The next stage in the project was developing the acquired land. Shimizu recalls, "During land development, a number of trucks drive up and down a distance of 20 to 30 kilometers every day to transport large heaps of sand. We were extremely worried that the trucks might scatter the sand they carried, damage the roads due to overloading, or be involved in an traffic accident. Sumitomo Corporation has always made a point of complying with legal requirements and safety standards, but it wasn't always easy to get the Vietnamese construction companies to understand the importance of compliance to the same degree.
"We hired cleaners to sweep the sand scattered by the trucks, for which the local authorities were grateful. At nighttime, when the danger of accidents increased, we randomly checked whether safety standards were being met. Some of us even spent the whole night supervising."
The first section of TLIP was completed in 2000. Although the next step was selling the zones, the team members found themselves up against a great challenge. "I went back to Japan for sales of TLIP, but nobody was interested in an industrial park in Vietnam," Shiraishi says. "I must have been the least busy team leader in the whole company! At the time, the financial institutions in Japan were suffering, and manufacturers were unable to secure the loans needed for making inroad overseas. The scarce opportunities for direct investment overseas were all directed toward China."
Vietnam, with a lower profile than China, was totally disregarded—especially Hanoi in the north. The team members were frustrated; they knew that once potential customers could see the site for themselves, they would realize the many benefits it offered.
However, the members did not give up. They befriended their anxiety and endeavored to sell the park. Finally the day came—their sales efforts bore fruit. They persuaded a major Japanese precision-equipment manufacturer to visit TLIP as a candidate site for a new printer plant.
As the members had anticipated, this manufacturer ended up signing a contract, having confirmed the advantages the site offered. Shiraishi says, "The products this manufacturer planned to produce at the new plant were entirely for export. This means that it didn't matter where in the world the new plant was built, as long as the infrastructure and environment were appropriate, parts could be procured, and people could be hired. Therefore, when they chose TLIP for their destination, this was big news! The fact that this manufacturer chose TLIP served as a great impetus for our subsequent sales activities, as it was much more persuasive to potential customers than our passionate explanations could ever be." One contract after another was concluded, and eventually all the zones at TLIP were sold out.
Building on the success of TLIP, Sumitomo launched development of TLIP II in 2006. In 2008, sales activities commenced as planned, encouraged by expanding direct foreign investment in Vietnam, a country that continued to enjoy economic growth. After just one month, however, the business environment changed completely. The world was hit by a financial crisis, resulting in a sharp downturn in foreign investment by manufacturers.
Hiroyoshi Masuoka, who was involved in the development, construction, and sales of TLIP II, recalls his emotional state at the time. "Anxiety peaked the moment the industrial park was completed—if no one takes up occupancy, not even a cent will be generated, and the vast stretch of land and the magnificent facilities, which we spent so much money on, will be wasted."
The slump continued for about a year, but along with the recovery of the global economy, inquiries from prospective customers started increasing, with some leading to the conclusion of new contracts. Since spring 2010, they have been continuously hosting corporate visitors at TLIP II.
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