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PROLOGUE
1. The necessity of research
Red river delta, which is the center of political, economic, cultural
and scientific technology of Vietnam has craft villages with hundreds
of years of development. These villages have become more and more
important and active in the process of socio-economic development
in localities, well implemented the policies of "agricultural
separation, but not country separation", poverty reduction, and
developing villages ’s economy fast and sustainably .... However, the
craft villages in the Red River Delta are still spontaneous,
fragmented and unsustainable. There are many weaknesses that need
to be overcome in terms of product, market, labor, technology and
capital. This situation has many causes which is the deepest is the
structure within the villages and the organizational model, which
commonly referred to as the village model, has many drawbacks.
To develop these villages, contribute to the socio-economic
development, it is necessary to restructure them as a sector of the
economy and to restructure themselves within their core. Analysis
from an economic perspective, the issue of restructuring can be
viewed from three angles: macroeconomics, medium economics and
microeconomics. In this thesis, craft villages restructuring is
considered from a medium economic perspective. In other words, to
change the structures of elements within the craft villages and the
relationships between them. All of the above is the source of the
author's idea of the topic selection: “Craft villages restructuring in
Red river delta in orientation for sustainable development.”
2. Literature reviews.
2.1. From the researches in Vietnam.
a. Studies related to restructuring:



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- PhD thesis "Restructuring organization of garment enterprises of
Vietnam Textile and Garment Group" by Ngo Thi Nguyet Nga.
- PhD thesis "Solutions to restructure capital of state-owned
enterprises in current conditions in Vietnam" by Doan Huong Quynh.
- Scientific research "Economic restructuring of the Central
Highlands in the direction of sustainable development" by Assoc
Prof. PhD. Bui Quang Tuan.
- Scientific research on "Restructuring key exports of Northeast
Vietnam" by Nguyen Tien Long.
- There are also some articles published in Vietnamese
newspapers and magazines.
b. Studies related to craft villages.
- PhD thesis "Development of craft villages in rural Vietnam in
the process of industrialization and modernization" by Tran Minh
Yen.
- PhD thesis "Craft village of Nam Dinh province in the process
of international economic integration" by Vu Ngoc Hoang.
- PhD thesis “Development of craft villages in exporting in
Hanoi," by Trinh Kim Lien.
- Scientific research "Solutions to develop craft villages in some
provinces in the Red River Delta" by Prof. PhD. Nguyen Tri Dinh.
c. Studies related to the consuming market of productions from
craft villages.
- PhD thesis "Marketing strategy for handicrafts of Vietnamese
craft villages to 2010" by Tran Doan Kim.
- PhD thesis “Developing craft villages and their enterprises to
promote the exporting of handicraft products in the context of
international economic integration” by Nguyen Huu Thang.



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- PhD thesis "Solutions to develop export market of Vietnamese
handicraft products" by Pham Nguyen Minh.
- Scientific research "Continuing to renovate policies and
solutions to promote the consumption of products from craft villages
in the North until 2010" by PhD. Tran Cong Sach.
- Scientific research "Developing market for the handicraft
industry in the Red River Delta in the present period" by Dr. Tran
Van Chu.
d. Studies related to sustainable development.
- PhD thesis "Trade sustainability in Thai Nguyen province" by
Duong Thi Tinh.
- PhD thesis "Sustainable development of craft villages in the
northern key economic region" by Bach Thi Lan Anh.
- Scientific research "A number of policies for sustainable
development of craft villages in Vietnam" by Dinh Xuan Nghiem.
2.2. From the researches in other countries
- Report of One Village One Product of Professional Morihiko
Hiramatsu – Chairman of OVOP Association of Japan.
- “Policy and Practical Measures to Promote Occupational
Villages in Ethiopia” By Mr. Yared Awgichew, Agriculture
Technology Transfer Expert, Ethiopia international workshop on
application of science & technology for occupational villages
development, August 2010; Organized by Centre for Science &
Technology of the Non-Aligned and Other Developing Countries
(NAM S&T Centre).
- One village one product - Rural development strategy in Asian:
The case of OTOP in Thailand, issued by Kaoru NATSUDA, Kunio

IGUSA, Ritsumeikan Asia Pacific University, Japan; Aree


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Wiboonpongse

Chiang

Mai

University,

Thailand;

Aree

Cheamuangphan, Sombat Shingkharat Maejo University, Thailand;
John Thoburn University of East Anglia, UK.
- An Artisan Heritage Crafts Village: Indigenous Sustainability of
Raghurajpur, issued by Rohit Kumar MBS School of Planning and
Architecture in International Conference on Recent Advances in
“Civil Engineering, Architecture and Environmental Engineering for
Sustainable Development
- One Village One Product (OVOP) –Regional Sustainable
Development in Kenya, issued by Oscar O. Ohaya, George Misigah,
Caroline Kinyanjui in International Journal of Science and Research
2.3. An overview of the researches
Through research and study of the projects in and outside the
country, it can be confirmed that the above research works are related
and contribute in certain aspects to the topic of this thesis. However,

there is no work to directly study the issue of restructuring craft
villages in orientation for sustainable development. Therefore, a
series of theoretical and practical issues related to restructuring craft
villages in orientation for sustainable development are needed to be
studied and solved.
3. Research purpose and mission
3.1. Research purpose
Select and organize into the theoretical basis the restructuring
craft villages in Orientation for sustainable development; Analyze the
current situation and propose solutions to restructure the craft
villages in orientation for sustainable development.
3.2. Research mission


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Revise the theoretical foundations as the basis for shaping the
argument for restructuring craft villages in orientation for sustainable
development. Analyze and assess the current situation of
restructuring craft villages in the Red River Delta in the direction of
sustainable development in the period 2011-2016. Propose solutions
to restructure the craft villages in the Red River Delta in orientation
for sustainable development until 2025 with a vision to 2030.
4. The object and scope of the research
4.1. Research object:
The thesis focuses on studying the problem of restructuring craft
villages in the Red river delta in orientation for sustainable
development from a medium economic perspective, that is changing
the structures of internal elements of the villages and relationships
between them.
4.2. Research scope

Focus on provinces and cities in Red river delta with data from
2011-2016. Proposed solutions for the period up to 2025, vision to
2030.
5. Research method
The thesis uses research methods as: dialectic materialism and
historical materialism, statistics, analysis of secondary documents;
expert, survey and analyze data.
6. New contributions of the thesis
6.1. In theorical perspective
Revise theories, then form the basis to analyze and introduce a
model of restructuring in orientation for sustainable development.
6.2. In practical perspective


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Propose solutions to restructure the craft villages in the Red River
Delta in orientation for sustainable development until 2025 with a
vision to 2030.
7. The composition of the thesis
Apart from the introduction, the overview of the research
situation, reference materials, appendices, conclusions, and the thesis
consists of 03 chapters.
CHAPTER 1:
THEORY OF RESTRUCTURING OF CRAFTS VILLAGES IN
ORIENTATION FOR SUSTAINABLE DEVELOPMENT.

1.1. Concept and role of craft villages
1.1.1. Concepts
a. Concept of craft villages.
From the concepts of craft villages, the author defines craft

villages as follows: "craft village includes enterprises, cooperatives,
individual household businesses (collectively referred to as
production establishments) specialized in producing and trading one
or several products of the same profession in a village or a
commune".
b. Concept of craft villages restructuring
There are a number of restructuring concepts are used in
Vietnamese formal documents. Through analysis of craft villages and
restructuring, the author defines "Restructuring craft villages is the
process of organizing, rearranging the internal elements of craft
villages, choosing the right business model according to the principle
of optimize comparative advantages and optimize the use of current
resources to produce products that meet the market requirements,
improve the income of employees and the competitiveness.


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c. Concept of craft profession: Currently, there are many ways to
divide the craft profession of many authors, some authors divide the
crafts into 34 professions, the author divides into 14 occupations.
Follow me, base on the material, there are 6 groups of craft
including: Ceramic, Lacquer, Bamboo and rattan, crafts of wood,
stone, horn and other crafts.
d. Concept of sustainable development: Sustainable development
base on 3 main pillars, such as: economic, society and enviroment.
But, in convention on the Protection of Intangible Cultural Heritage
published in 2003, UNESCO stated that “tranditional craft profession
is one of type of Intangible Cultural Heritage”. So, Sustainable
development of craft village must base on 4 mains such as:
Sustainable of economic, culture, society and environment.

1.1.2. Roles of craft villages
- Contribute to create value added society, expand export.
- Contribute to economic development, economic restructuring
towards industrialization and modernization of agriculture and rural
areas. Ensure social security.
- To promote the development of tourism, preservation and
development of the national culture.
1.2. Restructuring of crafts villages in orientation for sustainable
development.
1.2.1. Target, object, requirement of restructuring
a. Target of restructuring: Formatting a new structure in order to
develop the craft villages in Red river delta in a sustainable way.
b. Object of restructuring: The crafts villages in Red river delta


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c. Requirement of restructuring: Set in the overall context of the
process of economic restructuring as well as sector and sector
restructuring
1.2.2. Content of restructuring crafts villages in orientation
for sustainable development
Structure of craft villages can be considered under 3 aspects
including: macro, medium and micro. From the perspective of
medium, Structure of craft villages shows the internal structure, ratio
and relationship between the components of the village craft,
include: product, market, human resources, and equipment
technology, capital and business model. In this thesis, PhD student
only consider under aspect of medium.
Sustainable development consists of three aspects: sustainable
environment, sustainable economics and sustainable social. With

craft villages, sustainable development must achieve four goals:
economic sustainability, cultural sustainability, social sustainability,
and environmental sustainability.
The relationship between these four objectives is modeled as
follows:
Social
Economics
Cultural

Environment

Sustainable
development
Craft village

The criteria for assessing sustainable development are stable
economic growth, progress in social equality, resources optimization
and improvement of living qualities.


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The craft village structure does not exist permanently, but always
changes depend on the subjective and objective conditions.
Restructuring the craft village is the change to move the structure
from one state to another based on the practical conditions of each
village from time to time, ensuring the stability and sustainability.
Therefore, the author defines "Restructuring craft villages in
orientation for sustainable development is the process of organizing,
arranging, changing the structuring of elements within the villages,
choosing the right business model , in accordance with the principle

of maximizing the comparative advantage and optimally utilizing the
existing resources to produce products that meet the requirements of
the market, helping villages to develop in a stable and long-term
manner on the basis of harmonious combination of economic
development, cultural preservation and development, social
development and environmental protection”.
1.2.2.1. Restructuring products
- Eliminate outdated, less competitive and not profitable products
and products
- Maintaining the production but improve and complete the form,
content and design of the products.
- Add new products to meet the market demand and development
trends of science and technology.
- Reposition the products in product structure of craft villages.
1.2.2.2. Restructure consumption market
- A suitable market structure, ensures the contribution to the
sustainable development of craft villages must meet the
requirements: Develop harmonically between the width and depth of
the market; Be able to break through in some new markets and


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products; Being able to proactively prevent risks and fluctuations of
the consumption market and be able to overcome the international
trade barriers.
- In order to restructure the consumption market to ensure the
sustainable development, firstly the traditional villages should
conduct quality market research and forecast.
- For export markets: craft villages should promote investment to
expand the current markets and keep finding and enter new ones.For the domestic market: craft villages need to make the most of the

distribution system of large corporations in order to put products into
circulation and actively participate in programs organized by
government organizations. Craft villages with advantages on tourism
should optimize it.
1.2.2.3. Restructuring the model of production and business
Look for investment from private sector and others economic
sectors to form and develop more enterprises. Adopt policies to
encourage, support and create conditions for individual household
businesses to switch to operate under the enterprise model.
1.2.2.4. Restructuring human resources
Review all current human resources, rearrange and restructure
human resources to match with the activates of craft villages from
time to time. The rewards, especially for the highly skilled
employees must be worth their contribution.
1.2.2.5. Restructure technology and equipment
The villages should apply selectively and focus on innovative
technology solutions. Only the key technologies and equipment for
production and business activities of craft villages should be adapted.


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Meanwhile the esoteric craftsmanship steps that make up the
traditional brand must be maintained.
1.2.2.6. Capital restructures
Craft villages should promote the mobilization of commercial
loans and capital from the financial market through the issuance of
shares. At the same time, make full use of funding from the State and
financial institutions through their craft villages targeted programs
and projects.
1.3. Factors affecting the restructure of craft villages towards

sustainable development
1.3.1. External factors
1.3.1.1. Laws and policies of the State
1.3.1.2. Level of economic and science technology development.
1.3.1.3. Globalization trends and international economic
integration.
1.3.1.4. Natural and social conditions.
1.3.2. Internal Factors
1.3.2.1. Develop and organize strategies.
1.3.2.2. internal capacity of the subjects in the village.
1.3.2.3. Craft tranditional of the village
1.4. Criteria for assessing craft village restructure in

orientation for sustainable development
1.4.1. Criteria for assessing the restructure of craft villages
towards sustainable economic development
a. Production values of craft villages
b. Number and size of enterprises and production establishments
in craft villages
c. The rate of increase of export turnover of handicrafts


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d. Density of production value of craft villages in total value of
local production.
1.4.2. Criteria for assessing the restructure of craft villages
towards sustainable social development
a. Increase the percentage of employed workers in total local
labor
b. Increase employment income

c. Protect traditional good values of the villages.
d. Protect, preserve and promote cultural values, works, and
historical relics of craft villages.
e. Train and employ artisans.
1.4.3. Criteria for assessing the restructure of craft villages
towards sustainable environment development
a. Indicators of environmental assessment at the permitted level.
b. Number of pollution cases in production decreased
c. The awareness of people and production bases on
environmental protection increased.
1.5. Experiences in restructuring craft villages in orientation for
sustainable development
1.5.1. Experiences from several countries
a. Experiences by China: China has been enforcing and imposing
many policies to develop the craft works, including: Taxes, borrowed
funds, export, demand stipulations, domestic products protection,
labors allocation, technology innovation and modern technology
application, development in craft villages together with tourism.
b. Experiences by Thailand: The Government launches the
campaign of “each village a product”. The campaign is built on three
main basis. The first one is to get local nature but to develop world-


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wide, the second is to promote self-reliance and creativity; the third
is to develop human resources. The goal of the campaign is to create
a single product for each locality to increase outer sales.
c. Experiences by Japan: Japan is one of the countries which
attach special importance to preserve and develop handicraft works.
The handicraft work is divided into two fields: material culture and

spiritual culture. In order to develop the craft villages, Japanese
Government has launched the campaign “each village a product”
with several solutions for products, markets, culture and human
resources.
1.5.2. Experience in transforming sustainable economic
structure of some countries
a. Experiences by Japan: Persevering economic development
strategy and transforming economic structure towards export.
Considering export is vital benefit, motivation for economic
development.
b. Experiences by Korea: Korea chooses model of economic
structure transforming towards industrialization and modelization.
Choosing structure of economic sector base on comparative
advantages of country. Transforming export and import structure
suitable for transforming economic structure. Choosing a market
structure of export and import flexibility.
c. Experiences by Thailand: Thailand implement economic
structure towards export. Implementing diversification of export
product structure.
d. Experiences by China: Transforming structure of economic
sectors towards basing on export. Changing structure of export
product, from crude products to high tech product, model tech


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products. Diversification export market to guaranteed export growth
fast and stability.
1.5.3. Lessons learned for restructuring craft villages in
orientation for sustainable development in Red River Delta
- For the Government and localities: Craft villages development

should be paid attention from the Government. The Government
should focus on training and fostering the human resources for the
villages, provide financial assistance and support for craft villages,
imposing favorable policies to expand market.
- For craft villages: Fully equipping with knowledge in business,
especially knowledge in production and marketing; Focusing on the
technology applications depending on characteristics of the work and
capability of craft villages; Investing into development of product
design; Associating craft villages development with craft villages
tourism development.
CHAPTER 2. REALITY IN RESTRUCTURING CRAFT
VILLAGES IN RED RIVER DELTA IN ORIENTATION FOR
SUSTAINABLE DEVELOPMENT, PERIOD 2011-2016
2.1 Overall about craft villages in Red River Delta
There are 1336 craft villages in Red River Delta (up 13.9%
compared to 2010, equals to 45% of the total number of craft villages
across the country) but the distribution of craft villages in the red
river delta is uneven between regions (Hanoi accounts for 61.22% of
the total number of craft villages in the Red River Delta) and
between professions (rattan and bamboo industry accounts for 42.3%
while the sector of gold inlaid makes up 0.37%).
2.2. Craft villages characteristics in Red River Delta
2.2.1. Strong attachment to agricultural production.


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2.2.2. Focused development.
2.2.3. Diversity in work fields and variety in categories.
2.2.4. Rapid change in organizing structures of the business.
2.2.5. Expansion in sources of materials and consumption

markets.
2.2.6. Plentiful but low level in human resource.
2.3. The structure changes of craft villages in Red River Delta,
period 2011-2016
2.3.1. Product: Products of craft villages are shifting in the
direction of increasing the proportion of new products, reducing the
proportion of traditional products. In 2016, the proportion of new
products increased by 4.2% compared to 2011. From the past, in
order to support craft villages to improve, develop and diversify
product models ,some provinces and cities in Red River Delta have
helped craft villages to hire consultants designing product samples
and organizing design competitions for handicraft product. In the
period of 2011-2016, only Hanoi and Nam Dinh Province had
provided support, but these supplements are far from enough.
2.3.2. Consumer market: Market of craft villages products has
shifted towards increasing the proportion of consumption value in
the domestic market while reducing the proportion of export value. If
in 2011 the proportion of the domestic market accounted for 45.83%,
by 2016 this rate had increased to 59.88% which indicates the
increasing size of the domestic market. Export market structure of
craft villages products in Red river delta had changed towards
increasing in two main markets, EU and US (with the increase of 7%
and 11.65% respectively in 2015 compared to 2011) but decreased
gradually in Japan and other markets (with the decrease of -7.6% and


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-11.05% of 2015 compared to 2011). This reflects the fact that craft
villages in Red river delta depend heavily on a number of major
markets, and are unlikely to exploit and expand into new markets

2.3.3. Business Model: Currently, individual business households
in craft villages still account for a large proportion while enterprises
and cooperatives account for a very small proportion. However, this
structure is changing in the direction of increasing the proportion of
enterprises while gradually reduce the proportion of individual
business households. Specifically, in 2011, out of 170,650 business
organizations in Red River Delta, the number of enterprises
accounted for 4.15% but by 2016 the proportion of businesses
increased to 5.31%. This restructuring has many causes, including
two main causes. Firstly, due to the requirements of the integration
process, production and business organizations are required to have
legal status. Secondly, after a period of operation, many individual
business households have grown to a larger scale and are eligible, so
they shift to operate under the enterprise model for higher operating
efficiency.
2.3.4. Human Resources: According to the statistics of the
Ministry of Agriculture and Rural Development in 2013, the total
number of employees working in craft villages in Red River Delta is
905,724 people. In which, unskilled laborers account for over 70%
and trained laborers account for less than 30% only.
The quality of labor through the skilled index: the average skilled
occupies 10%, the skilled is about 15%, artisans account for 2%. In
recent years, the human resource structure of craft villages in the Red
river delta has had many positive changes, such as the number of
qualified and trained workers has increased while unskilled labor has


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decreased; in 2016, 45% of skilled labor, 55% of unskilled labor.
Analysis from the job position shows that the rate of workers

accounts for 88.7%, officers account for only 11.3% of the total
number of employees. According to the survey data of 174
enterprises in craft villages production facilities in the Red river delta
in 2016 showed that the human resource structure of craft villages is
changing in the direction of decreasing the proportion of young labor
force and gradually increase the proportion of older laborers. This
seriously affects the quality and productivity of labor, adversely
affecting the development of craft villages
2.3.5. Capital sources: Capital sources structure of craft village in
Red river delta has changed, ratio of loans is increasing, ratio of
equity capital is reducing. In 2011, ratio of equity capital was 80% of
total capital, in 2016 this ratio reduced to 70%. Base on data of
Vietnam craft village Association in 2016, there are from 60% to
70% of total enterprises in craft village lacked of capital. Lacking of
capital is big obstacle for economic development, improve
environment in craft villages of Red river delta. There are about 80%
of enterprises in craft villages do not enough condition for loans.
2.3.6. Technology and equipment: Base on data of Hanoi
Handicraft village Association, in 2016 structure of technology and
equipment of Hanoi craft villages are changing towards using more
machines, using less handmade. In 2011, ratio of machine using of
Hanoi craft villages was 35%, in 2016 this ratio increased to 42%.
However, ratio is not evenly in craft profession, some craft
professions have ratio of handmade still high due to specific
characteristic of each craft profession (for example: bamboo and
rattan, embroidery…).


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According to survey data of ministry of Agriculture and Rural

development in 2013, ratio of machine using of craft villages in Red
river delta is 36%, lower than southeast (51%) and Northern
midlands and mountains (42,8%).
2.3. Situation of implementing the demand of sustainable
development with current structure.
2.3.1. About economy:
Craft villages in Red River Delta have not actually gained the
sustainable development in economics, which is illustrated by: The
instability in production growth value of craft villages. The business
number and scale stays low, export turnover is high in one year but
low in another year. The ratio of production value of craft villages, in
total value of local production, increases unevenly.
2.3.2. About society:
The rate of workmanship is gradually decreasing over time.
Average income of the handicraft labor is not stable and sustainable.
There has not been proper attention by different authorities in
restoring the work and heritage related to craft villages. Artisans in
handicraft field stay in a low number, and they have not received the
reasonable concern.
2.3.3. About environment:
Environmental pollution in craft villages is at an alarming rate.
2.4. General assessment in restructuring craft villages in Red
River Delta in orientation for sustainable development
2.4.1. Achievements:
The Government, localities in Red River Delta has imposed many
policies with the view to support, encourage and impact on changing


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the structure of craft villages in recent years towards new structures

which are more modern and suitable.
2.4.2. Drawbacks:
Although the structure of craft business has been being changed
towards a positive orientation, this structure still bears many
drawbacks in general and has not been optimized; thus has not had
such strong impact on bring the craft villages to sustainable
development.
2.4.3. Reasons
2.4.3.1. Subjective reasons:
The structure change is mainly spontaneous, passive, and timesensitive.
2.4.3.2. Objective reasons: The craft villages are characterized by
small, scattered, fragmented production industry.
CHAPTER 3: SOLUTIONS AND DIRECTIONS FOR
RESTRUCTURING THE CRAFT VILLAGES IN RED RIVER
DELTA IN ORIENTATION FOR SUSTAINABLE
DEVELOPMENT
3.1. Opportunities and challenges towards restructuring craft
villages in Red River Delta in orientation for sustainable
development in the near future
3.1.1. Opportunities: In the next 10-15 years, craft villages in
general and restructuring craft villages in particular will take place in
the context of the world economy continuing to develop in two
directions: Strong revolutionize in production force, and economic
globalization. Vietnam is deeper and deeper integration with world
economic, Vietnam has signed bilateral and multilateral new
generation trade agreement, that is good condition for craft village in


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Red river delta to expand export market; approaching new

technology and science.
3.1.2. Challenges: In the context of deeply international
integration, the competition will be more intense, there are bigger
gaps between the rich and the poor, scale and competing capacity of
craft villages remains in low level,…
3.2. Objectives, viewpoints, directions towards restructuring
craft villages in Red River Delta in orientation for sustainable
development
3.2.1. Objectives:
Successfully restructuring craft villages in Red River Delta in
order to 2025, formatting a new model craft villages develops
sustainable, increasing effective of competitiveness, guaranteeing
harmonically between the development of craft villages and cultural
development, assuring social security and environment protection.
3.2.2. Viewpoints towards restructuring craft villages in Red
River Delta in orientation for sustainable development:
Restructuring craft villages must be placed within the overall
restructuring of the economy, renewing growth model in orientation
for sustainable development, meeting the strategic requirements of
socio-economic development in the Red River Delta which has
already been approved by the Prime Minister.
3.2.3. Directions towards restructuring craft villages in Red
River Delta in orientation for sustainable development
3.2.3.1. About products.
3.2.3.2. About consumption markets.
3.2.3.3. About organization structures in business within craft
villages.


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3.2.3.4. About human resources.
3.2.3.5. About technology and equipment.
3.2.3.6. About financing.
3.3. Solutions for restructuring craft villages in Red River
Delta in orientation for sustainable development
3.3.1. Enhancing the awareness about requirement of
restructuring craft villages:
To restructure the craft villages in orientation for sustainable
development, localities and craft villages should enhance the
awareness about requirement of restructuring craft villages in
orientation for sustainable development.
3.3.2. Creative designing products to meet market’s
requirements
Organizing to research, survey into market demand and customer
taste. The craft villages should promote the development of new
product model, creative and suitable the market. Cooperating the
craft villages with design institutes and art schools. Investing into
building an innovative design center for handicraft products.
3.3.3. Expanding the consumption market, participating in
global supply chain
a. For domestic markets: Encouraging, connecting, supporting
and facilitating the craft villages to bring the products into domestic
distribution systems. Promoting the development of craft villages
together with tourism.
b. For export markets: Taking good advantages of the Trade
Agreements in which Vietnam has signed, bringing the craft village’s
products into global production and supply chain.


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3.3.4. Developing the highly qualified human resources in craft
villages:
Promoting the vocational training, providing adequate
remuneration to craft labor, especially skillful workers. Business
owners have to build self-study knowledge to enhance their
qualifications.
3.3.5. Developing strongly enterprises in craft villages:
Implementing the solutions synchronously to encourage and
support the establishment of enterprises in craft villages, especially
solutions on administrative procedures, reviewing and inspection,
taxation, etc.
3.3.6. Investing into renewing technology and equipment,
applying achievement of the 4th industrial revolution:
Encouraging and supporting the craft villages to invest into
renewing technology and equipment. Selecting the breakthrough
production steps, deciding on productivity and quality of products to
invest. Collaborating with researching institutes to incorporate
research results into production applications. Call for investment
from large enterprises besides the craft villages to renovate
technology and equipment. Select the best result of the 4 th industrial
revolution to apply in craft villages
3.3.7. Diversifying the capital for developing and restructuring
the craft villages:
Accomplishing the mechanism for craft villages to get access to
the credit sources and bank loan. Improving the effectiveness of
business production of craft villages, cleaning up the craft villages
financing. Encouraging foreign investors and investors of non-


23

government organizations to invest into development fields in
relation with craft villages.
3.3.8. Proposing the structure models for sustainable
development of craft villages
a. Model for craft villages with exporting advantage
b. Model for craft villages in combination with tourism
c. Model for other craft villages
3.4. Recommendations about conditions to implement
restructuring craft villages in Red River Delta in orientation for
sustainable development
3.4.1. For the Government and Central Ministries,
Departments:
Developing the organization, reforming the administrative
procedures, promoting the support to craft villages development.
3.4.2. For People's Committees of provinces and cities in Red
River Delta
With their roles, functions and responsibilities to support the craft
villages to develop on three aspects: encouragement, support and
instruction. Investing into rural infrastructure development,
enhancing the change in administrative system.
3.4.3. For Handicraft Organizations and Associations
Accomplishing the responsibilities to contribute to successfully
restructure the craft villages in orientation for sustainable
development. At the same time, enhancing the supervising and social
citizen towards problems in craft villages development.
CONCLUSION
Craft villages play an increasingly important role in the socioeconomic life of Red River Delta. However, there has not been a


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single research work about restructuring craft villages in orientation
for sustainable development. That is the reason why the author chose
the topic of doctoral thesis in economics “Restructuring craft villages
in Red River Delta in orientation for sustainable development”. The
researching results of this thesis will contribute to clarify and provide
some scientific theories to State management agencies, policy
planners, craft villages, associations and the residents about
restructuring craft villages in orientation for sustainable
development. The research topic is presented on the basis of
practicing the theoretical knowledge about restructuring, business
administration, commercial administration into analyzing the
collected documents and data related to activities of craft villages in
Red River Delta. Therefrom, the topic discusses and explains about
the basic matters within the research contents and points out
elementary solutions to restructure the craft villages in Red River
Delta in orientation for sustainable development in the coming
future. However, the gap between expectation and reality, goals and
outcomes, theory and practice is large or small, it much depends on
how to approach and manipulate the theoretical model into the
practical production and business activities which are always
changing these days. To some definite extents which match the
capability and professional qualification of the author, the topic has
party contribute to solve the proposed problems.



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