Vietnam is Asia’s third largest economic area. Currently, it has 600 million inhabitants, a figure that is set to increase to 700 million by 2020. This makes it a great investment hub for businesses looking at medium- and long-term investments.
Vietnam’s GDP is approximately €150bn. The streets are bustling with motorbikes and cars, indicative of many in the region having a steady income. This means poverty is decreasing. Still, there is a lot that can be done to make the area an even more attractive place for businesses to prosper. And that is where the government comes into play. The government needs to facilitate the business launching process, make infrastructure as smooth as possible and combat corruption where it exists. With this, economic growth will advance.
It seems that the government is already being cooperative in this endeavor. On November 17, a license was secured from the government by South Korea’s Samsung Electronics Co. Ltd., to expand its production in the northern part of the country. Samsung intends to invest up to $3bn in Vietnam for its handset trade, in an attempt to reduce prices and gain a higher edge in the competitive market against other Chinese rivals.