The situation of innovative startups and the situation of intermediary organizations, startup incubation space in Da Nang

In this current digital era, the issue of innovative startups is gradually being paid attention to more than ever. In Da Nang, the city government also issued many policies to serve the goal of developing high-tech industry, building Da Nang to become a national innovation start-up center, a world-class creative – science, and technology urban area,  highly competitive. One of the key factors in supporting the innovation startup ecosystem is intermediary organizations and startup incubation space.

Danang innovation startup support center

Until May, 2022, in Da Nang, there are 03 startup supports, 06 incubators, 09 co-working spaces, 02 patent spaces, 10 clubs, and startup centers from universities, colleges, and unions in the city. In addition, the local government has also directly supported 17 projects with a budget of nearly VND 03 billion. However, according to Decision 45/QD-UBND on 07/01/2022 of the People's Committee of Da Nang city on the public announcement of the 2022 state budget balance of Da Nang city, the state budget for science and technology is still quite low, for development investment expenditure is 342,190 million VND (accounting for ~ 4.32% of the total development investment budget of the city),  for the recurrent expenditure of VND 52,958 million (accounting for ~ 0.75% of the city's total recurrent expenditure budget).

Local startup needs and the role of intermediary organizations, startup incubation space

According to the publications of the National Office of Intellectual Property on the portal, preliminary statistics on the number of patents / useful solutions issued to owners in Da Nang have changed greatly over recent years. In 2020, in Da Nang, there are only 02 diplomas, by 2021 it will increase to 03 diplomas, but only in the first 6 months of 2022, up to 06 diplomas have been issued and awarded to individuals and organizations. The above-mentioned degrees have a desire to be commercialized, bringing profits not only to the diploma holders but also to local socio-economic development. And it is that data that shows that the demand for innovative startups on the city table has increased sharply in recent years. In addition, the "most livable city in Vietnam" government also has nearly 20 policies to support individuals and organizations in the field of innovative startups. The demand for startups increases and the role of intermediary organizations, and startup incubation space is gradually affirmed.

Announcement of the National Office of Intellectual Property of Vietnam

Intermediary organizations and business incubation spaces, namely incubators, support centers or even organizations that help promote innovative start-ups, must be paid more attention to meet the start-up needs of the current market. This interest will help startup ideas and projects have a solid foundation, as a precursor, a springboard for development and boom in the future.

Lessons from countries around the world and experiences for Da Nang city

In Belgium, the state emphasizes the role of collective research institutions in key disciplines. Accordingly, Belgium is very focused on researching and developing products that are its strengths without spreading resources across all industries. Particularly in China, the state pays great attention to intermediary organizations through the development and training of human resources working for intermediary organizations, and at the same time, China also wants to increase the amount of funding for scientific and technological research, and innovative start-ups. For South Korea, the government focuses on developing financial institutions such as developing technology storm services, managing compensation in the field of science and technology,... and developing e-commerce trading platforms.

Korean innovation startup ecosystem

Thereby, the lesson is not only for Da Nang in particular but also for Vietnam in general. We should focus more on developing start-up incubation organizations in the fields and industries that are Vietnam's strengths. In addition, the attention to investment in development and capacity training for managers to create quality incubators and intermediaries, capable of incubating and promoting startups effectively. At the same time, the development of financial services creates a solid foundation for startup ideas and projects to develop. And finally, the interest in developing e-commerce platforms is a place to connect supply and demand in the science and technology market because after all, the efficiency of trading ideas and startup projects is the measure of the innovation startup ecosystem.

Le Van Kiet