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Evaluating digital transformation preparedness among Vietnamese enterprises

Author

Listed:
  • Thuan Nguyen

    (Ho Chi Minh City Open University, Ho Chi Minh City, Vietnam)

  • Ly Thi Thao Dang

    (Ho Chi Minh City Open University, Ho Chi Minh City, Vietnam)

Abstract

Amid Vietnam’s ongoing digital transformation, this study evaluates the readiness of Vietnamese enterprises for comprehensive digital change, identifying a significant gap in their preparedness for Industry 4.0. The research employs a mixed-methods approach. Initially, in-depth interviews with 10 enterprise leaders uncover detailed perceptions regarding digital capacity and transformation management capabilities, aiming to provide nuanced qualitative insights into the specific challenges and opportunities faced during digital transformation. Following this, a survey of 352 enterprises quantitatively assesses their digital transformation maturity, focusing on digital and transformation management capabilities. The survey’s data analysis identifies trends and patterns across different sectors and enterprise sizes. Specifically, it reveals that Small and Medium-sized Enterprises (SMEs) in services are at an early stage of Digital Mastery, while those in manufacturing remain beginners; Private Large Enterprises (PLEs) are early-stage Digital Masters but lag behind Foreign-Invested Enterprises (FIEs). These findings, analyzed through established transformation management theories, highlight the need for targeted strategies to enhance digital readiness, foster innovation, and implement supportive policies to ensure sustainable growth and competitiveness in the digital era.

Suggested Citation

  • Thuan Nguyen & Ly Thi Thao Dang, 2025. "Evaluating digital transformation preparedness among Vietnamese enterprises," HO CHI MINH CITY OPEN UNIVERSITY JOURNAL OF SCIENCE - ECONOMICS AND BUSINESS ADMINISTRATION, HO CHI MINH CITY OPEN UNIVERSITY JOURNAL OF SCIENCE, HO CHI MINH CITY OPEN UNIVERSITY, vol. 15(3), pages 21-43.
    • Handle: RePEc:bjw:econen:v:15:y:2025:i:3:p:21-43
    DOI: 10.46223/HCMCOUJS.econ.en.15.3.3349.2025
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    References listed on IDEAS

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    More about this item

    Keywords

    digital capacity; digital maturity; digital transformation; foreign-invested enterprises; transformation management capability; private large enterprises; small and medium-sized enterprises; state-owned enterprises; Vietnam;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • E00 - Macroeconomics and Monetary Economics - - General - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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