Author(s): Vu Ngoc Bao, Tran Van Long
The model of Soviet organization was founding base on the popular belief of collective ownership. It was the only "planned" model of the Vietnamese economy before the "Doi m oi" (The definition from Stanford Research Institute, 1963). Government send input materials and buy output products. However, this model quickly revealed many defects, and were soon to lead Vietnam's economy to crisis. Therefore, the "Doi moi" movement was born. The State eliminated the subsidized economy, began to recognize a multi-sector economy, various forms of business organizations were born, and required specific laws to nurture each type of economy. Inter alia, the s tate-owned enterprise (SOE) has been set up as a mechanism for resources exploration such as land, minerals, or capital. SOE use state budget or borrow under government guarantee. State-owned enterprises step by step definition in regulation issue by Prime minister and then upgrade laws issue by Congress.