kanta-worldpane-division-vietnam-insight-handbook-2020
Vietnamese consumers stay optimisticabout future prospects, yet foodsafety, well-being and environmentalissues continuously ranked...
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kanta-worldpane-division-vietnam-insight-handbook-2020

Vietnam Market & Consumer Outlook

Vietnam’s economic outlook remains bright with a stable growth over the past decade

There are both challenges and opportunities to address

Opportunities

– Trade agreements: EVFTA,
CPTPP, …
• Opportunities for export
• More foreign investment
• Technology transfer & development
• Improved business environment
• Wider range of imported products
with good quality and competitive
price
– ASEAN Smart Cities Network:
smart solutions in transport systems, urban management, flood monitoring systems and e-government services.

– Privatization of State Owned Enterprises (SOE): attract foreign investment, increase Government budget

– Growing urban middle class: strong domestic demand & consumption

-Sub-urban and Rural development programs

Challenges

– Business environment
• Legal reforms
• Competitiveness and attractiveness of local companies
– Rising oil price threatens inflation
Exchange rate pressure amidst continued US-China trade war
– Public debt burden
– Rapid urbanization and migration in key cities result in:
Increasing environmental issues (climate changes, air pollution, plastic waste, floods…) at an alarming rate
Ineffective traffic and transport (management) system
Negative impacts on infrastructure and services
Insufficient capacity and lack of natural resources: power, water, etc.

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