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Household Consumer Goods in Vietnam

Title:

Household Consumer Goods in Vietnam: A Strategic Entry Report, 1998

Date Published: 1999-05-03
Pages: 150
ISBN: 0741804883
   
About the Author(s)/Editor(s)
Philip M. Parker
Eli Lilly Chair Professor in Innovation, Business and Society
INSEAD (Fontainebleau, France & Singapore)

Philip M. Parker is the Eli Lilly Chair Professor of Innovation, Business and Society at INSEAD (Fontainebleau, France and Singapore). He has been a professor there since 1988 where he teaches graduate and doctoral-level courses on global competitive strategy and research methodology. He has taught courses at Harvard University (HBS), the Hong Kong University of Science and Technology, Stanford University (GSB), the Massachusetts Institute of Technology (MIT Sloan School) and UCLA (Anderson School). Dr. Parker received his Ph.D. in Business Economics from the Wharton School at the University of Pennsylvania and has Masters degrees in Finance and Banking (University of Aix-Marseille, France) and Managerial Economics (Wharton). His undergraduate degrees are in mathematics and economics. Some of his work and methodologies applied in this study were financially supported by the Research and Development Committee at INSEAD which is gratefully acknowledged.

About the Series
This series helps international managers expand to various country markets around the world. Each report is a broad study of a particular product market, but also gives information useful for entry strategies (trend analysis, marketing, production, finance, and distribution strategy). Each study provides ample statistics on market size and trends, as well as various economic statistics cover human resources and cross-cultural management.
Contents
1 INTRODUCTION & METHODOLOGY
        1.1 What does this report cover?
        1.2 How to Strategically Evaluate Vietnam
        1.3 Latent Demand and Accessibility in Vietnam
2 HOUSEHOLD CONSUMER GOODS
        2.1 Latent Demand and Accessibility: Background
        2.2 Latent Demand: Aspects of Interest
        2.2.1 Statistical Data
        2.2.2 Market Profile
        2.2.3 Best Sales Prospects
        2.3 Accessibility: The Structure of Competition
        2.3.1 Domestic Production
        2.3.2 Imports
        2.3.3 Target Buyers
        2.4 Accessibility: Key Factors
        2.4.1 Import Climate
        2.4.2 Distribution/Business Practices
        2.4.3 Financing
        2.5 Key Contacts
        2.5.1 Trade Promotion Opportunities
3 THE ECONOMICS OF LATENT DEMAND IN VIETNAM
        3.1 Executive Summary
        3.2 Economic Issues in Vietnam
        3.2.1 Economic Fundamentals and Dynamics
        3.2.2 Infrastructure
        3.2.3 Development Strategy
        3.2.4 Hanoi and Ho Chi Minh City
        3.2.5 Important Growth Areas
        3.2.6 The Legal Environment
        3.2.7 Administrative Reform
        3.2.8 The Government’s Role in the Economy
        3.2.9 Foreign Inflows And Export Performance
        3.2.10 Integration into the World Economy.
        3.2.11 Vietnam's Labor Force
        3.2.12 Improvement of Infrastructure
4 EXPORT ACCESSIBILITY IN VIETNAM
        4.1 Executive Summary
        4.2 Exporting to Vietnam
        4.2.1 Description of the Banking System
        4.2.2 Foreign Exchange Control Risks
        4.2.3 How to Finance Exports/Methods of Payment
        4.2.4 Types of Available Export and Project Financing
        4.2.5 International Monetary Fund (IMF)
        4.2.6 Co-Investment Sources
        4.2.7 Trade Regime
        4.2.8 Tariff Code
        4.2.9 Formal Tariffs
        4.2.10 Excise Taxes
        4.2.11 Import Quotas
        4.2.12 Trade Regime Developments
        4.2.13 General Customs Department
        4.2.14 Basis of Customs Valuation
        4.2.15 Customs Procedures
        4.2.16 Authorized Importers
        4.2.17 Import Licensing System
        4.2.18 Permits and Licenses
        4.2.19 Taxes
        4.2.20 Quotas and Restrictions
        4.2.21 Documentation Required for Trade
        4.2.22 Entering Temporary Imports
        4.2.23 Labeling Issues
        4.2.24 Restrictions on Imports
        4.2.25 Local Standards
        4.2.26 EPZ and IZ
        4.2.27 Bonded Warehouses
        4.2.28 AFTA
        4.2.29 WTO
5 DIRECT INVESTMENT ACCESSIBILITY IN VIETNAM
        5.1 Executive Summary: Infrastructure
        5.2 Executive Summary: Natural Resources
        5.3 Executive Summary: Industry
        5.4 Direct Investment in Vietnam
        5.4.1 Openness to Foreign Investment
        5.4.2 Vietnam's Protected Trade Regime
        5.4.3 The Business Cooperation Contract (BCC)
        5.4.4 Joint Ventures
        5.4.5 Foreign-Owned Enterprises (FOE)
        5.4.6 Build-Operate-Transfer (BOT)
        5.4.7 Investment And Licensing Procedures
        5.4.8 Licensing Requirements
        5.4.9 Prime Ministerial Approval
        5.4.10 Project Evaluation
        5.4.11 Private Property Risks
        5.4.12 Property Rights Risks
        5.4.13 Intellectual Property Rights
        5.4.14 Performance Requirements/Incentives
        5.4.15 Transparency of the Regulatory System
        5.4.16 Corruption
        5.4.17 Labor
        5.4.18 Efficient Capital Markets and Portfolio Investment
        5.4.19 Conversion and Transfer Policies
        5.4.20 Expropriation and Compensation
        5.4.21 Dispute Settlement
        5.4.22 Vietnam's Bankruptcy Law
        5.4.23 Political Violence
        5.4.24 Bilateral Investment Agreements
        5.4.25 Capital Outflow Policy
6 MARKETING & DISTRIBUTION IN VIETNAM
        6.1 Executive Summary
        6.2 Marketing and Distribution in Vietnam
        6.2.1 Distribution Channel Options
        6.2.2 Importing and Exporting
        6.2.3 Wholesalers
        6.2.4 Retail
        6.2.5 Alternatives
        6.2.6 Agents/Distributors
        6.2.7 Distributor Agreement
        6.2.8 Legal and Practical Considerations
        6.2.9 Franchising Activities
        6.2.10 Direct Marketing Options
        6.2.11 Joint Venture and Licensing Options
        6.2.12 Potential Vietnamese Partners
        6.2.13 Technology Transfers
        6.2.14 Creating a Sales Office
        6.2.15 Nature of a Representative Office
        6.2.16 Tax Considerations
        6.2.17 Other Considerations
        6.2.18 Application Procedures
        6.2.19 Development of Consumerism
        6.2.20 Market Segmentation
        6.2.21 Product Information
        6.2.22 Practical Considerations
        6.2.23 Advertising Options
        6.2.24 Advertising Trends
        6.2.25 Television
        6.2.26 Print Media
        6.2.27 Outdoor Advertising
        6.2.28 Radio
        6.2.29 Trade Fairs
        6.2.30 Pricing Issues
        6.2.31 Practical Considerations
        6.2.32 Sales Service & Customer Support
        6.2.33 Staff Training
        6.2.34 Practical Considerations
        6.2.35 Public Sector Marketing
        6.2.36 Bids for Government Purchases
        6.2.37 Practical Considerations
        6.2.38 New Bidding Regulations
        6.2.39 IPR Infringement
        6.2.40 Trademark Registration & Protection
        6.2.41 Copyright Registration & Protection
        6.2.42 Invention and Industrial Design Registration & Protection
        6.2.43 Foreign Law Firms
        6.2.44 Vietnamese Law Firms
        6.2.45 Practical Considerations
        6.2.46 Performing Due Diligence
7 HUMAN RESOURCE ASSESSMENT IN VIETNAM
        7.1 Executive Summary
        7.2 Human Resources in Vietnam
        7.2.1 Unionization in Vietnam
        7.2.2 Collective Bargaining in Vietnam
        7.2.3 Workweek and Minimum Wages in Vietnam
        7.2.4 Forced Labor in Vietnam
        7.2.5 Working Ages and Child Labor in Vietnam
8 POLITICAL RISK ASSESSMENT IN VIETNAM
        8.1 Executive Summary: Government
        8.2 Executive Summary: Military Organization
        8.3 Democracy in Vietnam
        8.4 Political Issues in Vietnam
        8.4.1 Economic Relationship with the United States
        8.4.2 Politics and the Business Environment
        8.4.3 Domestic Policy
        8.4.4 Foreign Policy
        8.4.5 Brief Synopsis of Political System
9 LEGAL RISK ASSESSMENT IN VIETNAM
        9.1 Executive Summary
        9.2 Legal Issues in Vietnam
        9.2.1 Privacy, Search and Seizure
        9.2.2 Trial Justice in Vietnam
        9.2.3 Excessive Punishment in Vietnam
10 CULTURAL AND DEMOGRAPHIC RISKS IN VIETNAM
        10.1 Executive Summary
        10.2 Cultural Issues in Vietnam
        10.2.1 Racial, Ethnic and Discrimination Issues in Vietnam
        10.2.2 Women's Rights and Gender Issues in Vietnam
        10.2.3 Religion in Vietnam
        10.2.4 Fundamental Human Rights in Vietnam
11 HISTORICAL BACKGROUND
        11.1 Social and Political History
        11.1.1 Historical Relations with the U.S.
        11.1.2 Political and Governmental History
        11.1.3 The Communist Party
        11.1.4 Political History
        11.2 Business Customs in Vietnam
        11.2.1 Local Business Practices
        11.2.2 Business Hours
 

 

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