Why and how Canadian corporate should consider Vietnam as potential business market
Finding a potential country to create an ideal market to invest in has been a big question for most of the investors who are seeking such promising one for their investment. It is apparent that in these years, Vietnam is an appealing market undergoing remarkable change, and it has proved the strong performance of stock market. Vietnam is truly a nation with a talented, well-educated, and ambitious population, as well as the low real wages for a decisive competitive advantage
Three years ago, there was a fact that no one was interested internally or externally in Vietnam, but this time the number of investor was overwhelmed, with nearly 200 foreign investors and about 200 local investors. Vietnam is firmly back on the map and everyone was talking about it as the Asian play. Especially, for the emerging Canadian corporate who are looking for a good future in an attractive nation, they should take a look at Vietnam as a potential business market for the below reasons.
Likely for catching up with Neighboring Countries
It can be considerable that Vietnam is a good way to catch up with its neighbors such as Thailand, Lao, Cambodia in terms of urbanization, per capita income, and the size of its stock market and manufacturing base.
Reconstructing Macro Fundamentals and Infrastructure
These days, the infrastructure in Vietnam is significantly improving with 267,000 km of roads and 1.49 cell phones per person. With the various economy and the prosperity in resources, the country has become a truly energy exporter.
Market Reforms in Banking and Finance
Indicative matters of Vietnam including the debt from the bank and loans are making accumulative progress, but it is necessary to expand and update the financial system along with forwarding on execution of 289 state-owned corporations privatized.
Low Stock Valuations Relative to Its Competitors
Many of Vietnam’s large state-owned companies are costly for some logical argument, but medium-and small-sized ones are a great value. The index of Vietnam market showed at just 1.1 times book value with a dividend yield of 6.3% while Indonesia has a 2.4 times and moving to the Philippines which has a 2.6 times.
Perfect Demography of Income and Wealth in long-term development
On the contrary to China’s premature gray and white society, the population of Vietnam is more than 98 million in which the average age of around 27 and 70% of the population under 35 years old.
Vital Geography and Strategy at the Heart of ASEAN
As the lately establishment of AEC, or intra-ASEAN trade – already developing speedy – will gain even more impulse. The long coastline of Vietnam which face to the South China Sea, and shipping routes that make up for 40% of international trade – all underline its key significant.
Competitive Cost for production and business
As the salary quota is dramatically under that of China, more corporations in South Korea, Japan, China, America, and Europe, and the bureaucracy is chasing to found the manufacturing hubs in Vietnam and build strong relation to this country.
Lower Risk and Volatility
One more amazing advantage Vietnam can bring to foreign investors is that the portfolio risk and volatility is much lower. The reason is that Vietnam has marched to the own pace in the same navigation as the global markets only account for 40% of the time, as other emerging ones move in cycle 87% of the time.
Easy process to get on business trip & Vietnam Business Visa
There are frequent direct flight from Canada to Vietnam and in reverse. Also, getting visa for Vietnam for Canadian citizens for business purpose is more convenient with Vietnam Visa On Arrival method, which can help you get Visa Approval Letter online after just 2 hours – 4 working days and get visa stamped right at Vietnam airport. You can choose the suitable one amongst 6 types: 1 month-single entry visa; 3 months-single entry visa; 1 month-multiple entry visa; 1 year-multiple entry visa; 3 months-multiple entry visa; 6 months-multiple entry visa.
For full details about exact Vietnam Visa Fee & other services to help make your business trip a breeze, kindly refer to: https://www.vietnam-visa.com/ or contact directly through Hotline +84. 946.583.583.
A sample of Vietnam Business Visa., with Category “DN”
How to develop investment in Vietnam
The arising unexplored markets as the “motorcycle one is the consideration of many venture capitalists in Vietnam as there is a huge number of motorbikes running on the street than that of cars. In this circumstance, an import tax on automobiles begins at 100%. The most powerful aspect in Vietnam is the youthful and energetic people grasping more potential markets and competition.
The crowded streets full of thousands of motorbikes reflect the issue of traffic. A population in which 46% are in the age of 25- to 54 view a great situation to make a good “ catch up” of earning and prosperity opportunities. With 95% of literacy rate, independent energy, a new prime minister who’s hard-pressed to reform and privatize the state-owned companies that still represent 40% of Vietnam’s economy – the upside for investors certainly outweighs the risks.
