Run To The Revenue - Part II
July 26, 2008
In our first segment, we discussed some of the key factors associated with the economic growth of Asia. We spoke in depth about the top 25 global company trends over the past 10 years, the top 50 competitive nations, and how Foreign Direct Investment (FDI) has influenced the in/out flows of money. As companies from Asia continue to penetrate the U.S. markets, so too must North American enterprises penetrate Asia. The opportunities are vast, but the task of executing a successful strategy can be even more daunting. Strategies developed by most U.S. companies, either small or large, don’t work well in Asia for two main reasons. Read more… »
Run To The Revenue - Part I
May 27, 2008
It is difficult to hide from the news these days regarding the threats posed by Asia’s growing economies, specifically China, India and Vietnam (the CIV factor). The reactions of many Americans lie in a range of emotions from fear to panic, and even down right loathing. Regardless of where you are on this spectrum, it will not change the course of economic development. Let’s take a look at some facts and options. Read more… »
Is Vietnam A Luxury Market?
December 19, 2007
In what it described as a "dazzling debut", German automaker Porsche has launched its full range of sports cars and SUVs through a new showroom in Ho Chi Minh City.
According to the company’s press release, “The time for Porsche in Vietnam is now,” said Mr. Andreas Klingler, General Director of Prestige Sports Car Company. “Drivers in the high-end market are now looking for more than just average luxury vehicles."
Drive a Porsche in Vietnam? Not so fast …
Anyway, the point isn’t that the traffic in Vietnam is horribly congested, although it is. What’s significant about the Porsche debut is that Vietnam now has enough "drivers in the high-end market" to attract one of the world’s most exclusive and expensive brands of automobiles. Read more… »
Opening A Vietnam Rep Office
November 3, 2007
The Representative Office (RO) is the most simplified structure for gaining a toehold in Vietnam. The strategy behind the RO is to make a minimum investment as you learn about the inner workings of the country, understand the costs, established a market channel, and investigate the capabilities of the people. Following are the key step required for opening an RO in Vietnam.
Establishment of the RO
To establish a representative office in Vietnam, a foreign company must apply for a license issued by the Provincial Trade Department, and complete post licensing procedures including notice of operations and obtaining a seal. Application files for establishment of the representative office must be submitted to the Provincial Trade Department. To obtain a seal, the chief representative of the representative office or its staff may be required to personally lodge the applications due to security reasons. The following documents must be submitted to the licensing authority for obtaining the License: Read more… »
4 Infrastructure Options For Vietnam
October 14, 2007
In our first segment about Vietnam, we gave you key facts about the country, including some useful comparisons between the costs of doing business in Vietnam and China. As you consider your initial infrastructure investments in Vietnam, it will be important to evaluate various options for establishing an entity there.
Depending on your objectives, each option will have advantages, disadvantages, and varying degrees of complexity. The four most common approaches for establishing an entity in Vietnam are:
- Representative Office
- Branch Office
- Joint Venture Company
- 100% Foreign Owned Company
Let’s take a look at each of these approaches in more detail. Read more… »
Vietnam: The New Low-Cost Haven
September 25, 2007
The past twenty years have seen a veritable deluge of Asian foreign investment flowing first into China and, more recently, India. The impetus for most of these investments has been the promise of lower costs for materials, manufacturing, and business processes.
Concurrent with the rapid construction of factories, offices, and labs there has been an insatiable rise in the demand for people — so much so that these two countries are now experiencing unprecedented rates of wage appreciation and employee attrition as experienced workers at all levels jump for better paying opportunities. Read more… »