Local technological capabilities and supply chain challenges are the top barriers for businesses in Vietnam looking to expand into new ASEAN markets, underscoring the need for careful planning and expert advice while venturing abroad, the survey revealed.
Nearly 90 per cent of businesses in Vietnam plan to invest more in the ASEAN region, the HSBC ASEAN Business Sentiment survey of financial decision-makers in the bloc’s six biggest economies found.
Local tech capabilities and supply chain challenges are the top barriers for them.
Over half of the respondents are keen to expand into Vietnam as a new market.
Product development ranks as the top priority for Vietnamese businesses ahead of growing in ASEAN. Some 94 per cent expect their intra-ASEAN trade to rise this year, with 27 per cent expecting an increase of over 30 per cent, a Vietnamese news agency reported.
The countries covered in the survey were Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam.
Vietnam attracted close to $6.17 billion in foreign direct investment (FDI) in the year to March 20—up by 13.4 per cent year on year, according to the country’s Foreign Investment Agency. FDI disbursement was estimated at about $4.63 billion during that period—an annual rise of 7.1 per cent.
Fibre2Fashion News Desk (DS)
