Three survival problems for businesses in a storm

This week, watching the pulse of the macro market, I see three fairly clear warning signals. For those of us running real businesses, their aftershocks will likely last through the end of next year.

Signal one: the question of capital

The room for credit supply is gradually narrowing. When deposit rates must stay high to attract funds, lending rates rise with them. That pressure lands directly on manufacturers and operating businesses.

Signal two: sentiment in the market for stored wealth

Recent turbulence in the gold, silver, and gemstone market has set off a wave of real concern. Holding gold is a deeply rooted habit among Vietnamese households, so when confidence wavers, panic selling or hurried restructuring of assets is hard to avoid.

Signal three: the trap of building foundations and the illusion of execution

In hard times, many business owners work diligently to rebuild their systems and take on things they have never done before. But even with hard work and finished output, the results may not be real. It consumes time that should have gone elsewhere. It is easy to fall into the trap of building a "lasting foundation" while forgetting a simple fact: cash is the blood of a business.

The consequences ahead

As households' stored wealth shrinks, consumer purchasing power drops noticeably. Customers tighten their spending and the market contracts.

For business owners, this year carries the risk of profit being squeezed out. Loan rates that were around 6.3% last year have crept above 8%. If rates pass 10%, a full year of hard work may only cover financing costs. For those who borrowed to buy assets at floating rates of 15 to 17%, the risk of losing everything is real.

Most dangerous of all, many companies are so busy changing models and building impressive new systems that they forget to generate revenue. However grand the vision and however good the system, if no cash flows in, the company falls before it has a chance to grow.

The response: steady, long-term, but pragmatic

In a storm, we need to shift toward defense and sustainable growth, without ever taking our eyes off cash flow.

• Build real digital assets. Create a content and data platform that carries core value. It anchors customers and gives the company independence. Do it intelligently, for example by using AI to optimize, rather than turning yourself into a laborer of your own system.
• Focus on proven value. Customers are increasingly cautious. The competitive edge now lies in real evidence of the value a company delivers. That is a layer of brand protection competitors cannot easily copy.
• Optimize budgets and let the short term feed the long term. Measure every advertising dollar strictly and test intelligently to find the touchpoints that convert. Build the long-term funnel while continuing to push sales and collect cash. Only with short-term cash flow can we sustain long-term ambition.

Do the basics right and keep heading in the right direction. With a team that holds a steady course, success is a matter of time. Consistency, resilience, sharpness, and decency will bring results.