This preview shows page 111 - 113 out of 200 pages.
industry from economy, resulting in negative social and economic impacts. On theother hand, they have to tighten the requirements relating to the environmentbecause of a commitment to sustainable development, international pressures, andpublic discontent. While not intractable, these issues pose a considerable problemfor government.5.2 Corporate GovernanceCorporate governance in terms of environmental protection and environmentalmanagement in textile and garment SMEs in Vietnam is quite weak. None of thecompanies interviewed have any official rules and procedures requiring environ-mental compliance. They react to the environmental requirements from the gov-ernment and the customers on a case-by-case basis. They do not allocate annualbudget for environmental protection but use the contingency fund for environ-mental issues if needed. In many cases, environmental issues are not integrated inthe company’s policy or business strategy. If plans for environmental protectionexist, they only exist on paper and are not implemented unless requested by thecustomers.7Ho Chi Minh City People’s Committee released decision No.80/2002/QĐ-UB dated July 8th,2002 on the approval of the“Relocation of Polluted Enterprises to Industrial Zones Programme”.Following this decision, many textile companies were required to move out of residential areas andrelocate to industrial zones.104N.H. Nguyen et al.
The law requires the companies to develop annual plan about environmental protection, butimplementation is still different from what they planned.None of the companies interviewed had any staff members who were directly incharge of environmental management. Environmental issues are dealt by pur-chasing officers, administrative officers, or evenfinancial officers. These staffmembers are not provided with any training on environmental management.Although both the managers and staff are quite well aware of the importance ofcomplying with environmental requirements, they do not consider these issues to beimportant or a priority for their business.6 Conclusions and RecommendationsA general comment from the interviews and observations at textile and garmentSMEs in Vietnam is that these companies do not actively comply with environ-mental requirements. Arguably, while governance is an issue influencing SMEs’proactiveness and capacity in adapting to environmental requirements, the evidenceis weak. The influence that does exist comes from government legislation onenvironmental protection and the current local governance system.SMEs consider the current environmental requirements to be hard, infeasible,and unfair. However, if the requirements are from the customers, the companieswill put more effort into implementing them. Therefore, one of the most effectivepotential legislative tools is likely to be trade agreement. In other words, envi-ronmental requirements should be formulated on the basis of commercial reality.
As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.
Temple University Fox School of Business ‘17, Course Hero Intern
I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.
University of Pennsylvania ‘17, Course Hero Intern
The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.
Tulane University ‘16, Course Hero Intern
Stuck? We have tutors online 24/7 who can help you get unstuck.
Ask Expert Tutors
You can ask
You can ask
You can ask
(will expire )