the mini gas stove of an entrepreneur in his forties reaches more than 20 countries

At a forum held during the High-Quality Vietnamese Goods Fair organized by the Business Studies and Assistance Center (BSA) last weekend, Nguyễn Mạnh Dũng, CEO of VINA Kitchen Equipment Joint Stock Company, described the journey of his ‘brainchildren’ across thousands of miles to Japan’s notoriously demanding market.

NaMilux portable gas stoves, the company's main product, have won over markets in Japan, Europe, the United States, Taiwan, and other Asian countries for nearly 20 years. Last year, the company exported 700 thousand stoves. Namilux currently holds a 35% share of Japan's gas stove market. It exports 50% of its output, with the rest sold in Vietnam, where its market share reaches 70%.

Namilux's owner confirmed: “We have actually been in the domestic market since our earliest days, and NaMilux portable gas stoves now account for about 70% of the local market. Although exports are currently our strength, we never underestimate the domestic market.

The domestic market is a company's breath, breathing in rhythm with the business. Foreign markets are vast, but they do not breathe in step with us. For example, exchange rate fluctuations and the barriers some countries, such as Indonesia, erect to protect domestic production have created difficulties for companies' exports.

However, when we decided to return and develop the domestic market more strongly, we realized demand for portable gas stoves was declining. We are therefore focusing on investment and research into new double-burner models. We know that strong domestic expansion requires a definite roadmap. Even with experience and advantages, growth cannot happen simply because we want it. Without caution, the harm could outweigh the benefits.”

The brand journey

Having long sold gas stoves, Mr. Dũng said: “At that time, no one was making gas stoves, and I was one of the first to manufacture them in Vietnam.”

After traveling and visiting many factories, he decided to build a gas-stove factory in 1999. At the time, with little beyond business experience and a perfectionist spirit, Mr. Dũng and his partners experimented and researched extensively.

A fortunate encounter came in 2002, when Asahi Seisakusho, a major Japanese brand, visited markets in search of partners. Arriving in Vietnam, they saw Namilux products in a supermarket. At that time, they were merely examining the products to learn about them, because, as he put it: “Our products certainly did not meet the standards then.”

After repeated inquiries, in 2004 the Japanese company agreed to cooperate with Namilux.

‘Initially, we only did contract manufacturing. Gradually, they handed things over to us, which was both a challenge and an opportunity. We have worked with this company since 2004,’ Dũng said.

Namilux’s founder observed that Japanese partners are very careful and meticulous, with clear quality requirements and a strong spirit of sharing to create the best possible product. “Many friends of mine become discouraged working with the Japanese because they demand so much. But I think their demands are legitimate and necessary. Work with them for a long time and you will see how enthusiastically they share their knowledge,” Mr. Dũng said.

To be exported, products must not only meet strict international standards but also have strong aesthetic appeal.

‘Competition is no longer domestic; it is global. Our products must compete with those from countries such as China and Thailand, whose industrial development began before ours. We therefore must have a competitive advantage. Vietnamese labor is considered inexpensive, but low-cost labor is only one factor. To export, we must have safety certification. We need competitive prices, compliance with safety standards, and attractive designs,’ Namilux's general director said of current competition.

For a leader, fatigue is only temporary

– Have you ever wanted to give up?—a question put to Namilux’s owner.

“I am 61 years old. I get tired sometimes, but that fatigue is only temporary and short-lived. Then I have to find a solution. Once you are in the top position, you cannot talk about whether you are tired; even when you are tired, you still have to work,” Mr. Dũng replied.

Mr. Dũng has no intention of “passing the throne” to his children, but hopes to recruit talented people. “Every owner wants to find capable people to share the work with,” he said.

‘So many people have followed me for nearly 2 decades. My company has around 800 people, some of whom have been with us for 20 years. So before I retire, I must fulfill my responsibilities.

The second factor is customers. Our products are available in more than 1.000 stores. If the company closed, distributors would ask: if you quit, what will I do? Employees would ask the same: if you quit, what will I do?

The issue is not money, but work and everyone's passion,” the entrepreneur in his sixties reflected.

‘It was tiring, but we got through it. Even when I was tired, I thought that this was no longer just my personal responsibility,’ he concluded.