question revolved around the topic of implementing rural tradepolicies in some provinces of the South Central Coast The study targets two groups ofsubjects, including (i) organizations, enterprises, business households, cooperativegroups, cooperatives participating in rural commercial activities and (ii) constructionand management and implementation of rural trade policy in a number of provinces inthe South Central Coast.Correspondingly, there are 02 sets of questions specificallytailored to the characteristics of the 2 target groups.Basically, each set of questionsconsists of two main parts, one is the respondent's information, the other is theevaluations according to each specific criterion The criteria are built based on thetheoretical basis system as well as the research orientation of the author

After completing the questionnaires, the author proceeded to send them to 400organizations,businesses,business households, cooperative groups, cooperativesparticipating in rural commercial activities and 60 writer and managerof theimplementation of rural trade policies in a number of provinces in the South CentralCoast The questionnaire was mainly sent by post and email In addition, the authoralso went directlyto a number of management agencies to distribute and collectquestionnaires After collecting all the answer sheets, the author proceeds to synthesizeand remove the invalid answer sheets The answers of the two groups of subjects wereentered and aggregated in two different excel files, serving analysis and calculationactivities Based on the results of counting the total number of answers for eachanswer of each question, the author will make a table of survey results, calculate thepercentage of each answer.

+ Statistical analysis methods (index analysis, dynamic analysis methods, etc.)are used in analyzing the current state and situation as a basis for proposing solutionsand recommendations for better policy implementation in order to promoteruralcommercial development in the South Central Coast of Vietnam

+ The expert method, the method of comparison, forecasting, selection areused in the assessment of influencing factors, the formulation of views, policyorientations, practical and scientific solutions and feasibility to develop civilized andmodern commerce

- What is the process of organizing the implementation of rural trade policies?

- What are the factors that affect the rural trade system in the South CentralCoast? In the process of implementing rural trade policy in some provinces in theSouth Central Coast, what factors affect this process?What is the current situation ofimplementing rural trade policies in some provinces in the South Central Coast ofVietnam?What are the advantages and disadvantages of this work? What are thereasons for these advantages and disadvantages?

- How should policy systems be developed in order to build, develop andimprove the competitiveness of the rural trade system in the South Central Coast to

best meet the requirements of the production and life of people in the region in thecurrent context?

7 Some contributions of the thesis

Theoretical aspects

- The thesis contributes to clarify some basic theoretical issues about thecommercial system, rural trade in Vietnam Criteria for assessing the impact of statemanagement policies on the rural commercial system in current conditions

- Completing the building of a theoretical model to evaluate the effectiveness ofrural trade policies

Third, the thesis has proposed a number of solutions and recommendations tomake rural trade policy more effective and practical, improve the effectiveness of statemanagement with the rural trade system in the South Central Coast of Vietnam in theperiod to 2025 with a vision to 2030 aims to build a sustainable, civilized and modernrural trade system to meet the needs of people in the region

The research results of the topic are the scientific basis for commercialmanagers in general and commercial managers in the South Central Coast of Vietnam

in particular; managers who are doing business or are about to engage in commercialbusiness activities in the rural market in the South Central Coastof Vietnam

8 The structure of the thesis

Apart from the introduction, conclusion, references and appendices, the thesis isstructured into 3 chapters

Chapter 1: Theoretical and practicalbasis for implementing rural trade policyChapter 2: Analysis and assessment of the actual implementation of rural tradepolicies in some provinces in the South Central Coastof Vietnam

Chapter 3: Perspectives and solutions to improve the implementation of ruraltrade policies in some provinces in the South Central Coastof Vietnam

1.1.1.1 The concept of commerce and rural commerce

Trade is all business activities on the market, commerce is understood aseconomic activities aimed at bringing profit to the performer According to the 2005Commercial Law, commerce is an investment activity for the purpose of earningprofits, including buying and selling goods, providing services, investing in tradepromotion The World Trade Organization (WTO) clearly states that trade includesfour areas: trade in goods, trade in services, trade in intellectual property and ininvestment According to Clause 1, Article 3 of the Commercial Law 2005,commercial activities are activities for profit-making purposes, including purchase andsale of goods, provision of services, investment, trade promotion and activities for thepurpose of earning a living and other benefits [34]

In short, commerce is all business activities in the market, commerce is understood as economic activities aimed at bringing profit to the performer.

Rural trade is understood as an interaction on the market including exchangerelations, activities of buying and selling goods and providing services taking place inthe rural market Previously, families in rural areas produced production with the mainpurpose of serving the family's needs first, then selling the surplus When they realizecommercial and economic benefits from their products, they gradually turn toproduction purposes to serve commerce Besides, when the demand for non-agricultural goods and services is increasing, workers will respond to the needs of themarket by slowly shifting from the agricultural sector to the non-agricultural sectors,the demands of education and skills also increase accordingly; The rural economy isbecoming more diversified and more urban in nature [22]

Thus, rural trade is understood as an interaction in the market, including exchange relations, activities of buying and selling goods and providing services that take place in the rural market.

1.1.1.2 The concept of rural trade policy

A policy, when planned, always aims to solve a certain problem arising insocial life in order to achieve certain values, both in accordance with the will of the

state and in accordance with the wishes of the state, wants and aspirations of thepeople In the policy cycle, policy implementation is a component of the policy cycle,the center of which connects the steps of the policy cycle, the step to realize the policy

in social life, and so if there is a lack of at this stage, policy making becomesmeaningless

The policy implementation process is conducted on the basis of the policyissued by the competent state agency In the process of implementing rural tradepolicy, depending on the position, functions, tasks, powers and conditions ofresources, competent state agencies at all levels can concretize policies into specificprograms and projects to achieve the policy's objectives However, in the process oforganizing and implementing the state agencies, responsible and obligated to put thepolicy into practice in a procedural order with certain ways in order to achieve the goal

of policy

The process of implementing rural trade policy includes two basic contents:promulgating documents, programs and projects to implement the policy (i) andorganizing their implementation in order to realize the target objectives of rural tradepolicy (ii)

From the above explanations, it is possible to come to a basic concept of rural

trade policy implementation as follows: Rural trade policy implementation is the whole process of bringing rural trade policy into life society according to a strict and unified process and procedures in order to deal with the ongoing rural commercial development for specific subjects in the rural area in a certain period of time.

1.1.2 Contents of rural trade policy

Policy for the development of rural commercial infrastructure

Policy for developing traders

Policy for developing of goods and services

Policy for the consumer protection

1.2 The implementation of rural trade policy

1.2.1 Subjects participating in the implementation of rural trade policy

Trademark policies directly or indirectly affect people's lives, related to manydifferent subjects in society Therefore, in the process of organizing theimplementation of rural trade policy, it is necessary to mobilize the participation of allparties in the policy implementation process

Policy implementation subject

Subjects participating in policy implementation coordination