Overcoming Business Journeys E-Book

Phan Minh Thong

• Herausgeber: novum premium Verlag
• Kategorie: Gesellschafts- und Liebesromane
• Sprache: Englisch
• Veröffentlichungsjahr: 2023

Seitenzahl: 222

Beschreibung

Overcoming Business Journeys comprises twenty-six short stories and separate notes about business and life in Vietnam and some parts of the World. Each story has unique characters with different living circumstances, and in each story, there is a person who is passionate about starting up a business. The book's first part tells us about life and business during the Covid-19 pandemic, the difficulties these people face and the solutions they find to help them succeed. The next part concerns the difficulties and obstacles people face trying to succeed in international business. Besides dramatic business stories, there are simple stories about Vietnamese women and art. In conclusion, Overcoming Business Journeys is a colorful picture of life that anyone who reads can find a part of themselves in.

Leseprobe

Imprint

All rights of distribution, also through movies, radio and television, photomechanical reproduction, sound carrier, electronic medium and reprinting in excerpts are reserved.

© 2023 novum publishing

ISBN print edition: 978-3-99130-251-3

ISBN e-book: 978-3-99130-252-0

Editor: Chris Beale

Cover image: Pishit Kamsink | Dreamstime.com

Cover design, layout & typesetting: novum publishing

www.novum-publishing.co.uk

Copyright

Artwork: Overcoming Business Journeys

Author: Phan Minh Thong

Copyright of this work belongs to the author. No part of this work may be reproduced or transmitted in any form, by any means, whether electronic, print, sound recording or any information retrieval and storage system, without the prior written consent of the author.

PHAN MINH THONG

Author’s Words

I wrote Overcoming Business Journeys in four years, with most of the writing completed during the time of Covid-19. Whenever I heard a good, inspirational story, or an experience of success or failure, I would write it down. I usually write in a narrative style in order to convey a story, an event, or a certain moment. Yet, there were times when I thought: “Why shouldn’t I just create and expand the stories and add more characters? Life is already a great story with so many unique characters. A story with characters and details would be more interesting. Furthermore, when a story is written and published, it develops an independent life of its own, compared to articles.” Therefore, I was happy with that discovery and have written more different stories since.

Writing is a challenge for me. Even so, I released my second publication containing many articles accessible to the public. In my first publication, Unlimited Creativity in Business (2017), there was praise as well as criticism. Yet, in the end, more than 13,000 copies were sold, enough to cover all the publication costs. Four years after publication, I continued to sell the book, and many people still send us touching words, sharing such useful stories. With these lessons from the readers, I am even more inspired. Whenever I find a good story, I choose to keep on writing in a way for people to experience it. Perhaps that is exactly the motivation for my second publication: Overcoming Business Journeys.

With real stories and experiences from the realm of business, I hope every reader will benefit from reading it. Notwithstanding both praise and criticism, I look forward to listening to both in order to learn, experience and grow even more.

I am grateful that you have picked this book up, opened it, and read it through!

Acknowledgements

Special thanks to my company assistants Minh Trang, Camelia and my son Minh Phuc for their enthusiasm in helping with the Vietnamese-English translation. This publication would not be possible without their dedicated effort and passion. Lastly, I am grateful to my son Minh Quang for supporting me in finalizing this project.

Business Portrait during Covid

Throughout 2020, the entire world was reeling under Covid. From Europe, then the US: daily news about Covid, daily images of sick people in the hospitals, howling ambulances. Talking to clients, we could hear the panic in their voices. After clients had spent so much time at home, we could observe the pain in their faces. Fortunately, at that time, Vietnam had not been seriously affected. But on the business side, things were not that easy.

“Mr. Quang, the price of peppercorn has become too high and continues to rise, almost doubling compared to the same period last year!” the Purchasing Director, Viet Anh, called to say.

“Really? How could the price increase continuously under Covid? Send me the report from the last few months.”

“Peppercorn prices have been increasing continuously for nearly two months, but just now is the sharpest rise. Almost double compared to 2019. Is the supply limited? How should we decide?” Viet Anh asked.

“I did anticipate issues with the supply, but did not expect the speculators to seize this opportunity to push the price up that badly. Just buy enough goods for the pending signed contracts,” I replied.

“We lose a lot with the signed contracts … What then, Mr. Quang?” the sales manager, Lee, asked me at the meeting.

“We still have to buy it, Lee. We still have to deliver cargo to our buyers even with a loss, but the price will increase immediately. Viet Anh, make the plan to buy twice as much for me.”

“Mr. Quang, when the price goes up, the suppliers will withhold their stock and won’t sell. It’s the same every year. Exporters will suffer a huge loss if they sell, and won’t buy at the same time.”

“I know. Try to buy enough and then double the quantity for me.”

The price of agricultural products had risen, but coffee prices hadn’t. Coffee growers and exporters were devastated! Lee mentioned she was also working with the Operation Department regarding freight charges.

“The freight charge went up so much, while our sale contracts are fixed, as the freight charge goes up daily, I can see terrible losses. What should we do?” Lee said.

“What is the reason for this increase in freight rate?” Mr. Quang asked.

“Due to the severe pandemic in many countries, many container yards do not have enough workers and arriving ships only clog up more containers. There are no empty containers at the ports with no one to move them. Shipping companies picked up on that and pushed the freight rates up, piling up even more challenges for companies. Now, companies are in an even more difficult situation, as we cannot get empty containers at a low rate as agreed, the shipping company has canceled all their prior commitments!”, Lee said.

“Why would they do that? They just canceled all of their commitments?”

“Yes,” Lee replied.

“In my opinion, just let me keep trying to persuade the shipping company. In the past, we treated them kindly and generously, so they shouldn’t treat us so badly,” said Rose, the Operation Director.

We kept spinning like pinwheels. Customers were affected by the Covid pandemic, so money was short. It was also difficult to gain payment. Many Europe companies had to close due to the pandemic, without revenue. And now, with this flood of new difficulties, employees were asking, “What should we do now? What can we do?”

Many people thought the crisis would only last a few months before commodity prices returned to normal, and the same for freight rates. But no! This was just the beginning.

The phone rang. “Mr. Quang, did you know that the Lien Nga warehouse, which worked with us, just went bankrupt? The goods they delivered were quite decent.”

“What happened?”

“The warehouse owners thought the coffee price would remain stable for years, that it would probably be okay for them to take the coffee from the people and send to the customers. Now that the price of coffee has gone up and there is no money to pay people, they’ve run away, no one can contact them!”

Hien, the director of the coffee factory called. “Mr. Quang, I just heard from the market that JF Coffee Company has gone bankrupt. And at Sede Company, the director just took all documents regarding the goods and ran away.”

“I’ve just been informed that the world’s second largest coffee trading company, Amarex, has just declared bankruptcy, and is being sold to a competitor for one Euro. Once valued at 30 billion euros, this company had 30 offices worldwide! The coffee business is very tough,” I said.

There are more and more warehouses, factories, companies … people who lack capital, defaulted people and people without hedge facilities.

“Lee, why won’t the customers open an LC1 for us to deliver?” I asked.

“I’ve been trying to persuade them for a month, even though they signed the contract. Now they don’t have money and are unable to sell goods for cash while the bank is tightening and reducing the credit limit. It’s too hard, the customers don’t know what to do. Then what about our goods? They are already available. The quality will be a problem.”

“You must find a way to sell it to someone else,” I instructed.

During 2020, the business rhythm continued to be similarly stressful, with many tragic bankruptcy stories due to high peppercorn prices. Taking people’s goods and having no money to pay, the companies that sold cargo before buying in at a high price eventually went bankrupt. For the coffee industry, many warehouses went bankrupt because the price of coffee did not rise as expected. Instead of going up, the price went down.

The entire world hoped for a vaccine, and the media provided the news regarding a vaccine. At the end of the year, news about a vaccine being endorsed and circulated in the US and Europe allowed everyone to rekindle business activities again. But for Vietnam, the pandemic had just begun.

2021

During a brief meeting, An, the Human Resources Administration Director said, “Mr. Quang, I hear the pandemic is going to be more intense, and the city government will make things more difficult; perhaps it will even completely lock down. This time they will probably be stricter than before.”

“Yes, I also think the same from reading the newspaper, but I think as we are in the export business of agricultural products and we also do business in essential domestic goods, the government will still allow us to operate partially. For countries around the world, when pandemics occur, they still allow trade in essential goods or the export of agricultural products. However, we must strictly adhere to safety and distance.”

“We conclude many contracts and borrow a lot from the bank in order to export, so we have to keep those companies running that gain enough money for us to pay the bank. And we always have to maintain our reputation with suppliers and banks so that doing business in the future will be easier,” Viet, the CFO2, said.

“That’s right, I think so. Besides, over 300 people are in the system, including officials, workers, and management staff. It would be hard for most people if we were not working. Too many people in their families have already lost their jobs. It would be too difficult for companies and factories to stop now. How could they live?” An, the HR Director said.

We had to be determined to find a way of surviving. We also believed that exports, port operations and essential businesses could still operate as long as hygiene safety was maintained. And, specifically, to find a vaccine source for all employees.

Many things happened: Covid spread worldwide, customers were exhausted financially, people were hurting, and there were mental health problems everywhere. Once Covid was raging violently in Vietnam, it caused deep desperation in production and business activities.

An entered my office and said, “Mr. Quang, we should arrange accommodation for people to stay in the office; I think it’s likely that they won’t let us go out on the street. And I will make some contacts to have a travel permit issued by the Department of Industry and Trade.”

“Well, luckily, we provide food in our restaurant at the company … and bedrooms, so I don’t suppose it would be too difficult, right?”

“I think so too. Let me do it.”

And we did, quickly and efficiently. There is always an opportunity to keep the connection between people and business unbroken. We were in the business of essential goods, and when things became difficult, we considered quitting. What else can I say? But these were essential services for the world economy: exporting agricultural products from millions of farmers, creating revenue for the whole industry. It was also necessary to repay loans, which could not be stopped. We deployed quickly, but encountered many difficulties that we didn’t anticipate.

“Mr. Quang, I never imagined being at home would cause so much stress. Mental health concerns and stress make me unable to predict anything. Ms. Huong, the Secretary, wants to go back to her hometown because she’s afraid of the pandemic …,” said An.

“Why don’t you try to convince her?”

“I did, but she cried and insisted on quitting … Why would she quit at a difficult time like this? Quitting now would make things difficult for the Administration Department. Even if we refuse to allow her to quit, she’ll still do it anyway. Two days later, Lynda also sent her resignation. Her family kept calling her to stay home, and she finally had to quit. Nga was also crying in my office. Her husband and mother wouldn’t let her come to work, and Nha also asked me to let her go.”

“Nha, the one that was so cute?”

“Yes, that’s her. She didn’t want to quit, but her mother pushed her hard, and she was too afraid of the pandemic. Her mother kept calling and crying; she couldn’t bear it …”

“But everyone is vaccinated. What if the pandemic lasts the whole year, like Europe and the US?” said Quang.

“They can’t think of all that now, they’re too scared. Who else will quit?” I asked myself.

When we were at the office, sleeping and eating also became a headache. The mattresses were too hard; the food was unsuitable; the challenge of cleaning things, especially the inability to go out, put most people under a lot of stress. Looking back one week, there was so much pain in people’s faces. Looking back two weeks, I found myself having to be more patient. An inner voice told me something needed to be done to lift people’s spirits and get through this difficult time.

I made a speech. I shared about companies in the services industry: hotels, airlines, housing, real estate, tourism companies that had to close … people losing their jobs with no income and business owners having to sell their houses and cars to pay debts. Many people ended up selling everything they had.

Millions of people were unemployed, and we were so lucky to be able to work and get our full salary. We could still meet and talk to each other and be able to talk with and meet our customers and suppliers. We were still able to feel angry or happy; we were still able to share … We did everything I thought we could. Then, eventually, we went through each day like that.

“Is today Saturday?” Mr. Phan of the Finance Department spoke out, making me feel very happy. At least working would distract us, and people wouldn’t have any negative thoughts. A week went by very quickly.

We tried to get a travel permit because we were a rather large-scale export company. With just a minor change from the city, everyone could go home and then return to work, reducing the pressure on the restaurant’s kitchen staff and the Administrative Department. At least we could still work. The factory was still operating despite of 40 percent reduction in capacity. We still had revenue, everyone was fully paid, and we still borrowed from and repaid the bank.

“Many customers have told me it was fortunate that Kphucsinh.vn was still active and delivering; without KPhucSinh now, they wouldn’t know where to buy essential goods.”

“Mr. Quang, I couldn’t call KPhucSinh. Please help me, tell your employees to call me. I already ordered on the web.” Just like that, we worked together on delivery. Actions like that helped us survive the pandemic.

Phuc Sinh Consumer Corporation kept going, while people at other companies were too scared and quit, or the other companies couldn’t continue their business. We thought we couldn’t pay everyone’s salary if we quit then. Many people still needed to buy food, and they waited for us to provide delivery. We had to try, try harder. Going to work made us feel a lot of empathy during those four long months. We felt a desire to share food with others. Going to work relieved us from being inhibited at home. When we went to work, we often forgot all the difficulties and hearing, “Tomorrow is Saturday, huh, so fast?” That made me happy, and we felt that life was also brighter.

“Mr. Quang, today is the second anniversary of your management of Phuc Sinh Consumer Corporation. The business results in August are great; for the first time we have a good profit,” said the chief accountant, entering my office. Really? Two years of performing the executive job are during two years of Covid, with many difficulties and challenges.

My company still pays the bank the interest for due-date debt, and the factories still ship the goods worldwide. One day, when I went to disburse, the person in charge of the bank said, “Today, I’m only disbursing for your company; all the other companies have already closed.”

“Yes, we are still producing, paying off bank loans and even paying everyone a monthly salary, and as long as the business is still operating, we will still live,” said Viet, the Finance Director.

The ambulances were still running, but there seemed to be fewer. Adjustments began, and economic recovery plans rekindled. And here: “Hey, confirm this lot of ten containers, book the empty containers, and make a loading plan for next week …”

Covid during lockdown days, September16, 2021.

1 LC: Letter of credit payment guarantee for import and export of goods.

2 CFO: Chief Financial Officer.

Sad Story

I called my mom when I decided to quit my job and start a new company.

“Mom, I quit my job at the company I was working for and opened a new company.”

“So, why did you leave that company? The job was going well.”

“They changed personnel, Mom, and I had to transfer my favorite product to someone else and I like doing this line of work so I quit my job and opened a company.”

“I don’t know much, but please take care!”

At 25, I didn’t have many talents, but when I quit my job at my old company, I had some business relationships. I had US$3,000, so I rented a small office to operate out of. After a month, our office had four people about the same age as me. It must be said that at that time, the cost was quite low. Twenty years ago, the chief accountant’s salary was US$120 per month, and an employee’s salary was from US$80 to US$220.

We sat in a small office of about 17 square meters, with another room of 8 square meters for meeting with customers. The work ethic was low, so I had to put a lot of effort into motivating the staff.

Startups don’t have much, but I had my health and willpower, and there was no backing down anyway.

“Mr. Minh, can I talk to you for a moment?” Duong, a forwarder and customs officer, who had only been working for a little over a month, asked me.

“Okay.” Everyone else had already gone home, so it was just the two of us. “Yeah,” I said, “stay here and talk.”

“Mr. Minh, I am getting married soon, but neither family is rich … Could you lend me money for the wedding?”

“Borrow money for the wedding? So, the marrying couple has no money?”

“No, we don’t have any. Please lend me money; I will collect the lucky money and pay you back after I get married.”

I also had just married. We lived in a small apartment of 47 square meters on the fifth floor of a building with no elevator, right next door to the company.

“Okay, tomorrow I will go to the bank to withdraw money to lend you.”

In fact, I had no money. Just the US$3000 to set up the company. Fortunately, though, I had a credit limit at the bank, so I could withdraw money for loans.

I came home to talk to my wife. “Honey, at the office there is this young fellow, Duong. He wants to borrow money for his wedding.”

“Why is he borrowing money for the wedding? He has only been working for the company for just over a month …”

“Yes, but I agreed.”

As a startup, we worked like crazy. Even at 2 a.m., when American customers called, I would still answer the phone. I only slept a few hours a day.

Six months later, “Mr. Minh, can I talk to you for a moment?” Was there a problem? “I have something to ask you …,” said Duong.

“Okay, come into the meeting room and let’s talk.”

“Mr. Minh, my wife and I want to buy a house. Can you lend us money?”

“Buy a house … You want to borrow money to buy a house?”

“Yes, we will pay you 2 million VND per month.”

Thinking for no more than 60 seconds, I agreed. I lent Duong money to buy a house. I think I did all this money lending to people because I was young then, had an easy character, and made such quick and easy decisions. Later, I asked myself many times, would it have been so easy to lend him money if I was more mature? Would I have lent him money for his wedding when he only worked for me for over one month? Or would it have been easy to lend him money to buy a house?

And then I came home to talk to my wife. “Honey, Duong borrowed money to buy a house. Paying 2 million VND per month.”

“God, a wedding loan and now a home loan?”

“I agree, but he has been working for me for six months and is doing well, so I decided to help him.”

The office had grown tremendously, from four to over 30 people, and we also built two factories. Things developed, but finding the CEO (Executive Director) for the factory was not easy.

After many failed attempts, I called Duong. “Duong, I would like to talk to you. Do you want to be the factory Director? You’ve been working here in this small office for a long time now. If you stay here, it will be difficult for everyone after you to develop. Men should also move around a bit to gain experience. A factory Director would have their own car and a higher salary …”

After a few minutes, Duong replied, “I will go there, but with the condition that I have my friend Quan, who is head of the Assessment Department, accompany me.”

“Oh, okay, no problem.”

So, Duong went down to the factory to work as a director. The work was very good, the factory was successful, and the production was continuous.

Three years later …

During a celebration party, we discussed success with our partners when I suddenly said, “Duong, the company will lend you 30 percent of the needed funds to buy a high-class apartment. What do you think?”

“That’s great. I’ll go back and talk to my wife, and we’ll prepare the papers.”

We spent the next five years developing steadily, but by the eighth year, things went south. I was informed that the director didn’t work properly, and things were a mess.

Success was great, but winning all the time made people grow vulnerable. When something went wrong, people didn’t deal with it well. When it happened continuously, people tried to hide it. In fact, I think I was guilty of many things, especially regarding supervision. Being the CEO of the Group means creating job opportunities for others, but at the same time, I have to observe closely. By observing and managing, there is less risk for me as well as others.

Incidentally, we had a new director position available in another company of ours, which had been established for just three years. One day I invited Duong over for a drink. After a few glasses, I said to him, “I need someone for the position of Director in Saigon. Can you go and work there?”

“Haven’t you hired a CEO for this project already?”

“Not yet, and you would have a better salary!”

“I agree. I think there’s nothing that I can’t succeed at! By the way, could I ask the company to help provide confirmation for my relatives, so that I can send my children and wife to Australia? I would like for my children to study there.” Duong said.

“So, you’re settling down in Australia?”

“No, my wife is just taking our children to study there.”

I got the detailed internal report from the factory, and I couldn’t believe it!

“Are we really at a loss like this?” I asked.

“The warehouse must have overstated the data, sir!” Dung, the CFO, informed me. “I couldn’t sleep all night; how could this be?”

“Tomorrow, organize a meeting with Duong for me,” I told Dung.

“Yes,” he said.

“How could you write ‘peppercorn shells’ in for such heavy peppercorn?” I asked Duong. “You say you’re sorry, but the Company had to buy poor peppercorns, and the seller delivered bad quality. I’m at a loss! And you didn’t tell me. Why would you and the chief accountant report and record large profits, divide the rewards, and pay large amounts of corporate income tax? Writing flat peppercorn into heavy peppercorn makes a difference of tens of billions!”

Duong was silent!

“What happened, Duong?”

He was still quiet … “I’m sorry,” he said quietly.

“Correct the records, and let me know the exact number of the losses,” I told Dung, the CFO. “And reduce Duong’s salary by 30 percent!”

I still couldn’t find out the reason. Someone who had worked with me for 16 years … To cheat all the books of accounts, overstate inventory and take big bonuses when the company had a loss? I treated him well. What was my mistake?

“Can’t you see that you’ve made a big mistake?” My wife spoke up. “You give power to people simply on trust, but do not keep them in check. One day you will regret that!”

Humans are all the same; they are used to success, not failure.

If you monitor them closely, apart from the fact that you wouldn’t lose money, you also wouldn’t lose people. Businesses must have a strict monitoring system. The bigger it is, the more powerful the monitoring and control needs to be. You cannot only rely on trust.

A heavy atmosphere enveloped the entire system and factory, as Duong had worked there for a long time and was familiar with everyone. Most of the staff looked at me with pity, but some people defended Duong. There is a saying I’ve heard: “No matter how well you do, there will be critics, and no matter how much you do wrong, there will always be supporters.”

After a few months, Duong left the company. He quit his job and moved to Australia to settle down. I later read a letter from Duong when he quit, saying that I had enticed him to Saigon to be the Director and let all the staff know about how he forged inventory figures, causing him to fail at the new company.

Looking back on the incident, I was deeply saddened. Sixteen years of work, and now the outcome is this? Didn’t I know I was losing too much?

“Mr. Minh, I can’t believe it! Mr. Duong is suing us.” The Human Resources Director, Linh, rushed into my room.

“What’s wrong?”