VOIInvestmentStrategySpring2016

Vietnam Oregon Initiative (VOI): Investment
Strategy Spring 2016
A report by:
Jesse Donner, Megan Falcone, Rebecca Hanes,
Jacob Culver, Huy Huyen
VOI - “Go Together”
- Vietnamese cùng nhau
Vietnam Oregon Initiative Investment Strategy Spring 2016 1

Table of Contents
Part I: The Vietnam-Oregon Initiative - VOI
Five Pillars
Our Coalition
Vietnam Players (Three Prongs)
Oregon/U.S. Players (Three Levels)
Geographic Footprint
Highlights of VOI Accomplishments To Date
Part II: Competitive Advantage
First Mover Advantage
Strong and growing coalition of government, business, and external
partners
High Value Stakeholders
Economic Context
Part III: VOI - Moving Forward
From Initiative to Institute
Developing and Expanding Innovation Labs
Expanding Provincial Partner Impacts
Risk Mitigation
Cultural Context
Sustainability Assessment
Potential Funding
Appendix:
Vertical Logic for VOI Three-Year Plan
Gantt and Responsibility Charts
Indicators
Risk Mitigation Chart
Program Organization Chart
Stakeholder Analysis
SWOT
Letter of Support from Governor Kate Brown
Graphics

Part I: Vietnam-Oregon Initiative -VOI
The Vietnam-Oregon Initiative is a collaborative network founded to foster and deepen partnerships
between Vietnamese and Oregon entities spanning the government, academic, business, and military
sectors.
Our Mission:
The mission of Vietnam Oregon Initiative is to create new synergies that can leverage the existing diverse
relationships across government, business, and academic sectors between the State of Oregon and
Vietnam for mutual trust and deepened partnerships.
Our Values:
The values of Mark O. Hatfield, what we call the "Hatfield Way", will drive the conception and operation
of VOI. Senator Hatfield was moved to life in public service by his initial visit to Hai Phong harbor
immediately following World War II. The Hatfield Way includes the following core values:
● Do what is right in interaction with diverse others;
● Be fair and promote social justice;
● Allow space for the voice of underrepresented humans and natural resources;
● Participate in the formation of innovative institutions in service of the common goods;
● Be mindful of, and balance, competing public values; and
● Resolve conflicts and aggression peacefully.
These values are compatible with many of the core values of Vietnamese society. One additional value
that VOI will embrace, grounded in our experience with successful cross-cultural partnerships, is that
working together should be serious in nature and also involve enjoyment of the human spirit-what we call
"serious fun".
Source: Vietnam-Oregon Intiative, http://www.pdx.edu/vietnam-oregon-initiative/

Five Pillars:
● Public Leadership and Management Development
● Business Development
● Education and Training
● Urban Planning and Development
● Emergency and Disaster Management
Public Leadership and Management Development: Vietnam-Oregon Influence is the
“Backbone” of the Oregon-Vietnam Relations. The U.S. Embassy facilitated the Vietnam Ministry of
Foreign Affairs and State of Oregon signing a Letter of Intent in October 2015. In the letter, Vietnam and
Oregon committed to political exchange in four key areas: Business, Trade & Investment; Education &
Training, Agriculture, Urban Planning & Environment, and Tourism & People-to-People Exchange.
Objective: To promote the exchange of delegations from both sides to enhance and deepen mutual
understanding and provide opportunities to discuss cooperation in various areas of mutual concern.
Business Development: Because of VOI’s many relationships and specialization of knowledge in
business processes in Vietnam, we are uniquely suited to facilitate business flows between Oregon and
Vietnam. VOI will be the portal bridging supply and demand.
Objective 1: To promote information exchanges and contacts between businesses and other commercial
organizations with presence in Viet Nam and the State of Oregon to proactively pursue and engage with
each other, especially in the industries of agriculture, athletic apparel, and advanced technology
production.
Objective 2: To explore opportunities for businesses and learning institutions to invest in training and
professional development necessary to compete in an open and global economy.
Objective 3: To foster tourism and people to people exchange.

Education and Training
Objective 1: To explore opportunities to promote student, professional and academic exchanges between
Vietnam and the State of Oregon.
Objective 2: To explore opportunities for partnerships in curriculum innovation, teacher training and
institutional governance among higher education institutions with presence in Viet Nam and the State of
Oregon
Objective 3: To explore opportunities for strengthening foreign language training programs for students,
professionals, and all who seek to develop a greater understanding of American and Vietnamese culture.
Objective 4: To explore opportunities for leadership and management training for public officials
co-organized by Oregon and Vietnamese institutions.
Urban Planning and Development
Objective: To promote dialogue and contacts exchanges for sharing views and experience in agriculture
development, urban planning, protecting the environment, climate change adaptation, clean energy
development and sustainable natural resources
Emergency and Disaster Management
Objective 1: To promote stronger military and disaster relief training and partnerships between the
Oregon National Guard and the Vietnamese central government and provinces.
Objective 2: To develop disaster management and preparedness training.
Objective 3: To develop a back door into military relationships.
Objective 4: To provide humanitarian assistance through two-way exchanges of delegations.
____________________________________________________________________________
Sources:
Letter of Intent for Strengthening of Relations between the Ministry of Foreign Affairs for the Socialist Republic
of Viet Nam, and The State of Oregon, The United States of America: signed by Governor Kate Brown and
Nguyen Ba Hung.
Vietnam-Oregon Initiative (VOI): Backbone and 4 Key Planks, Developed by Dr. Erin Flynn of Portland State
University and Dr. Marcus Ingle at the Center for Public Service. (Revised on April 7, 2016).

Our Coalition:
Vietnam Players (Three Prongs)
Prong 1: National Level State Players
Prong 2: Primary Urban Centers
Prong 3: VOI Provinces
VOI has strong relationships with a multitude of national level state players in Vietnam including, the
Ministry of Foreign Affairs (MOFA), the Ministry of Construction (MOC), the Ministry of Education and
Training (MOET), the Ministry of Home Affairs, (MOHA), as well as partners within the National
Assembly (NA) of the Vietnam government.
Oregon/U.S. Players (Three Levels)
Level 1: Federal Government
Level 2: State of Oregon Government
Level 3: Portland State University in Vietnam
VOI’s three levels of U.S. players comprise Federal agencies, including the U.S. State Department in
Vietnam and the USAID Mission, Oregon State executive government and State of Oregon Guard. And
education contingents led by Portland State University (PSU), and the Center for Public Service (CPS)
who will act as the “facilitator of VOI.”
________________________________________________
Source: Decision issues for CPS, April 22, 2016, Dr. Marcus Ingle

Geographic Footprint: VOI’s geographic footprint is currently a urban and regional base including
the largest urban centers in the country as well as five provincial level partners. We see our footprint
increasing in the coming years are more provincial centers and institutions come on board.
Prong 2: Primary Urban centers
○ Hanoi
○ Ho Chi Minh City
○ Danang
Prong 3: VOI Provinces
○ Vinh Phuc
○ Quang Nam – MOU
○ Binh Duong
○ Ha Tinh
○ Hoa Binh
Graphics: Grace Stainbeck, PSU

Highlights of VOI Accomplishments To Date:
October 2015 Letter of Intent: As noted above, on October 19, 2015, Governor Kate Brown of Oregon
and the Director of the General of the Americas Department of the Ministry of Foreign Affairs for
Vietnam, Mr. Nguyen Ba Hung, signed a Letter of Intent to increase cooperation between the State of
Oregon and Vietnam in the following areas: political; business, trade and investment; education and
training; agriculture, urban planning and environment; and tourism and people-to-people exchange. This
is the first letter of intent to be signed between a state and country. In the letter of intent, the
Vietnam-Oregon Initiative, as part of PSU’s Center for Public Service, was identified as the organization
that would facilitate this increased cooperation.
Professional Trainings: Over 70 Vietnamese Communist Party officials have participated in VOI’s
Program 165, an intensive 2-week political leadership training in Portland Oregon, and Washington D.C.
Cumulatively the Vietnam-Oregon Initiative and Portland State University have facilitated the training of
over 200 Party members, and reached over 2,000 professionals and students, through other successful
programs and partnerships in Vietnam.
Urban Innovation Lab: Capitalizing on the official launch of the Vietnam-Oregon Initiative (VOI), and
its support from the State of Oregon and the Ministry of Foreign Affairs, VOI has initiated an “Urban
Innovation Lab”, based in Hanoi, Vietnam. This Lab, co-produced by UN-HABITAT Vietnam, the
Ministry of Construction (MOC)/Academy of Management for Construction and Cities (AMC), and the
PSU College of Urban and Public Affairs will be a place where urban innovators in Vietnam can come to
explore and do generative learning about cutting edge practices in urban planning, design and governance.
This Lab is both a physical space, as well as a personal and virtual platform for collaboration and action
towards more sustainable urban growth and development in Vietnam.
Presidential Recognition: May 25th 2016 - Office of the Press Secretary; The White House: President
Barack Obama after his monumental visit to Vietnam recognized Portland State University for its
partnership with USAID and other academic and business institutions for The BUILD-IT Alliance, which
leverages government, industry, and academic partners in the U.S. and Vietnam to link science,
technology, engineering, and math (STEM) instruction in Vietnamese universities with the needs and
capabilities of industry partners. VOI as PSU’s facilitator for Vietnam partnerships and projects is
dedicated to increase the university’s presence and impact in programs like the BUILD-IT Alliance.

Part II: VOI - Competitive Advantage:
First Mover Advantage: VOI currently holds a First Mover Advantage and is well positioned to to
leverage its unique political influence in Vietnam and Oregon through its key relationships in business
and trade as well as its institutional resources in education exchange. Vietnam is primed for investment
and partnership development through five pillars.
Strong and Growing Coalition of Government, Business, and External Partners:
VOI has a range of sponsors and stakeholders in Vietnam and Oregon. Most specifically VOI has strong
support from many high ranking National Assembly Leaders and Ministry heads including but not limited
to the Ministry of Foreign Affairs (MOFA), and the five provincial partner communities and their
respective Chairmen. On the Oregon side, VOI enjoys strong commitment from not only PSU and CPS
but from the State of Oregon both in the Executive and the Legislature. Our stakeholder list is extensive
and includes people and organizations from both Vietnam and Oregon in the sectors of Academia,
Federal/Nation government, local/provincial government, as well as a variety of parties from within the
business and other interested parties. A full stakeholder analysis is available upon request.
Economic Context: From the World Bank Vietnam 2035 plan: Vietnam “now aspires to modernity,
industrialization, and a higher quality of life.” Government owned enterprises are transitioning to open
marketplaces. Real GDP growth since 1990 has only been second to China. With the adoption of the TPP,
Vietnam is poised to reap double digit GDP gains over the next decade, in addition to its normal growth.
However, in order to sustain this rapid growth, Vietnam is in great need of gains in productivity
(especially via capital investments) and innovation, both of which VOI partners are primed to offer. Some
key areas are Vietnam’s drive to urbanization, increasing demand for higher education and skills training,
and a strong will towards environmental sustainability. These offer key opportunities for urban planning
and sustainable development expertise, and educational exchange.
Furthermore, Vietnam has already come out ahead “over other emerging market competitors” by
leveraging its Global Value Chain (GVC) participation. Looking to further exploit this advantage,
Vietnam sees a critical need to relax onerous “foreign ownership restrictions in strategic services such as
banking, telecommunications, media, electricity transmission and distribution, road freight, rail transport,
air transport, and port operations” as well as to move forward with investment and trade friendly legal
reforms. Vietnam is currently the 7th largest importer of Oregon goods.

Part III: - VOI - Moving Forward
From Initiative to Institute: VOI is currently an initiative located within the Center for Public
Service (CPS) at Portland State University. As an initiative, VOI lacks dedicated staff or funding. The
team that supports VOI within CPS devotes time to the initiative in addition to their other responsibilities.
In order to convert VOI from an initiative to an institute, VOI will need dedicated staff and funding. The
vision of this transition is for the Vietnam-Oregon Institute to be housed within PSU’s College of Urban
and Public Affairs (CUPA), with dedicated Program Managers in both Oregon and Vietnam. The Institute
will serve as an “intellectual hub” around the five strategic pillars and will support faculty research and
student projects across a variety of disciplines. In addition, the VOI will continue to facilitate student and
visiting scholar exchanges. CUPA will provide oversight for the Institute’s activities and resources and
will engage faculty, staff, and students from multiple schools and departments including Public
Administration, Urban Studies and Planning and Economics. Although housed within CUPA, the Institute
will serve the whole PSU campus: other Schools Colleges on campus that may also be involved include
the School of Business Administration (SBA) and the Maseeh College of Engineering and Computer
Science (MCECS). The Institute will invest in individuals and programs that will strengthen its network
of relationships between Vietnam and Oregon.
Developing and Expanding Innovation Labs: Moving forward, VOI and our partners in
Vietnam intend to increase capacity of the Hanoi Innovation Lab and intend to establish additional
regional “Mini-Labs” at provincial and local levels. These labs will continue the mission to integrate PSU
faculty and student with Vietnamese innovators, to create a web based “Urban spaces” sharing platform,
and develop community engagement toolkits for local economic development, watershed and flood
management, regional coordination and implementation, among other urban designs and strategies.
Expanding Provincial Partner Impacts: VOI is making rapid movement to expand our
relationships and impacts with our regional partners. Vinh Phuc has recently sent a draft plan to expand
VOI’s services to including receiving interns from PSU, sending professionals to PSU, and organizing
training workshops for public officials.
Risk Mitigation: As the VOI strategy is implemented, it is important to identify and monitor risks
that may interfere with implementation. A chart that lists these risks along with their likelihood and
proposed mitigation measures can be found in the appendix.
Cultural Context: There may be specific cultural challenges, or opportunities to business and
government relationships in Vietnam.
In general, Vietnamese people prefer to meet prospective business partners face to face. The culture of
skyping and emaling is less dependent. The highest position person in a room has the most influence in
decision making, and deference is given to them even if others may disagree. Business relationships in
Vietnam are relatively formal and tend to take time to develop but once decisions are made

implementation can occur rapidly. The idea of saving face is another important concept in Vietnamese
culture and actions causing loss of face especially in meeting or in the open can severely hurt relationship
and agreements. In negotiation, if there is any disagreement, Vietnamese counterparts may keep silent in
order not to lose face. People should standing with your hands on hips or using finger to point, instead of
use of the whole hand is more culturally acceptable.
Provincially, Binh Duong (Southern Vietnam) is more modern and more similar to Western countries in
their relaxed attitudes. Quang Nam and Ha Tinh people (Central Vietnam) are generally always, honest,
calm and quiet yet they work hard and can be expected to follow up on what they say. Hoa Binh and Vinh
Phuc people ( Northern Vietnam) are more political and realistic. The tension between North and South
Vietnam represents a key challenge and opportunity for VOI.
Sustainability Assessment: VOI lacks several key elements for sustainable operations. Most
glaring is the aforementioned lack of both an ongoing external source of funding, and perhaps more
critically, internal revenue generation from VOI projects. While VOI has a variety of potential funders
and lucrative projects with a high potential return on investment, it is in immediate need of initial funding
to begin project development and execution, as well as dependable ongoing funding to cover a baseline of
organizational overhead.
The second most critical action needed for VOI to become sustainable is to adopt a formal structure with
designated roles, lines of communication, and dedicated management. Management in particular is the
area most in need of full-time staffing, both in Oregon and in Vietnam. Without this overhaul, VOI would
be in danger of fracturing into its component projects, as well as wasting resources and opportunities due
to an ad hoc structure.
Third, the circumstances that have led to VOI’s great opportunities and advantages -- namely the political
support of both Oregon and Vietnam leadership -- is also a potential liability depending on an ever
shifting political context, which itself may depend on national and global factors. VOI should focus on
building redundant layers of political connections, and hedging against shifts in the political context. This
can take the form of: bipartisan efforts; ensuring all political stakeholders (both current and potential) are
kept constantly apprised of the benefits VOI is generating for them, perhaps via a periodic report;
grassroots support from the communities VOI is engaged with; continuing to pursue a multi-level
(Federal, State, Provincial, and City) approach; and in general, making itself an indispensably valuable
asset to all stakeholders involved.

Potential Funding Sources:
State of Oregon: A recurring line-item in the State of Oregon’s budget would support VOI in its role
as the facilitator of the cooperative relationships outlined in the Letter of Intent signed by Governor Kate
Brown and Mr. Nguyen Ba Hung, the Director of the General of the Americas Department of the Ministry
of Foreign Affairs for Vietnam.
Vietnam Ministries: Both the Ministry of Construction and the Ministry of Foreign Affairs have
expressed keen interest in possibly matching funds with Oregon. Also, payments-in-kind -- through
facilities, staff or housing -- would be a natural contribution to VOI efforts.
Workshops, Trainings, and Seminars: The pricing for workshops, trainings, and seminars given
by VOI should be set at a level that will allow for the generation of sustainable revenue to fund VOI’s
activities.
Curriculum Development: VOI and PSU have established relationships with a number of higher
education institutions in Vietnam. If current or future partner institutions are interested in establishing or
expanding curriculum in an area where PSU has expertise, VOI could assist with curriculum development
for a modest consultant’s fee.
Percentage of Profit for Facilitation of Business Partnerships and Licensing: With its
extensive existing network of relationships, VOI is uniquely positioned to facilitate business partnerships
between Vietnamese and Oregon businesses. VOI’s network of well-established and trusted relationships
can help to streamline the Vietnamese business licensing process for Oregon businesses, which may
otherwise be difficult to navigate. In exchange for such facilitation, VOI may consider negotiating with
the businesses who use VOI’s facilitation services to receive a small percentage (perhaps 1 - 3%) of the
business’s profits for an agreed-upon period of time once established. This profit percentage will create a
sustainable source of revenue to contribute to VOI’s overhead costs.

Appendix:
This Appendix includes tools and resources to assist VOI in implementing a three-year plan.
Vertical Logic for VOI Three-Year Plan: The chart below shows the activities, outputs,
purpose, and goals for VOI through the year 2020. The assumptions listed are conditions that must be met
in order to move vertically from activities to outputs, outputs to purpose, and purpose to goals. The VOI
Goals and Purpose are taken from the Vietnam-Oregon Initiative (VOI) Objective Tree (2 March 2016,
PSU Center for Public Service).

Responsibility and Gantt Charts: The Gantt bar chart and responsibility charts for VOI’s
three-year plan are found on the next three pages. The Gantt bar chart shows the suggested schedule of
activities over the next three years of VOI implementation. The Responsibility Chart lists the
responsibilities of each group of stakeholders in carrying out the activities.

Indicators:The Objectively Verifiable Indicators listed in the chart below suggest achievement of the
objectives at the output, goal, and purpose levels. These indicators can be used for program monitoring
and evaluation. The BOSS (Beginning of Sustainability Status) indicators at the purpose level
demonstrate program sustainability beyond the initial investment period.
Narrative Summary of
Objectives
Objectively Verifiable
Indicators
Means of Verification
Goal
By 2020, Vietnam and Oregon
are recognized (in the U.S,
Vietnam, and internationally) as
having a robust and expanding
partnership that is visibly
contributing to a thriving and
resilient Oregon and to
Vietnam’s prosperity, creativity,
equity and democracy.
1. 40% of companies
participating in VOI show
increased profit attributable to
VOI within 3 years
2. Number of activities and/or
participants in each of the five
pillars grows by 15% each year
3. VOI activities receive
positive publicity from media
and political leaders in U.S.,
Vietnam, and internationally on
an ongoing basis (at least once
every two months)
1. Survey records from survey
of VOI participants
2. Records of activities,
participants in VOI Google
Drive
3. Record of publicity received
in VOI Google Drive
Purpose
By 2017, Vietnam and Oregon
are realizing increasingly
profound mutual achievements
in select provinces and at the
national level based on a solid
foundation of authentic
friendship, values alignment and
deepening trust.
BOSS (Beginning of
Sustainability Status)
Indicators
1. Funding secured to retain 2.0
FTE Program Managers for at
least three years
2. Revenue generation from
workshops, etc. accounts for at
least 10% of VOI’s budget by
the end of 2017
1. VOI budget documents
2. VOI budget documents
Outputs
1. VOI hires dedicated Program
Managers in Vietnam and
Oregon
2. Activities corresponding to
the five pillar areas have
commenced
1. Program Managers hired
2. At least one planned VOI
activity carried out in each of
five pillar areas by 2017
1. VOI HR records
2. VOI Google Drive, Annual
Report

Risk Mitigation Chart: This chart lists the risks to VOI implementation along with their likelihood
and proposed mitigation measures.
Project Risks Assessment of
Likelihood of
Non-Occurrence
Proposed Measures to Mitigate the
Risks before or during
Implementation
Key stakeholders at PSU remain
engaged in VOI vision
5 - 10% Other projects might be more
appealing. There is no funding yet, so
any engagement to this project is
voluntary
New workshop pricing is effective in
providing sustainable funding
25%
Political climate is amenable to
investment of resources at PSU and
in Oregon and Vietnam. Some
funding proposals are granted, and
funding is sufficient to support a
dedicated Program Manager and to
initiate activities in the five pillar
areas.
5 - 25% Continual promotion at PSU of the new
partnership will be beneficial.
Sustainable funding may be difficult to
initiate until reliable outputs are
generated
Stakeholders in Oregon and Vietnam
remain amenable to cooperation
5 - 10% Open communication and transparency
in VOI are key for stakeholders to feel
their needs are being met
Activities in each pillar area are
effective in strengthening
relationships between Oregon and
Vietnam
20 - 30% Have contingency plans when projects
don’t go as planned
Provincial and national government
leaders in Vietnam support and
implement the VOI strategy. VOI’s
value is recognized in the National
Assembly.
5 - 10% Establish open communication and
transparency within framework.
Emphasize benefits of VOI to
Vietnamese economy
VOI’s value is recognized by Oregon
State Legislature. Oregon’s Governor
continues to support VOI.
5 - 10% Continued emphasis on building better
international relationships, emphasizing
benefits to Oregon’s economy
There is a parity of contribution to
VOI between Vietnam and Oregon
30 - 50% Promoting VOI strengths, encourage
businesses to participate, find new
ways to streamline activities to enhance
relationship

Program Organization Chart

Stakeholder Analysis: Note: Full Analysis Available Upon Request
A Stakeholder Analysis was completed based on interviews and existing documentation. The document is
exceptionally large with dozens of individual organizations, institutions, and individuals who all have
varying levels of interest and stakes in VOI. The stakeholder analysis is broken into two sections:
“Oregon” and “Vietnam.” Under each section are stakeholder sectors including: Academic, Business,
Government, Provincial Partners (for Vietnam), and Strategic Individual Partners. The analysis attempts
to answer the following questions: what is the organization or contact, what is the stakeholder’s interest or
involvement in VOI, what is their influence or power in decision making, what are their relevant
resources including financial, time, space and in-kind contributions, the desired deliverables of the
stakeholders from VOI, what is the potential benefits VOI has to offer to the stakeholders, and any
suggestions on managing the relationships. This comprehensive seen as a “working document” is
intended to help members of VOI to understand relationships, and where potential funding and cross over
resources may be found. It is also a repository for information is a very readable and contextual format.
S.W.O.T.
Strengths:
- The close relationship between VN and the US
our first mover and competitive advantages
- Vietnam is located in a very strategic location
economically and geopolitically,
- Oregon is geographically conducive to trade and
exchanges with SEA
- Efforts to create and sustain a set of
organizations and institutions to support
innovation
- High level of encouragement from stakeholders
- Political and institutional recognition of VOI
Weaknesses:
- Limited access to finance for enterprises
- Many agreements still need to be formalized
- Differences in working style
- Currently no designated FTEs for VOI
- VOI operations are very centralized and this
may lead to “founder's syndrome”
- Documents are not centralized and easily
accessible
Opportunities:
- Diversifying and upgrading the economy
- Potential development of 5 pillars
- VN is an emerging economic engine in SEA
Threats:
- Lack of existing or potential funders
- Shifting political climates and players

Letter of Support from Governor Kate Brown: The letter expresses Governor Brown’s
sincere appreciation to Portland State University and its many partners in Vietnam and Oregon, for
launching the Vietnam Oregon Initiative (VOI), as well as her desire to help facilitate future opportunities
to further strengthen the Partnership between Oregon and Vietnam.

Graphics
Credit: Grace Stainbeck, Portland State University

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