delivered by PANGAEACommunications(tm)
In our efforts to reformat the newsletter and provide actionable and timely perspectives, business trends and insights, we present a special focus this month. Our focus on Vietnam offers an insider's perspective and point of view on the opportunities and barriers to conducting business in this market. It is a think-piece, intended to spark discussion in our pangaea.talk.NEWS(tm) bulletin board.
Please feel free to share your comments, opinions and ideas about Vietnam as a business opportunity for Asia, Europe, the Americas, etc.
"Doing Business in Vietnam-- an insider’s perspective"
Contributed by Sam Pyun,
a multi-cultural PANGAEA consultant who recently returned to the US after working in Hanoi this past year for a leading Korean conglomerate.
Focus on Vietnam
Why should you be considering business in Vietnam?
Who’s doing what?
What should you be selling?
Consumer profile
The Vietnamese consumer is quite different from those of many other developing countries at similar levels of prosperity.
And statistics can be dangerously misleading. The official GDP per capita is US$250; but in Ho Chi Minh City the figure is US$800 and slightly less than that in Hanoi. However, spending power reflects higher incomes, largely due to the pooling of resources by several members of each household and the fact that many Vietnamese hold several jobs through moonlighting.The Vietnamese are highly conscious of status and of available brands. The Honda Dream II motorbike is a prime example of consumer preference. Though costing approx. $3000, which is more than rival brands from Taiwan, it commands a leadership position in sales. In many ways, it is the ultimate status symbol of average Vietnamese. The same is true of Sony televisions, which sell at a premium over equivalent brands, but command a strong position.
Though they tend to be thrifty people, they aren’t shy about shelling out the cash for luxuries such as branded products and quality restaurants, within the limits of each household. Often, finding the best bargain is not as important in Vietnam as it is in other developing countries.
Television channels and other media are rapidly expanding as well as infrastructure (i.e. electricity, telecommunications), allowing greater reach to remote areas. This provides better access to consumers. The Vietnamese consumers pay close attention to advertisements, especially television commercials which act as a true education tool.
For more information about investing in Vietnam or other foreign markets, or if you would like an in-depth market study, contact PANGAEA, International Consultants. With an extensive network of marketing consultants, attorneys, logistics experts and more around the world, PANGAEA is uniquely qualified to offer hands-on, local marketing and management consulting services.
More Observations, Suggestions and Recommendations
What problems will you face?
Latest happenings and trends to watch
To keep up on what's new in Vietnam this month, keep checking back here for regular news "snippets," as they occur. And if you have news to contribute, we'll print it.For more information: Vietnam -- Basic Facts
MORE NEWS ON THE HORIZON...
ARCHIVES
May 1995
June 1995
July 1995
August 1995
September 1995
October 1995
We are publishing a monthly newsletter, containing snippets of useful marketing information for global business people. Moreover, we accept contributions to our newsletter (as long as the information is verifiable -- and will print by-lines). This newsletter will be distributed for free on a monthly basis.
Contributors wishing to advertise their own publications are also encouraged to submit articles. Advertisers will have links back to their own sites or to their web pages in pangaea.net's Interactive Global Marketplace (tm). -- your global business directory. Charter rates are available for this service as well. There are a host of benefits derived from advertising in pangaea.net's newsletter.
As for access to full text articles, more frequent newsletters, newswires and PANGAEA's proprietary resources -- databases, consulting services, etc., there will be a fee. Contact us for rates.
(c) 1995 PANGAEACommunications. All rights reserved. No part of this file may be copied, distributed or disseminated in part or in whole without the express prior written permission of PANGAEACommunications Reprints of this issue are available for US$250.00 per copy.
