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Does Vietnam represent an attractive investment opportunity Absolutely all of the factors are present to allow Vietnam to emerge as an Asian Tiger Economic Growth Vietnam has been enjoying robust economic growth due to economic reform a growing GDP an increase in private Vietnamese-owned organizations as well as the momentum from the large number of emerging foreign joint ventures Increasing FDI It is the consensus of many countries that Vietnam is proving to be an increasingly attractive region to do business Vietnam is widely considered to be one of the most attractive investment opportunities in Asia second only to China and India The Government The governments commitment to economic reform will be the key to opening relationships with foreign firms The government will have to make improvements across the board in order to ease market entry but it has been moving in this direction through its entry into the ASEAN and the EU Population A large the 12th most populous in the world youthful 50 21 or under population with growing pocketbooks and a taste for Western culture Labor Pool Generally well-educated low cost and available workforce On the other hand Vietnam still must overcome some obstacles First its transportation infrastructure is still primitive a result of years of war Substantial investment in improving roadways and airports is crucial in order to facilitate distribution across the area Next the Communist governments tight controls despite its recent openness to investment must be loosened Likewise corruption continues to be a major concern for investors Therefore although Vietnam is an attractive opportunity investors must be cautious but willing to assume some risk at the same time The potential ROI may be worth the risks inherent in investing in the region Is it too late for US companies to enter Vietnam No in fact many firms have wondered if it is still too early given the problems with dealing
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