At the 2022 Annual Business Review Conference of the Vietnam Rubber Group (VRG), Mr. Nguyen Tran Nghiem Vu, General Director of Ben Thanh Rubber Joint Stock Company, shared key strategies that have helped the company achieve steady and sustainable growth.
Focused and Diversified Growth Strategies
Table of Contents
Ben Thanh Rubber JSC specializes in manufacturing a variety of rubber-based products, including conveyor belts (63.3%), courroie belts (4%), technical rubber products (26%), and goods and services (6.7%).
To achieve consistent growth over the years, the company has pursued two complementary strategies:
-
Focused Growth Strategy: Concentrating all available resources and opportunities on strengthening existing products and markets to boost market share, revenue, and profitability.
-
Diversified Development Strategy: Investing in research and innovation to develop new products tailored to new customer segments and markets.
Three Core Solutions for Sustainable Development
To implement these long-term strategies effectively, Ben Thanh Rubber has adopted three core operational solutions that have proven effective in ensuring stability and efficiency.
1. Securing a Stable and Flexible Raw Material Supply
The company has taken proactive measures to stabilize input materials and ensure supply continuity. For foreign suppliers, Ben Thanh maintains one to five reliable partners for key materials such as synthetic rubber (SBR, NBR, EPDM), carbon black, and RPO oil.
By negotiating quantities six months in advance, the company has successfully prevented disruptions in supply and mitigated risks caused by market fluctuations.
2. Strengthening Partnerships and Expanding Market Reach
Ben Thanh Rubber has worked to deepen relationships with long-term clients while actively expanding its customer base in sectors such as cement, fertilizer, and mechanical engineering.
Participation in trade fairs, exhibitions, and trade promotion programs has helped the company enhance its market presence and grow its customer portfolio.
At the same time, the company’s technical rubber products have successfully penetrated foreign markets, demonstrating improved competitiveness and quality.
3. Product Diversification and R&D Innovation
The company continues to invest in product research and development (R&D) to diversify its product portfolio. Its technical rubber line has entered demanding markets such as Japan and the United States.
Ben Thanh has also successfully developed heat-resistant conveyor belts capable of withstanding temperatures up to 180°C, high impact, and widths over 2 meters.
Additionally, formula improvements have helped reduce production costs and curing times, thereby increasing efficiency and cost competitiveness.
Resilient Performance Through Global Challenges
Thanks to these well-planned strategies, Ben Thanh Rubber maintained uninterrupted raw material supplies even during the COVID-19 lockdowns and global trade restrictions. The company also minimized the impact of international conflicts and global price fluctuations.
Despite prolonged economic challenges that forced many enterprises to downsize or close, Ben Thanh Rubber continued to maintain stable operations and positive growth.
From 2018 to 2022, the company recorded impressive growth:
-
Conveyor belt production increased by 154%
-
Technical rubber output grew by 230%
-
Customer base expanded from 565 to 689 clients — an increase of 22% in market share.
These achievements reaffirm Ben Thanh Rubber’s resilience and commitment to sustainable development in Vietnam’s rubber industry.