Lotte Vietnam said that it takes an average of 5-8 years from the opening day to the breakeven point, but this company has still reported an accumulated losses of VND800 billion ($35.2 million) over the last 11 years in Vietnam. The Lotte Mart in Can Tho is one of 13 locations in Vietnam Lotte Vietnam Shopping JSC started operations in Vietnam at the end of 2006 in the retail distribution sector. This is the most potential retail and distribution market in Asia due to the young labour force, high-speed urbanisation, and the development of industrial production and services. Thus Lotte Vietnam Shopping decided to invest into trade centres across big cities and provinces in the country, as well as upgraded on-going centres, invested into facilities, and improved selling policies and services while all investors are developing fast. Jeong Seong Won, chief finance officer of Lotte Vietnam Shopping, committed to long-term investment and accepted short-term losses. "In order … [Read more...] about When Lotte Vietnam to turn profit?
Retail advertising agencies
Like many urban Vietnamese women, Nguyen Thu Trang never lets her smartphone out of reach. The first thing she does every morning is checking Facebook on her phone to see what her friends are up to and what items are for sale. “Social networks help me keep in touch with friends and stay up to date with latest trends. It is also a very effective shopping channel,” said the 32-year old office worker in Hanoi. Trang prefers Facebook to local e-commerce sites because she can directly inquire sellers for the specific information she needs. For fashion products such as clothing items or shoes, she can decline to buy the items when they are delivered if they don’t fit or their quality doesn’t match what she expects. Trang is just one of millions of Vietnamese social media savvy users who regularly shop on channels like Facebook, Instagram and homegrown Zalo. They buy everything, from groceries and homemade products, to cosmetics, clothes and household items from … [Read more...] about The rise of social network retailers in Vietnam
Viet Nam News Đỗ Thắng Hải, Deputy Minister of Industry and Trade, talks to the Thời báo Kinh tế Việt Nam (Việt Nam Economic Times) on his ministry’s efforts to increase Vietnamese goods sold abroad What actions have the Ministry of Industry and Trade adopted to speed up the country’s export promotion activities? In 2015 the Prime Minister ratified the national export promotion strategy through the retail promotion systems abroad. Three years later, the Ministry of Trade coordinated with foreign distribution groups to develop an action plan to improve Vietnamese enterprises’ capacity to enter foreign markets through their distribution systems. However, this work required big support from concerned Government agencies, particularly from the Provincial Department of Industries and Trade, trade promotions agencies, foreign distribution firms and in particular Vietnamese enterprises and export associations. For many … [Read more...] about Eyes on Vietnamese goods abroad
As Vietnam develops, there is a growing debate on whether buildings with architectural or historical value in the core of major cities should be preserved. For some, those buildings are esthetically pleasant and are part of the collective memory; demolishing them would amount to losing part of the cities’ souls. For others, economic development is the key priority, and the land these buildings occupy is just too valuable to be sacrificed to emotional considerations. The ongoing discussion on whether to demolish Thuong Thu Palace in Ho Chi Minh City illustrates this clash of views. As a professional economist, I could be expected to have more sympathy for the second view. After all, economics is a “cold” science, with no inclination for sentimentality. However, modern urban economics suggests that the “either-or” approach underlying the current debate in Vietnam is wrong. Architectural preservation may not be the enemy of economic development, but rather a … [Read more...] about Neglecting architectural heritage could be a bad economic decision for Vietnam
Over the years, Vietnam Expo has done a good job of promoting trade among neighbouring countries in the region and has been constantly expanding to reach an ever-increasing line-up of attending countries, increasing the number of enterprises which have well-known brands, and demonstrating new technologies, as well as connecting enterprises. The 28th Vietnam International Trade Fair (Vietnam Expo 2018) themed “Vietnam Expo—Enhancing regional and global economic links,” will take place on April 11-14 at Hanoi International Exhibition Centre (ICE). There will be 500 booths and 450 enterprises from 20 provinces and cities from across Vietnam and 23 countries and territories. The national pavilions include Russia, Cuba, Korea, Nepal, China, and Vietnam. Over the past 25 years, Vietnamese-Korean trade has grown from just $500 million in 1992 to approximately $60 billion at the end of last year. The figure is expected to reach $70 billion by this year and $100 billion by … [Read more...] about Potential business opportunities for Vietnamese and Korean enterprises